HomeMy Public PortalAbout08) 7F Assignment of Existing Agreement with CBS Outdoor, LLC for Advertising Bus Shelter Program to CBS Decaux Street Furniture, LLCDATE:
TO:
FROM:
PARKS AND RECREATION DEPARTMENT
MEMORANDUM
October 1, 2013
The Honorable City Council
Jose E. Pulido, City Manag-!fj) r\ Ox
By: Cathy Burroughs, Dire~f Parks and RecreationUI"
AGENDA
ITEM 7.F.
SUBJECT: ASSIGNMENT OF EXISTING AGREEMENT WITH CBS OUTDOOR, LLC
FOR ADVERTISING BUS SHELTER PROGRAM TO CBS DECAUX
STREET FURNITURE, LLC.
RECOMMENDATION:
The City Council is requested to approve assignment of an existing Advertising Bus
Shelter Program Agreement with CBS Outdoor, LLC to CBS Decaux Street Furniture,
LLC.
BACKGROUND:
1. On April 18, 2000, the City Council approved a five-year agreement with Infinity
Outdoor, Inc. for an advertising bus shelter program.
2. On June 20, 2000, the City Council approved an amendment to the agreement
with Infinity Outdoor which identified the approved locations for the advertising
shelters.
3. In 2001, Infinity Outdoor, Inc. notified the City that the company name was
changed to Viacom Outdoor, Inc.
4. On June 7 , 2005, the City Council renewed the agreement with Viacom Outdoor
for an additional five-year term . Later that year, Viacom Outdoor, Inc. notified the
City that the company name had again heen changed to CBS Outdoor, LLC.
5 . On June 16, 2010, due to expected improvements along Rosemead Boulevard,
the City elected to extend the agreement with CBS Outdoor, LLC on a month-to-
month basis under the existing terms o·f the agreement until such time as either
party cancelled, renewed , or amended the agreement.
City Council
October 1, 2013
Page 2 of 3
6. On September 12, 2013, CBS Outdoor, LLC notified the City that the agreement
between CBS Outdoor, LLC and the City of Temple City was to be assigned to,
and performed by, CBS Decaux Street Furniture, LLC, a joint venture between
CBS Outdoor, LLC and JC Decaux.
ANALYSIS:
In 2000, due in part to continuing increases in the cost to maintain glass enclosed bus
shelters on Rosemead Boulevard, the City entered into an agreement with CBS
Outdoor, LLC (formerly Infinity Outdoor, Inc. and Viacom Outdoor, Inc.) for a bus
shelter advertising program (Attachment "A"). Section XI of the agreement requires the
written consent of the City prior to assigning or subletting any interest in the existing
agreement.
CBS Outdoor notified the City recently that the company was completing a
reorganization in which CBS Outdoor, LLC would contribute an undivided 50% interest
in the agreement to its affiliate, CBS Outdoor L.A. Inc. and to sell the remaining
undivided 50% interest to JCDecaux North America Inc. (Attachment "B"). Following
completion of these transactions, both CBS Outdoor L.A. Inc. and JCDecaux North
America Inc. would contribute their interests in the agreement to CBS Decaux Street
Furniture, LLC. According to CBS Outdoor, LLC, assigning the contract to the CBS
Decaux joint venture would consolidate the Greater Los Angeles street furniture
franchises (including the cities of Temple City, West Hollywood, and Los Angeles),
resulting in "synergies and benefits of scale to the City of Temple City". Pursuant to
Section XI of the agreement between the City of Temple City and CBS Outdoor, LLC,
the City Council is requested to approve the assignment of the contract with CBS
Outdoor, LLC to CBS Decaux Street Furniture, LLC. CBS Outdoor has notified staff
that all other provisions of the agreement will remain in full effect.
The City has been in contact with CBS Outdoor, LLC to request a proposal for
continuation of a bus shelter advertising program upon completion of the Rosemead
Boulevard Enhancement Project. They have indicated such a proposal will be
forthcoming upon completion of the above referenced transaction.
CONCLUSION:
CBS Outdoor, LLC has requested City Council approval of assignment of the existing
Advertising Bus Shelter Agreement to CBS Decaux Street Furniture, LLC. Section XI of
the current Advertising Bus Shelter Agreement, requires the written consent of the City
prior to assigning or subletting any interest in the existing agreement.
City Council
October 1, 2013
Page 3 of 3
FISCAL IMPACT:
This item, as presented, does not have an impact on the Fiscal Year (FY) 2013-14 City
Budget.
