MILTON, Del. — A new public parking lot in downtown Milton was supposed to help ease a long-standing parking shortage. Now, some downtown business owners say the town’s plan to help pay for it could put an additional financial burden on them.
The town opened its newest public parking lot in June at the corner of Union and Magnolia streets, next to the Milton Historical Society. The 41-space lot was designed to provide additional parking within walking distance of downtown businesses, restaurants and other attractions.
A new public parking lot in downtown Milton was supposed to help ease a long-standing parking shortage. Now, some downtown business owners say the town’s plan to help pay for it could put an additional financial burden on them.
But the Milton Finance Committee is considering a proposal that would charge commercial property owners $185 for each parking space their properties are required to have under town code but do not have.
The exact amount each property owner would owe has not yet been finalized. Under the proposal, a property that is considered 30 spaces short, for example, would face a $5,550 annual fee.
Finance Committee Chairman Scotty Edler said the proposed fee would be charged to building owners, not individual businesses.
Several downtown business owners told CoastTV they believe that cost ultimately would be passed along to their businesses through rent or other expenses.
Lisa Falzarano, owner of The Mercantile at Milton, has operated in downtown Milton for more than a decade. She said she opposed the idea when the town first discussed having businesses help pay for the property.
“We don’t find that it is the least bit fair for businesses who are actually making the town boom, and have been here for 12 plus years,” Falzarano said.
Falzarano said her business does not have any designated parking spaces. Neither do the apartments in the building.
She said that could put businesses with little or no parking at a disadvantage under the proposed formula.
“Many businesses don’t have any parking, so the fact that if you had some, it’s going to save you a little bit of money, well, we’re talking thousands of dollars,” Falzarano said.
And because she does not own the building where her business operates, Falzarano said she expects any fee charged to her landlord would eventually make its way to her.
“That’s going to be a trickle down from the landlords, which would put some of us out of business,” she said.
Falzarano also questioned why the town is now looking to businesses to help cover the cost of a parking project after allowing businesses to operate downtown.
The new parking lot has 41 spaces, including two handicap accessible spaces. The town awarded the construction contract to HCE LLC for $149,800 in April, and construction began in May. The town leases the property from the Milton Historical Society.
The town’s lease is $36,000 per year for 10 years, according to information provided to CoastTV News.
For business owners, however, the issue is about more than the cost of the new lot.
Don Post, owner of Jailhouse Antiques, said the lot benefits far more than just downtown businesses.
“The parking lot technically helps everyone, including town hall, including their concerts in the park on Wednesday evenings,” Post said. “So that parking lot is benefiting the town as a whole, not just the businesses.”
Post also pointed to other downtown attractions, including the library, parks and the Milton Historical Society, that draw visitors who may use the new parking lot.
He said he believes the town should treat the parking lot as a municipal expense rather than singling out downtown property owners.
“I don’t think it’s fair to the businesses. I don’t feel it’s fair to the property owners in the downtown. And also, it’s not fair to the shoppers because it’s a small town,” Post said.
Both Post and Falzarano said they would prefer the town consider paid parking or meters rather than charging property owners.
Falzarano suggested the town could start with a lower hourly rate and adjust it over time.
Edler has said metered parking could require a higher hourly rate than nearby towns to generate enough revenue to cover the cost, something town officials do not want to do.
Post said the town should consider paying for the parking lot through the broader municipal budget.
“If the perfect solution in the real world is it would be a pass through to taxpayers, just like everything else is,” Post said.
He also questioned whether it makes sense to charge businesses for parking when the town’s new lot provides benefits to the entire community.
“How can you sell somebody a bill of goods that don’t even exist?” Post said, referring to the fact that businesses could be charged for parking spaces they do not physically have.
When the new lot opened in June, the town said the additional parking would improve access, convenience and mobility downtown. Town Manager Kristy Rogers said the project was intended to support local businesses and make it easier for residents and visitors to enjoy downtown Milton.
For Falzarano, the larger question is how Milton plans to pay for public improvements while keeping its downtown businesses viable.
“I think that they should go back to the drawing board and come up with a strategic plan that doesn’t affect any one individual or any one business or any building owner,” Falzarano said.
She said the town should develop a broader municipal plan to serve residents and visitors.
“It’s not our fault,” she said. “And anyway, I’m sorry and I love you, Town Council, but …”
The Finance Committee’s proposal is not final. Edler has said he wants to continue working with businesses and find a middle ground before any plan moves forward.
“Do they want the businesses here or do you want them to close?” Falzarano said.
The Milton Finance Committee is scheduled to discuss the proposal again Aug. 24.