More than $280,000 have been returned to motorists
CITY HALL For anyone irked by those silly little parking attendant vehicles and even more aggravated by the little blue envelopes they leave on windshields everywhere, it’s payback time.
More than $280,000 have been returned to motorists who overpaid on their parking tickets, part of a refund program being conducted by City Hall.
So far, City Hall’s finance department has received 8,100 requests from drivers for approximately $412,900. Of that amount, 5,640 requests have been answered to the tune of $288,000, according to Eva Uren, acting revenue manager.
“We expect to process the remaining requests within the coming weeks,” Uren said.“So far, we have received favorable comments from people who are happy we are doing this.”
City Hall earned headlines in major newspapers and on local television when it decided in September 2006 to refund money received from overpaid parking tickets — a rarity, with most cities simply pocketing the money.
City officials identified nearly $1 million in overpayments from more than 18,000 citations issued over a three-year period. Those eligible should have received a notice in the mail in October. Those who did not receive a letter, but believe they are due a refund, can call the city’s processing center at (800) 214-1526.
City staff estimated that there would be as many as 400 refunds totaling $20,000 each month, which would represent approximately 2 percent of the total citation revenue collected by the city.
The refunds are part of City Hall’s new customer service initiative, “We Do the Right Thing Right,” and were identified by the Finance Department during a review of how money is collected by City Hall. Once identified, staff immediately devised a proactive refund program, whereas before, refunds were only given to those who made a request, City Manager Lamont Ewell said.
“Over the last three years, we estimated overpayments in the amount of $950,000,” Ewell said in an interview with the Daily Press in September. “We need to give that money back. It’s the right thing to do.”
The refund initiative is not expected to increase operating costs, Ewell said.
In addition to refunds, city staff engaged in conversations with the company that manages parking ticket payments — ACS Inc. — to see if customer service can be enhanced. There is also talk of extending the time period allowed for payment before a fine is issued.
Ewell said City Hall already allows more time for drivers to pay fines than most cities — 35 days. The penalty for non-payment is typically double the original fine.
Conversations are still ongoing as to what changes can be made, Uren said.
“A lot of the overpayments were just people making mistakes, so we are looking at ways to that make it easier for people to pay without making those mistakes,” Uren said. “We’re continuing to look for trends.”
Overpayments are generally made by those who pay a parking ticket weeks after it is issued, city officials said. That delay causes a notice to be sent to a driver, who may send money again thinking their initial payment was not received. A spouse may do the same, thinking their significant other was forgetful.
In other cases, the Department of Motor vehicles collects citation payments at the time of vehicle registration, even after an individual has already made a late payment to City Hall. The DMV later remits these payments, city officials said.
City Hall collected $12.6 million in revenue from parking tickets in 2005,with $4.6 million going to pay for operating expenses. This left $8 million in actual revenue, a very small portion of the $256 million allocated to the general fund, which pays for essential city services such as public safety, city officials said.
It is estimated that City Hall loses $2 million annually because many fail or refuse to pay.
Refunding all of the $950,000 sitting in City Hall’s coffers may be impossible given that 80 percent of those who overpaid live outside of the city or were driving rental cars at the time. Ewell said every effort will be made to locate all who overpaid, but some may prove difficult to find.
Money that is not refunded will remain in the general fund.
The top four cases in which people received citations are: parking at a meter where time has expired; parking in a preferential parking zone without a permit; parking in a no parking zone, such as a fire lane; and blocking driveways and exits.
Those who believe they may be eligible for a refund are urged to fill out a verification form online at www.smgov.net, or call the processing center at the number already provided.
Uren said there is no time limit to submit a claim. There have been some bogus claims so far, but for the most part, they’re legit.
Originally published in the Santa Monica Daily Press print edition on April 6, 2007. Read the original PDF.