Currently, the City receives a minimum of $135 per shelter per month in advertising
revenue. Since July 2000, the City has received $390,288.43 in advertising revenue.
In addition, since the Contractor is responsible for cleaning and maintaining the
advertising bus shelters, the City has saved over $60,000 in ongoing maintenance
costs. If the City Council does not approve the assignment of the agreement as
requested by CBS Outdoor, LLC, it is likely the agreement will be terminated, resulting
in the loss of a minimum of $16,200 in advertising revenue for FY 2013-14.
ATTACHMENTS:
A Agreement for Advertising Bus Shelter Program-Infinity Outdoor
B. Correspondence from CBS Outdoor-Dated September 12, 2013
ATTACHMENT A
CITY OF TEMPLE CITY
AGREEMENT FOR ADVERTISING BUS SHELTER PROGRAM
This Agreement, made and entered into this 18th day of·April, 2000,
by and between the City of Temple City hereinafter referred to as
"CITY" and Infinity Outdoor hereinafter referred to as
"CONTRACTOR".
WITNESSETH
The CONTRACTOR agrees, as an Independent Contractor, to perform all
work and furnish all materials at its own proper cost and expense,
necessary to complete in a good, workmanlike and substantial manner
the placement of advertising· bus shelters in accordance .with the
specifications for said project as specified in its proposal
entitled "Bus Shelter Proposal, City of Temple City", hereinafter
called PROPOSAL, a copy of which is attached hereto and marked
Exhibit "A" and incorporated by this reference.
SECTION I
AUTHORIZATION
The CITY, for and, in consideration of the performance of the
covenants contained herein on the part of CONTRACTOR and in the
manner specified herein, hereby authorizes CONTRACTOR at its sole
risk and expense to enter upon and to use and occupy those certain
twenty (20) transit stop sites upon the public rignt"7of-way set
forth on Exhibit "B" attached hereto, incorporated ·herein by
reference and made a part hereof (hereinafter called "SITES") for
the purpose of constructing a transit shelter at each such SITE and
performing any and all work associated therewith, including removal
of current shelters; and thereafter using, maintaining and
operating the same as transit shelters in accordance with this
AGREEMENT and CITY ordinances, rules and regulations.
It is specifically understood and agreed by and between the parties
hereto that the authority hereby granted by CITY to CONTRACTOR
shall not constitute or convey any interest in or to said SITES
owned by the CITY to CONTRACTOR, or to any other person, but shall
merely constitute a revocabl.e permit or license to enter upon,
construct and maintain the transit shelters authorized hereby.
CITY agrees that only one transit shelter shall be permitted at
. each of the twenty (20) transit stop SITES under this Agreement.
SECTION II
SCOPE OF PROFESSIONAL SERVICES
A. CONT~CTOR sh.all perform. those services co~sistihg . q;J: the
design, ~nstallat~on and ma~ntenance of trans~t shelt~rs as
specified in its PROPOSAL. Performance of the work specified in
said PROPOSAL is made an obligation of CONTRACTOR under this
Agreement, subject to any changes made subsequently upon the mutual
written agreement of the parties. All of the abovementioned
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Agreement with Infinity Outdoor
Advertising Bus Shelter Program
Page 2
documents are intended to complement the other documents so that
any work called for in one, and not mentioned in the others, or
vice versa, is to be executed the same as if mentioned in all of
said documents.
B. CONTRACTOR shall act as an independent contractor in the
performance of the services provided for in this Agreement and
shall furnish such services in CONTRACTOR's own manner and method
and in no respect shall CONTRACTOR be considered an agent or
employee of the CITY.
SECTION III
CONTRACTOR'S RESPONSIBILITIES
A. All such work under this Agreement shall be performed by
CONTRACTOR at its sole expense and at no cost to CITY. In
addition, CONTRACTOR shall pay for all costs of whatsoever nature
incurred by CONTRACTOR in connection with the AGREEMENT.
CONTRACTOR declares that he has examined the location of the SITES
and has satisfied himself as to the nature and location of the
work, and has fully informed himself as to all conditions and
matters which can in any way affect the work, or cost thereof.
B. CONTRACTOR shall pay all necessary fees, costs and shelter
installation permits, including any CITY, state and/ or federal
requirements associated with site development or shelter
constructions pursuant to this Agreement. CONTRACTOR hereby agrees
that all shelters constructed and maintained pursuant to this
Agreement shall comply with all applicable governmental building
codes and regulations. All such shelter designs shall comply with
all applicable design specifications set forth by the CITY.
c.
