Sell naming rights for cash, says councillor
Brian Varga says the ‘company name Esplanade’ or ‘company name Veiner Centre’ could mean big bucks for operations
A city councillor says administrators should be actively trying to sell the naming rights to the Esplanade, the Veiner Centre and the Family Leisure Centre among other city facilities as a way to increase revenue.
Others council members who heard a proposed policy that would govern such advertising said some facilities might be off limits, but for a business or group to attach their name to meeting rooms might be more appropriate.
Coun. Brian Varga told Tuesday’s meeting of the corporate services committee that he’s excited that new revenue could help support operations, specifically the soon-to-be-rebuilt seniors’ centre or the Esplanade Arts centre.
“We have a number of facilities that don’t have a name, that we could sell to help cover (operating) costs,” he said.
“We wouldn’t change the names but it could be the ‘Company name Esplanade’ or the ‘company name Veiner Centre’.”
That statement led some committee members to bristle.
Chair Coun. Robert Dumanowski said he supported the idea in some instances, but not for certain facilities.
“I’d never consider changing the ‘Esplanade’,” he said, noting the main theatre within the building might be a candidate for naming rights.
Coun. Jim Turner said the building names might not be up for debate, but meeting rooms or other sponsorship would be welcome.
“It looks as though there could be some opportunity,” said Turner, saying the new terminal at Medicine Hat Regional Airport is a prime example of where denoting advertising space could benefit the city and businesses.
Administrators said that no active selling campaign is in the works, but increasingly, senior officials are being approached regarding advertising or facility management.
The city has no policy in place to outline standards, compensation, duration or placement of ads or sponsorships.
New guidelines will go before council at its Feb. 21 meeting, and which state that ads should not be political or controversial in nature and sponsorship above $100,000 would be subject to council approval.
“It gives staff some framework to know what they could expect and allow them to know what’s acceptable,” said commissioner Brian Mastel.
Dumanowski said he has been approached by a number of members of the business community asking about possible advertising opportunities, specifically at the new wings of the leisure centre.
“I’ve been to some facilities where the proliferation of advertising is nauseating, to be frank,” said Dumanowski, who said his children take part in out-of-town activities. “But if it’s done correctly it can generate revenue.”
Varga also said he felt some consideration or grandfathering of naming rights would have to take place.
The Veiner Centre was so named because it was built on land given to the city by the popular longtime mayor.
The Family Leisure Centre is already home to the Cenovus Arena and the Methanex Bowl football field.
Other facilities, such as the Moose Rec Centre and Moose ball complex, Kin Coulee park, the Hockey Hounds Arena, the Rotary Track, were all so named due to major capital donations at time of construction.
Some groups continue to pay certain maintenance costs at facilities.
The Esplanade was built debt free thanks to profits from the city’s land department.
Naming rights to the city’s event centre were sold to Canalta Hotels in 2015, though the terms are not disclosed and the proceeds collected by facility manager SMG-Canada as part of their management contract with the city.