REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Al Zelinka, City Manager
VIA: Sean Crumby, Director of Public Works
PREPARED BY: Chau Vu, Deputy Director of Public Works
Subject:
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Approve for Introduction Ordinance No. 4261 authorizing the assignment of a Franchise Agreement with Focus Media Group for Transit Shelter Services
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Statement of Issue:
The City's franchise agreement with Clear Channel Outdoor for the installation, operation and maintenance of transit advertising services expired on September 8, 2019. Staff solicited proposals through a competitive Request for Proposal (RFP) process and determined that Focus Media Group is the highest ranked firm based upon evaluation criteria and effective maintenance program via GPS based tracking. Staff is recommending a franchise agreement with Focus Media Group to implement a comprehensive street furniture program that includes enhanced maintenance services on City-owned street furniture and an advertising program within limits of Huntington Beach.
Financial Impact:
The City will receive a minimum annual guarantee payment of $120,000 plus 25% revenue share on any wrapped advertisement. No minimum expenditures are required with this franchise. As such, no additional funding is required by this action.
Recommended Action:
recommendation
A) Approve and authorize the Mayor and City Clerk to execute a "Franchise Agreement Between City of Huntington Beach and Focus Media Group Inc., for Transit Shelter Services;" and,
B) Approve for introduction Ordinance No. 4261, "A Non-Codified Ordinance of the City of Huntington Beach Providing Consent to the Assignment of the Transit Shelter Services Franchise to Focus Media Group, Inc."
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Alternative Action(s):
Do not authorize the franchise agreement, and direct staff accordingly. Inaction will result in a loss of potential revenue.
Analysis:
There are 409 Orange County Transporta...
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