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REPORT TO HEAD OF ENVIRONMENTAL ENGINEERING

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REPORT TO HEAD OF ENVIRONMENTAL ENGINEERING Powered By Docstoc
					         LONDON BOROUGH OF NEWHAM
            REPORT TO THE MAYOR
      IN CONSULTATION WITH CABINET MEMBER FOR PUBLIC REALM


Is it a key decision?                Yes

Is it in the Forward
Plan? If so, date of Plan             Yes
                                                                             1
                                  July 2003
Name of Cabinet               Councillor Leitch
Member/Mayoral
Adviser to be consulted
Date report published          21st January 2004                          EP18/2004

Date decision due              29th January 2004




Subject:                REVIEW OF CHARGES FOR ON-STREET PARKING PLACES
                        AND CAR PARKS

Source:                 Director of Environment and Regeneration

Wards Affected:         All


1.      Purpose of the report

1.1     To review the charges made for on-street and off-street parking and to approve
        increases in on-street charges in the Borough’s Controlled Parking Zones and at
        those car parks where a charge is currently made.

2.      Mayor’s proposed decision

That the Mayor in consultation with the Cabinet member for Public Realm agree to

1.      Agree that the hourly charges for on-street parking within the Borough’s CPZs be
        increased from 50 pence to 60 pence per hour, subject to statutory consultation
        carried out under Sections 6, 45,46,49 and 124 of the Road Traffic Regulation
        Act 1984, together with the statement of reasons set out in Appendix 1 to this
        report.

2.      Agree a minimum charge of 60 pence (for one hour) for on-street parking to
        discourage unnecessary car borne journeys with a destination in the Borough,
        but that thereafter motorists be permitted to purchase parking time in increments


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      of 10 pence (buys 10 minutes).

3.    Authorise the officers to draft and advertise the necessary orders to bring the new
      tariffs into effect at the earliest opportunity.
4.    Agree the proposed charges for parking in the Council’s car parks as set out in
      Tables 2 (a – c) of this report and authorise the officers to give notice of the new
      tariffs.

5.    Authorise the officers to include within the review of Canning Town CPZ,
      consultation on a proposal to introduce charges at Maud Street Car Park, which
      is currently well used, with a view to applying a charging regime similar to that
      proposed for Settle Point Car Park (Plaistow Station).

6.    Agree, subject to the outcome of statutory consultation, to the redesignation of
      the parking places in the streets set out in Appendix 2 from shared use/pay and
      display to permit holders only together with the statement of reasons set out in
      Appendix 1 to this report.

                                                                       Geoff Buckley
                                       Divisional Director, Environmental Engineering
                                            Environment and Engineering Department

Originator of report: John Chilton
Tel no: 020 8430 2898
E-mail address: john.chilton@newham.gov.uk

Local Government (Access to Information) Act 1985
Background papers used in preparing this report:

Report to Head of Environmental Engineering – 30 April 2001 – Review of Parking
Charges

Cleared by Legal (officer’s initials)   HS
Cleared by Finance (officer’s initials) JT
List of enclosures:
Appendix 1: Statement of reasons
Appendix 2: Streets in which existing shared
use parking to be converted to “permit only
bays”




                                       2
3.    Executive Summary

3.1   The hourly charges for casual parking (on-street and car parks) have
      not been reviewed since 2001. On certain days of the week, and at
      certain times of day, the demand for casual parking within the Borough
      greatly exceeds the available supply.

3.2   To reduce demand for casual parking (by discouraging unnecessary
      car borne journeys) a modest increase in the hourly charge is
      proposed.

4. Outline of Proposals

4.1   Stratford, Upton Park and East Ham CPZs were introduced to enable
      the Council to manage parking demand arising from the intense
      commercial and retail activity in these centres. On certain days, and at
      certain times, demand for casual parking exceeds supply. It is
      proposed that the hourly charge for casual on street parking be
      increased from 50p to 60p per hour for the reasons set out in
      Appendix 1 of this report.

