Agenda Item No.: F.1.a. Amendment to City of Edmonton Facility Name Sale Policy C477 Recommendation: That Community Services Committee recommend to City Council: That the amended Facility Name Sale Policy C477A (Attachment 1 of the February 6, 2007, Community Services Department report 2007CSR002) be approved. Report Summary This report offers a summary of findings from a public consultation process regarding selling City of Edmonton facility naming rights along with a proposed amended Facility Name Sale Policy C477A based on feedback obtained through the public consultation process. Previous Council/Committee Action At the May 1, 2006, Community Services Committee meeting, the following motion was passed: That the April 18, 2006, Community Services Department report 2006CSR011 be referred back to Administration to conduct appropriate public consultation with respect to the concept of selling names of City of Edmonton facilities, and that subject to this consultation, come back to the Community Services Committee with an appropriate amended Facility Name Sale Policy, which includes parameters and categories of facilities that may be pursued. Report A public consultation process was initiated in an effort to determine the level of public support for the idea of selling the naming rights to City Routing: Delegation: Written By: February 6, 2007 File: 2007CSR002 facilities as a means of recognizing sponsorship support, facility categories in which name sales could occur, circumstances within the categories in which name sales could occur, and the support for a proactive approach by the City in pursuit of possible naming opportunities. The public consultation process included a telephone survey of 400 randomly sampled Edmontonians conducted from August 1 to August 17, 2006, stakeholder feedback via a workbook questionnaire and information meeting, and a focus group staged in January 2007. Summary of Public Consultation Findings Both telephone survey respondents and stakeholder groups confirmed the current policy direction not to sell the names of existing facilities. The public, stakeholder groups and focus group participants were far more comfortable with the idea of selling the names of new facilities. The main reason cited was the lack of history associated with a new facility. It also meant that a name change was not needed. Arenas and multi-sport complexes received the most support for being named after a corporate sponsor in both the resident and stakeholder surveys. The support for the sale of naming rights for elements or portions of facilities was much higher than for the sale of the entire facility name (e.g. a cardio studio or weight room inside a recreation complex). Community Services Committee, City Council R. Smyth/D. Prefontaine G. Dewar Community Services Department (Page 1 of 2) Amendment to City of Edmonton Facility Name Sale Policy C477 Summary of Proposed Facility Name Sale Policy Amendments Given the low level of public support, the amended policy continues to direct Administration not to actively seek proposals for existing facilities. The amended policy supports the City of Edmonton proactively pursuing the sale of facility naming rights for new municipal facilities and for elements or portions of current and future municipal facilities. Concept approval for Administration to explore the sale of facility naming rights for new facilities and elements or portions of a facility with a potential partner must be obtained from City Council. A public consultation process must confirm community support for the name sale. The Naming Committee is consulted regarding the proposed name. Additional policy statements have been added to ensure a name sale agreement does not compromise the City’s ability to carry out its functions fully and impartially; that the granting of naming rights will not entitle a naming entity to preferential treatment by the City outside of the Naming Rights Agreement; and that the City will not relinquish any aspect of its right to manage and control a civic facility through a Naming Rights Agreement. 2. A policy amendment allowing Administration to seek naming sponsors for new recreation facilities would support alternative approaches currently being explored for developing new facilities including P3. 3. The contemplated policy amendments would still require that City Council approve any name sale agreements, but would allow Administration to approach potential sponsors of new recreation facilities and elements within facilities as opposed to waiting for them to approach the City. Background Information Attached 1. City Policy C477A - Facility Name Sale 2. City Procedure C477A – Facility Name Sale 3. Current and Proposed Amended Policy Comparison Justification for Recommendation 1. The public consultation process yielded support for the selling of names of facility elements and names of new facilities. (Page 2 of 2) Attachment 3 Current and Proposed Amended Policy Comparison Facility Name Sale Policy Review Current Policy (C477) and Amended Policy (C477A) Comparison Summary Current Facility Name Sale Policy (C477) Directs Administration not to actively seek proposals for name sales. A public consultation process must confirm support for each name sale. The Naming Committee is to be consulted regarding the proposed name City Council must approve all name sale agreements. Amended Facility Name Sale Policy (C477A) Directs Administration not to actively seek proposals for existing facilities. Enables Administration to seek proposals for new recreation facilities subject to Council’s consent. Enables Administration to seek proposals for portions or elements of facilities subject to Council’s consent. No change. No change. No change Additional Policy Statements in C477a Agreement not to compromise the City’s ability to carry out its functions fully and impartially. The granting of Naming Rights will not entitle a Naming Entity to preferential treatment by the City outside of the Naming Rights Agreement. The City will not relinquish any aspect of its right to manage and control a Civic Facility through a Naming Rights Agreement. Attachment 3 - Page 1 of 1