HomeMy WebLinkAbout2013-11-19; City Council; 21428; Adoption Council Policy Corporate PartnershipsCITY OF CARLSBAD - AGENDA BILL
AB# 21.428 ADOPTION OF PROPOSED CITY COUNCIL DEPF. DIRECTOR
MTG. 11-19-13 POLICY ON CORPORATE MARKETING CITY ATTY. <
DEPT. CM PARTNERSHIPS CITY MGR.
RECOMMENDED ACTION;
That the City Council ADOPT resolution No, 2013-269 APPROVING a new City Council
Policy Statement on Corporate Marketing Partnerships.
ITEM EXPLANATION;
"Corporate marketing partnerships" is an umbrella term to describe a vanety of programs that enable
corporate entities to support city programs, events and services while generating exposure for their
brands among city audiences. Marketing partnerships have been common in the corporate and non
profit sectors for many years. In the public sector, transit agencies have an established practice of
marketing partnerships as well. More recently, the concept has gained popularity among
municipalities.
On July 16, 2013, city staff presented a proposed corporate marketing partnerships program to the City
Council for consideration. Although several potential program components were identified, city staff
recommend starting with two. A master vending contract would consolidate all vending contracts on
city property with one company and a "proud partner" program, which would enable corporate
entities to enter into vanous sponsorship agreements with the city.
While such programs present opportunities to generate revenue that can be used to support city
services and facilities, they present a number of legal and policy issues that should be clearly defined
and addressed prior to implementation. At the July 16, 2013 workshop, the City Council directed staff
to develop a corporate marketing partnership policy as a next step.
The proposed policy addresses issues related to the law and community aesthetics that could anse
from such partnerships while allowing adequate flexibility to negotiate mutually beneficial partnership
arrangements. Specifically, the policy provides guidance on design, critena for selecting partners,
allowable business categories, how partners would be recognized and how the program would be
administered. The policy also allows for additional guidelines and design critena to be included in
specific requests for proposals, depending on the nature ofthe proposed sponsorship and city assets
involved.
DEPARTMENT CONTACT: Kristina Ray, city communications manager, 760-434-2957 or kristina.ray@carlsbadca.gov
FOR CLERK USE.
COUNCIL AaiON: APPROVED • CONTINUED TO DATE SPECIFIC
DENIED • CONTINUED TO DATE UNKNOWN
CONTINUED • RETURNED TO STAFF •
WITHDRAWN • OTHER - SEE MINUTES •
AMENDED • REPORT RECEIVED •
Subject item to be continued to date to be determined with a new Agenda Bill and
new Resolution.
FISCAL IMPACT;
Active Network, a consultant with nationwide expenence developing and implementing corporate
marketing partnership programs, has evaluated City of CaHsbad assets, such as special events,
programs and public facilities, and estimated that the City of Carlsbad could expect to generate
between $375,000 to $750,000 in new, ongoing annual revenue within three years of launching such a
program. This estimate is the net revenue. It is assumed that the city would hire a consultant to
develop the programs and assist with negotiating partnership arrangements, working on a commission
only basis. City staff would administer the contracts using existing staff resources. The revenue figures
are based on the number of people who could be reached and the estimated value of that advertising
"reach" in the sponsorship marketplace. Actual revenues would be determined following the
successful completion of each program's request for proposals process and the subsequent contracts
negotiated by staff and approved by the City Council.
ENVIRONMENTAL IMPACT;
Pursuant to Public Resources Code Section 21065, this action does not constitute a "project" within the
meaning of CEQA in that it has no potential to cause either a direct physical change in the
environment, or a reasonably foreseeable indirect physical change in the environment, and therefore
does not require environmental review.
EXHIBITS;
1. City Council Resolution No. 2013-269 (proposed Corporate Marketing Partnership Policy)
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RESOLUTION NO. 2013-269
A RESOLUTION BY THE CITY COUNCIL O^HE CITY OF
CARLSBAD ADOPTING A CITY Cq/kc\L POLICY
STATEMENT ON CORPORATE MARKETING
PARTNERSHIPS.
