Mayor Richard M. Daley announced on Tuesday that the city has entered into a $1.157 billion, 75-year contract with Chicago Parking Meters, LLC, to privatize the collection of funds from the approximately 3,600 metered spaces on the streets of Chicago.
Right now, it costs $3 per hour to park in the Loop, $1 per hour for the Central Business District outside the Loop an area bounded roughly by Division Street, Cermak Road, Halsted Street and Lake Michigan. It costs 25 to 75 cents in the neighborhoods outside the downtown area, with higher rates in higher-density neighborhoods, particularly on the north lakefront.
Effective next year, it will cost $3.50 to park in the Loop, $2 to park downtown outside the Loop, and $1 to park in the neighborhoods.
Those rates will go up every year through 2013, at which point it will cost $6.50 per hour to park in the Loop, $4 to park in downtown outside the Loop, and $2 to park in the neighborhoods. After that, rates will be adjusted annually by inflation, the city said.
This is a logical progression for the City of the Big Shoulders, which previously leased out the Chicago Skyway. No word yet on whether the penalties for malparkage will be increased.