(60)
than
CONTRACTOR shall erect the first transit shelter within sixty
days from the date of signed AGREEMENT, however no earlier
July 1, 2000.
D. CONTRACTOR shall build the transit shelters in a design
mutually acceptable to the CONTRACTOR and the CITY. Each transit
shelter shall have a maximum of two ( 2) advertising panels,
measuring no more than 48 inches wide and 72 inches high, either
placed back to back, or position to form a triangular display.
Shelter advertisements and overhead roofing shall contain lighting
to illuminate the inner area of the shelter. No trees shall be
removed, changed or altered without the prior written approval of
the CITY. All shelters shall be equipped with a street nante
affixed to the facia. Each transit shelter shall come equipped
with one (1) bench and one (1) thirty (30) gallon trash receptacle,
to be provided by CONTRACTOR.
E. CONTRACTOR shall furnish and pay for all charges for
electrical connections and the energy used and supplied to tb.e
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Agreement with Infinity Outdoor
Advertising Bus Shelter Program
Page 3
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transit shelters and shall indemnify the CITY against any and all
costs and charges arising out of the use, maintenance and the
construction thereof.
F. CONTRACTOR shall maintain the transit shelters at least twice
weekly, with such maintenance to include, but not be limited to,
sweeping., cleaning, emptying CONTRACTOR owned trash receptacles 1
keeping transit shelters free of graffiti, litter and debris, and
steam cleaning sidewalks a minimum of twice yearly 1 or as need
dictates at each such shelter location. In those instances where
the required maintenance is not sufficient, CONTRACTOR shall
increase the frequency of maintenance at no additional cost to
CITY.
G. CONTRACTOR shall, at its sole expense, replace or repair any
and all damaged or defaced shelters or individual parts thereof
immediately, but in no event longer than twenty-four (24) hours
after notification of such damage or defacement is received by
telephone from CITY unless such damage or defacement renders the
shelter dangerous, in which event CONTRACTOR shall respond
immediately, within four (4) hours, twenty-four (24) hours a day,
seven (7) days a week.
H. CONTRACTOR, at its sole cost and expense, shall relocate any
transit shelter constructed under this Agreement if requested to do
so by CITY because of redevelopment, traffic hazards, or changes in
bus routes. Any such transit shelter so relocated shall be
relocated to a location mutually agreeable to both parties.
I. CONTRACTOR retains the right to remove any transit shelter
upon thirty (30) days written notice to the CITY in the event any
restriction on the installation or maintenance of advertising is
hereafter imposed by statute or by ordinance of CITY, state or
federal government, or in the event proper authorities should
hereafter establish any rules, regulations or taxations which shall
have the effect of so restricting location, construction,
maintenance or operations of the transit shelters so as to diminish
the value of such transit shelter for advertising purposes.
J. Upon removal of any or all transit shelters constructed by
CONTRACTOR, all material shall be removed from the SITES, and each
of the said SITES shall be restored to the condition existing prior
to installation. All wires shall be removed and holes shall be
filled. All such work required hereby shall be performed by
CONTRACTOR at its sole expense and at no cost to the CITY.
SECTION IV
CITY'S RESPONSIBILITIES
CITY shall provide overall administration of the transportation
program including policy direction. The Community Services
Agreement with Infinity Outdoor
Advertising Bus Shelter Program
Page 4
Director, or a designated representative,
general supervision of all work performed
be the CITY'S agent with respect to
compliance hereunder.
SECTION V
COMPENSATION TO THE CITY
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shall have the right of
by CONTRACTOR and shall
obtaining CONTRACTOR's
CONTRACTOR hereby agrees to, and shall, pay to CITY the sum of $90,
or 15% of advertising revenue, per shelter, whichever is greater,
for the first year of this Agreement; $95, or 15% of advertising
revenue per shelter, whichever is greater for the second year;
$100, or 15% of advertising revenue, per shelter, whichever is
greater, for the third year; $105, or 15% of advertising revenue,
per shelter, whichever is greater, for the fourth year; and $110,
or 15% of advertising revenue, per shelter, whichever is greater,
for the fifth year of this Agreement. If the CITY and CONTRACTOR
agree to renew the Agreement for an additional five (5) years,
CONTRACTOR agrees to pay CITY the amount specified in the PROPOSAL.
