| Chicago resident here. The city making more from parking tickets is not exactly a selling point if you're the one paying them. Before the deal we had 20-year-old meters which were generally 25 cents or 50 cents per hour (quarters only). Lakefront parking was generally free outside downtown. After the deal, rates quadrupled or more and many more meters went up, including at the lakefront. Now there is always a worry about whether you're paid up enough to finish a picnic. At least we can pay with credit/debit cards through an app (progress!). The deal was a con from the beginning to help fill a budget shortfall and every resident who drives felt the effects, and will for the rest of their lives. |
So instead they "sell" the parking revenue to a "private" operator who then raises the price. The service provided by the metering company is not just operating the meters but also taking the blame for the cost of parking. This way the city government — i.e. the people in the city government — get to throw up their hands and point at their predecessors.
http://en.wikipedia.org/wiki/Principal–agent_problem
The incentive structure affecting the politicians is the root cause.