{"id":481026,"date":"2026-10-01T00:34:08","date_gmt":"2026-10-01T00:34:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ca\/481026\/"},"modified":"2026-10-01T00:34:08","modified_gmt":"2026-10-01T00:34:08","slug":"san-jose-drops-downtown-parking-meter-hikes-raises-garage-rates-instead","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ca\/481026\/","title":{"rendered":"San Jose drops downtown parking meter hikes, raises garage rates instead"},"content":{"rendered":"<p>After months of <a href=\"https:\/\/www.mercurynews.com\/2026\/08\/05\/san-jose-parking-meters-august-2026\/\" rel=\"nofollow noopener\" target=\"_blank\">backlash from downtown businesses and workers<\/a>, San Jose has abandoned plans to extend parking meter enforcement into the evening and raise street parking rates, <a href=\"https:\/\/www.mercurynews.com\/2026\/09\/10\/san-jose-downtown-parking-rates-revised\/\" rel=\"nofollow noopener\" target=\"_blank\">opting instead for higher garage fees<\/a>.<\/p>\n<p>Instead, hourly rates in city garages will increase from $4 to $5 \u2014 or $1.25 every 15 minutes \u2014 after an initial free 90 minutes. Garage rates for special events will range from $15 to $35 and eligibility for discounted parking programs will be expanded to include more downtown employees. The compromise, which takes effect in October, spares street meters but leaves the city short of the revenue it had already counted on, pushing a $1.2 million parking-fund problem into next year\u2019s budget.<\/p>\n<p>San Jose City Council\u2019s 7-3 vote follows months of pushback over an initial proposal to double rates and extend meter hours to 9 p.m. That backlash prompted the council to send the plan back to staff for community outreach, which officials acknowledged was not conducted before incorporating the expected revenue into the budget.<\/p>\n<p>It took three rounds of voting for the City Council to reach a compromise Tuesday.<\/p>\n<p>Staff\u2019s initial proposal was set aside entirely, while an alternative by Councilmember Anthony Tordillos \u2014 which focused increases on garages and eliminated 9 p.m. meter enforcement \u2014 initially tied 5-5.<\/p>\n<p>To break the tie, Tordillos removed a proposed $1-per-hour street meter rate increase from his proposal, securing a 7-3 vote. A separate motion by Councilmember Pamela Campos to hold a joint meeting with the Downtown Parking Board also failed 5-5.<\/p>\n<p>Mayor Matt Mahan was absent due to a mayors\u2019 conference at Harvard University.<\/p>\n<p>\u201cAs the representative for downtown San Jose, I am particularly mindful of the impact parking rate changes may have on the small businesses and the workers who make a prosperous downtown possible,\u201d Tordillos said.<\/p>\n<p>Attendees appeared relieved when the council approved Tordillos\u2019 memo, which removed most of the proposed rate hikes.<\/p>\n<p>Residents who spoke at the meeting largely opposed the proposed rate hikes and extended meter hours. Small business owners, service workers, and patrons warned that higher fees past 6 p.m. would harm downtown\u2019s recovery and deter visitors. Late-night employees raised safety concerns about parking in garages after dark, while business owners criticized the city of attempting to fix a general fund deficit on the backs of local merchants and service workers.<\/p>\n<p>\u201cThe best advice I ever got as a parent is don\u2019t punish the behavior that you want to see,\u201d said Rachel Warner, an employee at downtown bars Caravan and 7 Bamboo. \u201cIf you want people to come downtown, if you want people to work downtown and live downtown, don\u2019t make it harder and more inaccessible for them.\u201d<\/p>\n<p>Aside from safety issues, speakers also raised mobility concerns over city efforts to direct patrons and workers into parking garages. They noted that while downtown\u2019s Groundwerx safety ambassador program provides escorts, the service ends at 8:30 p.m. Sunday through Thursday and 10 p.m. Friday and Saturday \u2014 hours before late-night bar employees finish their shifts at 2 a.m.