4.2   In the Borough’s remaining CPZ’s (which characteristically seek to
      alleviate the problems caused by single points of attraction - i.e.
      stations/hospitals) demand for parking is not so intense. Nevertheless
      to restore the relative cost of parking in line with inflation and to support
      the Council’s objective of reducing car borne journeys, it is proposed
      that the casual on-street parking charge be increased from 50p to 60p
      per hour for the reasons set out in Appendix 1 of this report.

4.3   The Council’s overall parking policy is to reduce unnecessary car borne
      journeys. Nevertheless the need to provide appropriate parking places
      is recognised. The Council has a policy of encouraging motorists to
      park in off-street car parks and has historically set the off-street parking
      charge slightly below that operating on-street. If the revised on-street
      hourly parking charge of 60p is approved, it is proposed that off-street
      parking charges be simultaneously increased to 50p per hour.

5. Outcomes Sought

5.1   It is anticipated that the proposed increases in casual on-street parking
      charges in the Borough’s CPZs (50 pence per hour to 60 pence per
      hour) will result in a 6% reduction in demand and usage. It is difficult to
      estimate the reduction accurately as there is no historic data to show
      the effect of previous price increases in suppressing demand. A 6%
      reduction in demand, whilst small, would make a significant
      contribution to the ease with which a motorist would be able to find a
      parking place and the amount of time this would take. It is generally
      accepted that at the point that the average occupancy of parking
      places is 80%, then motorists needing to find a parking place would


                                        3
      experience only minimal difficulty in finding a convenient place to
      legally park.

6. Service Delivery/Performance Management Issues

6.1   Monitoring of pay and display income has identified a number of
      machines which are located in area’s of such low demand for casual
      parking that the income they deliver to the Council is insufficient to
      cover the cost of maintaining them. (These machines are mostly
      situated on the periphery of the Stratford CPZ.) Clearly it would be
      wrong to propose a tariff increase in these locations and indeed
      officers are of the view that the correct action would be remove the
      equipment and redesignate the parking places so that they are
      controlled as “permit only bays”. A list of streets where this action is
      proposed in set out in Appendix 2 to this report.

6.2   To implement the new casual tariffs, it will be necessary to remotely
      download the tariffs to all the Council’s pay and display equipment.
      This work will be carried out by the Council’s parking enforcement
      contractor who is also responsible for the maintenance of the pay and
      display equipment. The estimated cost of implementing the new tariff
      is £2,000.

7. Link to Vision and Strategies

7.1   Newham experiences extremely heavy traffic volumes throughout the
      day. Everyone living and working in Newham is inconvenienced by
      traffic volumes whether in crossing the road, noise and fumes, making
      journeys by bus or the difficulty experienced by their visitors in being
      able to park conveniently.

7.2   A minimal increase is proposed to casual parking charges across the
      Borough. Ready access to convenient reasonably priced parking is
      important to the commercial vitality of the Borough. The proposed
      increase in casual tariffs should encourage visitors to reduce the
      amount of time they stay and therefore turn spaces over more
      frequently allowing greater use of the limited space available.

7.3   Overall the proposed tariff increases should reduce the number of car
      borne journeys made with a destination in the Borough. This in turn
      should reduce the demand made on the road network as the number
      of unnecessary car journeys is reduced.

8. Financial and Legal Implications


8.1    Financial :

In a full year, the proposed charges should result in additional on-street
income of £89,900 and off-street car parking income of £109,500.

                                       4
In calculating the full year effect of the proposed tariff increases,
consideration has been given to:

a)     cost of cash collection/counting/banking – currently 6%
b)     customer resistance to new tariffs resulting in reduced volume of
       activity – assumed to be 6%

The one off costs arising from the recommendations set out in this report can
be met from within the current projected expenditure on the parking service in
2003/2004.

Changes to pay and display equipment to permit new tariff £ 2,000
Cost of advertising and making Orders                        £ 5,000
Re-designation of shared use pay and display sites/removal
of old equipment and resigning for “permit holder only bays” £18,000

Estimated annual saving resulting from removal of low use pay and display
machines and replacement by “permit holder only bays”      £29,400

Estimated lost parking revenue per annum as a result of removing pay and
display machines                                           £17,000

8.2    Legal:

It will be necessary to make Orders under Sections 6, 45,46,49 and 124 of
the Road Traffic Regulation Act 1984 to vary the charges made for casual on
street parking and to redesignate certain shared use/pay and display parking
places to “permit holders only”. The Council will have to publish notice of its
intention to make these Orders and consider any objections raised.

