California State Law Does Little to Limit Free Employee Parking

California's law to discourage car commuting is rarely followed; many companies breaking the law have never fined.

1 minute read

October 16, 2006, 5:00 AM PDT

By maryereynolds


In 1992, California state lawmakers enacted a law requiring certain employers to pay a monthly stipend to employees who carpool, ride public transit, walk or bike to work. Statewide, only Santa Monica enforces the law. "Under the parking cash-out program, employers must pay a stipend equal to the cost of a parking space to workers who do not drive to the office. The law covers public and private employers that have at least 50 employees and that offer free parking in a leased lot." One Los Angeles area worker chose $185 a month from his employer over free parking; then he bought a $52-a-month bus pass and pocketed the difference.

Martin Wachs, director of the Rand Corp.'s Transportation, Space and Technology Program, believes the cash-out program a good first step. However, he believes that Los Angeles should also limit parking in high rises: "It doesn't make sense to me to spend billions to build subways and the buildings next to them that have seven, eight, ten levels of parking that is provided free to those employees."

The statute includes a $500 fine per vehicle for noncompliance, but not one company has been fined.

Tuesday, October 10, 2006 in The Los Angeles Times

Lake Powell with much of the water evaporated.

Desperate measures: Advocates weigh draining Lake Powell to fill Colorado River

Draining the reservoir could reduce evaporation losses by a couple hundred thousand acre-feet.

October 30, 2026 - Yale Environment 360

A road in north eastern Nebraska with power lines on either side, and grassy fields.

Eastern Nebraska is running out of electricity

Data centers and electrification are straining eastern Nebraska’s grid, throttling economic development.

November 6, 2026 - Grist

People walking in downtown St. Louis, walking past shops.

Move over, LA: St. Louis gears up for Olympics, invests millions in downtown redevelopment

The Missouri city will host the 2028 Olympic soccer group stage and knockout matches.

November 1, 2026 - Smart Cities Dive

construction near Boston, with machinery digging at large pit.

Mass. votes against statewide minimum lot size for single-family homes

Over 2 million residents voted on Question 7; it was decided by just over 30,000 votes.

November 10 - GBH

A bridge over the Chesapeake Bay in Maryland.

Maryland’s $15 billion bridge project gains key approval

The Maryland Transit Authority said the project will create over 60,000 jobs and add $23 billion to the local economy.

November 10 - WTOP News

A crowd of people cheering for an unseen performer.

‘No clear next steps’ for Chicago's permanent festival grounds

Eleventh Ward Ald. Nicole Lee has suggested Soldier Field as a possible location for the permanent event space.

November 10 - Chicago Sun Times

FREE Course: Walkable City 1: Why Walkability?

After describing his path towards focusing on walkability as the essence of good planning, Jeff Speck marches through his five principal reasons for making more walkable places.

Reinventing Malls: Planning Alchemy—Turning Gray Fields Into Gold

The course focuses on the opportunities and imperatives that shape reinvention of mall sites.