WHEREAS, the City of Carlsbad has ayfong commitment to providingyfervices
in a way that provides the best value to taxMyers; and
WHEREAS, entering into mutyelly beneficial partnership agj^ements with
corporate entities would provide a /few soyfC^oi revenue^to enh^e city services,
facilities and programs; and
WHEREAS, a coordii^ed program t^eveloJ^arkerfig partnerships would
provide new opportunitie^ro partner with_the busina^ commynity; and
WHEREAS, corporate m/rketing pi^nership ^grams have been used
effectively for man^ears by IjjoseVp^ie non-|Tofit and/ansit areas, and more recently
by municipalitie^to generate n3^ revenu^-te^royide/nportant public services; and
NOW,/HEREFORE, BE I\RESOLVED thaft the City Council Policy Statement
No. on/;orporate1W*4§ting Part^rships is /dopted as show on "Exhibit 1" to this
resoluti(
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PASSED, APPROVED AND ADOPTED at a Regular Meeting of Jhe City Council ofthe City
of CaHsbad on the dayof , 2013, by the following vote to wit:
AYES:
NOES:
ABSENT
^ Policy No. 79
<^W^ CITY OF Date Issued: 11/19/13
CARLSBAD T^fTT
Resolution No. Cancellation Date:
Supersedes No.
Council Policy Statement
Category: CORPORATE MARKETING PARTNERSHIPS
Specific Subject: Policy for Corporate Marketing Partnerships Utilizing City-Owned Assets
PURPOSE:
The City of Carlsbad has developed a Policy for Corporate Marketing Partnerships utilizing
city-owned assets ("CMP" or "Policy") to maximize the revenue-generating capacity of City
Assets in order raise revenue for operating and capital needs to enhance the municipal
services and facilities it is able to offer to its residents, visitors and businesses.
BACKGROUND:
"Corporate marketing partnerships" is an umbrella term to describe a variety of programs that enable
corporate entities to support city programs, events and services while generating exposure for their
brands among city audiences.
Staff presented a proposed corporate marketing partnerships program to City Council for its
consideration on July 16, 2013.
City Council directed staff to develop the corporate marketing partnership policy.
POLICY:
I. CMP General Policy Provisions
A. The Policy contained herein will provide guidelines for allowing certain
marketing opportunities (e.g. sponsorship recognition and/or commercial advertising) provided
pursuant to CMP Agreements that will enable the City to generate revenue to enhance services
and facilities.
B. This Policy is not applicable to gifts, grants, or unsolicited donations for which
no benefits are requested by the donor and where no business relationship exists pursuant to a
CMP Agreement as defined herein.
D. This Policy is not applicable to the naming of City facilities outside of a CMP
Agreement as defined herein.
E. This Policy is not applicable to events authorized by a Special Events Permit
issued by the City of Carlsbad to individuals or entities not otherwise involved in the CMP
Program.
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PolicyNo. 79
F. Conditions upon which assets have been endowed or bequeathed to the City
must be adhered to at all times.
G. No external LED signs are permitted as part ofthe CMP Program.
H. No CMP Agreement shall impair or diminish the authority of the City and its
responsibilities with respect to any municipal facility or event that is the subject of said
agreement.
I. This Policy shall be incorporated into any new CMP Agreement entered into
between the City and an interested party, including a party selected pursuant to a Request for
Proposals ("RFP") as defined herein.
J. Not all City events, facilities, or programs will be included in the CMP Program.
It will be left to the discretion of the City manager and applicable Department Director or
Directors as to whether a specific City event, facility, or program will be included in the CMP
Program.
K. Notwithstanding the establishment of this CMP Policy, the City will continue to
permit community partners to establish independent Sponsorship recognition programs in
conjunction with designated capital improvement projects (e.g. enhancements and
restorations) in City parks and facilities. Such programs shall remain subject to City approval
(including any applicable Commission approval(s)) on a project-by-project basis and shall be
documented in conjunction with the execution of an applicable project license, lease, or
cooperation agreement. The City's approval of such a program in connection with one or more
projects in a park or facility does not preclude the inclusion of other Assets in the same park in
a particular RFP pursuant to this CMP Policy.