Casual and season ticket tariffs at car parks can be varied without the need to
make orders. The Council must publish notice of its intention.

9. Consultation

9.1    Notices will be published in the local press advising the Council’s
       intention to introduce revised charges for on-street parking. This will be
       followed by a period of statutory consultation.

9.2    Notice of the revised car park tariffs will be posted in each of the car
       parks concerned.




                                         5
10. REPORT

Background

10.1 The Council implemented the Road Traffic Act 1991 on 4 July 1994
     declaring the whole Borough (except the anticipated Red Routes) to be
     a Special Parking Area (SPA) in which decriminalised parking
     enforcement could take place.

10.2 The first controlled parking zone was introduced in East Ham in
     September 1995. The casual charge for both on-street parking and in
     car parks, was 30 pence per hour.

10.3 Tariffs were reviewed in 2001 when the on-street charge was
     increased to 50 pence per hour and in car parks, generally, to 40
     pence per hour. Since then there has been a limited number of “30
     minute maximum stay bays” introduced outside local retail premises.
     These are priced at 30 pence for 30 minutes, minimum payment 30
     pence.

10.4 Following an extensive refurbishment, a pay on exit (“pay on foot”)
     scheme is ready to be commissioned at Stratford Multi-storey Car Park
     in place of the existing pay and display system.

10.5 It is the Council’s policy to review parking charges annually. A general
     review of tariffs is therefore overdue and increases to on-street and off-
     street casual charges are recommended.

11.    Principles followed in the review.

11.1   In carrying out the review of parking charges officers have:

a)     considered the Council’s traffic and parking policies
b)     had regard to the high levels of traffic in the borough through the day
c)     had regard to the charges operating in neighbouring authorities
d)     sought to maintain a differential between parking on street and in car
       parks, reflecting the additional convenience of parking on-street and
       the Council’s policy to encourage motorists to use car parks.
e)     borne in mind that some CPZ’s (Little Ilford, Forest Gate and Manor
       Park) have not yet been in place for 12 months.
f)     considered the need to differentiate between areas with high demand
       for parking (the retail areas of Stratford, Upton Park and East Ham)
       and those more residential areas and CPZs which have been
       introduced to curb “Rail Head” commuter parking, against the
       advantages of operating a unified tariff structure across the Borough
       and the need to discourage (all) non-essential car borne journeys
       irrespective of the location of destination in the Borough.
g)     taken account of the refurbishment of Stratford Multi-storey Car Park,
       the impending change to a pay on foot system, the views of the


                                       6
      supplier of the pay on foot equipment together with those of the car
      park operator and the Shopping Centre Managers, Land Securities.
h)    examined closely the operation of Settle Point Car park (Plaistow
      Station) with a view to bringing it more into line with the Council’s other
      chargeable car parks, while recognising that the car park is not located
      within a CPZ, and that spaces (circa 50%) in the car park have been
      lost to temporary offices for New Deal for Communities.
i)    for the purposes of calculating the estimated additional income arising
      from these proposals, assumed that Grove Crescent Car Park,
      currently used as a builders yard, will not return to use as a car park,
      but have nevertheless included the car park in the tables in order that
      the new tariffs can apply in the event that it does again become
      available for use as a car park.

12.   Practical issues

12.1 The current on street parking tariff structure works well from a practical
     viewpoint, with 50 pence buying (the minimum) one hour and £1
     purchasing the maximum 2 hours. No pay and display machines give
     change so that the motorist must insert the correct coinage to cover
     their stay, or “lose” their money. Time is purchased in single hour units
     which means that the motorist wishing to stay just 30 minutes (or 1
     hour 30 minutes) must purchase 1 hour (or 2 hours), in effect losing 25
     pence. Coin acceptance is currently all coin of the realm from 5 pence
     to £2.

