DATE OF REPORT:- 6 th November 2008
REPORT TO THE MINISTER OF HOUSING
PROPOSED INCREASE IN PAID PARKING CHARGES
Purpose of the Report
To request approval for the increase in parking permit charges by 18% with effect from the 1st January 2009 and approval of a metric for subsequent annual increases.
Paid Parking Charges
The Housing Department currently issues a number of permits to allow non-residents to park on estates within the town. The charges for these permits vary between £877.00 pa in low demand out of town areas to £1,938.00 pa in the town centre. The Department is keen to ensure that this income stream is maximised and that charges are aligned with the prevailing market.
A local agent experienced in renting out parking has been consulted and advice provided has suggested that charges are generally only slightly (6%) behind the market, the existing charges for Hue Court and Liberation Court are now 23% behind the market.
The Market
Generally spaces associated with office blocks or commercial parking enterprises are attracting up to £2,500pa. However, it has to be said that this upper income level is only attracted on those sites which offer reasonably secure arrangements and where the customer has a dedicated space and is therefore guaranteed a space at all times.
The parking provision offered by the Department is slightly different. Paid parkers are afforded a permit which gives the right to park on the estate but does not provide a dedicated parking space or guarantee that the permit holder will always be able to park, although it has to be said that there have never been problems with paid parkers not being able to park due to car parks being oversubscribed. Housing estates are also not secure environments with tenants and in some areas the wider Public having ready and relatively unfettered access to car parking areas.
Section 5.18 of Financial Direction 4.1 (Increases in States Fees and Charges) defines that where property is let on the open market the rate should reflect the market conditions.
In addition Section 5.12 of Financial Direction 4.1 provides for the approval of a formula for subsequent increases in fees. In this regard the Department recommends that the Treasury and Resources Minister is requested to approve subsequent annual increases based on the RPI(X) figures published each September.
Accordingly the Department recommends an increase in parking permits fees of 6% generally and 23% in respect of Hue Court and Liberation Court with effect from the 1st January 2009. The financial impact of this increase is shown as Appendix 1.
Recommendation
That the Minister approve an increase in paid parking charges of 6% generally and 23% in respect of Hue Court and Liberation Court with effect from 1st January 2009 and annually thereafter by RPI(X) based on the preceding September’s Statistical Reports issued by the States of Jersey Statistics unit.
REPORT DRAFTED BY………………………………………………………….
Jason English, Senior Management Accountant 6th November 2008
REPORT APPROVED BY………………………………………………………..
Carl Mavity, Director of Estate Services 10th November 2008
Housing Department | | | | | | | | | | | | | | | | | |
Proposed Increase in Parking Permit Charges for 2009 | | | | | | | | | | | | |
| Hue & Liberation | | 23% | | | | | | | | | | | | | | |
| General | | 6% | | | | 3% | | | | | | | | | | |
Location | 2008 Charge | | Increase | | New Charge | | GST | | Full Cost | | Number of Permits | | Exisitng Revenue | | Increase in revenue | | Proposed Revenue |
Clos Du Fort | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 15 | | 21,900 | | 1,314 | | 23,214 |
De Quetteville Court | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 2 | | 2,920 | | 175 | | 3,095 |
Durban Brighton Road | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 1 | | 1,460 | | 88 | | 1,548 |
Gordon Le Breton Close | 877 | | 53 | | 930 | | 28 | | 958 | | 1 | | 877 | | 53 | | 930 |
Hampshire Gardens | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 1 | | 1,460 | | 88 | | 1,548 |
Hue Court | 1,938 | | 446 | | 2,384 | | 72 | | 2,455 | | 34 | | 65,892 | | 15,155 | | 81,047 |
Jane Sandeman Court | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 5 | | 7,300 | | 438 | | 7,738 |
Jardin Du Crocquet | 1,156 | | 69 | | 1,225 | | 37 | | 1,262 | | 1 | | 1,156 | | 69 | | 1,225 |
Journeaux Court | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 2 | | 2,920 | | 175 | | 3,095 |
Keith Baal Gardens | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 7 | | 10,220 | | 613 | | 10,833 |
La Collette | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 1 | | 1,460 | | 88 | | 1,548 |
Le Geyt Flats | 898 | | 54 | | 952 | | 29 | | 980 | | 1 | | 898 | | 54 | | 952 |
Les Jardins Du Soleil | 877 | | 53 | | 930 | | 28 | | 958 | | 8 | | 7,016 | | 421 | | 7,437 |
Leslie Sinel Close | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 1 | | 1,460 | | 88 | | 1,548 |
Liberation Court | 1,460 | | 336 | | 1,796 | | 54 | | 1,850 | | 16 | | 23,360 | | 5,373 | | 28,733 |
Lord Coutanche Court | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 1 | | 1,460 | | 88 | | 1,548 |
Nelson House (Winchester Court) | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 1 | | 1,460 | | 88 | | 1,548 |
Old St John's Court | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 2 | | 2,920 | | 175 | | 3,095 |
St Mark's Gate | 1,460 | | 88 | | 1,548 | | 46 | | 1,594 | | 5 | | 7,300 | | 438 | | 7,738 |
| | | | | | | | | | | 105 | | 163,439 | | 24,979 | | 188,418 |