Someone asked me how much revenue LA derives from parking fines. So I decided to look at the LA City’s annual financial report.
So in 2015, LA city made $156 million in fines, 3% of the total revenue. Using the rule of thumb of materiality in auditing, 3.12% is HUUUGE (in Donald Trump’s terms).
Specifically, LA made 74 million parking fines (p. 259). Yet there was a 12.9 million decrease in parking fines due to lower ticket issuance and decline in number of traffic officers staffing. wow…74 million is 1.5% of the total revenues, again above the auditing materiality threshold and it’s HUUUGE! If LA collected the forecasted amount it would have earned almost 90 million in parking fines!
There you go, your fines contribute to LA. But please do not park anywhere and make sure that your parking meter does not expire.
You can also walk, bike, or call Uber. One less car is a gift to LA 😀