Budapest wants a new deal, it wants to see much more money from parking than the current one

Budapest wants a new deal, it wants to see much more money from parking than the current one
Budapest wants a new deal, it wants to see much more money from parking than the current one
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Anna Szalai;

Budapest; parking; money; Kiss Ambrus; price increase; bargain;

2023-05-26 06:15:00

The capital would standardize the accounting of parking revenue.

Deputy Mayor Ambrus Kiss strongly reduced the income from parking spaces on roads and public spaces owned by the capital city government at the last session of the Capital Assembly. As he said: last year, the capital city government received barely HUF 868 million from this, while a single district receives significantly more than that.

Parking fees are charged for 7,674 parking spaces on roads and squares owned by the Budapest municipality. The current legislation classifies parking operation as the responsibility of the district municipalities, and since 2013, the districts have been carrying out this activity in the areas owned by the capital city. The revenues are calculated on the basis of individual agreements concluded with the capital, diligently deducting the operating expenses of the parking spaces. Sometimes their pencils are quite thick. At least this can be inferred from the parking revenues transferred to the capital.

According to the previous announcement of the Budapest municipality, HUF 709.9 million were collected in 2019, HUF 947.3 million in 2020, while in the first half of 2021 – when parking was free from January to the end of May – they could collect just HUF 41.1 million of this, while industry estimates According to Last year, less came in than three years ago.

All this while the parking fees have risen considerably. A unified parking system was introduced in Budapest last September. Instead of the previous 27 zones with different rates and waiting times, only four were created. At the same time, parking fees also increased. Instead of the previous HUF 175, the cheapest tariff became HUF 200 per hour, while the ceiling rose from HUF 525 to HUF 600. In the intermediate zones, HUF 300 and HUF 450 must be paid. This meant a 36 percent increase in some inner-city districts, which hardly remained unaffected by the district’s parking revenues.

In light of all this, the dissatisfaction of the city administration is hardly surprising.

After unifying the parking fees, the solution is to bring settlement with the districts to a common denominator. This is currently based on individual agreements. Moreover, led by Zoltán Pokorni from Fidesz, XII. the district does not have an agreement with the capital at all, so it does not pay.

“We worked for several months on the development of the model, based on which the VI. we made an agreement with the district municipality, but in the case of cooperation, we would extend the system to all districts that operate paid parking lots,” Ambrus Kiss told Népszava, who considers the new model to be of reform value, making the operation of Budapest’s parking systems truly transparent. The pivotal element of the contract is to increase the efficiency of parking operations and reduce the sometimes outrageously high operating costs. To this end, the capital stipulates that parking meters can only be installed more densely than the 250 meters specified in the previous decree on the basis of strong public interest, and the existing ones can even be thinned out. It happened that the districts placed vending machines more frequently than necessary in the area owned by the capital, so that they could charge more operating costs to the capital.

The costs of the three most efficiently operating districts are taken as a basis, and if a district municipality wants to deduct 15 percent more from the income under this heading, then the capital will not pay it. Indirect costs – HR, legal, accounting – are also calculated according to predetermined indicators. Transparency is also aimed at the fact that the districts that sign the agreement send a monthly itemized report on the development of revenues. Next year, however, this will not blow the capital’s coffers. The new settlement system will be fully operational next year, while the 15 percent ceiling will only be in effect from January 2025. I. and II. and the IX. in any case, the district immediately indicated that they would be happy to join.

– The outer districts are struggling with different problems from the problems of the city center – pointed out Ferenc Bese, the independent mayor of Soroksár, who announced that he will initiate an amendment to the capital’s parking regulation, as he believes that the capital’s regulations should also deal with curbing cars entering from outside the city.

On behalf of the Fidesz faction, Zsófia Hassay, former VI. the district mayor omitted the numbers from the proposal, so, for example, the number of parking spaces concerned is not included in the agreement. At the same time, he welcomed the fact that the new parking contracts to be concluded with the districts point in the direction of unification, although he considered the pace to be rather slow.

Mayor Gergely Karácsony previously said: in the current economic situation, the parking system cannot be unified any further, as the revenue from it cannot be taken away from the city districts, as this would endanger their operation.


The article is in Hungarian

Tags: Budapest deal money parking current

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