HomeMy WebLinkAboutApprove Implementation of a Promotional Program for Free, OnCouncil/Agency Meeting Held: S
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,IkApproved ❑ Conditionally Approved ❑ Denied
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Council Meeting Date: November 15, 2004
Depart D Number: CSO4-030
CITY OF HUNTINGTON BEACH
REQUEST FOR COUNCIL ACTION
SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS +
SUBMITTED BY: PENE OPE��RETH-GRAFT, Ci y dministrator:-
PREPARED BY: DAVID BIGGS, Director, Economic Developmen
JIM B. ENGLE, Director, Community ServAlt Ir 7-3- y
SUBJECT: APPROVE A PROMOTIONAL PROGRAM PF ONE -HOUR FREE
PARKING DOWNTOWN WITH MERCHANT COUPONS DURING
HOLIDAYS
Statement of Issue, Funding Source, Recommended Action, Alternative Action(s), Analysis, Environmental Status, Attachment(s)
Statement of Issue: Should a promotional program of one -hour free parking with merchant
coupons in the Main Promenade Parking Structure be provided during the holidays to attract
customers and promote shopping downtown?
Funding Source: Potential loss of up to $8,000 in revenue to the General Fund.
Recommended Action: Implement free, one -hour parking with merchant coupons at the
Main Promenade Parking Structure from December 13, 2004 through January 2, 2005.
Alternative Action(s): Do not implement the proposed complimentary coupon parking
program downtown.
Analysis: Staff has worked with the Downtown Business Association (DBA) to attract
customers and promote shopping downtown during the holidays. In the past, the city offered
free parking at the downtown business zone meters. Last year, City Council decided not to
offer the complimentary program due to budget constraints. The DBA and city have explored
options to generate more people downtown, which would also generate more sales tax.
It was decided to recommend providing merchant coupons for free one -hour parking as a
pilot program from December 13, 2004 to January 2, 2005. Merchants would distribute the
coupons for one hour of free parking in the Main Promenade Parking Structure; one coupon
per visit downtown. The merchant would still have the option of giving the customer a
validation for another hour of parking; said validation costs the merchant 25 cents. Based on
past use of the parking structure, staff estimates the cost of this coupon program for the
twenty-one day program could be up to $8,000. The projection for FY04/05 is $1,056,000 for
F-5
*QUEST FOR COUNCIL ACAN
MEETING DATE: November 15, 2004 DEPARTMENT ID NUMBER: CSO4-030
the parking structure. A total of $1,074,369 was generated in FY03/04, which surpassed the
projection for last year. Therefore, it is anticipated that, based on these projections,
approving this promotion would not adversely impact budget projections for FY04/05. The
utilization of coupons would allow the city to track the effectiveness of the program.
On October 22, 2004, the Economic Development Committee, which includes downtown
merchants, reviewed the issue of promoting shopping downtown over the holiday. The DBA
representatives reviewed the issues relative to the parking meters and discussed instead the
potential of using merchant coupons at the Main Promenade Parking Structure.
Environmental Status: N/A
Attachment(s):
RCA Author: JBE:cr
G:\RCA\2004\04-030 Complimentary Parking Downtown.doc -2- 11/2/200412:21 PM
RCA ROUTING SHEET
INITIATING DEPARTMENT:
COMMUNITY SERVICES
SUBJECT:
APPROVE PROMOTIONAL PROGRAM WITH COUPONS
FOR PARKING DOWNTOWN
COUNCIL MEETING DATE:
November 15, 2004
RCA ATTACHMENTS
STATUS
Ordinance (w/exhibits & legislative draft if applicable)
Not Applicable
Resolution (w/exhibits & legislative draft if applicable)
Not Applicable
Tract Map, Location Map and/or other Exhibits
Not Applicable
Contract/Agreement (w/exhibits if applicable)
(Signed in full by the City Attorney)
Not Applicable
Subleases, Third Party Agreements, etc.
(Approved as to form by City Attorney)
Not Applicable
Certificates of Insurance (Approved by the City Attorney)
Not Applicable
Financial Impact Statement (Unbudget, over $5,000)
Not Applicable
Bonds (If applicable)
Not Applicable
Staff Report (If applicable)
Not Applicable
Commission, Board or Committee Report (If applicable)
Not Applicable
Findings/Conditions for Approval and/or Denial
Not Applicable
EXPLANATION FOR MISSING ATTACHMENTS
REVIEWED
RETURNED
FORWARDED
Administrative Staff
( )
( )
Assistant City Administrator (Initial)
)
City Administrator (Initial)
City Clerk
( )
EXPLANATION FOR RETURN OF ITEM:
RCA Author: