Frequently Asked Questions About The Proposed Downtown Parking Garage
What parking option is being proposed?The city is currently negotiating a public – private partnership for the construction of a parking garage on the northeast corner of Virginia and Chestnut streets. The proposed privately constructed parking garage would have approximately 300 parking spaces and would be available for downtown public parking. The city would lease the garage from the property owner with the option of ultimately owning the garage.
Is this a done deal?The development agreement approved by the City Council at the Nov. 15 meeting is the first step in investigating the feasibility of this project. The approval of the agreement allows for the development of a schematic design that will provide number of spaces, estimated costs and options for design that will allow City Council to decide whether or not to proceed with the project.
How can this option be proposed since the bond failed in 2015?
Lease payments made by the city to the developer are not obligated funds as are bond payments or payments on certificates of obligation. The city will not allocate payments beyond any fiscal year, but payments would be included in the annual operating budget each year.
What is the timeline for this project?The timeline for this project will be determined upon selection of the design firm. Firm selection will proceed immediately.
What are the funding mechanisms that are being put towards this project?The only financial commitment towards this project at this time is for the schematic design. City Council approved the development agreement with a condition that the fees for the schematic design phase are not to exceed $75,000. If the Council chooses not to proceed with the project after schematic design, the city will be responsible for half of that initial cost.
What alternative plans does the city have if this project doesn’t work out?The city is working concurrently on adding public parking spaces in two downtown lots. These projects will be moving forward and adding approximately 200 parking spaces. Work is also being done on improvements to the wayfinding signage throughout downtown and on lighting improvements in and around the public parking lots.
Downtown Parking Meeting Results
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November 15, 2016
At the Nov. 15 meeting, City Council voted to enter into a development agreement with Virginia@5, LLC and SP2 301 E Virginia, LLC for a potential downtown parking garage at the northeast corner of Virginia Street and Chestnut Street, providing approximately 300 parking spaces.
In the development agreement, the property owner will hire a design firm to develop a schematic design for the proposed parking structure. The schematic design will provide number of spaces, estimated costs and options for design that will allow City Council to decide whether or not to proceed with the project.
If either the city or the property owner decides to discontinue the project following the design phase, the costs incurred to date would be split evenly by the two parties.
If City Council decides to proceed with the project once these costs are known, then the lease payments and purchase option will be based on the cost of construction, which will be determined during the initial schematic design phase.
Additional public hearings during City Council meetings will be held to discuss the parking structure once the schematic design has been completed. View the meeting
April 19, 2016
At the April 19 City Council meeting, City Council passed a resolution supporting the committee’s recommendations for short term strategies for downtown parking. View details
Subsequent meetings will be 5:30-6:30 in City Hall Council Chambers. See the city calendar for meeting dates. The meetings will be streamed live on McKinney Vision and available after the meeting. View history and videos from previous meetings View list of appointees
March 1, 2016
At the March 1 regular City Council meeting, City Council appointed members to a Downtown Parking Committee. The purpose of the committee is to discuss long- and short-term solutions to parking-related issues in the Historic District. The first meeting was held March 17. Subsequent meetings will be 5:30-6:30 in City Hall Council Chambers.
February 16, 2016
At the February 16 regular City Council meeting, the City Council voted down a proposal for an additional underground parking level within the mixed-use development planned on the city’s nine-acre property. City Council will be appointing a committee to discuss short- and long-term parking solutions for the historic downtown area. Members of the committee will include stakeholders, city staff and possibly Council members. The committee members will be determined in the coming weeks and will be communicated once selected.