Thursday, July 26, 2012

Is Metro Bleeding Millions from Parking?


Photo via thisisbossi

Yes, says a tipster:
Metro has quietly eliminated dozens of parking attendant jobs without notice. The first 20 or so jobs located at Green Line stations, attendants were dismissed in early June. The second wave of 20 or more attendants were dismissed on the Red Line, in late June. The Orange and Blue lines are next.

The attendants are being replaced by electronic “parking attendant” machines, which are video/credit card machines. Gates can be opened and closed remotely, at an understaffed “command center” located on the basement floor of their headquarters building. The center is currently staffed with four employees, working two shifts to answer customer’s issues.

The system is unable to handle multiple calls. From just one station customers can call multiple times during the day. The parking attendant machines are in 35 stations resulting in thousands of calls.

Also the machines are not designed to collect revenue. For example, when a customer comes to the gate without a SmarTrip card, it was the attendant that directed the customer back to the station to purchase one, or directed the customer to pay with a credit card, or issued an NPIR (Non-Payer Identification Report) commonly know as a “promise to pay” where the customer sends the payment on a later date. (Hundreds of these are issued every day. Metro only receives two to three percent of the payments, as they have no staff to follow-up.).

Now, at the command center for the electronic parking attendants, someone simply pushes a button and allows the customer to go free, because they have no way to collect revenue. They cannot send the customer back because they cannot conduct traffic control from the command center as there may be customers lined up to exit, so the customers are allowed to leave without paying.

Thus the real attendant was instrumental in assisting in revenue collection efforts for Metro. In addition the attendant also alerted Metro when gates were broken (allowing customers to park free) or systems were down. The parking attendant machines have no video capabilities beyond seeing the driver in the car.

To add the electronic parking attendants, Metro has spent a whopping $150,000.00-$200,000.00 per station using two contractors. They plan to recoup this money by increasing the parking rate (which was done July 1) and lowering operational budget projections.

The newly appointed director of operations has ordered this change. By the way, he was also overseeing parking during the mismanagement in 2003 that allowed millions of dollars to be stolen from parking revenue.

Metro also allows millions to go uncollected by allowing vehicles to be parked in the facilities for days and only paying the daily current rate. Metro has no ability to determine how long you have been there and charges you a flat rate even if you’ve been parked for days. Many customers are aware of this and use Metro facilities as storage for their vehicles. Simply leave before 10:30 a.m. or after midnight, and it’s free! Go to any station at 11:45 p.m., and you will find cars lines up waiting for the gates to go up.
Other items:
Officials urge Metro to improve late-night bus service (WaPo)
VRE ridership continues to soar (Examiner)

Comments (22)

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If they replaced all the station attendants with machines, then that is a HUGE cost savings - $75k (salary and benefits) x 35 stations x 2 attendants = $5.25 million per year. The $7 million for the machines ($200k per station @ 35 stations) is paid off in a little more than a year. And the loss in parking revenue? "Hundreds" of people per day? So 300 people x $5 x 250 days/year = $375k. The equivalent of 5 attendants (less if their salary/benefts are more than $75k). I'd say Metro comes out ahead.
6 replies · active 660 weeks ago
Thanks for saving me the effort of finding an envelope to do the calculation on the back of :-)

Still, it does get to me when a cost-benefit analysis shows that it's cost-effective to let people manipulate the system. Now if a couple thousand cars per day claim that their SmarTrip cards and/or the gates aren't working....
The cost/benefit is similar to the self-checkout machines at grocery stores. There's an increased opportunity for theft, and (I speculate) some money is lost due to customer mistake. However, as long as less is lost than the cost of employing an actual cashier, the store comes out ahead.
Metro contracts out parking service. The total cost was about 4 million a year. You need redo your math. Besides, they added several high paid employees doing the job that private contractor pay min. wage. Don't forget the costs of maintenance, and future replacements. It will cost $$$$$$$$$ every 5 year.
Knows Metro's avatar

