Garbage truck ads smelling like cash
Posted: 09/24/2011 01:00:00 AM PDT
Although some critics might say that the idea stinks, Los Angeles may soon try to fill its coffers with revenue from advertising placed on city garbage trucks.
The Board of Public Works recommended approval Friday of a pilot program that would turn 500 of the city's 774 trash trucks into mobile billboards.
Officials agreed, however, that some people may have to be convinced of the adage that one man's trash is another's treasure.
"We realize that we have to get beyond the stigma that this is a trash truck," said Richard Wozniak, a manager in the Sanitation Bureau. "We have tried this in the past, but never were able to get much of a response from the industry. We are hopeful this time will work.
"We believe that local mom-and-pop stores could benefit from this as well as large firms. We gave a list of all our vendors to Roadway to contact."
The pilot program is open-ended and will be reviewed periodically to see if it is a success.
"We don't know what to expect and hope it can bring in some money," Wozniak said.
The program would be similar to the advertising on Metropolitan Transportation Authority buses, which generates $30 million annually, agency spokesman Marc Littman said.
Revenue generated from trash-truck ads would go into the Sanitation Bureau's Solid Waste Resources Fund, which is used to purchase the vehicles.
This represents the first effort to have advertising on city vehicles, although officials said the idea could be replicated on DASH buses and in public parks.
The city has faced multimillion-dollar shortfalls for each of the past four years, resulting in a reduction in the city workforce of more than 4,000 employees and cuts in services.
When the City Council this summer held a day-long session to brainstorm ideas to generate $100 million over five years, advertising was one of the top proposals considered.
The advertising would be handled by Roadway Displays Inc., based in Ramona, Calif. Company President Dennis Barrett said it the pilot program represents a new product for his firm, as well.
"We have never really done this kind of work before and we aren't sure what is out there," Barrett said. "I would expect to see a lot of cleaning supplies and that type of item, but we are looking at everything.
"I would imagine if a real estate agent in Hollywood, say, wants to get the word out, they would be looking at us for this. We will be able to change the ads based on the routes they cover."
One question Barrett and city officials hope to see answered is if there is a different value for the advertisers based on the routes of the trucks.
"It's something we don't know," Barrett said. "Will a route in the Valley be worth more than one somewhere else? It might depend on the products. It's something we will be interested in."
Barrett said he is confident the program will succeed and will expand to all sorts of other advertisements.
"I don't see why the movie companies wouldn't want to advertise with us," Barrett said. "I think once they see the audience they can attract, they will be lining up."
Questions about the propriety of advertising on public vehicles is a debate that has long passed as cash-strapped government agencies seek to fund their operations.
"My only concern would be is that it is an open and fair process," said Bob Stern, executive director of the Center for Governmental Studies. "You wouldn't want to see one firm dominating all the ads or being given a special deal to advertise and keeping others out."
And if it's successful, other city agencies are expected to join in the effort to bring in more revenue.
Parks officials for the past several months have been pushing to allow advertising to offset their costs at sites such as youth baseball fields and dog parks.
In the past, the city has also looked at, but not pursued, other revenue sources such as charging to have buildings named after individual donors.
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