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HomeMy WebLinkAbout1987-08-24 87-318 RESOLVE87-318 Introduced by Councilor Tilley, August 24, 1987 CITY OF BANGOR (TITLE.) C"MbItt..... ......Establishing -a._ Fee, in Llan_ of Parking....in... the ..._.. 19p Nr Cih Cwwti! o(W Qp eJBaubmr: IMOLVED, WHEREAS, the Bangor City Council has retained Rich and Associates, Inc. as its parking consultant; and WHEREAS, .the Bangor City Council requested a recommendation from Rich and Associates, Inc. on the charging of a fee for parking spaces not provided in accordance with the City of Bangor Zoning Ordinance in developments in the downtown (C-4, Zone) area; NOW, THEREFORE, BE IT RESOLVED THAT in accordance with the commendations of the parking consultant, Rich and Associates, Inc. the Bangor City Council resolves to charge a fee in lieu of the provision of off-streetparkingas required of development in the downtown under the City's. Zoning Ordinance and, furthermore, that the owner/developer of a parcel of property in the downtown shall be required to pay such a fee in lieuofprovision of o££ -street parking based upon the number of parking spaces requiredby the Ordinance but not provided by,the own r/developer and which are granted a waiver under the provisions of that Ordinance, and furthermore, that the payment of such a fee may be made in equal amortized payments for a period of three to five years as provided in a written agreement between the City and said developer and further that the fee in lieu of parking shall be determined in accordance with the following fee schedule: Number of Spaces Excepted '- FeePerSpace 0-20 0 21-50 $2,000 51-100 '$2,500 .100 + $3,000 AND, FURTHER BE IT RESOLVED THAT the City Solicitor prepare the necessary implementing ordinances to carry out this policy to be pre- pared and presented to the City Council for review and approval. STATEMENT OF FACT: At a recent workshop with Rich and Associates, Inc., t e ouiT nC c eexpmsssed an interest in having a recommendation prepared by Rich and Assoc iatea, Inc, on the question of provision of a fee in lieu of parking. The consultants recommendation is contained in the attached letter of July 17, 1987, and is the basis for the general prgdecure outlined in the above Resolve. 87-318 $� aesuf V - 3{f City Council August 24.1987 Establishing a fee in lieu of R P3a3 RefVred to Community Uevelopme cy CciTyC(FtyFB0 Committee Consider next meeting townArea P� j / - y R pR City CleaWU ._IN CITY CDOCIL - September 14. 1987 u41thdrawn P CLERK 8J-318 RICH AND ASSOCIATES, INC. ARCHITECTURE PARKING PPCONSULTANTS NSU • ENGINEERING ANSER ROAD I MOUTXFIELXMICHIWN 4804 PIM353s0 July 17, 1987 Mr. .John Lord Planning Director City of Bangor RE; RA# 8629 Dear Mr. Lord As per our suggestion, my staff reviewed the fee in lieu of parking situation in the Northeast and has prepared the following analysis of fee in lieu of parking for different cities in the area. It is interesting to note that only one of the cities surveyed has a fee in lieu of parking program, and that is Burlington, Vermont. I am very surprised that Portland does not have a fee in lieu of parking situation. The one city, Burlington, Vermont; the fee in lieu of parking is $5,600 per space. There does not appear to be a reduction in the fee or any exceptions to the fee in lieu payment. We again have reviewed the Situation in Bangor and after considering the following points, we believe that the fee in lieu of parking, while It may have some initial negative effects on development, will prove a benefit to both developers, existing businesses downtown, and the overall City Of Bangor. The following points of consideration were takeninto consideration in recommending the fee in lieu of parking. Thera are numerous large, vacant buildings within the study are for parking. It is evident from the study completed by our firm, that should any of these buildings be occupied to any great extent, additional parking will be required. -The developer, who would normally provide parking for his building, will have a difficult time doing so due to land acquisition, and to be quite honest, the coat of providing structured parking as opposed to, surface parking. It is the feeling of Rich and Associates that a request for special exception in the parking requirements will be requested for each and every one of these vacant buildings. FEASIBILITYSNOIES • FUNCTIONALDESIGN • PARKING SECURITY PLANNING • EITEPLANNING HOSPITAL PARKING PUNNING • OESIGMBUILD • DEVELOPMENT& FINANCING THROUGH MEDPARK.INC. OPERATINGSTUDIES • PROFESSIONAL PARKING MANAGEMENT THROUGH PAN AMERICAN MANAGEMENT, INC ..J PIT. J0 n Lord July 17, 1987 page 2 As previously outlined, the parking system cannot absorb this level of additional parking demand if all buildings are developed and on the other hand, the city cannot afford to absorb the cost of additional parking. Therefore, it is the opinion of Rich and Associates that a fee in lieu of parking is appropriate and necessary for the successful development of structured parking in the City of Bangor. The benefits of the structured parking are self evident and everyone in the city understands the necessity for it. The coat for this parking, If it is to approach self - Sufficiency, must be borne not only by the users, but by Individuals directly responsible for the creation of additional parking demand. It is many times forgotten that parking is a public service that is paid for directly by the user fees. It is like any other municipal undertaking; such as a park, golfcourse, swimming area; where fees are paid by the users of a facility to help amortise the cost. The general public, in their taxes, are paying for part of this, but the actual user is bearing •a higher cost. The existing procedure of giving waivers on parking requirements in the downtown needs to be modified. It is the opinion of Rich and Associates that it would be a hardship on a developer to collect the entire per car space cost for development of a parking apace in a parking structure upfront before a building is developed. However, it In also our opinion that a fee in lieu of parking between $2,000 and $3,000 i appropriate. A sliding scale could be used such that .anyone who needs between 0 and 20 spaces waived would not have a fee in lieu of parking payment. Anyone between 21 and 50 spaces would pay $2,000 per space. Development needling between 51 and 100 spaces would pay $2,500 per space, and those 101 spaces and above would pay $3,000 per car apace. This is more equitably splitting the cost for parking development, but it should be remembered that it is the building owner or developer's responsibility to get special exception, not the tenant..:. Therefore it will not penalize small developments, but will rightfully and justifiably reflect the impact of a major development in the downtown. The structure for the fee in lieu of payments could be spread over a period of time to help amortize the coat for the developer. Typically, it could be between 3 and 5 years. This will 'help not only the cash flow for the developer, but would also help to take away some of the sting of the cost. RICH AND ASSOCIATES, INC. ft. John Lord July 19,-1981 Page 3 In the past when Rich and Associates has been asked to look at this situation, we found that typically, the financial entity that is working on the building to be developed, will require that parking must be provided as part of the project to ensure a successful project. Therefore, it is the understanding of most lenders that parking must be included in some way with the project. Therefore, the fee in lieu of parking should not be -foreign in concept to the financial people, and in reality provides a financial relief to a developer who would typically have to pay between 86,000 and $8,000 per parking space for construction end development costs. (You will note that these coats do not include land cost.) We hope that the above comments and suggestions will be reviewed. If there are any questions, please contact me. Sincerely, RICH AND ASSOCIATES, INC. TL4 q �>' Richard A. Rich Vice President RAR:dc RICH AND ASSOCIATES, INC.