Fiscal Year 2013-2015 Special Budget Meeting

HONORABLE MAYOR AND CITY COUNCIL Subject: Proposed FY 13-15 Proposed Policy Budget Date: June 12,2013 Page 4 scofnaws beyond those identified by our current outside contractor? Would such an in- house program more than pay for itself? The additional license plate reader is being employed as a component of the previously noted booting programs already accounted for in the budget. The $2 million reflected in the budget (revised to $2.5 million in an June 4 information memorandum) is due to the synchronization of boot eligible lists between Oakland and other jurisdictions. This revenue increase is independent of ongoing enforcement via booting. The following analysis demonstrates the impacts of adding additional boot crews. These estimates are over-and-above those assumed in the budget. There is a diminishing return to additional crews . .The diminishing retum is caused by a decrease in the number of vehicles eligible for booting as other crews will have already taken enforcement actions. The analysis assumes that booting crews are completely dedicated to boot parking enforcement efforts and are not routinely redeployed to address other "traffic and vehicle concems such as special events and abandoned automobiles. Further boot crews (and thus revenues) would not likely be available until FY 2014-15 diie to the time required to hire a boot crews (2 police service technicians) and the requirements that these employees undergo background checks and receive required training. Conservative Estimates No. of Crews Annual Revenue Annual Expense Annual Net Revenue ICrew $.;. '971,520 $ 178,618 $ 792,902 2 Crews $ , 1,700,160 $ 357,235 $ 1,342,925 3 Crews . $ 2,185,920 $ 535,853 $ 1,650,067 To view a copy of the June 4, 2013 information memorandum on the update on FY 2014-15 Projected Parking Citation Revenue Estimates, please follow the below link: http://www2.oaklandnet.com/oakcal/groups/citvadministrator/documents/agenda/oak04l383.pdf 2) At what level will the residential parking permit fee be cost-recovery? Preliminary analysis siiggests that the average residential parking permit fee ($19) would need to be raised to aii average $104.50 to be cost covering (550% increase). This would represent an increase of roughly $925,000 in revenue assuming that the volume of permit seekers remained constant. However, it should be noted that this analysis is preliminary and a more rigorous cost recovery analysis would be required to ensure that any fee increases comply with Proposition 26. 3) How much money would be saved/available if the schedules for Fund 1100 (Self- Insurance Liability) and Fund 4100 (Equipment) are adjusted to reach a zero balance (or perhaps a $20,000 positive balance)? Please provide a table with a detailed accounting of the currently scheduled repayment amount from each fund into 1100 and 4100, per year across each of their entire payment schedule. In addition, please break down the current