The Bradenton Beach Commission is scrutinizing vendor proposals to administer paid parking on city-owned lots where motorists now park free.
Mayor John Chappie and Commissioners Ralph Cole, Jan Vosburgh and Marilyn Maro reviewed proposals March 7, during a commission meeting at city hall.
In April 2023, the commission approved a motion for a study on the matter and directed city attorney Ricinda Perry, city treasurer Shane Thompson, public works director Tom Woodard and police Chief John Cosby to research the cost of charging people to park in municipal lots.
The review resulted in the issuance of two requests for proposals — 2024-03 and 2024-04.
2024-03 deals with an unpaved lot between Church and Highland avenues near the police and public works buildings.
One proposal was received — from Beach to Bay, a company owned by developer Shawn Kaleta.
The proposal involves remodeling the unpaved lot at no cost to the city to create 33 spaces, with the lot remodel expected to take a month.
Beach to Bay proposed several fee plans for shared costs: $4,000 per month or $48,000 per year to the city, a lump sum payment of $24,000 per year to the city or a percentage of the profits or 50/50 split.
Beach to Bay asked for a 15-year term that would include insurance and indemnification for the city lots.
The per-hour cost per spot would be $5-$10.
Sam Negron, an agent for Beach to Bay who attended the meeting, said a nighttime security officer at the nearby Bradenton Beach Marina, which Kaleta owns, would patrol the lot.
Cole said he would prefer a trial run for the lot, with a shorter term, to see how things worked.
Vosburgh motioned to move forward with Beach to Bay and authorize Perry to prepare a contract for a term of three years. Cole seconded the motion, which passed 4-0.
Commissioners agreed to a 5-year term, a rate of $5-$10 per spot and a 50/50 split with Beach to Bay fronting all remodeling costs for the lot.
In addition to the marina, Kaleta owns other properties in the commercial district, including the Pines Trailer Park and several lots on Bridge Street where construction of the Bridge Street Resort is expected to begin.
Currently, the resort site is authorized for pay-by-plate parking.
But Kaleta’s involvement with the city has not been without controversy. He came under commission scrutiny in February for constructing paid parking lots on properties in residential areas within the Azure Shores district without applying for permits and despite zoning codes prohibiting commercial activity — parking — in residential zones.
The Islander reached out to city building inspector Darin Cushing March 8 about the status of the unauthorized pay-by-plate parking lots but, as of Islander press time March 12, there was no response.
Parking on the lots approved lots costs a motorist $15 per hour.
The city received two responses to its second RFP, which sought bids for administering paid parking at city-owned lots between First Street North and Bridge Street, public spaces owned on Bridge Street, the city hall lot at 107 Gulf Drive N., public parking west of the roundabout adjacent to the Moose Lodge, public parking around Katie Pierola Sunset Park, 2212 Gulf Drive N., and also public parking at the police station.
SP Municipal Services of Chicago proposed a 65/35 percentage split of net revenue in favor of the city.
Using a hypothetical price of $5 per hour for a parked vehicle, SP Municipal Services projected a potential annual revenue of $906,528 and an operating cost of $276,888, leaving revenue of $409,266, of which the city would get $266,022.
Beach to Bay also bid on the second RFP and the proposal included a valet system at the Bridge Street Resort, still to be constructed, and a shuttle to move people who utilize city paid parking to their destinations.
Beach to Bay offered several fee options, including a lump sum $100,000 annual payment to the city, $50,000 per year plus 25% of profits or a 50/50 profit split.
Beach to Bay also asked for a 15-year contract and said it would pay to maintain the lots.
Beach to Bay scored higher on a city staff review of the bids, but commissioners fretted over the proposed 15-year term and the price to patrons to park.
“I think we might want to look at more of a trial period and I think we might want to have some say on a cap on what is actually allowed to be charged per hour,” Chappie said. “This is a public lot, not private, and it’s for our businesses and our residents as well.”
Negron said dynamic pricing options could be implemented throughout the year.
“I would like to see some more public input on what we propose to do,” Cole said. “I would also need to know what the costs are going to be to operate it.”
Commissioners also considered waiting for an appointment to the commission seat left vacant by the resignation of Jake Spooner — a partner with Kaleta in the future Bridge Street Resort — to take part in the decision-making process.
The commission motioned to continue the
selection of a bid on the 2404-04 RFP to a future meeting.