THE COUNCIL

OF
THE CITY OF NEW YORK

Statement Regarding DPR’s Plan to Increase Recreation Center Fees

Submitted by Christine C. Quinn, Speaker, New York City Council and

Melissa Mark-Viverito, Chair, Committee on Parks and Recreation and
Domenic M. Recchia, Jr., Chair, Committee on Finance

We wish this statement to be included in the official record of this hearing. While we
understand the difficult financial straits in which the City finds itself, as well as the need
to generate revenues as a part of our overall budgetary solution, we believe the proposed
plan to increase fees at Department of Parks and Recreation (DPR) recreation centers
should be examined closely to ensure that no undue burden is placed on those who are
least able to pay such increases.

The Mayor and many of his commissioners have worked tirelessly to promote healthier
lifestyles in New York City. From banning smoking in restaurants and bars, to
mandating that nutrition information be posted in fast food restaurants, to urging New
Yorkers to exercise more frequently, the message has been consistent: “Be healthy!”

This has been a central focus of our energies as well, as evidenced by the recent release
of a Council report entitled “FoodWorks: A Vision to Improve NYC’s Food System,”
that outlines concrete steps the City can take to increase the availability and consumption
of fresh foods.

It is with this push toward healthier lifestyles as a backdrop that the November Plan
included a Program to Eliminate the Gap (PEG) designed to “generate additional revenue
by increasing recreation center membership fees.” The original proposal called for the
increase to go into effect toward the end of Fiscal 2011, for a partial-year revenue gain of
$1 million. Due to concerns about the potential adverse impact of this proposal, the City
Council reversed the Administration’s plan to initiate the fee increase in Fiscal 2011.
Being discussed here today is the proposal to generate $4 million annually by enacting
the fee increase beginning July 1.

People of all walks of life utilize City recreation centers, including those who presumably
could afford to join private gym clubs at substantially higher prices. They do this, in
many instances, because the centers are terrific, close to home, and offer programs of a
kind not offered at private gyms. Still, this population is not our major concern. What
we worry about is the cadre of lower- and middle-income New Yorkers who depend most
heavily on these low-cost centers, and who might be frozen out by what are projected to
be significant fee increases. Whereas children would continue to enjoy free
membership, seniors would see their membership fee increase by 150%, from $10 to $25,
and adults would see their fees increase by 100%, from $50 to $100 for centers without
an indoor pool, and from $75 to $150 for centers having an indoor pool.

It is our hope that as it goes forward, the Department will examine whether this fee
increase is truly necessary, and that if it is, alternative fee schedules be explored. It
would be preferable if a means tested fee increase could be implemented, although we
recognize that means testing may be logistically difficult. Another alternative would be
allowing for payment on a quarterly or semi-annual basis. Lastly, perhaps on a pilot
basis, the Department could ask recreation center users to pay a voluntary fee increase in
Fiscal 2012 and see how close to the $4-million target the incremental revenue
collections come in. The closest parallel to this type of voluntary payment would be the
voluntary donations certain museums charge for entry: nobody is denied entry for non-
payment or for contributions lower than the suggested amount; rather, means testing is
approximated via a self-identification of ability (and willingness) to pay.

In sum, we urge the Department to examine closely the potential adverse impact the
proposed fee increases may cause, and explore creative ways to protect the City’s bottom
line while also enabling as many New Yorkers as possible to enjoy the amenities at DPR
recreation centers.

We appreciate the opportunity to be heard on this important matter.