12.2 Selling parking time in hour units is not uncommon (particularly in car
     parks) but similarly is it not unusual to allow motorists to the choice and
     convenience of purchasing part hours (reflecting the anticipated
     duration of their stay, and practically, the coins they have in their
     pocket).

12.3 Giving motorists the choice of buying precisely the time they need is
     desirable in that it encourages the motorist to only stay for the
     minimum time they need to successfully complete that visit and then
     make the space available to someone else needing to shop or make a
     business call. It also reduces complaints and in part negates the
     allegation that the Council is seeking to profit from the need to operate
     parking controls.

12.4 The introduction of a 60 pence per hour tariff will make it increasingly
     important to allow the motorist to purchase part hours. (For example, a
     £1 coin, which may be all the motorist has readily available, will only
     purchase 1 hour if the purchase of part hours is not permitted, but 1
     hour and 40 minutes if the purchase of part hours is permitted).

12.5 An on-street casual tariff of 60 pence is proposed for the whole of the
     borough with a minimum charge of 60 pence (for 1 hour), and
     thereafter time purchased in 10 minute blocks in accordance with the
     value of the coins tendered. The retention of a minimum charge (60

                                       7
      pence) is intended to continue to discourage unnecessary car borne
      journeys.

12.6 As part of an extensive refurbishment, Stratford Multistorey Car Park
     will convert to a “pay on foot system” and remain open (and staffed) all
     day. The proposed tariff reflects this and is intended to; be easy to
     understand; be attractive for short term parking during the day;
     discourage longer term parking during the day while not making this
     prohibitive; facilitate evening visits to the Cultural Quarter and over
     night stays; retain the existing 24 hour parking charge of £12; and be
     easy to operate bearing in mind the desire to undertake most
     transactions mechanically using equipment that will give the customer
     change.

13.   Comparison with other boroughs:

13.1 Table 3 (a and b) shows the hourly parking charges operating in
     Barking and Dagenham, Enfield, Greenwich, Harrow, Havering, and
     Waltham Forest.

14.   Programme

       Proposed increases approved – 29 January 2004
       Draft order advertised – 19 February 2004
       Introduce new car park charges from – 1 March 2004
       Objections considered – 15-31 March 2004
       Orders made – if no material objections received – 19 April 2004
       Redundant low usage on-street pay and display equipment
        removed – 1 May 2004
       New charges implemented from – 1 May 2004




                                      8
TABLE 1
Proposed Tariffs for On Street CPZs

ON STREET
                                  Current hourly    Proposed charge           Percentage    Expected Projected full year        Estimated
                                     charge         for first hour , or        increase      Income with tariff change          additional
                                                      part thereof                          at current                         Income (pa)
                                (Pence)                  (Pence)                              Tariffs
                                                   (see note 1 below)                                  (see note 2
                                                                                                       below)

East Ham inc Ruskin                    50                60                      20%          £271,830      £304,537             £32,707
Stratford                              50                60                      20%          £188,375      £211,040             £22,665
Upton Park (2 hour bays)               50                60                      20%          £206,731      £231,605             £24,874
Upton Park (30 min bays)               30                40                      33%       (inc above)     (inc above)         (inc above)
                                (per 30 minutes) (per 30 minutes)
Little Ilford                          50                60                      20%          £19,250       £21,566                £2,316
Forest Gate                            50                60                      20%          £30,858       £34,571                £3,713
Manor Park                             50                60                      20%          £30,000       £33,610                £3,610

Total                                                                                        £747,044       £836,929               £89,885

Note 1:Subsequent parts of second hour charged at 10p for each ten minutes
Note 2: After deduction of estimated 6% loss of overall volume due to change in customer resistance, and 6% cash collection
charges on additional income. In addition there is a likely one off cost of £2,000 to convert the machines to charge part hours.




