Trustees focus on the Oak Park parking fund

Village hall chips away at paying off fund's deficit

Monday, July 2nd, 2012 10:00 PM

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By Anna Lothson

Staff Reporter

The question of how to tackle Oak Park's outstanding debt in its parking fund was on trustees' minds when the 2011 audit was presented to the board last month.

In 2007, due to a combination of circumstances — like expected revenues that didn't keep up with debt service — the parking fund was in the red by more than $10.5 million, and necessitated a transfer from Oak Park's general fund.

That debt has since been reduced to around $3.4 million, with $500,000 being paid back in 2011. It's expected to be fully paid by 2019 if the current payment rate continues.

Interim Village Manager Cara Pavlicek, the previous parking services manager, said that the village experienced a demand for new parking, so garages were built. Revenue wasn't tracked, she suspected, which led to the revenue gap.

One factor may have been raising meter prices, she said, which created an incentive for people to invest in quarterly permits. Pavlicek said the village is defining a long-term strategy to repaying transfers back into the general fund. In 2012, $1.1 million is scheduled to go back into the parking fund.

At the last finance committee meeting, trustees agreed the parking fund needed to be an item of conversation at upcoming meetings. The issue was briefly discussed, as was the idea of increasing garage fees to help replenish the fund.

Trustee Ray Johnson pointed out that they can't be increased above street parking rates or people would simply avoid the garages.

President David Pope said rates don't necessarily need to be raised across the entire village. Instead there could be opportunities to adjust them in more popular areas.

"You can't put [the parking fund debt] on taxpayers when it should be on people using parking meters and garages," Pope said.

The concept of having debit and credit card meters was also brought up for a future village board discussion. Earlier this year, it was determined the village was spending $40-$50,000 per year for an armored car service to deal with its coins because most banks won't take large amounts of change anymore.

Overall, the parking fund was attributed as one of the ongoing issues cutting into the general fund, which has an impact on Oak Park's annual audit. While it continues to improve, village officials said it's especially important to balance the fund so it doesn't continue affecting other areas of the village's budget.

Reader Comments

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Ryan from Oak park

Posted: July 9th, 2012 9:14 AM

The parking situation is a complete joke. I park in a lot on lake st and pay in excess of $1200 a yr for 2 permits. We have had major issues with delivery drivers parking anywhere and everywhere in our alley, lot, and even in the pedestrian walk way. Instead of making the business pay for a permit tey allow them to park for free and now have given them "special" permits at no cost. Our lot is permit only on sunday, yet loaded with non permit cars guess what, no tickets either.

Oak Park Lady

Posted: July 8th, 2012 1:51 AM

The board got rid of Barwin and brought in Cara Pavlicek. That proves incompetency. Maybe it's her phony smile that got them. Wait until the honeymoon is over.

Rosa from Oak Park

Posted: July 7th, 2012 5:21 PM

Cara resides in Downers Grove, she could care less about increasing fees every year in Oak Park as long as her six figures keep rolling in. I'm just puzzled as to why Oak Park hired her after being fired for MISMANAGEMENT at the Village of Downers Grove! Hmmm, oh yes that's right, she went to college with some of Oak Park's Management Staff...

John Butch Murtagh from Oak Park, Illinois Facebook Verified

Posted: July 6th, 2012 10:35 PM

Welcome to Condo Owners and Renters. In the last two elections, less than 20% of registered votes go to the polls. The vast majority are home owners. The turnout for elections is pitiful and the mix of those voting is even worse. Non-homeowners have the same issues as condo owners or renters plus some that are unique to them. You will see in most post that we do not call ourselves home owners. We are residents. We all walk the same streets, use the same services and pay taxes (property and retail.) This is Oak Park, we do not distinguish by any group. So hit the posters, stay abreast of issues, and vote -- not just in presidential elections. Make us One.

DT Condo Owner II from Oak Park

Posted: July 6th, 2012 7:39 PM

We condo owners need to vote as a bloc in the next Village election. Any candidate whose platform ignores those who don't live in single family homes gets no votes.

Boondoggled from Oak Park

Posted: July 5th, 2012 3:00 PM

In 2007, this paper reported that the OPRFHS garage ran a deficit of $500K on receipts of $5K. That's right Condo Owner, your exorbitant permit fees subsidize free parking for OPRF teachers who make on average $97,500/yr. Why aren't this boondoggle and potential remedies involving D200 being discussed? It's also ironic that while OP has made improved multimodal transit a basis of its obstruction of I-290 expansion, its own high daily parking rates are a huge deterrent to park and ride trans

Q from Oak Park

Posted: July 5th, 2012 2:13 PM

Downtown Condo Owner, poor planning is all the village board knows.

Downtown Condo Owner from Oak Park

Posted: July 5th, 2012 1:23 PM

Q: My issue isn't necessarily the taxes, but that the Village engaged in poor planning and passed on the consequences of its poor planning to permit holders rather than the people who use the parking garages or who park in the meters. It's poor decision making and bad policy, and Cara Pavlicek is responsible for it because she was head of parking during the time the permit fees were increasing while garage fees remained the same.

Q from Oak Park

Posted: July 5th, 2012 1:14 PM

Downtown Condo Owner, join in with all of the other happy taxpayers at http://www.oakpark.com/News/Articles/07-02-2012/Federal_grant_overlooks_Oak_Park_again

Downtown Condo Owner from Oak Park

Posted: July 5th, 2012 1:09 PM

I know! Just increase the permit fees for ALL the people in the village who don't have a garage. Let them pay off the bad investment that Oak Park made by overbuilding the garages. Under Pavlicek, the price of quarterly permits skyrocketed, but the price of actually using the garage never went up. Makes sense to me! Great Job Cara, you really deserve your position!

Unfortunately

Posted: July 4th, 2012 2:08 PM

"Cara Pavlicek....said that the village experienced a demand for new parking, so garages were built." And this led to a $10M deficit?!? Doesn't anyone with VOP consider R.O.I. when they make these decisions? And then they act surprised when the deficit is in the millions? Skipping past that this might pay for the new Irving playground, the "solution" is to raise rates? Ever heard of Parking 101? Frequently, when rates are raised - you get less people willing to pay. Yep, should help retail!!!

John Butch Murtagh from Oak Park, Illinois Facebook Verified

Posted: July 4th, 2012 1:54 PM

If you were an OP Board Member before 2007, Please raise your hand.

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