Said amount shall be paid in quarterly installments commencing at
the end of the first three month period from the date CONTRACTOR
has installed the twenty ( 20) shelters specified by this Agreement,
and shall continue quarterly thereafter until the expiration of
this Agreement, or. any extension thereof, with the last such
payment due and payable on that date. Until CONTRACTOR has
installed the twenty (20) shelters provided for in this Agreement,
and at any time CONTRACTOR is maintaining less than twenty (20)
shelters, the amount owed shall be adjusted on a pro rata basis of
$90 per shelter, per month. Likewise, if more than twenty (20) ad-
bearing shelters are maintained at any time, the amount owed the
CITY shall be adjusted at the rate of $90 per shelter, per month.
SECTION VI
ADVERTISING CONTENT
A. Transit shelter displays shall be used solely for advertising
material or public service announcements. CONTRACTOR hereby agrees
that it shall utilize the transit shelters only for advertising
material and shall not use the transit shelters for indecent and
vulgar advertising, nor for advertising tobacco or alcohol
products. CONTRACTOR shall remove any advertising that the CITY,
in its sole discretion, deems inappropriate or inconsistent with
community standards. In the event such a determination is made,
all such advertising shall be removed within twenty-four ( 24) hours
after oral notification, with written notice to follow from CITY
requesting the removal of such material. Should CONTRACTOR fail to
remedy such situation within the given time restraints, CITY maY
elect to remove the inappropriate advertising and the costs
associated with said removal shall be the sole responsibility of
CONTRACTOR. In addition, no advertising sign or device shall be
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Agreement with Infinity Outdoor
Advertising Bus Shelter Program
Page 5
permitted which
( 1)
( 2 )
( 3)
( 4)
Displays the words "Stop", "Drive-in", or any other word,
phrase, symbol or character which, as determined by CITY,
may interfere with, mislead or direct vehicular traffic.
Consists of rotating, revolving or flashing light devices
or any other moving parts.
In the sole discretion of CITY contains any depiction of
an act of an inunoral, violent or debasing nature, or
otherwise not in keeping with standards and surrounding
locale.
Displays messages or language prohibited by federal or
state law or by CITY ordinance.
B. CONTRACTOR agrees to insert the contents of Section VI into
each and every contract it signs to permit advertisers to advertise
on shelters. Also each such advertising contract shall include a
condition that each such advertiser waives any right to recover
damages from the CITY for any removal of advertising requested by
CITY under Section VI.
C. CONTRACTOR agrees any and all unsold space shall be made
available to the CITY for public service announcements free of
charge. CONTRACTOR shall post and remove these public service
announcements at no charge to the CITY. The production of the
CITY's public service announcement posters shall be the
responsibility of the CITY and shall be done at its sole expense.
SECTION VII
INDEMNIFICATION
The CONTRACTOR shall assume the defense of and indemnify and hold
harmless CITY and its officers, officials, employees and agents
from and against all claims, damages, losses and expenses including
attorney fees, of every kind, nature and description, directly or
indirectly arising from the performance of the work described
·herein, regardless of responsibility of negligence of the
CONTRACTOR, any subcontractor, anyone directly or indirectly
employed by any of them or anyone for whose acts may be liable,
except where caused by the active negligence, sole negligence or
willful misconduct of the CITY.
The CONTRACTOR represents that he is an independent contractor and
will not make claim for unemployment or social security taxes,
and/or compensation, and will pay for any income tax on earnings.
Agreement with Infinity Outdoor
Advertising Bus Shelter Program
Page 6
SECTION VIII
INSURANCE
)
CONTRACTOR shall not commence work under this Agreement until
CONTRACTOR shall have obtained all insurance required hereby and
such insurance shall have been approved by CITY as to form, amount
and carrier, nor shall CONTRACTOR allow any . subcontractor to
commence work on any subcontract until all similar insurance
required of the subcontractor shall have been so obtained and
approved.
The CONTRACTOR shall procure and maintain for the duration of the
contract insurance against claims for injuries to person or damages
to property which may arise from or in connection with the
performance of the service hereunder by the CONTRACTOR, his agents
or representatives.
The CONTRACTOR shall maintain limits no less than: General
Liability of $1,000,000 per occurrence for bodily injury, personal
injury and property damage; Vehicle Liability of $1,500,000 per
occurrence for personal injury and property damage; Contractual
General Liability in an amount of not less than $1,000,000.