                                                                          9
TABLE 2 (a)
Proposed tariffs for car
parks
St John Road (East & West), Madge Gill, Queen's Market ,Shaftesbury & Grove
Crescent

Tariff band                  Current charge   Current charge        Proposed     Percentage    Percentage
                                St Johns       Madge Gill &         charge all    Increase      Increase
                             Shaftesbury &       Queens                           St Johns     Madge Gill &
                             Grove Crescent                                      Shaftesbury     Queens
                                                                                 & Grove Cr.

Up to 1 hour                     £0.40            £0.40              £0.50          25%           25%
Up to 2 hours                    £0.80            £0.80              £1.00          25%           25%
Up to 3 hours                    £1.20            £1.20              £1.50          25%           25%
Up to 4 hours                    £2.50            £2.50              £3.00          20%           20%
Up to 6 hours                    £6.00            £6.00              £7.50          25%           25%
More than 6 hours               £10.00            £6.50              £12.50         25%           92%
Quarterly season ticket         £150.00          £150.00            £185.00         23%           23%
Annual season ticket            £500.00          £500.00            £625.00         25%           25%




                                                               10
TABLE 2 (b)
Proposed tariff structure for Stratford Multi-storey car
park
                                      Current    Proposed charge   Percentage increase
                                      charge

Up to 1 hour                             £0.40        £0.50               25%
Up to 2 hours                            £0.80        £1.00               25%
Up to 3 hours                            £1.20        £1.50               25%
Up to 4 hours                            £2.00        £2.50               25%
Up to 6 hours                            £4.00        £5.00               25%
6 to 10 hours                            £6.00        £7.00               17%
10 hours to 24 hours                    £12.00        £12.00              0%
Evening/night rate (7pm to 8 am)                      £1.00
(For any duration of stay starting
after 7pm and finishing before 8am)

Quarterly season ticket                £150.00        £185.00             23%
Annual season ticket                   £500.00        £625.00             25%




                                                                    11
TABLE 2 (c)
Proposed tariff structure for Settle Point Car Park
(Plaistow Station)
                               Current charge   Proposed charge            Percentage
                                                                            increase
Up to 1 hour                        £0.40             £0.50                   25%
Up to 2 hours                       £0.80             £1.00                   25%
Up to 3 hours                       £2.00             £2.00                    0%
Up to 4 hours                       £2.00             £2.00                    0%
More than 4 hours                   £2.00             £2.00                    0%
Quarterly season ticket            £100.00           £125.00                  25%
Annual season ticket               £300.00           £375.00                  25%

Table 2 (d)
Estimated additional income from proposed car park tariff
changes
                                  Expected      Projected full year         Estimated
                                   Income       with tariff change           additional
                                  at current    (see note below)           income (pa)
                                    tariffs

                                  £664,729          £774,077                £109,348



Note : After deduction of estimated 6% loss of overall volume due to change in customer resistance, and 6% cash
collection charges on additional income




                                                                      12
TABLE 3 (a)

On Street Tariffs Across the Boroughs

As each locality has various tariffs for different areas within the borough, the table below highlights their highest and lowest charges.

Time          Newham            Waltham Forest       Dagenham and        Havering             Harrow              Greenwich         Enfield
Period        (Proposed)                             Barking                                                                        (Highest/
                                                                                                                                    Lowest)
Up to 1       60p               Currently 30p        £1.20               60p                  80p                 £1                £1.20/ 50p
Hour                            rising to 40p
Up to 2 hr    £1.20             Currently 60p        No 2hr bays         £1.20.               £1.60               £2                £2.40/ 90p
              Generally max     rising to 80p.
              2 hrs             Max of 2 hrs                             Max of 2 hrs




