Committee forwards Clear Channel transit-shelter amendment to Board after labor support and data request

San Francisco’s Budget & Finance Committee on Nov. 16 voted to forward to the full Board a proposed second amendment to the Municipal Transportation Agency’s transit‑shelter advertising agreement with Clear Channel Outdoor LLC, setting a five‑year extension from Dec. 7, 2022, to Dec. 7, 2027, but did so "without recommendation" while asking SFMTA and its budget analysts to review maintenance records.

Jonathan Rovers, chief strategy officer for SFMTA, told the committee the seven‑month negotiation refocuses the deal on maintenance and rider experience. Rovers said the amendment reduces the contract’s minimum annual guarantee (MAG) to align with historical advertising receipts (an average he described as about $10.6 million per year) while increasing routine street‑level shelter cleaning from two to three times a week, adding dedicated platform maintenance five days a week, and committing approximately $6 million in capital work (about $3 million for a citywide shelter refresh and $3 million for digital displays).

Nick Menard of the Budget and Legislative Analyst’s office said the BLA’s packet showed a larger net revenue reduction to MTA — noting a $64 million reduction over the five‑year period compared with the current contract — and flagged changes in maintenance language, performance securities, and replacement timelines. Menard called the amendment a policy decision for the full Board and recommended the committee ask for records and additional analysis.

Committee members pressed SFMTA and Clear Channel on operational details. A supervisor asked why a record of routine maintenance had not been turned over earlier; Clear Channel staff said the company maintains time‑stamped scans and before/after photos linked to bar code scans and that those records are kept in a database and can be supplied. SFMTA staff said they meet monthly with Clear Channel and will provide the BLA access to the database "within one business day." The agencies also explained that a clause increasing the allowed turnaround for replacing a fully destroyed shelter from 15 to 45 business days applies only to rare cases (about 10–11 incidents per year) involving full reconstruction, and that routine cleaning and graffiti removal will be expanded.

Labor speakers urged the committee to approve the amendment. Mark Leeson and Ramiro Gonzales, Teamsters union representatives who said they represent Clear Channel workers, said the changes expand the workforce, improve worker safety and conditions, and preserve jobs. A remote caller, David Pilpel, urged continued public oversight and asked that the procurement not lead to sole‑source lock‑in.

After discussion the committee adopted a motion by Member Chan to forward the resolution to the full Board without recommendation so the BLA can review maintenance records and any outstanding concerns. The roll‑call vote was unanimous (Safaei: aye; Chan: aye; Ronan: aye). SFMTA committed to deliver the maintenance scans and database access to the BLA this week.