Knows Metro · 660 weeks ago

They're not getting paid ANYTHING near that. They don't even work for Metro.
Back to the drawing board sir. These contracted workers make aroung $10/hr.
Gotta love Metro. They even manage to screw up their screwups!
It seems like this may be an improvement. The union employee salaries, benefits and pensions are so high that spending $100-200K to automate the parking seems like it may save alot of money in the long run, even if there are a few problems with the system that need to be fixed over time.
2 replies · active 660 weeks ago
You don't have a clue about the total cost of this thing. It is not what you think. Metro always do look-good things but actually cost taxpayer millions. Think about how many people they have to hire to manage and maintenance this things.
Actually, the past system used contractors from a parking company metro hired. Metro didn't pay their salaries directly, and I suspect they were minimum wage employees on work visas with no benefits other than a paycheck.
WMATA should hire some of the DC Parking Enforcement folks. They are incredibly efficient on their Segways and electric scooters. They issue literally thousands of citations per day (collectively). I despise the stringent enforcement (i've seen them waiting at a vehicle that only has a few minutes left on the meter just to be sure they write the ticket exactly as the meter expires). But I can help but admire their extreme revenue generating capability (albeit, most of that revenue probably goes to pay for their salaries, their Segways, and their nice DC government benifits).

One other story to share about DC parking attendants, I've actually seen them frown when a driver comes to enter their vehicle and leave with only a couple of minutes left on the meter. It's like thier joy of issuing a ticket is stolen away from them... (how many jobs can one find satisfaction in ruining another person's day?)
1 reply · active 660 weeks ago
In NYC, they had to specifically issue a rule that you can't ticket people for not having a meter ticket in their window in the gap between parking and going to the munimeter. It's fucking insane.
Metro may save a few bucks on salaries, but it's important to point out that the attendants were NOT Metro employees.

I'm convinced Metro will lose money on this, but even if they save a few bucks the potential ramifications for customer service are really bad.
Parking Bandit's avatar

Parking Bandit · 660 weeks ago

I've been taking advantage of Metro's lax enforcement for years. Free parking!!
Art Vandalay's avatar

Art Vandalay · 660 weeks ago

I know this shouldn't come as a surprise to any one, but just shook my head at this one:

"The newly appointed director of operations has ordered this change. By the way, he was also overseeing parking during the mismanagement in 2003 that allowed millions of dollars to be stolen from parking revenue."
At least with no attendants there this might not happen again:
http://unsuckdcmetro.blogspot.com/2012/01/trapped...
I didn't know they still had attendants. Could have sworn they got rid of them all after the embezzling scandal.
Ordinarily I'd object to someone's job being replaced by a robot but, in the case of Metro employees, it's hard to feel sorry for them. (Just like Postal employees who will likely be losing their jobs soon.)
1 reply · active 660 weeks ago
However.....those weren't Metro employees in the lots. They were low wage contractors.
well they outfitted the new carrollton lots with at least 4 of these new machines over two months ago... they are still covered with plastic bags... when will they deploy these machines.

And i hope they work as intended... i have had difficulty of late where the one machine (in the garage) doesnot read my CC and or the LED is illegible (meaning i have no idea what was charged at Point of Sale...)
Too Through's avatar

Too Through · 659 weeks ago

Yeah. Great...Increase fares and parking fees to pay for stuff in some contractor's junk pile....all for efficiency, but when my Smart card HAS money on it and the system DOES NOT let me out and the person inside the station tells me to push a button to get out, I am told to use a credit card machine. That holds me up for another five minutes before the gate finally opens. I can do without it! It all sounds like some greedy people decided to buy some crap with my money and call it an improvement....Wonder if they are liking the new houses and cars. On top of all of this, I can't even get a receipt to get reimbursed...They must use the same maintenance man that they use for the elevators and the trains...

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