A proposal to increase valet fees for restaurants and hotels passed in San Diego City Council on Tuesday, but it won’t be as expensive as initially suggested.
It’s part of a parking package that the city council is considering, which is meant to generate revenue and help close the $250 million budget deficit.
At first glance, worries about valet fees seem like it could be a corporate problem for large restaurants or hotels. When you look closer, though, critics say that increase cost would hit customers.
The increased fees are only for valet spots operating in current metered parking within city limits.
The original proposal included a 14,000% increase for more than two valet spots. After hearing from several unhappy people in the hospitality industry, city council representatives decided to not only allow restaurants and hotels to occupy up to four valet spots, but they also reduced the amount for the extra two.
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The first two cost $5,000, and a third and fourth would cost $7,500 for businesses outside the designated special event area. Within the special event zone near Petco Park, the two extra spots would cost $10,000.
The general manager for the Marriot San Diego downtown said they were willing to pay more, just not the amount originally proposed.
“We simply cant afford a 14,700% increase,” Jeff Berg said. “We are going from $650 dollars $95,000. That is a tremendous unheard-of amount of money. I could use that to buy more uniforms. I can use that to hire more people.”
Overall, critics are worried that increased costs would make the restaurant and hotel experience more expensive for businesses, staff and visitors, possibly discouraging people from enjoying areas around San Diego.
City Councilman Raul Campillo was vocal about what he considers exorbitant fee hikes. He voiced that not even the metered parking spots in those valet spots would accrue that amount of revenue.
“People coming downtown and wanting to park in a valet can feel rest assured that there’s going to be enough space for them to pull in, get out of their car, and their Uber to drive away, instead of being compacted and compressed in worst traffic” Campillo said. “ … It was really just trying to overcharge a hotel for their valet spots, which was just going to be passed onto customers in San Diego or tourists alike.”