City Nets More in 2012 From Beach Fees, Parking, Fitness Center

Ocean City has hauled in more than $11 million in user fees in 2012 — a 7.21 percent over 2011.

Substantial increases in revenue from beach tag and parking fees have helped the city bring in an extra $724,973 this year. 

At Thursday's City Council meeting, City Finance Director Frank Donato updated council on revenue figures through Sept. 30, and the news was good.

Because so many people covet Ocean City's beaches, boardwalk and shore amenities, the city has already brought in about 16 percent of its $69 million budget through fees — a luxury few other towns enjoy.

Revenues through Sept. 30 are as follows:

PARKING: A $5 increase in parking lot fees for peak weekends and the addition of about 60 spaces to the Fifth Street parking lot (where the skateboard park was removed) contributed to the increased revenue.

The actual numbers of cars that paid to park in 2012 (143,000) was down from 2011 (147,000) and 2010 (155,000). Parking lot fees account for about $1.7 million of $2.5 million in parking revenues.

Revenue from parking meters was up by about $20,000, according to Donato. Extended hours on Asbury Avenue (parking meters were in effect until 9 p.m. instead of 6 p.m.) accounted for about an extra $9,000. 

The new parking spaces in the Fifth Street Parking lot added $60,000 in revenue.

Donato said the parking lots near Ninth Street are always the most lucrative, but he said the average parking space in Ocean City yielded $1,900 this season, and cars paid an average $11.75 to park.

BEACH TAGS: The first full year of a $5 increase in the price of seasonal tags took effect this year and helped Ocean City bring in an extra $205,000. The city sold 3,000 fewer seasonal tags but sold an additional 3,300 weekly and daily tags. Overall, the city sold 365,000 beach tags and brought in about $3.8 million. Business Administrator Mike Dattilo noted that the weather is a primary factor in determining both beach tag and parking revenues. The mandatory evacuation for Tropical Storm Irene hurt 2011 revenue, and some strong rainstorms that fell on weekends affected 2012 revenue.

AQUATICS AND FITNESS CENTER: In its first year since the completion of a multi-year construction project, the Ocean City Aquatics and Fitness Center has already brought in an extra $162,000 through Sept. 30.

CONSTRUCTION PERMITS: In 2012 to date, Ocean City has issued an extra 104 building permits (1,466 up from 1,362 in 2011), helping the city increase revenues by about $146,000.