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1 Fees and Charges Report Date: To: June 1, 2026 City Council Through: Brent Stoddard, Assistant City Manager From: Subject: Jeff McVay, Manager of Urban Transformation Anthony Rodriguez, Urban Transformation Project Manager Office of Urban Transformation Update to Economic Development’s Schedule of Fees and Charges, Council District 4 Purpose and Recommendation The Office of Urban Transformation is proposing an increase to the Daily Permit Parking Rate from $2.50 to $4.00 in the Economic Development Schedule of Fees and Charges. If the proposed change is approved by City Council, the fees and charges will be effective July 1, 2026. Background Administered by the Downtown Mesa Association (DMA), the City manages 1,034 parking spaces across four parking garages and four surface parking lots within downtown Mesa. Discussion The proposed Daily Permit Parking Rate shown in Exhibit A includes a $1.50 increase. The demand for parking continues to increase due to the increase in commercial activity, development activity, and ASU enrollment. The proposed Daily Permit Parking Rate better reflects the increased demand and the increased costs associated with managing downtown parking. In comparison to our peer cities, the proposed Daily Permit Parking Rate continues to be extremely competitive. Daily parking rates in downtown Phoenix range from $15.00 to $50.00. In downtown Tempe, the rates range from $10.00 to $30.00 per day. Methodology An examination of comparable parking rates in peer cities determined that an increase of $1.50 was fair and reasonable. 2 Alternatives Modify the Daily Permit Parking Rate to include a smaller or larger increase than recommended. Make no changes to the Daily Permit Parking Rate. Fiscal Impact The proposed Daily Permit Parking Rate would generate approximately $1,950 in additional revenue per year. Coordinated With The proposed Daily Permit Parking Rate was coordinated with the DMA. The DMA supports the recommended Daily Permit Parking Rate. 3 Fees & Charges Schedule – Key Heading Configuration Schedule of Fees & Charges Department Contact Information HEADING 1 HEADING 2 Heading 3 Description of Fee Description of Fee 2 Font Indications Font Font Indications Regular Font Existing fee or language Strikethrough Fee or language will be deleted from the Fee Schedule BOLD CAPS Language is being added to Fee Schedule Bold New or increased Fee Amount 4 Schedule of Fees & Charges Exhibit A – Economic Development Department: Office of Urban Transformation Description of Service Current Fee Range Proposed Fee Range Unit Total Fiscal Impact Notes PERMITTED PARKING RATES* Daily Permit $2.50 $4.00 $1,950.00 Projected at 5 permits sold per weekday in the year. Estimated Total Annual Fiscal Impact: $1,950.00