L This Policy shall be effective immediately, but it shall not be enforced so as to
impair the obligations of any agreement in effect at the time of its approval.
II. Definitions.
For the purpose of this CMP Policy, the following definitions shall apply:
"Advertising" means visual communication from an identified source that directs the public's
attention to a particular product, service, program, or idea, which may include the City's own
messages. For purposes ofthe CMP Policy, all third-party (i.e. Non-City) advertising on or for
City Assets is limited to Commercial Advertising as defined herein.
"City Assets" are items of tangible and intangible value owned by the City, including, but not
limited to, facilities, vehicles, programs, activities, events, contracts, purchases, and proposed
capital improvements. City Assets, currently identified by the City, acting as a proprietor, for
potential Sponsorship or Commercial Advertising opportunities associated with the CMP
Program are enumerated in this Policy. Additional details regarding available City Assets will be
listed in an applicable RFP.
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Policy No. 79
"Commercial Advertising" is visual communication that directs the public's attention to a
particular business, product or service or other commercial activity and/or proposes a
commercial transaction. The Commercial Advertising must contain only expressions or
identification of a product or service related to the economic interests of the advertiser and its
audience.
"Corporate Marketing Partnership" means a mutually beneficial business arrangement
between the City and a Person, wherein the Person provides cash, in-kind goods or services
and/or other resources to the City in exchange for an agreed upon set of rights and
entitlements regarding use of specified City Assets for Commercial Advertising and/or
Sponsorship arrangement.
"Design Critena Standards" are a set of design guidelines relating to the appearance of
Advertising and/or Sponsorship opportunities available for City Assets designated in this Policy
and/or an applicable RFP. Design Criteria Standards will specify size, placement/location, and
aesthetic limitations for CMP opportunities in accordance with this Policy and applicable law.
Some Design Criteria Standards are described in this Policy; others may be included in a specific
RFP. Design Criteria Standards will be described in each CMP Agreement and subject to the
approval ofthe City Council.
"In-kind Contnbution" means a gift other than cash or real property that would serve a useful
purpose in the provision of City services. Examples of in-kind contributions include equipment,
materials, products, or services.
"CMP Agreement" is a written contractual relationship with a Person for a specified term,
which clearly indicates the contribution, the contribution value, and the obligations of the
Person in consideration for Partnership or Sponsorship recognition as determined by the City
and/or for Commercial Advertising access and/or use of clearly identified City Assets and any
resulting obligations of the City. All CMP Agreements shall be for a defined period of time
having regard to the value ofthe Advertising/Sponsorship and, where applicable, the life ofthe
affected Asset. All CMP Agreements are subject to the provisions of this Policy and will be
subject to approval of the City Council. A CMP Agreement may address one or more City
Assets.
"CMP Program" or "Program" refers to the implementation ofthis Policy.
"Person" means any individual, firm, association, organization, partnership, business trust,
corporation, or company.
"Sponsorship" means a mutually beneficial business arrangement and/or Partnership between
the City and a Person wherein the Person provides financial support and/or in-kind
contributions or other accepted resources to underwrite or benefit a specific City Asset or to
assist the City in raising revenue for operating and capital needs in return for a benefit, which
can include sponsorship recognition as further defined in this Policy. Sponsorship may also
grant a sponsor with a limited right to associate the sponsor's name, products, or services with
the City or a City asset subject to the guidelines and requirements ofthis Policy.
III. Sponsorships
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Policy No. 79
A. Purpose
Pursuant to this CMP Policy, the City may decide to seek sponsorships for designated
operating or capital expenditures, including programs, projects, events, facilities, and activities.
The City retains sole discretion to choose those sponsors with whom it will associate itself. The
City does not intend to permit and will not permit this Policy or any sponsor recognition
provided for herein to become a public forum. By adopting this Policy, the City is acting as a
proprietor and not as a regulator. The City is engaged in government speech when it accepts
Sponsorships and when it chooses to provide sponsor recognition. The purpose ofthis Policy is
NOT to communicate views of sponsors; rather it is to: 1) generate revenue to enhance City's
programs, activities, events, services, facilities and capital improvements for City property; 2)
to acknowledge such funding; and 3) to provide identification of its sponsors to the public.
