City using AI-powered license plate readers to charge for garage parking

Those who use public parking garages in downtown Charlottesville experienced big changes December 16 when the city moved to a system where access is controlled by new software. 

“With the new system, residents and visitors will be able to enjoy an easy experience where their vehicle becomes their parking pass,” reads a press release sent out on December 12. “Metropolis technology will handle the rest, eliminating wait times and equipment failures.” 

Metropolis was founded in 2017 in Santa Monica, California, and became the largest parking operator in North America when it acquired the company SP+ in May 2024. Charlottesville’s Office of Economic Development had selected the company that year to run the Market Street and Water Street garages. 

The city’s website claims the move is being made now to address aging equipment and to reduce long lines out of the garages. 

“The pay-on-foot has not worked properly in the last six months, so we needed a new system,” says Afton Schneider, the city’s director of communications and public engagement.

However, the technology is very much in line with Metropolis’ overall business strategy. 

According to its website, Metropolis recently announced securing $1.6 billion in financing to help expand the use of AI into more sectors to replace existing ways of conducting business. 

“With this new capital, we’re scaling our platform to realize the full potential of the Recognition Economy—building a world where infrastructure knows you, moves with you, and predicts your needs,” reads the website. 

People will now drive their vehicles into either the Market Street or Water Street parking garage without taking a receipt. Someone from the car must scan a QR code with a phone and then enter the license plate number, a phone number, and a method of payment. Metropolis will then debit an account on record when the vehicle leaves. 

The first hour of parking remains free and the rate of $1 every half hour has not increased. According to the city website, downtown businesses can still validate parking by offering another QR code for people to scan. 

There is no information on the city’s website about how the data Metropolis collects is used, but there is a phone number and an email address for those who are curious. 

The Metropolis website clearly states that anyone using its service has provided consent to the company to gather information, including vehicle types, what kind of devices scan the QR codes, biometric information of passengers, and many other categories that might be sold to advertisers. Metropolis will not delete the data. 

“We may keep personal information for as long as necessary to achieve the purpose for which it was collected, our business needs, and any other purpose permitted under law,” reads the privacy page. 

There is no alternative or backup system to anyone who doesn’t want to give their information to Metropolis. 

“We offer [around] 1,000 free parking spots in the city,” says Schneider. “No one is required to use our parking garages.”

The City of Charlottesville owns the Market Street Parking Garage but rents the Water Street Parking Garage from the Charlottesville Parking Center for a sum exceeding $1.8 million a year.