CONTRACTOR shall further agree to carry, at his own expense,
workers' compensation insurance in accordance with the law of the
State of California.
Any deductibles or self-insured retention must be declared to and
approved by the CITY. At the option of the CITY, either: the
insurer shall reduce or eliminate such deductibles or self-insured
retention as respects the CITY, its officers, officials, employees
and volunteers; or the CONTRACTOR shall procure a bond guaranteeing
payment of losses and related investigations, claim administration
and defense expenses.
The general liability and vehicle liability policies are to
contain, or be endorsed to contain, the following provisions:
(1) The CITY, its officers, officials and employees are to be
covered as insured as respects; liability arising out of
activities performed by or on behalf of the CONTRACTOR
products and completed operations of the CONTRACTOR,
premises owned, leased, hired or borrowed by the
CONTRACTOR. The coverage shall contain no special
limitations on the scope of protection afforded to the
CITY, its officers, officials or employees.
(2) For any claims related to this contract, the CONTRACTOR'S
insurance coverage shall be primary insurance as respects
the CITY, its officers, officials, employees and
volunteers. Any insurance of self-insurance maintained
by the CITY, its officers, officials, employees and
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Agreement with Infinity Outdoor
Advertising Bus Shelter Program
Page 7
( 3)
( 4)
( 5 )
volunteers shall be excess of the CONTRACTOR'S insurance
and shall not contribute with it.
Any failure to comply with reporting or other provision
of the policies including breaches of warranties shall
not affect coverage provided to the CITY, its officers,
officials, employees or volunteers.
The CONTRACTOR'S insurance shall apply separately to each
insured against whom claim is made or suit is brought,
except with respect to the limits of the insurer's
liability.
Each insurance policy required by this clause shall be
endorsed to state that coverage shall not be suspended,
voided, cancelled by either party, reduced in overage or
in limits except after thirty (30) days' prior written
notice by certified mail, return receipt requested, has
been given to the CITY.
Insurance to be placed with insurers which are "admitted" in the
State of California and have a current A.M. Best's rating of no
less than A:VIII, unless otherwise acceptable to the CITY.
SECTION IX
NONDISCRIMINATION
CONTRACTOR shall not discriminate in its recruiting, hiring,
promotion, demotion or termination practices on the basis of race,
color, sex, age, religion, national origin, disability, or any
other basis prohibited by law, in the performance of this Agreement
and shall comply with the provisions of the State Fair Employment
Practices Act.
CONTRACTOR hereby promises and agrees to comply with all of the
provisions of the Federal Immigration and Nationality Act and in
connection therewith, shall not employ unauthorized aliens as
defined therein. Should CONTRACTOR so employ such unauthorized
aliens for the performance of work and/or services covered by this
contract, and should the Federal Government impose sanctions
against the CITY for such use of unauthorized aliens, CONTRACTOR
hereby agrees to, and shall reimburse CITY for the cost of all such
sanctions imposed, together with any and all costs, including
attorney's fees, incurred by the CITY in connection therewith.
SECTION X
COMMENCEMENT AND TERMINATION
A. This agreement shall commence July l, 2000 and shall conclude
on June 30, 2005. Except as expressly provided in subsection B or
Agreement with Infinity Outdoor
Advertising Bus Shelter Program
Page 8
C hereof, this Agreement may be terminated by the CITY only for
good cause and after the CITY has notified CONTRACTOR in writing
the reason(s) why such action is contemplated, giving CONTRACTOR
sufficient time within which to correct any deficiency which may be
the reason why the CITY is contemplating termination of the
Agreement, and only after a public hearing is held before the
Temple City City Council at which CONTRACTOR shall be given an
opportunity to respond as to why this Agreement should not be
terminated by the CITY. A violation of Section VI above shall be
cause for a summary revocation of this contract as to the specific
shelter involved, and if such violation continues for 72 hours
after notification, then CITY may immediately, and without further
notice, delete such shelter from this Agreement and neither
CONTRACTOR, nor its advertisers, shall have any further rights
thereto.
B. CITY hereby reserves the right to terminate this Agreement
should the public interest, safety and necessity require the CITY
to use any or all of the SITES for their original intended purpose-
public right of way. Upon such a determination by the CITY, the
CITY shall give CONTRACTOR sixty (60) days advance written notice
of its intent to so use any and/or all of the SITES and CONTRACTOR
hereby agrees to remove the said transit shelter(s) at its sole
expense and to restore each and/or all of the SITES to its/their
original condition, normal use and wear excepted, by no later than
the expiration date of said sixty (60) day period.
