Parking and Urban Deliveries: Role of Parking Pricing

Transcription

1 Parking and Urban Deliveries: Role of Parking Pricing José Holguín-Veras, William H. Hart Professor, Director of the Center for Infrastructure, Transportation, and the Environment Rensselaer Polytechnic Institute, Miguel Jaller Post-Doctoral Research Associate

2 Disclaimer This presentation focuses on NYC for the simple reason that we are taking advantage of the considerable amount of work we have done there There is nothing wrong about the Big Apple In fact, the situation there may be better than in the large majority of large metropolitan areas 2

3 Presentation outline Parking in the Big Apple Freight Generation vs. Freight Trip Generation Parking Policy Parking Demand and Supply Role of Pricing Conclusions 3

4 Parking in the Big Apple 4

5 Parking is an old problem New York City, circa 1945 (near the current location of Madison Square Garden) 5

6 Truck parked on street for over 3 hours. Waiting to unload at building site around corner. Heavy traffic around the truck. 6

7 Part Why of so the many problem deliveries? Sidewalk and unloading issues Company pays over $10,000/ month in parking tickets. Driver gets up to 4 per day. Lawyer is used the fines in order to reduced to the ticket of $ The lawyer splits the difference with the company ticket approximately cost company $85.00 Driver takes 20 minutes to break down pallets on sidewalk in front of store. Receives on the average of 4 tickets per day. Delivery hours in buildings are typically 8:30 AM to 5:00 PM

8 Small sample of parking violations NYC Study Area 8

9 Empirical evidence parking violations NYC Parking violations Legally Parked Parking Violations Description Number of cases % % % 9 Parking Meter Expired or Not Paid % Parking Sign Violation % Fire Hydrant % Double Parking % Bus Stop % Driveway % Near Crosswalk % Handicap % Parked Against Traffic Direction %

10 Parking fines / truck-month in Manhattan Fines/ truckmonth Number of companies % of companies Cumulative % 10 $ % 9.90% $ % 26.04% $ % 55.73% $ % 69.79% $ 701 1, % 72.92% $ 1,001 1, % 74.48% $ 1,501 2, % 77.60% $ 2,001 3, % 79.17% $ 3,001 7, % % Total % Averages: All carriers $1, /truck-month Average excluding top violators $ /truck-month

11 Freight Generation vs. Freight Trip Generation 11

12 Freight Generation vs. Freight Trip Generation Two different concepts: Freight Generation (FG): generation of demand, e.g., tons, FG is the physical manifestation of economic productionconsumption processes Freight Trip Generation (FTG): The generation of vehicular traffic required to transport the FG, e.g., truck trips FTG is the result of logistical decisions 12

13 The Economic Order Quantity (EOQ) model explains the difference The EOQ computes the shipment size and delivery frequency that minimizes total logistic costs to transport a given amount of cargo Q * 2KD h 2(Setup Cost)(Demand per unit time) Inventory Cost T * 2K hd 2(Setup Cost) (Inventory Cost)(Demand per unit time) f * 1 T * hd 2K (Inventory Cost)(Demand per unit time) 2(Setup Cost) 13

14 Freight Generation vs. Freight Trip Generation FG is equal to D FTG is the number of vehicles required to transport Q* times the delivery frequency Implications: Increase in FG -> less than proportional increase in FTG. A change in shipment size -> vehicle/mode changes While FG could be divided in shipments of any size, a characteristic of FTG is the indivisibility of vehicle-trips Using a constant FTG rates as a function of a single independent variable (e.g., employment) cannot be assumed to be universally valid 14

15 Empirical findings Three functional form were found: Only the coefficient of employment is statistically significant; Both the intercept and the coefficient of employment are statistically significant; Only the intercept is statistically significant. 15 Freight trip generation: Production Attraction Total Disaggregate FTG Model Structure Case 2: Constant FTG per establishment Case 1: FTG rate per employmee Case 3: Constant plus employment term Total number of industry sectors % 58.33% 25.00% % % 47.62% 33.33% % % 51.52% 30.30% %

16 Empirical findings cont. Effects of using constant FTG rates for SIC 51 (Wholesale Trade: Non-durable goods). 14 Number of deliveries FTG of establishments larger than average size will be over-estimated Constant FTG rate y = x y = x FTG of establishments smaller than average size will be under-estimated Number of employees 16

17 Key Implications Small establishments produce proportionally more freight trips than large ones Parking demand from urban delivery vehicles is likely to be huge 17

18 18 Parking Policy

19 A bit of NYC history In the 1980s claims that: Subsidized parking Increases car ownership Hinders modal shift Increases development costs 19 - Led to the elimination of parking requirements for new buildings, and - The establishment of a cap on the maximum number of off-street parking spaces required for new developments

20 Parking availability No accurate estimates for on-street parking in NYC Sources estimate the numbers of parking spaces as: 29,000 in the Central Business District (CBD) Below 60th Street 6,900 are metered 85,930 metered on-street parking including all boroughs 102,000 off-street parking spaces in the CBD 20

21 Parking programs currently in place in NYC Aimed at reducing parking availability to increase in transit or non-motorized ridership Advance Parking Management Systems (APMS) Bicycle Parking Car-Sharing Maximum Parking Requirements Parking Caps Special Population Provision Transit-Oriented Development Variable Priced/Performance Based Pricing 21

22 Impacts on urban goods movements Mode shift is not possible for urban deliveries: Carriers can select vehicle and shipment size However, in Manhattan: There are vehicle size and weight limits Receivers have reduced space and lack of inventory area Research has conclusively proven that vehicle size restrictions could make things worse as they: Force carriers to use multiple small trucks to replace large ones Sao Paulo experience (The area inside the ban could show improvements) This translates into an artificial increase of parking demand 22

