TITLE
Recommendation to authorize City Manager to execute an agreement for ad-bearing bus shelters with CBS Outdoor. (Citywide)
DISCUSSION
Since January of 1998, CBS Outdoor (formerly Viacom Outdoor/Outdoor Systems) has provided and maintained ad-bearing bus shelters along with refuse containers for the City of Long Beach. The original contract period was January 1, 1998 to December 31, 2003, in which we received $1,122,024 in revenue based on 181 shelters. The second contract period was January 1, 2004 to December 31, 2007, in which we received approximately $1,130,000 based on the 179 shelters currently in place. It is proposed that we enter into a new contract for an additional 3 years on the same terms as the current contract. These terms include a revenue of $140 per shelter per month, or 20% of the gross revenue for that shelter, whichever is greater.
This matter was reviewed by Deputy City Attorney Lori A. Conway on November 26, 2007, and Budget Management Officer Victoria Bell on December 3, 2007.
TIMING CONSIDERATIONS
City Council action is requested on December 18, 2007, to provide for the continuance of bus shelter services and revenue through December 31, 2008.
FISCAL IMPACT
The City of Long Beach will receive at least $300,000 over the term of this one-year contract, to be deposited to the General Fund (GP1 00) in the Department of Public Works (PW). These revenues will be designated to partially offset the cost of the North Long Beach PAL program.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MICHAEL P. CONWAY |
APPROVED: |
DIRECTOR OF PUBLIC WORKS |
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PATRICK H. WEST |
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CITY MANAGER |