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Roseville to begin selling ads on buses

Program will generate a guaranteed $75,000 in first year
By: Sena Christian, The Press Tribune
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Roseville's buses will soon have advertisements plastered on their sides in an effort to generate a new revenue stream for the city.

The Roseville City Council voted unanimously in favor of a plan for transit advertising during Wednesday's meeting. Vice Mayor Susan Rohan and Councilman John Allard were absent. Proponents say the program is another indicator that Roseville is open for business.

"Done well, the wraps look good," said Councilman Tim Herman. "And everyone seeing those buses on I-80 could hear about our shopping centers, our Automall and all those types of things and get those people shopping in Roseville."

Bus advertisements will generate at least $75,000 in the program's first year, according to the five-year contract with Iron Horse Media LLC, who will manage the ads on Roseville Transit vehicles. Shelter advertising was deemed not viable. The contract guarantees a minimum of $100,000 in years two through five.

Iron Horse Media aims to sell 50 percent to 70 percent of ad space to small and medium size Roseville businesses. The rest will be available for sale throughout the Sacramento region and nation.

Owner Dave Nybo said after the Roseville Transportation Commission approved the advertising plan in June, his company reached out to 123 regional advertisers and found much interest in the bus ads.

"I've done a fair amount of work in Roseville and knew Roseville was a very special place and because of that, we pursued this," Nybo said. "We think the advertisers recognize that also."

Roseville first tried to attract a company to manage and sell advertising on the exterior of buses and bus shelters in 2009, but interested companies said the fleet was too small and economy too weak. In December, the city re-released a request for proposals and then began negotiating with Iron Horse Media.

The city established 25 restrictions on types of advertising - which must be commercial - that include no obscenity, nudity, profanity, tobacco, alcohol, firearms, political campaign speech, religion, violence, adult-oriented goods or services, or related to human reproduction.

The staff cost of supporting this program is estimated to be about $20,650 annually. Revenues will cover that cost and remaining revenues will be used to support ongoing transit operations, according to the city staff report.

Here's a look at some other items approved during the Sept. 5 council meeting:

Alerting system contract award: The system installed at six of the city's eight fire stations is old technology that is subject to failure on a frequent basis. The new system for an estimated $269,657 will allow for faster station alerting times, reducing overall fire department response time.

Weber Park contract award: The city contracted with Grand Sierra Construction for an estimated $134,351 to remove the play equipment, playground sand, modify area curbing, install new equipment, construct ADA ramps and more to the Weber Park play area.

Dell computers purchase order: The Information Technology Department maintains more than 1,300 computers in all city departments and needs to replace aging computers for a total of $330,000.

Hydrofluorosilicic acid agreement: The Environmental Utilities Department is renewing a service agreement for its ongoing requirement for acid to use at the waste treatment plant. This chemical is fluoride that adds to the water to prevent dental caries or tooth decay. The estimated annual cost is $140,000.

Vehicles purchase order: The Parks Maintenance Division will purchase a Toro Sand Pro 5040 and Toro Workman HDX vehicle for a total cost of $44,050.

Afterschool Education and Safety Program: In response to a request by Roseville City School District, the city's Parks, Recreation and Libraries Department will implement the Afterschool Education and Safety Program for up to 120 students at Cirby Elementary School and 84 students and Woodbridge Elementary School at no cost to families. State funding of $225,000 will offset the city's estimated cost to administer the program.

Special events ordinance update: The city is updating its ordinance for special events. The ordinance for outdoor festivals was last updated in 1973 and the parade ordinance was last changed in 1985. The city has been experiencing more requests to host special events, which typically include traffic control services and coordinating public safety staff.

Sutter Terrace Apartments ownership change: Roseville Redevelopment Agency entered into an owner participation agreement in 1997 for the low-income apartments, which expires in 2039. With the agency's dissolution, housing assets are transferred to the city as the "housing successor." At the time of development, the agency loaned developers $180,000 and when escrow closes on Sept. 30, new owner Sutter Anton LCC will pay remaining balance of about $40,000.

Sena Christian can be reached at senac@goldcountrymedia.com. Follow her on Twitter at SenaC_RsvPT.