Industry Initiative: Federal Support for Municipalities
A pledge to seek $30B federal support earmarked specifically for municipal governments, in order to maintain critical services for communities and support COVID-19 recovery. Join the 40+ cities who have endorsed this initiative and sign the open letter to the Senate and House of Representatives Leadership.
The restaurant, airline, and events industries have suffered a direct and immediate impact from pandemic-related shutdowns; it’s important to recognize that the parking and transportation industry underlies each of these industries. Parking is one of the most important urban mobility infrastructures, facilitating the daily needs of more than 100 million commuters, residents, and businesses across the country – every single day.
Parking is the foundation of municipal economic activity and a critical resource for businesses, their employees, first responders, tourists, and many others. The parking industry contributes to the U.S. economy by directly employing 580,000+ individuals and generating over $130 billion in annual revenue.*
As the largest collective operators of parking facilities in the country, municipalities rely heavily on parking and transportation revenue to fund local budgets and city programs.
The importance of parking-related revenue can be even more significant for smaller municipalities. Per Henry Servin, Parking Manager at the City of Santa Monica, CA, “Parking contributes 30%+ revenue to Santa Monica’s General Fund every year.”
The impact of the COVID-19 crisis on municipalities cannot be understated. With a 50-70%+ drop in commuter activity and a 95%+ decrease in visitor revenue observed from real-time data in cities across the U.S., municipalities will likely incur a $30B loss of revenue in the next 12 months, resulting in significant employee layoffs.
Parking authorities and offices of our respective cities are avidly working to curb operational expenses in an effort to mitigate impact, but this alone cannot resolve the crisis they face.