Montgomery proposes bigger parking subsidies

White Flint conference center. Photo from Google Earth.

While they say there’s not enough money to increase bus service, Montgomery County transportation officials propose to throw millions of taxpayer dollars at oversized parking garages.

In White Flint, the county wants to use $21 million in proceeds from a land sale on a new parking garage. The garage would replace the parking lot at the Bethesda North Conference Center while adding more parking spaces. Officials haven’t said how many spaces the garage would create.

If the garage serves a real need, then it ought to be fiscally self-sufficient. Marriott, the operator of the conference center, currently charges $5 per hour or $15 a day for parking. At those rates, a parking space that costs $600 a year to operate could easily generate annual revenues approaching $5,000, yielding handsome profits for operators.

If big weekend or evening events at the conference center occasionally need extra parking, valet parking could use empty spaces in the Metro garage across Rockville Pike. No subsidy would be needed.

The county Department of Transportation asserts that under an agreement with the Maryland State Highway Administration, the proceeds of the land sale can only be used for this garage. But a letter from former state Transportation Secretary Beverly Swaim-Staley suggests otherwise. Swaim-Staley wrote that the state’s interest in parking relates to its investment in the existing conference center. As long as parking is sufficient for that building, the state could free up the land sale funds for other transit-oriented projects.

Now, a pedestrian-friendly street network in the White Flint area certainly fits that bill.

This is not the first time the county’s parking division has tied its own hands through real estate contracts to promote public parking. In both Bethesda and Silver Spring, sales of parking lots were structured so that the proceeds went directly into parking garage construction without ever appearing in the county budget.

A 6-level, $80,000-per-space public parking garage under construction in Bethesda. Photo by the author.

Meanwhile, the budget currently before the County Council keeps garage parking free in Silver Spring after 6 pm. Extending the payment hours until 10 pm would add substantially to Silver Spring’s current $10 million per year parking revenues.

In past years, proposals to charge for evening parking conflicted with a contract between the county and Foulger-Pratt, the developer of the shopping area on Ellsworth Drive that was critical to the downtown revitalization program. That contract guaranteed free parking in two adjacent garages. Some downtown merchants worried that paid parking at the garages nearer to their stores would put them at a competitive disadvantage.

But the contract with Foulger-Pratt ends May 7. The Silver Spring parking district is heavily subsidized with a perversely designed tax that encourages landowners to build more parking than their customers are willing to pay for. Free parking in county garages after 6 makes things even worse.

County leaders tell the state that Montgomery needs more school construction funding. Spending the county’s own money on an unneeded garage hardly helps their case. And it’s hardly fair to give away parking for free in Silver Spring while bus fares and state bus aid are used to cut real estate taxes.

Montgomery County doesn’t have money to throw around, and its urban areas are growing up. As they mature, they need to be gradually weaned from dependence on subsidized parking.