HomeMy WebLinkAbout2007-04-10 - AGENDA REPORTS - BUS STOP ADVERTISING (2)Agenda Item:_
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR City Manager Approval:
Item to be presented by:
DATE: April 10, 2007
SUBJECT: AWARD LICENSE AGREEMENT FOR BUS STOP
ADVERTISING CONCESSION TO CLEAR CHANNEL
OUTDOOR, INC.
DEPARTMENT: Administrative Services
RECOMMENDED ACTION
City Council approve a license agreement for the bus stop advertising concession to Clear
Channel Outdoor, Inc., and authorize the City Manager or designee to execute the agreement and
any subsequent renewals, or modify the agreement in the event that issues of impossibility of
performance arise, subject to City Attorney approval.
BACKGROUND
Upon award of the license agreement, Clear Channel Outdoor, Inc. will begin the immediate
removal of old shelters and begin installation of new shelters. This will result in an approximate
savings to the City of $765,000 in infrastructure and installation costs of new shelters.
Additionally, it will result in annual and ongoing savings of approximately $67,600 in
maintenance and operational costs.
The Bus Stop Improvement Project (BSIP) is in the process of improving approximately 300 of
the 438 bus stops located within the City of Santa Clarita. As a component of the BSIP, staff
recommends entering into a new license agreement to improve bus stop amenities at 51 stop
locations throughout the City. The City's previous advertising license agreement with Clear
Channel Outdoor, Inc. has expired, and the existing bus stop amenities provided under the
previous agreement have outlived their useful life.
The Purchasing Division, in partnership with the Transit Division, issued a Request for Proposal
(RFP) for Bus Shelter Advertising Concession at Stops in the City of Santa Clarita. Notice of the
IM All P P N, IMED
RFP was published three times, and notification was sent to six prospective vendors on file.
Additionally, 23 vendors registered for the proposal request on the City website. Responses were
due by November 14, 2006, and one vendor submitted a response, as shown below.
Vendor
Location
Clear Channel Outdoor, Inc., Southern California Division Los Angeles, CA
Clear Channel Outdoor, Inc. proposes to provide the installation, maintenance, and operation of
51 transit shelters and related amenities at no cost to the City, in exchange for granting an
exclusive interest to sell and place advertising within the transit shelters. Clear Channel
Outdoor, Inc. is providing advertising shelters and related bus stop furnishings that blend well
with Santa Clarita's streetscape and are engineered to withstand the sun and wind conditions
particular to the Santa Clarita Valley. Improvements to each bus stop site will meet all relevant
requirements of the City of Santa Clarita codes and regulations, State of California Building
Code Title 24, and Americans with Disabilities Act. Additionally, the City will retain the rights
to 20 panels for public service announcements or City promotions, and the vendor has agreed to
allow the City to use more, if the panels are not sold. Currently, the vendor only sells about 50%
of its capacity.
Staff recommends that a license agreement be executed with Clear Channel Outdoor, Inc. as the
responsive proposer. A review of the Clear Channel Outdoor, Inc. submittal by staff determined
that the proposal was complete. Staff has determined that Clear Channel Outdoor, Inc. has the
technical qualifications and ability to provide the requested services per the RFP and is well
suited to work with Transit staff for the maintenance and operation of the 51 bus stop locations
throughout the tern of the agreement.
ALTERNATIVE ACTIONS
Other action as determined by the City Council.
FISCAL IMPACT
There is no fiscal impact to the City from this recommendation.
ATTACHMENTS
License Agreement - Clear Channel Outdoor, Inc.