C. In the event CONTRACTOR fails to provide and maintain in a
current condition the insurance required in Section VIII, and to
furnish CITY with evidence of such coverage, or the authorization
granted by this Agreement is revoked by the CITY pursuant to
subsection A as stated above, or upon the termination of this
Agreement for any reason, CONTRACTOR shall immediately remove all
of its transit shelters and restore the SITES to the condition
existing prior to installation. If CONTRACTOR fails to do so
within thirty (30) days after notice to do so is mailed by CITY,
CITY shall have the right to remove them, and CONTRACTOR shall be
obligated to reimburse CITY for any and all costs incurred by it in
removing the same and restoring the SITES.
SEC'riON XI
NONASSIGNMENT
CONTRACTOR shall not assign or sublet any interest of CITY without
first obtaining the written consent of CITY; nor shall said
AGREEMENT be transferable by operation of law; and this AGREEMENT
shall become null and void and shall terminate by reason of any
bankruptcy, insolvency or receivership proceedings, attachment,
execution or judicial process or sale against CONTRACTOR.
"~ 1 • ...
Agreement with Infinity Outdoor
Advertising Bus Shelter Program
Page 9
SECTION XII
ENTIRE AGREEMENT
This agreement shall constitute the entire understating of the
parties hereto and shall not be modified unless made in writing by
the parties hereto.
CITY:
CONTRACTOR:
City of Temple City
9701 Las Tunas Drive
Temple City, CA 91780
Infinity Outdoor
1731 Workman Street
Los Angeles, CA 90031
IN WITNESS WHEREOF, the parties hereto have caused this Agreement
to be executed on this 18th day of April, 2000.
B By: Inf~tf
ATTEST:
APPROVED
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BUS SHELTER
PROPOSAL
city of
TEMPLE CITY
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February 14, 2000
Cathy Burroughs
Community Services Director
City of Temple City
9701 Las Tunas Drive
Temple City, CA 91780-2249
Dear Cathy Burroughs:
Infinity Outdoor, formerly Outdoor Systems Advertising is pleased to
submit this proposal in response to the City of Temple City's request for an
upgrade in it's existing bus shelters. We at Infmity Outdoor are excited
about the prospect of becoming a partner with the City of Temple City.
At Infinity Outdoor's expense, we propose to remove 15-20 existing
shelters and replace them with newly designed shelters and amenities that
the city selects. In addition, Infinity Outdoor will maintain the said shelters
a minimum of twice weekly at no cost to the city.
Infinity Outdoor works hard to provide a quality product that is second to
none in the bus shelter industry. We pride ourselves on being professional
and responsive to any and all needs that our cities may have. Infmity
Outdoor is the industry leader in sales and service. What that means to the
City ofTempie City is that we are able to command top dollar for our
product which is passed along to the City in shared revenue. We have a
proven winning track record in providing quality shelter maintenance and
service in Southern California. Infinity Outdoor believes in developing
partnerships with each city that we operate in by getting directly involved
in many city sponsored public service campaigns.
Thank you for considering Infinity Outdoor in this process. I look forward
to the opportunity to build a relationship with the City ofTemple City. If
you have any questions about this proposal, our company, or anything
related to the Shelter program please do not hesitate to call me at (323)
276-7545.
Best regards,
Amber Dennis
Transit Representative
1731 Workman Street .. Los Angeles_.. Calif'ornia 900311
(323) 222-7"171 ·Fax (323) 225-0247
"\NVVVV.outdoorsystems~corn
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PROPOSAL
1. New Shelter Designs:
• The city has expressed an interest in upgrading it's existing bus shelters. Exhibit-A
presents three bus shelter designs (tile roof, flat roof, and dome roof) that Infmity
Outdoor proposes to install The city may choose which shelter design meets its
specifications.
2. Replacement:
• Infinity Outdoor proposes to remove and replace 15-40 existing transit shelters with
newly designed shelters and amenities, selected by the city, and at no cost to the city.
This would be a capital investment of approximately $240,000.00.
3. Locations:
• Locations are to be selected by the City of Temple City and agreed to bY Infmity
Outdoor. Shelter locations must:
*Meet all current ADA guidelines.
*Have an adequate power supply source.
*Have no surrounding private property complaints or obstructions.
