Rapid City Journal reports that the Rapid City Council voted 6-2 to permit Creative Outdoor Advertising to install and sell advertisements on in exchange for taking over the management and ownership of the benches.  Here’s a summary of the contract terms:

• Creative supplies, installs and maintains 75 city transit benches.
• Creative pays the city $205 per bench per year which works out to $15,375/year for three years.
• Three year term.  Creative owns the benches at the end of three years.
• Creative must allocate 10% of ads to public service announcements.
• Creative will hire local workers to administer, maintain and sell ads on benches.

Florida-headquartered Creative Outdoor manages 10,000 pieces of street furniture across the US and Canada.

Insider’s take: Everyone wins.  Rapid City eliminates bench maintenance costs and generates $45,000 to fund city services.  Local businesses get the chance to advertise for customers.  Creative get the chance to make money.  A three year term seems short compared to the 5-15 year term Insider sees on many transit deals.

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