                                                                        13
TABLE 3 (b)

Off Street Tariffs Across the Boroughs

Time Period    Newham          Waltham        Dagenham       Havering   Harrow          Greenwich    Enfield
               (Highest/       Forest         and Barking               (Highest/       Highest/     (Highest/
               Lowest)         (Highest/                                Lowest)         Lowest)      Lowest)
                               Lowest)
Up to 1 hr     50p             50p /30p       50p            £1.00      £2.20 /40p      £1/50p       £1.00 / free
1-2hrs         £1.00           £1.00 /60p     £1             £1.00      £2.20 /80p      £2/90p       £1.50/ free
2-3 hours      £1.50           £2.00 /£1.00   £1.60          £1.50      £3.30 /£1.20    £3/£1.30     £2.00/ 95p
3-4 hours      £3.00/ £2.00    £5.00 /£1.00   £1.60          £2.00      £4.40 /£1.60    £4/£2.10     £3.80/ 95p
4-6hours       £7.50/ £2.00    £5.00 /£1.00   £4.00          £5.50      £6.60/ £2.40    £6/£3.10     £5.80/ £1.40
6-8 hours      £12.50/ £7.00   £5.00 /£1.00   £8.00          £7.00      £10.00/ £3.20                £5.80/ £1.40
8 + hours      £12.50          £5.00 /£1.00                  £10.00                                  £5.80/ £1.40
Quarterly      £185.00/                                                 £250
               £125.00
Annually       £625.00/ £375                                            £700            £700/ £608   £890/ £180




                                                            14
Appendix 1 - Statement of reasons

Casual on-street parking charges and rationalisation of street parking
provision in the London Borough of Newham

Traffic volumes are high throughout the day in Newham peaking in the
morning and evening. At certain times of the day and in certain places,
demand on the borough’s road network exceeds it’s capacity with the
consequence of increased journey times, tail backs and an increase in
atmospheric pollutants as vehicles queue back. This has implications for all
road users including the emergency services.

Outside of the Central London Congestion Charge Zone, the Council has
limited powers to reduce traffic volumes in the Borough, but it can (and does)
encourage the transfer to public transport, and controls parking where
journeys terminate in the borough by operating both on-street controls and
public off-street car parks.

Casual on-street parking is controlled in the places of highest demand by the
creation of parking places; always provided this can be done without
detriment to road safety and traffic flow. At those times of the day/week when
demand for parking exceeds the available supply of spaces, the use of these
parking places is restricted by time and price. The application of an
appropriate pricing mechanism is essential to the achievement of the
Council’s overall parking policies. Casual on-street parking charges were last
reviewed in 2001 since when traffic volumes and parking demand in the
Borough have continued to rise year on year. To reduce the demand for
parking and discourage unnecessary car borne journeys, and to ensure that
there is sufficient on and off-street parking provision for shoppers and other
visitors, the Council proposes to increase the hourly on-street parking charge
from 50 pence per hour to 60 pence per hour. As at present, a minimum
charge (for one hour) will apply, after which the motorist will be allowed to
purchase time in increments of 10 pence (for ten minutes), up to the
maximum time permitted at the parking place.

The retention of a minimum charge is intended to discourage non-essential
car borne journeys. Allowing the subsequent purchase of further time in
increments of 10 minutes will allow motorists to purchase time in accordance
with the particular needs of their visit and should therefore reduce their overall
duration of stay; and consequently increase turnover of the limited on-street
parking stock.

A number of pay-and-display machines, particularly those some distance from
Stratford Town Centre, are little used. The cost of maintaining these
machines exceeds the income from them. One reason that machines were
originally installed throughout the CPZ was to enable electronic "Visitor Permit
Issue Cards" to be used. These are no longer in use. It is therefore felt to be
justified to remove these machines. As a consequence the "shared use" bays
related to these machines need to be converted to Permit Holder Only bays.



                                       15
Appendix 2 - Streets where current shared use bays to be redesignated
to “permit only bays”


Albert Square
Albert Square
Ash Road
Ash Road
Byford Close
Carroll Road
Chatsworth Road
Chatsworth Road
Dormer Close
Farringford Road
Gawsworth Road
Gibbins Road
Gibbins Road
Globe Road
Govier Close
Ham Pk Road
Keogh Road
Louise Road
Marth Road
Maryland Square
Maryland Road
Maryland Road
Maryland Square
Maryland Street
Maryland Street
St Pauls Drive
Tennyson Road
Tennyson Road
Thorogood Gardens
Torrens Square
Torrens Square
Vernon Road
Vicarage Road
Vicarage Road
Waddington Road
Warner Close




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Description: REPORT TO HEAD OF ENVIRONMENTAL ENGINEERING