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Killing off two hours free parking in CBD ‘barking mad’

Friday, 24 November 2023

No longer a sign for the times? Two hours free CBD parking may be scrapped and the meters are on their way out regardless.
No longer a sign for the times? Two hours free CBD parking may be scrapped and the meters are on their way out regardless.

Business leaders and retailers are deeply concerned about a new formal proposal to scrap free parking in the CBD to help balance the city council’s books.

One senior figure describes the idea as “barking mad”.

It’s feared the inner city, struggling under difficult economic conditions, would be further hit by the loss of more than 300 two hours free spaces from June 2024.

The proposed charges wouldn’t create a profit but the preferred staff option would cut the parking budget deficit.

Currently, metered parks in the CBD are free for two hours, while other on-street parking options are available for $6 a day during business hours.

Waikato Chamber of Commerce executive director Don Good reckons new parking charge proposals are “barking mad”.
Waikato Chamber of Commerce executive director Don Good reckons new parking charge proposals are “barking mad”.

Next week’s city council meeting on the draft 2024-34 long term plan is to consider a short-term parking charge of $3 an hour for the first two hours and $6 an hour after that, where parking spaces have greater than 85% occupancy rate.

Another option mentioned was a $2 charge for the first two hours in these zones.

For spaces with a lower occupancy rate the charge suggested is $1 an hour for the first two hours and $6 an hour after that.

Also, all day parking charges of up to $12 are suggested to achieve 85% occupancy in zones already being charged for.

That occupancy level is considered a good balance between having a busy inner city and having enough room for new arrivals.

Tables in the agenda on three options indicate no scenario - status quo or new charges - would create a profit for this part of the council’s business.

But in year one of the long term plan the deficit would drop to $770,000 under the $3 for the first two hours scenario compared to $1.53 million under the status quo option, a difference of $760,000. Forecasts out to 2033-34 also show a lower projected deficit.

A targeted CBD rate under the status quo of $145,000 a year to help meet foregone council revenue would go under the recommended option.

Vanessa Williams, general manager of the Hamilton Central Business Association says she’ll look at a formal submission opposing the new charging ideas.
Vanessa Williams, general manager of the Hamilton Central Business Association says she’ll look at a formal submission opposing the new charging ideas.

Waikato Chamber of Commerce chief executive Don Good said on Thursday ending free parking spaces was “barking mad”.

“Imposing car parking fees on CBD spaces when your major competitors such as The Base and others offer free parking is shooting yourself in the leg and foot.”

Colin Hancock, owner of outdoors store Trek ‘N’ Travel, is worried scrapping free parking will lead to more grumpy customers less inclined to spend.
Colin Hancock, owner of outdoors store Trek ‘N’ Travel, is worried scrapping free parking will lead to more grumpy customers less inclined to spend.

Hamilton Central Business Association general manager Vanessa Williams said it wasn’t the right time to reintroduce charges as retailers and hospitality providers continued to struggle in difficult economic conditions.

“We can’t afford to lose the convenience of people being able to pop into [the CBD], and utilise our businesses, without having to pay for parking.”

She didn’t think free parking was “a forever solution” but “it’s one we need now”.

Bob Bell, manager of Rockshop in Barton St, is worried new charges will help kill off more nearby businesses.
Bob Bell, manager of Rockshop in Barton St, is worried new charges will help kill off more nearby businesses.

One of the affected businesses belongs to Colin Hancock. The owner of Victoria Street’s Trek ‘N’ Travel outdoors store was mostly worried about having to field more customer complaints.

Sumin Gurung, manager of Kopi Cafe on Victoria St, is worried charges will mean less people coming to eat and drink at his premises.
Sumin Gurung, manager of Kopi Cafe on Victoria St, is worried charges will mean less people coming to eat and drink at his premises.

There had been a lot of grumpiness prior to free parking’s introduction in 2017 “because they’re all worried about how long they can stay in the shop”.

Re-instating charges could also affect the willingness to make purchases.

“I would strongly prefer parking remains free as per current arrangements.”

Manager of Barton Street’s Rockshop musical equipment store Bob Bell was very concerned: “It’s hard enough getting people into the city now - it’ll make The Base even more attractive.”

Already up to 10 shops in his street were empty. “JB Hi-Fi left [Barton St] for The Base for better parking and more foot traffic.”

On the hospitality side, manager of Victoria Street’s Kopi Cafe, Sumin Gurung, was also worried about ending free parking. “I think we would lose a lot of customers … if they start charging it won’t be easier for people to come to town anymore.”

Councillor Geoff Taylor, who championed two hours free, was worried chopping two hours free could be a “false economy” if business were hit, resulting in lower capital values and a reduced rates take.

“I’m all for saving money but I have other ideas for doing that.”

Meanwhile, the council confirmed existing coin-operated parking meters are to be replaced with new electronic parking kiosks early next year.