*Accommodate the chosen shelter design with proper clearance.
4. Maintenance:
• Infinity Outdoor will maintain shelters and the sidewalk surface immediately under
and adjacent to the shelter, a minimum of twice weekly, and at no cost to the city.
5. Compensation:
• Infinity Outdoor will pay to the city $90-$135 per shelter per month which is to be
paid on a quarterly basis, or 15% of advertising revenue which will be reconciled on
an armual basis.
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R e v e n u e R e v e n u e
1 1 7 1 5 $ 9 0 $ 1 8 , 3 6 0 . 0 0
2 1 7 1 5 $ 9 5 $ 1 9 , 3 8 0 . 0 0
3 1 7 1 5 $ 1 0 0 $ 2 0 , 4 0 0 . 0 0
4 1 7 1 5 $ 1 0 5 $ 2 1 , 4 2 0 . 0 0
5 1 7 1 5 $ 1 1 0 $ 2 2 , 4 4 0 . 0 0
$ 1 0 2 , 0 0 0 . 0 0
C o n t r a c t Y e a r # o f T r a n s i t % o f G u a r a n t e e d p e r T o t a l A n n u a l
S h e l t e r s A d v e r t i s i n g S h e l t e r / M o n t h G u a r a n t e e d
R e v e n u e . R e v e n u e
6 1 7 1 5 $ 1 1 5 $ 2 3 , 4 6 0 . 0 0
7 1 7 1 5 $ 1 2 0 $ 2 4 , 4 8 0 . 0 0
8 1 7 1 5 $ 1 2 5 $ 2 5 , 5 0 0 . 0 0
9 1 7 1 5 $ 1 3 0 $ 2 6 , 5 2 0 . 0 0
1 0 1 7 1 5 $ 1 3 5 $ 2 7 , 5 4 0 . 0 0
' $ 1 2 7 , 5 0 0 . 0 0
G r a n d 1 0 y e a r
T o t a l
$ 2 2 9 , 5 0 0 . 0 0
6 . T e r m :
" T h e t e r m w i l l b e a f i v e ( 5 ) y e a r e x c l u s i v e c o n t r a c t w i t h a f i v e ( 5 ) y e a r r e n e w a l o p t i o n .
7 . I n s u r a n c e :
" I n f i n i t y O u t d o o r w i l l m e e t a n y t e r r u s t h a t t h e C i t y o f T e m p l e C i t y a s k s f o r i n r e g a r d s
t o i n s u r a n c e . �
8 . A d v e r t i s i n g :
" I n f i n i t y O u t d o o r w i l l a d h e r e t o i t s B u s S h e l t e r A d v e r t i s i n g P o l i c y ( s e e p a g e 1 5 ) .
9 . P u b l i c S e r v i c e A d v e r t i s i n g :
" I n f i n i t y O u t d o o r w i l l d o n a t e t o t h e c i t y a n y u n s o l d a d v e r t i s i n g s p a c e . T h i s w i l l a l l o w
t h e c i t y ( a t n o c h a r g e ) t o i n f o r m a n d / o r p r o m o t e v a r i o u s c i v i c a w a r e n e s s p r o g r a m s ,
s p e c i a l e v e n t s a n d t h e a r t i s t i c s i d e o f t h e c o m m u n i t y .
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INFINITY OUTDOOR'S BUS SHELTER ADVERTISING
POLICY
"Infinity Outdoor will utilize the bus shelters only for advertising. We
will not use the shelters for indecent or vulgar advertising and there will be
no liquor or tobacco related products advertised. We will make every effort
to withdraw any advertising from shelters which the city may determine in
its discretion to be indecent or vulgar. In the event that such city makes such
determination, such advertisement shall be removed within 24 hours after
notification by the city."
