Authorizing the Advertisement to receive Request for Proposals to select a qualified advertising agency to sell transit advertising on transit assets such as buses and bus shelters.

Rochester Public Transit (RPT) currently allows for advertising in and on 18 buses and one bus shelter which generates approximately $150,000 in revenue annually. This Request for Proposal (RFP) ensures a competitive process required by the Federal Transit Administration (FTA) and creates an opportunity to find a partner that can maximize advertising income by increasing advertising to 51 buses and five bus shelters. The pricing formula for this RFP includes the greater of an annual guarantee minimum or a percentage of gross advertising sales. Currently, RPT is receiving a revenue share of 50% of gross advertising sales.

It is expected that the contract will have an effective date of January 1, 2027 with an initial term of five years with an option to extend another five years. The Council is expected to approve a contract in October.

The revenue generated by this agreement helps to fund the local share of transit expenses.

There is no fiscal or resource impact for this action.

No alternative action is suggested at this time.