It will now cost $1.75 per hour for metered parking in Portland. Credit: CBS 13

Portland is raising its parking fees in exchange for a smaller property tax rate hike.

It will now cost an extra 25 cents per hour to park at meters and kiosks, raising the price to $1.75 per hour.

The city expects this to generate $500,000 in revenue.

When they approved this plan on Monday, they also lowered the property tax increase from 4 percent to 3.7 percent.

The changes will take effect in July.