15
FIRST AMENDMENT TO AGREEMENT
FOR ADVERTISING BUS SHELTER PROGRAM
ORIGINAL
The undersigned do hereby amend the Agreement between the City of
Temple City (CITY} and Infinity Outdoor (CONTRACTOR} as follows:
The original locations of the advertising shelters as identified on
"Exhibit B", shall be amended. The locations for the advertising
shelters shall include any/or all of the following locations:
1. Rosemead/Pentland -NE Corner
2. Rosemead/Sereno -NE Corner
3. Rosemead/Broadway -NE Corner
4. Rosemead/Broadway -NW Corner
5. Rosemead/Las Tunas -SE Corner
6. Rosemead/Las Tunas -SW Corner
7. Rosemead/Hermosa-SE Corner
8. Rosemead/Hermosa -NW Corner
9. Rosemead/Garibaldi -SE Corner
10. Rosemead/Garibaldi -NW Corner
11. Rosemead/Longden -NE Corner
12. Rosemead/Longden -SW Corner
13. Rosemead/Emperor -NE Corner
14. Rosemead/Emperor -NW Corner
15. Baldwin/Lower Azusa -NE Corner
16. Temple City/Lower Azusa -NE Corner
17. Temple City/Lower Azusa -SW Corner
18. Lower Azusa/Birchland -NW Corner
19. Las Tunas/Rosemead -NW Corner
20. Las Tunas/Rosemead-SE Corner
21. Las Tunas/Sultana -NW Corner
Notwithstanding the aforementioned Amendment, all other provisions
of said Agreement shall remain in effect.
. I
FIRST AMENDMENT TO AGREEMENT
FOR ADVERTISING BUS SHELTER PROGRAM
Page 2
Date :_-"L,'---~ __ -_D_o ____ _
By: By:
Mayor
City of Temple City
ATTEST:
Yh~R.1:~
city c~ .
City Attor
CMB\FORM\23131.1
INFINITY OUTDOOR
c~
CICBS
OUTDOOR
CERTIFIED MAIL
September 12, 2013
Ms. Cathy Burroughs
Director of Parks and Recreation
City of Temple City
9701 Las Tunas Drive
Temple City, CA 91780
Re: Bus Shelter License Agreeme'nt.
Dear Ms. Burroughs
ATTACHMENT B
CBS Outdoor LLC (formerly Infinity Outdoor, Inc and Via com Outdoor, Inc.) currently maintains an
agreement with the City of Temple City, which was first entered into on April 18, 2000, for a License to
construct, install and maintain bus shelters in the City. In exchange for this License, CBS Outdoor agrees
to pay to the City the greater of 15% of net revenue, as defined, for each shelter, or a guaranteed base
a,mountp~r m~nth per shelte~. . , , ... • .. ,; ·.
E,ffe~tive s~~i~;i;'ber'~, iotf cEiso~iiJbo~LL.c plans tocorihibute an uhdividea·so%interest in. this, .··.·
agreement to its affi)iate, CBS Outdoor L.A. Inc. and to sell the remaining undivided 50% interest in the
agreement to JCDe~aux.NdrthAmetiCa Inc: Immediately following these transactions, both CBS Outdoor
L.A. Inc:'. and JCDecaux North ·A~·erica Inc. pl~m to contribute their:interests in the agreement to CBS
Decaux Street Furniture, LLC, a joint venture of CBS outdoor L.A. Inc. and JCDecaux North America Inc,
entered into on January 1, 2002.
The net effect of these transactions is that the agreement will be assigned to and performed by CBS
Decaux Street Furniture, LLC, the joint yenture between CBS Outdoor and JCDecaux that currently holds
the rights to severai similar agre.ementS,in the Gr!eater LoS Angeles area, including the rights to the City
of Los Angeles' Coordinated Street Furniture program and the 'City of West Hollywood's License for
Street Furniture.
Assigning the contract to the CBS Decaux joint venture will con~olidate these Greater Los Angeles street
furniture franchises, resulting in synergies and benefits of scale to the City ofT em pie City. It is ourfirm
belief that this change is in the best interests of the City, ·and· we can·assure you that for all intents and
purposes, the change wi.ll be all ou·t'invisible to you. ,.·. .. . . . . . . . . . ' : . . ·'
lh acco~dance withth~ t~r~s6four agreein~ritin particular thte'proVISioilS'iri Se:Gtion XI ~~e are ~ski~g
that you consent to the transactions described above. . . . . '' . . .. ·
405 LEXINGTON AVENUE, NEW YORK, NY 10174 • (2lZ) 297-6400 • FAX (212) 370-1817 • cbsoutdoor.com
I would appreciate it very much if you would provide your consent by signing where indicated below and
returning an executed copy of this letter to my attention within the next ten business days. If you have
any questions, please let me know.
Thank you very much, we have very much enjoyed our long and successful relationship with the City of
Temple City and look forward to continuing to work with you during the remaining term of our
Rich d Ament
Senior Vice President
Agreed and Accepted by:
The City of Temple City
Its:
Date:
~CBS
OUTDOOR