Advertisement

Business deals on the agenda

Forget American Express.

You might be able to charge it to your Costa Mesa credit card if

the City Council likes one of a number of new marketing schemes being

pitched as fundraisers for the city’s coffers.

The basic concept of the plan is to use the city’s assets to pool

community support and attract corporate deals and sponsorships -- all

with the goal of supporting city amenities such as parks, youth

programs and community services.

The ideas are detailed in a report to the council from Active

Public Enterprise Group, a Huntington Beach-based consulting firm.

The previous council commissioned the report, and it will be

discussed for the first time at a Tuesday study session.

With the help of the consultant, Costa Mesa already has inked one

sponsorship deal -- a 10-year, $300,000 pact with homegrown

skateboard clothing company Volcom for the city’s skate park. The

company gets its name and logo on the park and can hold a few events

a year there, and the city gets money to pay the costs of running the

park.

“I think that the skate park sponsorship demonstrated how you

could have a tasteful and integrated partnership that wasn’t totally

in your face,” city recreation manager Jana Ransom said.

The new report suggests other ways the city could raise money

through partnerships with businesses -- finding sponsors for the Bark

Park and TeWinkle Park, placing advertisements on the tailgates of

city trucks, selling exclusive rights to a beverage or snack company

for city vending machines, or making a deal with a bank that would

serve the city and put its cash machines in city facilities.

City credit or debit cards are another idea. They would be issued

through a partnership with a bank or credit union, and could be

MasterCard or Visa-type credit cards or cards that carry a set amount

of money like store gift cards. When the cards are used, a percentage

of the transaction fee charged would be kicked back to the city.

More cities are starting to market themselves and make corporate

deals as a way to pay for services without hiking taxes, and

residents have been supportive said Don Schulte, president of Active

Public Enterprise Group.

“People said, ‘Look, if I know where the money’s going and we’re

raising money to reduce taxes, I like it -- as long as there’s not

big, blazing signs everywhere,’” Schulte said.

Among his clients are the city of Long Beach, the New York and New

Jersey Port Authority, and California State Parks.

One of his first municipal contracts was a 1999 beverage deal the

company worked out for Huntington Beach. Today that city has

contracts for its lifeguard vehicles, bank machines in city

buildings, and six or seven other deals that rack up between $1

million and $1.5 million a year, Schulte said.

But one drawback is that people are afraid of overcommercializing.

Schulte said they rarely complain once ad programs are in place, but

Ransom said some people think Huntington Beach has “gone overboard”

with advertising.

So, should we expect to see “Welcome to the city of Costa Mesa --

a subsidiary of Wal-Mart” signs someday?

Ransom said that depends on the City Council. She has no idea how

receptive council members will be to making their city a marketing

tool.

Corporate partnerships could support something people care about

-- youth sports programs or more athletic facilities -- she said.

“I don’t think you’ll see great changes,” Ransom said. “You may

see somebody’s logos on all our trash cans.”

* ALICIA ROBINSON covers government and politics. She may be

reached at (714) 966-4626 or by e-mail at o7alicia.robinson

@latimes.comf7.

Advertisement