Adelaide City Council in ‘crisis’ plans to double flat-rate CBD parking fees

Adelaide City Council is planning to hike the cost of street parking in the CBD – with one change set to shock motorists.

Lord Mayor Candidate Jane Lomax-Smith in front of Town Hall in Adelaide, Kaurna Yarta. (The Advertiser/ Morgan Sette)

Parking in Adelaide’s CBD is about to become even more expensive, with the council planning to nearly double flat-rate fees for street parking.

The Adelaide City Council has released plans for steep increases in various CBD fees and charges, which will be debated on Tuesday night.

Among the proposals include a whopping increase of parking fees in “flat rate areas”.

The current fee, which is charged as a flat rate “per applicable time limit”, is planned to rise from $2.60 to $5.

The council has also proposed to increase the fees for all other forms of street parking by between 0.7 per cent and 18.6 per cent, but public holiday street parking would remain free under the proposals.

The business community has reacted angrily to the plans, which include the recommended return of outdoor dining taxes after a five-year hiatus.

Australian Hotel Association spokesman Ian Horne said it was “incredibly disappointing”.

Council on Tuesday night will debate the results of the administration’s lengthy calculations as part of the budget process.

When the outdoor dining charges were put on hold in 2018, the cost per business was between $429 and $6192, but next financial year could be between $509 and $7167.

“The hospitality industry in the CBD still needs significant support post Covid,” Mr Horne said.

“This sends such a negative message to the city’s predominantly small-to-medium-enterprise bars, cafes, restaurants and pubs.”

The increase in revenue has been brought about by the council declaring this year it was in “budget repair” mode, following nine years of frozen rate valuations and cuts to other earnings due to Covid-19.

South Australian Treasurer Stephen Mullighan with Adelaide Lord Mayor Jane Lomax-Smith, who says the council budget is “in crisis”. Photos by Kelly Barnes

Lord Mayor Jane Lomax-Smith said: “While the decisions have not been made, I believe the need for post-Covid budget repair is acute and (the) council has to look at reinstating normal user charges, many of which have been totally stopped for five years”.

“No organisation can avoid charging indefinitely for services,” she said.

Ms Lomax-Smith launched a stinging attack on the state of the council budget at a March meeting: “The budget is in what I can only call crisis.”

The local government consumer price index is currently 8.6 per cent, meaning a sharp increase in council costs over the next financial year.

With a relatively small rates base, council must earn significant income from charges such as parking and fines.

Property Council SA executive director Bruce Djite said the price hikes came at a very bad time.

“The Property Council fundamentally opposes the timing of the council’s proposals to pursue budget repair through raising rates and reinstating charges which will undermine CBD vibrancy at a time when it is needed most,’’ he said.

“The council should do all it can to widen the rateable base, diminish, delay or smooth any increases and create operational and project savings rather than add to the cost burden of the businesses that give life to our city.”

Many council archives charges will increase by 5 per cent, along with street banner and flag charges, but library charges will mainly stay the same.

There will be large increases in dumping fees; some 5 per cent, but up to 100 per cent – household waste charges would increase by only 5 per cent.

Parklands lease charges will go up by 5 per cent. But parklands hire charges will go up by 100 per cent and dog registration is set to increase by 5 per cent.

Hire of rooms and equipment at Town Hall, in libraries and at community centres will mainly increase between 3-5 per cent.

A raft of Rundle Mall charges would be subjected to large increases.