Base pricing for residential parking permits will increase to $75 annually, more than double the previous fee of $35, the Philadelphia Parking Authority announced.
While the current system allows unlimited permits with a pricing escalation for each vehicle, the PPA will now have a flat $75 fee per permit and a limit of three per household under the new pricing, which will be in effect Sept. 1.
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Permits for motorcycles and scooters will go from $35 a year to $50, and they are not included in the three-vehicle limit.
"We understand that changes in pricing can be concerning, and we want to assure you that this decision was made to improve the overall quality and availability of our services," reads the PPA website.
There will be a 30-day grace period to ease into the transition, giving drivers until Sept. 30 to renew their permit without penalty.
"These are needed reforms," said Rich Lazer, PPA's executive director. "There are only so many spaces on the street and the number of residential permits in circulation far exceeds the parking capacity.
Currently, a permit for the first vehicle has an annual rate of $35, the second costs $50 and a third $75. Any additional vehicles in a household cost $100 each.
These increased permit prices are the result of a city ordinance bill passed in June. This is the first change to the base price of residential parking permits in Philly since 1983, while the previous tiered system of permit pricing was introduced over a decade ago.
According to the ordinance, the PPA will be allowed to increase the permit fee once every three years by regulation, though it may not increase by an amount more than the percentage of increase in the Consumer Price Index.
"Any potential revenue will be used to administer the permit program," Lazer said. "Any additional revenue generated will be disbursed to the city general fund or school district based on a state-mandated funding formula."