B. Sponsorship Guidelines
1. The City reserves the right to accept or reject any and all potential Sponsorship
offers made in response to an RFP issued pursuant to this Policy.
2. Decisions to accept or reject proposed Sponsorships will not be made on the
basis of the sex, race, color, religion, ancestry, national origin, disability, medical condition,
marital status, or sexual orientation ofthe proposed Sponsor.
3. By accepting a Sponsorship or by entering into a CMP Agreement, the City does
not limit its ability to accept any other Sponsorship or to enter into CMP Agreements with
similar sponsors.
4. Persons entering into CMP Agreements with the City pursuant to this Policy
shall not be given preferential treatment outside of the acknowledgements otherwise
permitted pursuant to this Policy and the relevant CMP Agreement. Sponsors will not receive
extra consideration with respect to any City procurement, any regulatory activities of the City,
or other City business by providing a Sponsorship. No City employee or City official is
authorized to offer any such extra consideration to a sponsor.
5. Pursuant to any applicable CMP Agreement, the City reserves the right to
terminate any Sponsorship should conditions arise during the life of that Sponsorship that
result in the Sponsorship conflicting with this Policy or the Sponsorship no longer being in the
best interests of the City. Final approval of decisions to terminate a Sponsorship shall be made
by the Communications Manager.
6. All Sponsorship opportunities must be compatible with relevant departmental
operations. Sponsorship recognition shall not interfere with the city operations, operation of
equipment, the provision of services or worker safety.
7. This Policy seeks to provide a benefit to all residents and businesses of the City
and visitors thereto without diminishing the image of City services, facilities and programs.
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8. The City reserves the right to decline to offer particular City Assets for
Sponsorship opportunities and to revise this Policy as deemed necessary so as to add or
remove City Assets from the available CMP pool as further defined herein.
9. If the proposed CMP Agreement includes naming rights to or in a park or
facility, the Communications Manager shall inform and consult with the Director with
jurisdiction over the subject park or facility on the appropriateness of the proposal. If
necessary, the Communications Manager may consult a qualified third party to assist with
determining the value of such naming rights.
C. Sponsor Recognition
1. The City's recognition of any sponsor is provided to convey its appreciation for
the sponsor's support of City operating and capital expenditures (such as programs, projects,
events, facilities, and/or activities).
2. Any accepted Sponsorships will be acknowledged with recognition or
marketing opportunities commensurate with the relative value ofthe Sponsorship to the City.
The City will determine on a case-by-case basis what Sponsorship recognition is appropriate for
a particular opportunity.
3. The City retains all editorial control of details regarding sponsor recognition,
including the placement and/or display ofthe sponsor's name and/or other identifying symbol
(such as the sponsor's logo) on promotional materials or other City Assets if permitted by
applicable law and consistent with the Design Criteria Standards. A sponsor will have no
design/content approval rights, other than to approve the use of its logo/intellectual property
if deemed permissible by the City and applicable law.
4. Sponsorship recognition shall only be placed on City Assets after final
execution of a CMP Agreement, which shall set forth any agreed-upon Sponsorship recognition.
5. Potential Sponsorship opportunities may include recognition of the sponsor in
City news releases, promotional/printed materials, onsite promotion and recognition on one or
more City Assets, booth space at a City special event, and/or naming rights. All such
Sponsorship recognition shall be consistent with this Policy and any applicable Design Criteria
Standards developed in conjunction with this Policy.
6. Sponsorship recognition messages may identify the sponsor, but the City will
not endorse any product or service of its sponsors.
7. The form of any on-site sponsor recognition shall be of appropriate size and
color, shall not detract from surroundings or any interpretive messages, and shall be subject to
review by city Boards and Commission where applicable and must conform to the Design
Criteria Standards developed in conjunction with this Policy.
8. All CMP Agreements shall be subject to legislative approval of City Council.
IV. Commercial Advertising
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Purpose
This Section of the CMP Policy provides the framework for Commercial Advertising.
