Contact Us:
626 Selby Avenue
Saint Paul, MN 55104
(651) 767-0298
Fax: (651) 221-9831 tlc@tlcminnesota.org


Press Release: New Study Finds Free Parking Costs Us All
For Immediate Release: March 12, 2003

A new report, entitled The Myth of Free Parking, by Transit for Livable Communities (TLC) documents the impact parking and parking availability has on the Minneapolis/St. Paul region. Raising the cost of development projects, reducing tax-revenue generation, and inducing traffic congestion are all consequences of our region's obsession with cheap, abundant parking.

"Parking is a very expensive part of our region's transportation system," stated Lea Schuster, Executive Director of Transit for Livable Communities. A University of Minnesota study estimated that government in the Twin Cities region spends more on off-street parking than it does on public transit. "It is disturbing to see how much of the parking in our region sits empty and what that means in terms of lost economic development opportunity and wasted costs," said Schuster.

The report illustrates the problems of "free" and abundant parking in the Minneapolis/St. Paul region. For instance, the report documents how employer-subsidized parking induces driving to work and how simply requiring employees to pay the market rate for parking profoundly changes behavior. When employees in downtown Minneapolis paid the market rate for parking the number of employees riding transit to work increased by a factor of eight from 5% to 40%. If employers also offer a subsidy for public transit, the percentage of employees commuting on transit rises to 45%.

The Myth of Free Parking also profiles how local parking requirements often create an oversupply of parking spaces that increases the cost of development and reduces government tax revenues. A survey last summer by the City of St. Paul found that parking usage rates at some of that city's major shopping centers averaged only 31% during weekday peak hours and 75% during holiday peak time.

General retail stores in St. paul are required by city code to provide 1 parking stall per 225 square feet of gross floor area (GFA). Yet, the same retailer in Chicago or Portland, Oregon is required to provide 1 space per 500 square feet of GFA. St. Paul's requirement effectively doubles the size of parking lots. To its credit, St. Paul is considering reducing its parking requirement for general retail to better match supply with demand.

There are many ways to address the excessive availability of parking and the traffic congestion it induces. The first step is for employers to provide equivalent commute incentives for employees and to consider charging the real cost for the parking they provide. Second, cities should ensure that their parking requirements are accurate and that the parking that already exists gets used efficiently before more gets built.

###

Transit for Livable Communities is a citizen-based organization that encourages a greater reliance on transit use, biking and walking. Founded in 1996, TLC works with state, regional and local leaders to make the connections between transportation and the quality of life in our communities.