Chicago's Private Parking Meter Bungle

Chicago's decision to privatize its parking meters seems to be a loss for the city, as new data shows the city could have made much more money in the long term had they maintained operational management.

1 minute read

November 22, 2009, 5:00 AM PST

By Nate Berg

"The parking meter company projects total revenues of more than $75 million and net income of about $58 million in 2010, after a second round of rate increases go into effect across the city on Jan. 1. In the first 10 ½ months of operation ending Dec. 31 of this year, the company expects $32.7 million in net operating profit, for a 70 percent profit margin.

Financial experts who reviewed the data say Chicago could have made out much better in the long run had it just kept the meters."

The city was paid $1.15 billion in February for a 75-year contract over most of the city's meters. The private company, Chicago Parking Meters LLC, is expected to continue to earn high amounts of net income over the course of the contract.

FULL STORY: Company Piles Up Profits From City's Parking Meter Deal

Friday, November 20, 2009 in The New York Times

Government / Politics Transportation Illinois Chicago Privatization Parking Meters View More

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Start Learning

Advertise with us

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.