This bill would give city more say over Lexpark rate increases. Why some are opposed
A bill filed in the Kentucky General Assembly would give the city of Lexington more say on any potential rate hikes proposed by the Lexington Parking Authority, commonly called Lexpark.
Sen. Damon Thayer, R-Georgetown, who has been critical of the Lexington Parking Authority’s recent changes in enforcement hours and rate increases, filed Senate Bill 75 Tuesday.
Under the bill, any potential rate increases must be sent to the Lexington-Fayette Urban County Council 45 days prior to the rate taking effect. Within 30 days, the council can approve the rate increase, lessen the rate increase or turn it down. The bill would also require Lexpark to submit any budget changes to the council 45 days prior to the changes.
Lexington Mayor Linda Gorton stopped short of criticizing the bill. Gorton said the city created the parking authority so the government would not have to oversee parking nor would it have to pay for the increase costs associated with the city’s parking garages.
“The Lexington Parking Authority has done a good job of improving our downtown parking, making our garages safe and secure,“ Gorton said. “Through local governance we made the decision to create an entity that is able to prioritize parking. We just handled an issue with parking at the local level, finding a solution that will work for everyone. Generally, the decision to create LexPark has served our city well, and supported our downtown businesses, residents and parkers.”
Jim Frazier, chairman of the Lexington Parking Authority board, echoed Gorton’s comments. The city and Lexpark were able to come to a resolution on a parking rate increase recently. The parking authority is set up to be independent from the LFUCG, which is modeled after the Blue Grass Airport board.
Does the legislature also want more oversight of the airport board as well?, Frazier asked.
“Where is this going?” Frazier said. “Do they want control of how much the airport board can charge for landings and take offs?”
Frazier said the parking authority was created so parking would not be politicized.
“It’s worked well,” Frazier said. “This seems like a new overreach for Frankfort.”
Vice Mayor Dan Wu, who heads the 15-member council, said the current model seemed to work when there was concerns and push back over a recent rate increase and expansion of enforcement hours.
“Once the council, Lexpark and the community started engaging in dialogue, we were able to get the issue resolved,” Wu said. “I’m perfectly happy with a ‘communicate and consult’ model where all stakeholders’ concerns get addressed before decisions are made.”
Lexpark announced in December it would expand enforcement hours from 8 a.m. to 5 p.m. weekdays to 9 a.m. to 9 p.m. Monday through Sunday. The changes took effect Jan. 3.
The move was necessitated by a new 6% state sales tax, a drop in revenues from parking during the coronavirus pandemic and increased costs associated with upkeep of the city’s four aging parking garages.
Businesses, restaurants and downtown patrons pushed back against the expanded enforcement hours, saying it would turn customers away from downtown.
In response, Lexpark and the city came to a compromise.
Last week, the city agreed to pay the parking authority an additional $200,000 a year for city employee parking in Lexpark’s garages. In turn, Lexpark is poised to do away with Saturday enforcement and will curtail weekday enforcement to 9 a.m. to 7 p.m.
Lexpark estimates it will also lose north of $350,000 on parking meters that it once controlled around the University of Kentucky campus. The city gave those streets, and those meters, to the university in a land swap several years ago. Lexpark had initially estimated a loss of $200,000 but since the meters have been turned over to UK, the actual loss has been higher than expected.
Lexpark, at a specially called meeting Thursday, is expected to officially adopt the new enforcement hours. It has only issued warnings to parkers since the new enforcement hours began Jan. 3.
The rate increases will remain.
Few Lexington businesses or residents have complained about the rate increase. Almost all the complaints were about the expanded parking enforcement hours.
Louisville and Cincinnati charge $2.25 an hour and $2.75 an hour, respectively. The highest meter rates in the Lexington area will now be $2 an hour.
The parking authority was created in 2008 to take over parking enforcement at city meters. In 2012, the city also gave management of the city’s parking garages over to the parking authority. Those garages have cost Lexpark upwards of $15 million to date.
Security in those garages has also been costly, Lexpark officials have said.
The authority receives no taxpayer support and its operations are funded solely through revenue it generates from metered parking and the parking garages.
This story was originally published February 22, 2023 at 1:00 PM.
