Agenda - Council - 06/14/2022 - Laserfiche WebLink

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Sign Ordinance The sign Ordinance adding digital display billboards and the rules and regulations is being introduced this evening in another case. Approval of the attached lease is contingent on adoption of the Ordinance. The terms of the attached lease were discussed by the City Council during a previous work session and the sign spacing and display interval of 7s are incorporated into the Ordinance to be introduced at the City Council Meeting. Notification: N/A Observations/Alternatives: iDigital has communicated to City Staff that they are anxious to move forward on this project. Lead times for new digital displays are out longer than usual and it takes awhile to get through the processes relating to siting the billboards. iDigital Media would like to have this project under construction in 2022 if it is feasible. Key terms of the proposed lease include: •Lessor will be paid monthly at a rate of 25 % of the gross monthly billing per month. (Estimated to be about 60K/Year). Payments to Lessor will commence 60 days after the billboard goes live. Two years after billboard goes live, a minimum payment of$1,500/month($18,000/year) shall be made by the Lessee to the Lessor. •Lessee agrees to reserve up to 8 slots of the advertisement inventory for Local Business Enterprises, in the event this inventory is not sold within 120 days, Lessee reserves the right to open that inventory for sale to entities outside of Ramsey city limits. Lessee will work in good faith with the city of Ramsey to prioritize local businesses that wish to advertise on the billboard. •Lessee agrees to allow City of Ramsey to use advertising space on the Ramsey billboard for Public Service Announcements (PSA) as inventory is available; Lessee will do its best to accommodate any PSA requests. •Lessee agrees to allow the City of Ramsey to advertise up to I slot each on its St Cloud Network and Northern MN network at no cost based on open inventory. •Lessee will raise advertising rates annually based upon prime and/or market conditions. Local Business Enterprises or"LBE" will have a special rate, called the"local rate". The local rate shall be 3 3%less than the standard rate card rates as published by iDigital annually. An LBE shall be defined as a business headquartered or which maintains a Substantial Local Office that performs the significant functions of the business in the City of Ramsey or a business of which at least 51% of the stock, equity, or beneficial interest is owned,held, or controlled and whose day-to-day management is under the control of an individual residing in the City of Ramsey. All businesses in the COR shall also carry an LBE designation. There is no formal certification process for LBE designation and it is determined and assigned based upon the criteria referenced in this definition. •Lessee further agrees to give the City of Ramsey open inventory for free on Lessees other networks to advertise events and announcements. •In light of Lessor's status as a governmental entity, Lessee agrees political advertisements, meaning advertisements appealing for votes for or against a candidate or issue in any election campaign will be treated with equal opportunity and be unbiased to any one party. This will include equal inventory offerings and equal rates to all political parties. Lessee further agrees to prohibit advertisement of adult use businesses or products sold or marketed by adult use businesses as such businesses are defined in Section 117-1 of the City Code, as well as advertisement of tobacco products, including cigarettes, e-cigarettes, chewing tobacco, cigars and vapor products, and any advertisement that promotes the use or consumption of such products •Lessee agrees to place on the sign pedestal permanent City of Ramsey verbiage and logo visible from both directions on Highway 10. The Ramsey EDA met on February 10, 2022 and recommended that the above terms be included in the lease. Alternatives for Lease: 1) City Council to approve the attached Lease with iDigital Outdoor, LLC contingent on adoption of sign Ordinance; subject to City Attorney Review(as presented) 2) City Council to approve the attached Lease with iDigital Outdoor, LLC contingent on adoption of sign