This Policy is intended to include objective standards (as set forth herein), which are to be
incorporated into any applicable RFP by the City without respect to viewpoint. It is the City's
further declared intent that the Commercial Advertising portion of the CMP Program and
designated City Assets defined in this Policy are nonpublic forums that are not intended or
open for dissemination, debate, or discussion of public issues whatsoever.
Limiting Advertising in accordance with this Policy, Inter alia, allows the City to:
1. Avoid non-commercial proselytizing of a "captive audience" of the public in
attendance at a City facility or program;
2. Maintain a position of neutrality on political, religious and other debatable
noncommercial subjects and issues;
3. Limit the likelihood of potential vandalism and destruction on City
property;
4. Prevent potential violations of the Establishment Clause;
5. Prevent potential election campaign law violations;
6. Acknowledge the constitutional prohibition on viewpoint-related
discrimination regarding Commercial Advertising in nonpublic forums;
7. Maximize income potential from advertisers, weighed against the
likelihood that commercial advertisers would be dissuaded from using the
same forum used by persons wishing to communicate non-commercial
messages.
B. Guidelines for Commercial Advertising:
1. Only Commercial Advertising (as defined herein) will be allowed on City Assets
designated in this Policy except the Advertising of City sponsored or co-sponsored events or
City services. The only City Assets available for Commercial Advertising are the non-public
forums designated herein and/or in an applicable RFP.
2. Non-commercial advertisements that add an offer to purchase some item to
the otherwise non-commercial message are not permitted pursuant to this Policy and will not
be deemed to convert the advertisement to commercial speech.
3. No moving or animated parts will be permitted in Advertising.
4. Commercial Advertising shall only be placed on designated City Assets after
final execution of a CMP Agreement.
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5. The City reserves the right to require that Commercial Advertising include a
disclaimer stating that the Advertising is not sponsored by the City and/or does not necessarily
reflect the views of the City and does not constitute endorsement or recommendation by the
City.
6. All Commercial Advertising must clearly identify a "Person" paying for the
Advertising or causing the Advertising to be placed on a City Asset. Website addresses and/or
phone numbers by themselves are insufficient to satisfy this requirement.
C. Prohibited Advertising
In order to increase its ability to earn revenue from certain categories of advertisers,
and to ensure that its assets and resources do not promote the use of certain adult and/or
regulated items to juveniles and others, the City will further prohibit Advertising on City Assets
relating to the following categories of products and/or companies.
1. Advertising for illegal products, services or activities will not be permitted.
2. No political speech will be permitted, including but not limited to Advertising
by political candidates for public office, by political organizations or concerning ballot issues.
No Advertising regarding religious, philosophical, or other beliefs will be permitted.
3. Advertising that violates any federal, state or local law will not be accepted.
4. Advertising that is false, misleading, defamatory, or deceptive will not be
permitted.
5. No obscenity will be permitted. For purposes of this Commercial Advertising
Policy, "obscenity" shall include "obscene materials" as defined in state law. Penal Code 311
("obscene matter").
6. Advertising that is profane, vulgar, abusive, and/or otherwise presents a clear-
and-present danger of causing a riot or other imminent threat to public safety will not be
permitted.
7. Advertising that infringes on any copyright, trade or service mark, slogan, title,
publicity right, or Visual Artists Rights Act of 1990 (VARA), 17 U.S.C.§106A will not be
permitted.
8. Advertising that duplicates or mimics the identity or programs of the City
(without City involvement) will not be permitted.
9. Advertising on City Assets relating to the following categories of products
and/or companies whose business is substantially derived from the sale or manufacture of:
alcohol, tobacco, firearms, weapons, and/or sexually oriented businesses will not be permitted.
