The City of Oakland expressed satisfaction and pride―in its Parking Ticket Management Audit―for gains made in fiscal year 2010-11, but admitted “further improvements are needed.”

One of those admitted needed improvements is ending the illegal practice of not returning fines to residents who inadvertently paid twice for the same parking infraction. The city picked up $316,000 in overpayments that way, despite state law that requires citizens be notified when tickets are paid more than once.

The city claimed to be unaware of the law and admitted the $316,000, accrued in just one year from 6,356 tickets, was no one-time windfall. It had failed to notify citizens of the overpayments for untold years, and failed to put the money aside for three years as required.  

Oakland has vowed to correct the oversight, but Assistant City Administrator Scott Johnson told the San Francisco Chronicle that in the future, “due to the cost to process refunds timely and limited staff resources,” only people who overpaid by at least $200 will be contacted. That’s about one in every 200 tickets.   

Parking tickets are big money generators for cities, and Oakland, which has been plagued by budget deficits, was pleased that it had collected $23 million in 2010-11 from issuing 387,000 citations. Auditors were not pleased to find that the city missed out on another $545,000 that was lost because the courtesy period for motorists with tickets was extended from 32 days to 45 by the company it had hired to manage its new ticket system, ACS State and Local Solutions.

The city hired ACS in 2010, and the auditor credited the company with streamlining the  Citation Administration and Revenue Reconciliation System (CARRS) and improving customer service. While the auditor acknowledged that extending the courtesy period was within ACS’ purview, it was considered bad form not to notify the city beforehand of a policy that would cost it so much money.

The audit also found an “unresolved difference” of $345,000 between books the city keeps on parking tickets and the new ticket management system, a “potential loss of $27,700 due to improperly recorded tickets, and delays in noticing citizens.”

–Ken Broder

To Learn More:

Oakland Keeps Cash on Overpaid Tickets (by Carolyn Jones and John King, San Francisco Chronicle)

Oakland Not Returning Overpaid Parking Tickets, Audit Finds (by Matthew Artz, Oakland Tribune)

Parking Ticket Management Audit FY 2010-11 (Oakland City Auditor) (pdf)