City Council

(2) 11­2007­S1 TRANSPORTATION COMMITTEE REPORT relative to the proposed Second Amendment to Contract No. C­129151 with Outfront Media LLC (Outfront Media) for Transit Vehicle Advertising. Recommendation for Council action: AUTHORIZE the General Manager, Los Angeles Department of Transportation (LADOT), or designee, to execute the Second Amendment to Contract No. C­129151 with Outfront Media LLC for transit vehicle advertising services, to: a. Extend the term of the Contract for a sixth year through September 30, 2024 with the option to extend on a month­to­month basis for a period not to exceed six additional months from the end of March 2025. b. Approve the adjustment of the compensation rate to pay the City a 60 percent share of the net revenue earned by Outfront Media from the sale of advertising during the proposed term extension. c. Update the City’s Standard Provisions for City Contract (Rev 10/21 [v.4]), and contracting language as required by Ordinance of all City contracts, and incorporation of Attachments and Exhibits as detailed in the June 14, 2024 City Administrative Officer (CAO) report, attached to the Council file. Fiscal Impact Statement: The CAO reports that there is no General Fund impact associated with this proposed contract amendment. Execution of the proposed amendment will result in a 60 percent share of the net revenue earned by the contractor from the sale of advertising from October 1, 2023 13,March through 202431, - 2025. Revenue generated through 6 this [v.4]), and contracting language as required by Ordinance of all City contracts, and incorporation of Attachments and Exhibits as detailed in the June 14, 2024 City Administrative Officer (CAO) report, attached to the Council file. Fiscal Impact Statement: The CAO reports that there is no General Fund impact associated with this proposed contract amendment. Execution of the proposed amendment will result in a 60 percent share of the net revenue earned by the contractor from the sale of advertising from October 1, 2023 through March 31, 2025. Revenue generated through this contract is deposited into the City's Proposition A Local Transit Assistance Fund which supports City transit services. The contract includes a ratification clause to apply the rates in the amendment for services provided to the City in the period prior to the execution of the extension. Financial Policies Statement: The CAO reports that the recommendation contained in the June 14, 2024 CAO report, attached to the Council file, complies with the City Financial Policies. There is no cost to the City for the proposed contract amendment and the contract agreement provides for revenue to the City.