As the Globe and Mail reported the Toronto Transit Commission (TTC) commissioners have given the green light to the sale of subway naming rights, refusing a request to let city council weigh in before it goes forward with the contentious plan.
The naming-rights proposal is part of a 12-year, $324-million advertising deal approved Wednesday by the commissioners. The contract, awarded to Pattison Outdoor Advertising, lists several new initiatives to be pursued by the firm, including the sale of naming rights for subway stations and subway lines, as well as the introduction of new technology for ads in stations and on subways, buses and streetcars.
Commission chair Karen Stintz said the new contract will bring in badly needed cash to the transit system, which relies on the fare box for almost all of its revenue. The deal includes a guarantee of a minimum $25.2-million in ad revenue for the commission in its first year, $11-million more than the revenue guaranteed in the existing contract.
“This contract does allow opportunities to grow our revenue base,” said Ms. Stintz, also a city councillor. She urged commissioners to “embrace the contract and its opportunities,” noting that the funds are needed to update and expand the system. “By ourselves, we cannot do it,” she said.