'$520,000 is a home run': Port Stanley paid parking profits revealed

Implementing paid parking throughout the village of Port Stanley, Ont. in 2022 resulted in a big profit for the municipality.

Now that tourism season is over, a report presented to Central Elgin Council on Tuesday showed parking revenues equaled $730,537 while the expenses to operate the project were $180,843.

The math in the new report shows a net profit of $519,694.

“$520,000 net — that's a home run,” says Tom Marks, deputy mayor of Central Elgin, and chair of council’s parking committee.

“We told staff we’re taking it on the chin as people are upset with high water rates and high taxes,” he explains. “We said, 'What can we do?' They went back they come up with a suggestion and there was a unanimous decision to approve it.”

Paid Parking throughout the village of Port Stanley, Ont. generated a profit of $519,694 in 2022. (Gerry Dewan/CTV News London)

According to a report by Lloyd Perrin, Central Elgin’s director of asset management & development services, the profit is the equivalent of total paid parking revenues provides non-tax funding equal to 3 per cent of the 2022 municipal tax levy.

In the village, a few residents were thrilled about the profits, and the potential tax savings.

“It’s good if it’s going back into the village and we need the money, there is a lot of things that can be done with it,” says Terrie Collard.

“I’m totally shocked we made this much money, and to have paid parking and work out this well, I’d say keep going with it,” says Mary Ciaramella.

However, not everyone is thrilled.

A few residents who wished not to be identified told CTV News London say they already pay too much in taxes, and believe locals shouldn’t have to pay for parking too.

Marks says everywhere you go these days you have to pay for parking, and if residents don’t want to pay the entire chunk, it’s being covered mostly by tourists. For those that live in the village or attend frequently, there is a simple solution.

“I bought the $100 season parking pass and you know, for five months, 150 days, it’s less than 70 cents per day, that's pretty good bargain,” says Marks.

Staff says while some visitors and locals are not happy with the decision to approve the project, they didn’t receive much push back.

“With the formal complaints that we received, it amounted to about 0.6 per cent of our total interactions with the public,” says Perrin.

Central Elgin council believes the money generated from paid parking in 2022 can be used to help offset the debt from water rates, and the future dredging of the harbour. Profits are equal to a 3% tax levy. (Gerry Dewan/CTV News London)

Perrin adds, “We had over 15,000 interactions with the public, when you look at parking events where people paid for parking, and with writing parking tickets, we received 342 formal complaints. So it's like 0.6 per cent.”

The report prepared by staff shows that in 2020 Central Elgin profited $322,320, and in 2021 the total was $354,306. In 2022 council staff suggested making the entire village paid parking, and the profit’s came out to $519,694.

That decision to make every lot in the village pay for parking generated an extra $245,000 in gross revenue.

“Financially we believe it's a good revenue source where that can help offset some of the tax supported revenue that the municipality might need to implement,” says Perrin. “Some of these projects like harbour dredging or the waterfront master plan, where it's another source of revenue that's not going on the tax rate.”

Marks says council is open for suggestions if people have other ways to generate that type of money.

“There's a lifecycle you need money put away,” says Marks.

He adds, “We know we have to dredge the harbour and that won't be cheaper than last time. We have to have money to pave parking lots, etc., so Port Stanley is a gem but you know, not all residents in Central Elgin want to pay for it. So the visitors are paying for it. I think that's a fair game.”