The Parking Tax is a tax imposed on the occupant of an off-street parking space. The tax rate is 18.5% (8.5% supports voter-approved Measure Z – Violence Prevention and Public Safety activities and is allocated to a separate fund) and is collected by parking operators. Approximately half of the City’s Parking Tax revenue is generated from parking at the Oakland International Airport. As such, the Parking Tax revenues are strongly correlated with passenger volume at the Oakland International Airport and travel activity more generally. Parking revenue reached its peak of roughly $11.1 million in FY 2018-19 following years of steady economic growth but declined sharply in FY 2019-210 to just $9.1 million, following the onset of the COVID-19 pandemic, which emptied downtown offices and triggered large reductions in both business and personal travel. Parking tax revenues are expected to stay far below the historical average for the next two years. The chart below shows the historical parking tax revenue trend and two-year projection.