<\/p>\n<p>The parking debate comes as San Jose is showing signs of renewed momentum, including an <a href=\"https:\/\/www.mercurynews.com\/2026\/09\/26\/hotel-san-jose-economy-property-build-travel-develop-oakland-real-estate\/\" rel=\"nofollow noopener\" target=\"_blank\">upswing in hotel bookings following events<\/a> like the <a href=\"https:\/\/www.mercurynews.com\/2026\/02\/03\/san-jose-delivers-a-bright-finish-to-super-bowl-opening-night\/\" rel=\"nofollow noopener\" target=\"_blank\">Super Bowl<\/a> and <a href=\"https:\/\/www.mercurynews.com\/2026\/07\/19\/san-jose-world-cup-watch-parties-bay-area-crowds\/\" rel=\"nofollow noopener\" target=\"_blank\">World Cup<\/a>, according to real estate firm CoStar. The growth is attributed to AI conventions, business meetings, and regional sporting events bringing visitors back to a downtown recovering from post-pandemic lulls.<\/p>\n<p>\u201cI hesitate to want to do this because of the success and the things that we have been seeing in downtown,\u201d Councilmember Domingo Candelas said. \u201cBut I also recognize the urgency of some of the budget actions we took because of this fiscal situation that we\u2019re in.\u201d<\/p>\n<p>San Jose was facing a dilemma because the projected rate increases were already written into the adopted budget. A $1.2 million transfer from the parking fund to the general fund had been approved to help address a $50 million citywide deficit this year, despite funding needs for maintenance and upgrades at city-owned parking structures.<\/p>\n<p>City staff warned the council that deferring rate increases would leave the parking fund with a deficit that carries into next year\u2019s budget. That shortfall will compound during the next budget cycle, adding pressure to a projected budget gap of $26 million.<\/p>\n<p>\u201cWe can\u2019t on one side of our mouth say we want a thriving downtown and on the other side of our mouth, because we\u2019re in a budget crisis, force them to pay for it,\u201d said Councilmember George Casey, <a href=\"https:\/\/www.mercurynews.com\/2026\/06\/23\/san-jose-downtown-parking-hikes-extended-hours-postponed\/\" rel=\"nofollow noopener\" target=\"_blank\">who pulled the item off the consent agenda in June when it was set to pass without discussion<\/a>.<\/p>\n<p>Casey voted against Tordillos\u2019 proposal and supported Campos\u2019s motion to meet with the parking board on a long-term solution.<\/p>\n<p>Business owner Cache Bouren, who runs several businesses downtown including Cash Only near City Hall, called Tordillos\u2019 memo a thoughtful proposal and the \u201cbest of the bunch,\u201d but added, \u201cit\u2019s just pulling one lever.\u201d<\/p>\n<p>Noting the decision to defer the revenue shortfall to next year, Bouren asked, \u201cWhat can the city do besides raising the cost of living? It didn\u2019t answer the core problem.\u201d<\/p>\n<p>He said the three-month delay in addressing the parking fee issue reflects a broader disconnect between City Hall and local businesses.<\/p>\n<p>\u201cThis is my final straw,\u201d Bouren said, adding that he is considering moving his business out of state within the year. \u201cOpening a bar in San Jose was both the best thing and the worst thing that\u2019s ever happened to me.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"After months of backlash from downtown businesses and workers, San Jose has abandoned plans to extend parking meter&hellip;\n","protected":false},"author":2,"featured_media":481027,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[29],"tags":[184,7,4978,2333,1533,181,23,100,2426,182,88,5500,90,89,5278,198,200,1967],"class_list":["post-481026","post","type-post","status-publish","format-standard","has-post-thumbnail","category-san-jose","tag-bay-area","tag-california","tag-downtown-san-jose","tag-editors-picks","tag-keywee","tag-latest-headlines","tag-local-news","tag-news","tag-parking","tag-pm-report","tag-san-jose","tag-san-jose-city-council","tag-san-jose-headlines","tag-san-jose-news","tag-san-jose-politics","tag-santa-clara-county","tag-south-bay","tag-transportation"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/481026","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/comments?post=481026"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/481026\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media\/481027"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media?parent=481026"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/categories?post=481026"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/tags?post=481026"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}