Committee receives information on adjustments to parking rates and the introduction of demand-based pricing

Published on
June 27, 2024
Council, committees and City Hall

The Transportation Committee today received information on an inflationary increase to on-street parking rates.  

The rates currently set at $3.50 per hour will increase to $4 per hour, while the lesser parking rates will not change. Based on the City’s rate-setting guidelines, the City can raise the on-street hourly rate when the cumulative effects of inflation align with a 50-cent increase. That threshold has been met for the $3.50-per-hour rate, but not for the rates set at $1.50 and $2 per hour. The rate changes will take effect in August, and will be accompanied by a communications strategy to ensure awareness of the changes. 

The Committee also received information on the introduction of the Council approved demand-based pricing model for on-street parking. The City is divided into 20 parking zones and pricing within those zones could change once a year, based on data collected for all on-street paid parking spaces in the spring and fall. The peak weekday daytime demand will be used to identify whether demand is too high (greater than 85 per cent of capacity), too low (lower than 50 per cent) or within target. Rates would increase or decrease by $0.50 when there have been two consecutive periods of sustained demand that is either too high or too low. Based on 2023 data, and when combined with the inflationary changes, staff determined there would be changes in 11 of the 20 zones – seven rate increases and four rate decreases. 

The Committee also approved introducing paid on-street parking in Westboro and Wellington West, based on an updated Kitchissippi Parking Study. Paid parking would be added: 

  • Along the main street portion of Richmond Road, Wellington Street West and Somerset Street West 

  • On streets with prominent commercial and non-residential zones, including Danforth Avenue and parts of Churchill Avenue and Holland Avenue  

  • On side streets immediately adjacent to the streets above, where there are commercial properties 

Days and hours of paid parking are still being determined, but the rate has been established at $3 per hour. Paid parking would not be implemented before Q2 2025. 

The Committee also received the 2023 Parking Services Annual Report. The report includes information on the capital program plan for the Municipal Parking Management Program and outlines planned spending for the next five years. Funding would go toward lifecycle requirements, anticipated expansions to electric vehicle charging, implementation of the Public Bike Parking Strategy and parking studies.  

The report also indicates the 2023 year-end balance of the City’s parking reserve fund is $73,000 above the $20 million maximum threshold. The Committee approved leaving the additional funds in place to ensure there is an adequate balance for future years. 

Items from today’s meeting will rise to Council on Wednesday, July 10. 

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