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Cost of Return on a New Parking System

Last reviewed: April 19, 2012 ~4 min read

¶ … New payment system for parking near MBTA

The benefits of the new proposal for a pre-paid monthly scanned parking pass are twofold: it will make commuting to the city easier for regular commuters and also result in revenue increases for the city. Because of increased the ease of parking cars, more commuters will be willing to use public transportation, and there will be less congestion and pollution overall, indirectly improving the situation for all residents and pedestrians in the city.

Commuters will like the plan because it will better ensure them of a regular parking spot. It will save time in the morning, since presumably many people must rise early, just to ensure that they have time to pay for parking. In today's cashless society, the use of prepaid parking spots via a monthly pass ensures that commuters do not need to fumble with cash and coins to pay a parking fee. After a long, hard day at work they do not have to worry about finding the spot where they parked. They will have more of an incentive to use public transportation, resulting in less time wasted in their car, and potentially less damage to their cars riding in heavy traffic.

The city is assured of revenue, and can more easily budget its influx of cash on a monthly basis, since it will have a better idea of how much money it will receive in parking fees. It can potentially save money based upon less traffic in city streets, since accidents and congestion requires traffic police to manage the flow of cars. It can also gain revenue from increased use of the MBTA by happy customers able to park their cars.

The detriments are that commuters must pay a monthly fee, even if they do not use the MBTA's services every day. For occasional commuters, there is less of a savings. Also, many people may want to drive directly to work, given that this gives them more control over when they come and go. A commuter via the subway or a bus must wait for the scheduled bus or train to leave. The proposed fees for the website necessary for the project are within the MBTA's budget and will be subject to quality assurance beta-testing.

The detriments from the city's point-of-view are that the proposed plan may not recoup the additional revenue it must outlay to construct the system. Even if the system is not unduly costly, there will still be some cost to install scanners, mail stickers to participants, and to screen for those who attempt to circumvent the system. The new system must also be marketed in a compelling fashion, and the different aspects of participation must be clearly explained. There is no guarantee that increased numbers of commuters will avail themselves of the opportunity to pay in advance because of the increased ease of using the system. Secondly, if more people elect to use public transportation, this can result in higher costs, greater stressors upon the system, and a demand for new routes and more subway cars and buses to accommodate traffic. Finally, there may be complaints of favoritism towards those who buy the passes. More casual drivers may feel excluded and angry when they cannot find places to park near MBTA stations if there is an increase of commuters using the parking lots, thanks to the greater ease of the new system. Tourists that take their cars to the city may feel irritated when they cannot find easy, convenient parking near an MBTA station.

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PaperDue. (2012). Cost of Return on a New Parking System. PaperDue. https://www.paperdue.com/essay/cost-of-return-on-a-new-parking-system-112610

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