Why Does Stanford Charge for Parking?

Why does Stanford charge for parking?

The university charges for parking for two main reasons. First, there are a limited number of parking spaces on the Stanford campus to serve our large population of university affiliates. Second, charging for parking provides a disincentive for Stanford community members to drive to campus. As stated in our Annual Cordon Count article, this strategy is vital to the condition of the Stanford University General Use Permit (GUP) approved in December 2000, which includes the requirement of "no net new commute trips". The university is obligated not to exceed the number of vehicles that entered and exited the university during peak hours in 2001. 

What factors go into Stanford University’s decision to increase parking permit pricing? 

Several factors affect Stanford University’s decision to periodically increase permit pricing, including aligning parking prices with market rates (historically, Stanford has been below the cost of comparable academic medical institutions), controlling demand, and upholding Stanford University parking principles. 

Parking revenues fund transportation programs and operational costs; therefore, rates must reflect the university’s cost increases in offering effective, reliable, and safe transportation programs.   

Some of the same national affordability issues factor into increased costs for these programs. For example, labor and operational costs for the free Marguerite shuttle service continue to rise, reflecting the higher cost of living in the Bay Area and the highly competitive market for bus services and operators as the university competes for these resources. 

Parking revenues also help to fund maintenance for parking garages. This cost has increased as the university has built multi-level parking garages to meet the needs of commuters and residents. Parking garages are a more efficient use of land and increase capacity to better serve permit holders, but they do come with higher maintenance costs. 

How does Stanford decide the allocation of ‘A’ versus ‘C’ parking permit spaces?

An effective way of managing parking demand is the allocation of parking permit spaces. Typically, parking locations that are closer to worksites or are more convenient to access are assigned the higher-priced ‘A’ permit parking. At the same time, spaces further from worksites are allocated to the more economical ‘C’ permit parking. When parking demand is uneven (e.g., one parking permit area is oversubscribed and another sits empty), the University actively studies and tracks the parking patterns and may adjust the allocation of ‘A’ and ‘C’ permit stalls accordingly. When there is high demand, there is a transition from ‘C’ to ‘A’; when there is low demand, there is a transition from ‘A’ to ‘C.’ When a parking facility needs rebalancing to meet demand, the transition will usually occur gradually in batches to minimize disruption to the ecosystem.

Where does the revenue go?

Revenue generated from parking helps Stanford Transportation manage, operate, and enforce our parking lots and structures. It also helps fund the Marguerite Shuttle and our many sustainable transportation programs, which save commuters money, help ease Bay Area traffic, and help Stanford balance parking needs with regulatory and sustainability goals to reduce campus trips.

How are parking permits priced?
The long-established parking permit prices are designed with specific goals in mind. The ‘A’ permit is intended for university affiliates who need mobility throughout the day. The ‘A’ permit provides additional flexibility on arrival time and proximity to their work location. The ‘C’ permit is designed as a less expensive alternative to the ‘A’ permit for university affiliates who come in and/or leave early and who don’t have to use or move their cars during the day.

Why do I see empty ‘A’ spaces? Shouldn’t those be converted to ‘C’ spaces?
To justify the cost, the University ensures ‘A’ parking is always readily available, which might explain why you may see empty ‘A’ spaces when driving through a campus parking facility. Stanford Transportation continually monitors parking space inventory and adjusts available permit type inventory based on demand. For more information, refer to "How does Stanford decide the allocation of ‘A’ versus ‘C’ parking permit spaces?"

Does anyone park for free at Stanford?
No. Everyone pays to park on campus – including students, staff, faculty, hospital employees, and visitors.

What Makes Sense for Me – a Daily or Monthly Permit?
To help you decide whether it makes sense to purchase a daily vs. monthly permit, we’ve created a Permit Picker.