23 Commercial parking/congestion pricing Park Smart: a variable-rate pricing program In areas with high demand for on-street parking Greenwich Village Upper East Side in Manhattan Park Slope in Brooklyn NYC is using Muni-Meters to foster: Turnover Optimize use of curb space Reduce traffic infractions Reduce vehicles from circling the blocks (in average a vehicle spends 9 minutes to find a parking space) 23

24 Muni Meters in NYC 24

25 Industry reactions to Muni-meters A big success with the freight industry Easier to find parking Much better than parking fines However, there are some issues: Black cars (limos) and other service vehicles In spite of this, muni-meters are appreciated 25

26 Parking Demand and Supply in New York City 26

27 Freight trip generation Number of deliveries and truck trips in New York Area Population Establishments Employment Freight trip attraction (deliveries) % of deliveries received per day Freight trip production (trips) % of truck trips produced per day County Bronx ,332,650 15, ,179 26,320 7% 26,838 8% Kings ,465,326 44, ,992 75,865 20% 73,431 21% New York ,537, ,597 2,062, ,427 49% 161,144 47% Queens ,229,379 41, ,953 71,447 19% 68,883 20% Richmond ,728 8, ,975 14,464 4% 12,910 4% Grand Total ,008, ,095 3,428, , ,206 27

28 Freight trip generation cont. Top 10 industry segments in NYC SIC Industry Description Freight trip attraction (deliveries) % Deliveries Freight trip production (trips) % Truck trips 50 Wholesale Trade-durable Goods 32, % 4, % 51 Wholesale Trade-non-durable Goods 21, % 35, % 58 Eating And Drinking Places 20, % 21, % 54 Food Stores 10, % 8, % 59 Miscellaneous Retail 6, % 3, % 27 Printing, Publishing, And Allied Industries 4, % 2, % 56 Apparel And Accessory Stores 3, % 1, % 23 Apparel/Other Finished Products Made From Fabrics 3, % 1, % 17 Construction Special Trade Contractors 2, % 1, % 15 Building Construction General Contractors And Operative 2, % 1, % 28

29 Freight trip generation cont. 29

30 Parking requirements Analysis of parking requirements of urban goods movements (deliveries, trucks trips produced) Parking requirements Truck parking space or curbside space feet long for light rigid and heavy rigid trucks Average parking space feet Service Times Average service times retail and food stores in Manhattan estimated in 1.8 hours HUGE ASSUMPTION: Entire curbside space has been allocated to trucks 30

31 Service times by time of day 31

32 Empirical findings NYC Number of truck parking spaces required for a peak two-hour period Number of spaces available assuming All spaces are dedicated for urban goods movements Spaces available depend on truck length, service times, and physical space as function of building front dimensions Trucks trips estimated as a function of the number of deliveries/stop (assumed to be equal to 3 deliveries/stop) 32

33 Time of day truck traffic Period Number of Trucks Percentage Hours Percentage per Hour Midnight - 6 AM 7, % % 6 AM - 9 AM 6, % % 9 AM - 4 PM 12, % % 4 PM - 7 PM 2, % % 7 PM - Midnight 3, % % Total 32, Time Period Percentage of Flow Midnight - 02: % 02:00-04: % 04:00-06: % 06:00-08: % 08:00-10: % 10:00-12: % 12:00-14: % 14:00-16: % 16:00-18: % 18:00-20: % 20:00-22: % 22:00 - Midnight 4.24%

34 Empirical findings NYC cont. 34 ZIP Establishments Freight trip attraction (deliveries) Freight trip production (trips) Parking needs for attraction Parking needs for production Required Parking Spaces Building Front Linear Distance Estimated Number of Parking Spaces Available Occupancy Rate % ,000 1,843 1, % ,672 14,607 14, , % ,984 10,747 9, , % ,176 1, % ,418 16,716 14, , , % ,503 1,871 1, % ,413 1,960 2, % ,271 15,146 8, , , % ,242 11,543 10, , , % ,648 10,910 9, , ,646 92% ,997 3,050 3, % ,572 9,854 8, , ,746 78% ,008 5,143 4, % ,021 9,304 8, , ,037 64% ,909 5,875 5, ,266 64% ,652 2,239 2, % Others 35,024 59,848 55,512 2,274 6,328 8, ,372 Total 102, , ,144 6,932 18,370 25, ,375

35 Occupancy rates for ZIP codes in Manhattan Total numbers in Manhattan: 54,300 spaces 25,300 trucks during peak 2- hour period No problem? At the ZIP code: 25% of ZIP codes have occupancies larger than 100% About 2,800 trucks have no place to park 35

36 36 Role of Pricing and Re-Allocation of Parking Supply

37 It seems obvious that Not much awareness of the situation of the industry: Carriers must deliver the goods that we consume No mode shift is possible Parking policy is sensitive to the needs of passenger car users, much less so to the needs of the industry Reallocation of parking supply, and pricing of both cars and trucks has an important role to play: 37 Multi-use lanes Provides an additional incentive for a shift to transit Generates significant revenues Reduces congestion by both transit mode shift and reductions of blocking effects of trucks Complementary measures: Off-Hour Deliveries

38 38 Conclusions

39 Conclusions Parking policy has ignored the urban delivery industry Some policies aimed at inducing a modal shift, which creates numerous problems for freight carriers Demand of freight parking is higher than supply Midtown and lower Manhattan the occupancy rates are larger than 100% In some ZIP codes: demands >>> supply Pricing and a reallocation of parking capacity could: 39 Generate a significant funding stream Induce a modal shift from car to transit Reduce congestion by reducing the amount of time truck drivers spend trying to find a parking space

40 Thank you! Questions? 40