Mobile Parking Contract With Park First Would Hand Downtown Meters, Enforcement to Private Operator

MOBILE, Ala. — The Mobile City Council on Tuesday, Nov. 3, will consider a new parking contract that would put Park First of Alabama LLC in charge of the city’s street parking, meters, enforcement and municipal lots inside the Hank Aaron Loop, the core of downtown Mobile.

The proposed Mobile parking contract would run from Dec. 1, 2026, through Sept. 30, 2031, and could be extended through September 2035 without another council vote. The resolution is sponsored by Mayor Spiro Cheriogotis and District 2 Councilwoman Samantha Ingram.

Who is Park First

Park First already operates several downtown parking facilities, including:

• Water Street Garage, 8 S. Water St.
• Admiral Semmes Lot, 250 Government St.
• Government Lot, 186 Government St.
• Police Lot, 11 N. Jackson St.

The company also lists parking and valet operations at the Candlewood hotel, Hampton Inn, Renaissance Riverview Plaza Hotel and The Battle House Renaissance Hotel.

What the contract covers

The agreement would cover city-controlled street parking, meters, enforcement and three municipal parking lots:

• Church Street Lot: 155 Church St.
• Fort Condé Lot: across from 150 S. Royal St.
• Water Street Lot: 11 S. Water St.

It also includes metered and time-restricted street parking, downtown residential parking, parking zones for hospitality workers and certain restricted parking areas.

Park First would handle day-to-day operations, including enforcing parking rules, writing citations, collecting revenue and maintaining equipment. The contract requires enforcement staff on duty weekdays from 8 a.m. to 5 p.m.

The city would keep authority over parking rates, hours and policies, meaning any change in what drivers pay or when meters are enforced would remain a city decision.

What it would cost

The agreement sets management fees totaling $380,900 over five budget years, starting at $60,500 for the first 10 months and rising to $84,600 in the fifth year.

Park First could also earn an incentive fee equal to 15% of annual parking revenue above $700,000. Citation revenue would not count toward that threshold, so the incentive would be tied to parking fees rather than tickets.

Management fees are separate from the cost of running the system. The agreement projects $4.74 million in operating costs over the contract period for staffing, equipment, maintenance, insurance and other expenses, with actual spending subject to approved operating budgets.

Another $800,000 in capital improvements is outlined for meters, equipment, parking lots and technology. Those figures are estimates for planning purposes, and any of that work would require separate city approval and available funding.

• Management fees: $380,900 over five budget years
• Incentive fee: 15% of annual parking revenue above $700,000, excluding citations
• Projected operating costs: $4.74 million over the term
• Estimated capital improvements: $800,000, subject to separate approval
• Term: Dec. 1, 2026, through Sept. 30, 2031, with two optional two-year renewals

How the money would flow

Parking revenue would go into a dedicated account. Approved operating expenses and management fees would be paid from that account first, and the remaining revenue would be transferred to the city. If collections fall short of covering approved expenses, Park First could ask the city to reimburse the difference.

The agreement allows two additional two-year renewals without returning to the City Council, as long as money has been appropriated. Both renewals would extend the arrangement through September 2035.

The Hank Aaron Loop

The Hank Aaron Loop is the ring of streets that encircles downtown Mobile and is named for the baseball Hall of Famer and Mobile native. Parking inside the loop serves downtown offices, government buildings, hotels, restaurants and the entertainment district, as well as residents of a growing number of downtown apartments and condominiums. Hospitality worker zones are intended to give employees of downtown hotels, bars and restaurants a place to park during their shifts.

The Fort Condé lot sits near the reconstructed French colonial fort that serves as a downtown landmark and visitor attraction, and the Water Street lot is close to the riverfront and the Arthur R. Outlaw Mobile Convention Center.

What happens next

The council is scheduled to take up the resolution at its Tuesday meeting, which falls on Election Day. Mobile City Council meetings are held at Government Plaza, 205 Government St., and are open to the public. If approved, Park First would take over management of the city-controlled parking system Dec. 1.