For purposes ofthis Policy, a "Sexually Oriented Business" shall be defined as a business having
a business establishment or concern that as a regular and substantial course of conduct offers,
sells or distributes "adult oriented material" or "sexually oriented merchandise," or that offers
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to its patrons materials, products, merchandise, services or entertainment characterized by an
emphasis on matters depicting, describing, or relating to "specified sexual activities" or
"specified anatomical areas" but not including those uses or activities which are preempted by
state law. Examples of Sexually Oriented Businesses include: adult retail stores; adult live
entertainment; adult cabarets; adult motel or adult hotels; adult motion picture theaters; or
nude model studios.
10. Advertising that contains websites or telephone numbers that direct viewers to
websites or access to materials that otherwise violates this Policy or applicable law will not be
permitted.
11. Advertising that includes words such as "STOP," "DANGER" or "WARNING" in
bold letters or otherwise in a way that it may cause distractions to drivers along the public right
of way will not be permitted.
12. Any Advertising that, if posted by itself or in combination with other
Advertising, would cause the affected City Asset or CMP Program to become a public or
designated public forum will not be permitted.
Additional limitations are set forth in Section V below discussing specific City Assets and/or
may be included in any Design Criteria Standards that are implemented in conjunction with this
Policy.
V. City Assets Available for CMP Opportunities
and Additional Specified Limitations
A. City Owned Vehicles
1. Where Sponsorship or Commercial Advertising is permitted for City-owned
vehicles, the vehicle must still be identifiable as a City of Carlsbad vehicle.
B. City Mailings
1. Use of Commercial Advertising or Sponsorship recognition in mailings or other
City distributions must comply with federal, state, and local law and the standards for
Sponsorship underthe CMP.
C. City Buildings and Parks
1. Sponsorship recognition is permitted only for specified City-owned buildings
and parks as determined in the applicable RFP.
2. No Sponsorship or Commercial Advertising is permitted on the exterior of City
Hall or other City buildings accommodating City Departments, Police, Fire or EMS Stations
and/or Facilities, or Historic Landmarks as defined in CMC Chapter 22.02.
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3. The City will have final discretion over the ratio of the sponsor's name in
comparison to the City's name, with the City's name/existing reference to the City Asset being
prominent and proportionate to the size ofthe building or structure.
4. Static Commercial Advertising and/or Sponsorship recognition is permitted
inside City-owned buildings only in those non-public forum areas specified by an applicable
RFP.
a. No Commercial Advertising or Sponsorship recognition shall be
permitted inside the City Council Offices, or in any room, City Council
chambers, and/or quasi-judicial chambers in which hearings are heard.
b. No Commercial Advertising or Sponsorship recognition will be
permitted on windows or in window wells.
5. Permitted locations for vending machines or other distribution of
food/beverages will be included in an applicable RFP.
6. Temporary Sponsorships and/or temporary Commercial Advertising is permitted on
waste or recycle receptacles or on banners. Booths dispensing products or literature
will also be permitted.
D. Street Furniture
The City has a vested interest in the traffic safety and aesthetics relating to its
streetscape, including those City Assets and/or public street furniture over which the City has
contractual supervision. Sponsorship recognition and/or Commercial Advertising are permitted
on the City owned and/or City contractually supervised street furniture in conformance with
any applicable CMP Design Criteria Standards and/or other criteria as specified in an applicable
RFP.
E. City Programs/Events
Department Directors shall have the discretion to determine whether a specific City
program or event will be included in the CMP.
VI. Responsibilities of Communications Manager for CMP
All CMP Program activities will be coordinated by the Communications Manager. The
Communications Manager will be responsible for all of the following:
1. Conducting a citywide effort to publicize this Policy and the CMP Program.
2. Recommending appropriate marketing opportunities.
3. Assisting in the creation and implementation of specific Design Criteria Standards
beyond what is included in this Policy. City Council will review and approve any additional Design
Criteria Standards as part of the approval of each CMP Agreement.
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4. Reviewing and assisting in the development of CMP Agreements.
5. Working with a consultant, as applicable, to enter into CMP Agreements.
6. Providing assistance and guidance to City departments regarding the application and
implementation ofthis Policy.
7. Assisting appropriate departments with administration and monitoring of agreements
developed through the Program.
8. Maintaining a list of all CMP Agreements.
9. Providing an annual report to the City Council on all CMP agreements.
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