HomeMy WebLinkAboutLetter - Off-Street Parking40 NW 3rd Street
Suite 1103
Miami, Florida 33128
Phone (305) 373-6789
Fax (305) 371-9451
www.miamiparking.com
Honorable Mayor and Members of the City Commission:
During Fiscal Year 2014-15, the Miami Parking Authority (MPA) continues to thrive. We
have increased our market share while continually working to improve customer
satisfaction and fulfill our mission to meet the City of Miami's parking needs.
Accomplishments During the Past Year
Accomplishments for MPA during fiscal year 2014- 15 included the following:
The Pay -By -Phone program continues to attract new users, as it affords them a
convenient method to pay for parking. We educated the public about the program
through various media streams including social media, radio and print media. Due to
these initiatives and to the convenience offered by the program, we experienced a
utilization increase of 15% this year. Additionally, we rolled out a parking plan in the up-
and-coming Wynwood District where PayByPhone was promoted as the main payment
platform. Users immediately adopted PayByPhone as "the" means to pay for parking.
Since its inception in the City of Miami in 2008, approximately 393,000 customers have
registered to participate in the program, which in turn has generated approximately
$13,000,000 in parking revenue.
Over the past several years, the Authority has experienced rapid change, both in terms of
operational responsibilities and its role in the community development process. The
Authority's traditional role of meeting the parking needs of the City has been expanded
to include fostering an awareness of parking as an integral component of a balanced
transportation system, both public and vehicular, and the community development
process.
The Authority's expanded role in community involvement is demonstrated in various
parking -related projects geared toward neighborhood beautification and economic
development, as well as continued participation on civic and governmental committees.
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The Authority's involvement within the community is demonstrated as follows:
• The Authority continues its participation in neighborhood parking advisory
committees which provide a vehicle for citizen involvement in the
Authority's decision -making process.
• The Board and Authority continue participating in civic and governmental
committees to share resources and provide input on decisions which impact
the area's transportation needs and the City's community development
process.
• The Authority has continued its public information campaign in order to
update citizens about its role in parking management and any new programs
being offered, as well as its support and financial contributions to the City.
It has been our mission to ensure that we reach out to all the communities
we serve, and to this end we used media outlets in English, Spanish and
Creole.
The Authority has maintained a successful partnership with car2go, a car -sharing
company. The number of vehicles in the car2go fleet increased from 240 to 300 vehicles.
The car -sharing service offered by car2go is Miami's latest mobility alternative, affording
its members all the comforts and conveniences of vehicle ownership without the hassles
and costs. This program has been such a success in the City of Miami that it has now
expanded to neighboring municipalities and is available for use throughout our greater
Metro area.
MPA continues to successfully manage 7,000 parking spaces for the Public Health Trust
of Miami Dade County.
We continue to successfully maintain a relationship with the Adrienne Arsht Center for
the Performing Arts as its primary parking provider since its inception.
During the year ending September 30, 2015, the Authority estimates it will contribute
approximately $7,700,000 in excess revenues to the City of Miami.
Highlights of the 2015-2016 Budget
We continue to increase the areas that offer Pay -by -Phone services and in so doing, have
started the process of eliminating multi -space machines throughout the City.
There continues to be a steady stream of businesses opening in the areas of Brickell,
Design District, Midtown, and Central Business District along with the rapidly -changing
Wynwood District. All of this growth positively affects the hours as well as the breadth of
our operations and in turn increases the revenues being generated.
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We will continue to seek to expand the pay -by -phone program throughout our metro
area in order to broaden the pool of customers that we are able to tap into. This
continues to generate revenue for the agency while providing our customers added
convenience when paying for parking in the City of Miami.
Capital Spending Plan Summary for FY 2015-2016
MPA is working on a project to modernize the elevators at the James L. Knight Center
Garage to better serve our customers. Due to its size and the cost associated with it, this
project has been completed in phases and will be finalized during the 2015-2016 fiscal
year.
We will continue to replace older pay and display machines with new pay by plate
machines throughout the City. Expansion of this roll -out will increase our efficiency and
help reduce maintenance and repair costs.
FINANCIAL HIGHLIGHTS
Revenues
Total operating revenues are budgeted to be $28,969,890, which is $473,541 or 1.66%
higher than fiscal year 2014-15 budget.
Garage revenues are expected to decrease by $171,716 or 3.41%. The biggest factor
influencing next fiscal year's revenue projections in this category is due primarily to the
sale of Oak Avenue Garage. The offset of the sale comes from the leasing of the retail
spaces in several of our facilities along with continued increase of transient and monthly
parkers at Courthouse Center Garage due to the closure of the Florida East Coast Railroad
lots located along the perimeter of the Government Center Metrorail Station (FEC lots).
Lot revenues are budgeted to increase by $220,631 or 2.95% primarily due to increased
utilization being experienced at various lots throughout the city which are being utilized
by construction crews for a variety of development projects.
On -Street revenues are budgeted to increase by $290,477 or 1.94%. The biggest factor
influencing next fiscal year's revenue projections in this category is the opening of new
businesses in the areas of Brickell, Design District, Midtown, and Central Business District
along with the rapidly -changing Wynwood District. This positively affects the hours of
operations and revenues being generated, as well as expanding our parking space
inventory. This increase is offset by the removal of on -street parking spaces due to
construction and other projects throughout the City.
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Expenses
Operating expenses are projected to decrease by $110,183 or 0.70% to $15,735,585. Our
ability generate a decrease is noteworthy if seen in the context of some of the increases
which we are having to counteract and have little control over. Examples of these
increases are: 1) increased bank charges due to the surge in utilization of pay by phone
technology by our customers as a preferred payment platform and, 2) increased land
rental fees which are directly tied to our revenue share agreements for the use of FDOT
lots. This increase, however, should be seen positively as it is one which is off -set by
growing revenue at these locations.
Debt Service
Interest and principal payments are budgeted at $3,024,704 and $1,265,000 respectively.
Total debt service for the fiscal year is estimated at $4,289,704.
Net Revenue and Debt Service Coverage
The proposed budget for fiscal year 2015-16 will provide approximately $13,244,425 in
net revenue available for debt service resulting in debt service coverage of 3.09, before
taking into consideration capitalized interest. After subtracting debt service and
expenditures for replacement and renewals, we are estimating an excess revenue
contribution to the City of Miami of $7,200,000,
SUMMARY
The results for the current year and the budget for fiscal year 2015-16 reflect the
continued growth and expansion for the Authority. Net Loss for fiscal year 2015-16 after
depreciation, amortization and finance charges is estimated at $1,14,047.
We are particularly pleased that we have been able to continue to provide the City with
a significant revenue stream for the fourteenth consecutive year and at the same time
continue to address and meet the parking needs of our residents, commuters and visitors.
The total amount that the City will be receiving from Miami Parking Authority for the
2014-15 fiscal year is estimated at $11,973,000. This figure includes $7,700,000 in excess
revenues from operations, $2,800,000 from parking citation revenue and $1,473,000
from the operation of various City of Miami owned parking facilities.
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In closing, I would like to take a moment to highlight the exemplary job done by MPA's
staff and Board. Both have demonstrated an extreme level of dedication and hard work
in order insure the success of our Agency.
ga, V
Chief Ecutive Officer
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