R-2016-028.1 2021-08-23RESOLUTION NO. R2016-28.1
A Resolution of the City Council of the City of Pearland, Texas, amending
the Financial Naming Rights Policy for City Park and Library Facilities.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. That the City Council hereby amends the Financial Naming Rights Policy, in
accordance with Exhibit "A" attached hereto.
PASSED, APPROVED and ADOPTED this the 23' day of August, A.D., 2021.
VIN COLE
AYOR
ST:
CRYSTAL ROAN, TRMC, CMC
CITY SECRETARY
APPROVED AS TO FORM:
DARRIN M. COKER
CITY ATTORNEY
City of Pearland
CITY PARK AND LIBRARY FACILITY
FINANCIAL NAMING RIGHTS POLICY
PURPOSE
Financial Naming Rights refers to the granting, by the City, the right to name property or portions
of a property in exchange for financial consideration. The City intends to authorize the naming of
certain City park facilities, City library facilities and facility components in return for private sector
monies.
The purpose of this policy is to develop a systematic and consistent approach for the official
naming of certain City park and City library facilities.
The goal is to provide a consistent evaluation framework and approval process when considering
naming proposals for City park and City library facilities.
DEFINITIONS
City Park Facility: any property, complex, structure, building or portion thereof owned
or controlled (e.g. through long term lease) by the City of Pearland that is under the care and
custody of the Parks & Recreation Department, including but not limited to the interior and
exterior spaces, pools, sports fields, shelters, playgrounds, open spaces, trails, sport courts,
flowerbeds, and gardens, .
City Library Facility: Any library property, structure, building, or portion thereof
owned or controlled (e.g. through long term lease) by the City of Pearland that is under the care
and custody of the City of Pearland, including but not limited to the interior and exterior spaces,
open spaces, and shelters.
Charitable Organization: An organization whose primary objectives are focused on
philanthropy; that exists to serve the public interest or common good; and that is a party to a
current contract with the City of Pearland specifying the purpose and mutual promises of each
organization.
Capital Campaign: A City approved effort by a Charitable Organization, over a pre-
determined period of time, to raise funds to acquire or improve a City park facility or a City
library facility.
Market Valuation: a current assessment of the potential value within the marketplace of
the naming rights for a specific property.
Naming Rights Agreement: a legal contract outlining the terms of the agreement between
the Naming Entity and the City.
Naming Entity: the entity (e.g. corporation, corporate foundation, community
organization or individual) to whom naming rights are granted pursuant to a Naming Rights
Agreement.
Naming Rights: the right to name or rename a City Park Facility or City Library Facility
in exchange for financial consideration.
DISCUSSION
In granting naming rights, consideration shall be made to maintain an appropriate balance between
commercial considerations and the City's stewardship role for City park facilities and City library
facilities.
The granting of naming rights shall not entitle a naming entity to preferential treatment by the City
outside of the naming rights agreement.
The approval of naming rights shall not result in any additional costs to the City, excluding the
City's approval process.
Naming rights may not be resold or assigned by the naming entity. When a Naming Entity changes
its name, the naming rights may be amended to reflect the new name by mutual agreement of the
parties. All related name change costs including, but not limited to sign changes, will be the
responsibility of the Naming Entity.
Signage and acknowledgement associated with naming rights shall be included in the proposal
submitted to City Council and shall comply with the City of Pearland Sign Ordinance.
Naming of a City park facility or City library facility should include the function of the facility to
the extent practical, such as `sports complex' or `recreation center'.
The City shall endeavor, to the extent reasonably practical, to balance its responsibility to maintain
transparent processes and provide full disclosure to the public, with its responsibility to maintain
confidentiality regarding third party interests.
The City shall not relinquish to the Naming Entity the right to manage and control the facility
being named.
All Naming Rights Agreements shall be for a fixed term and shall be negotiated on a case -by -case
basis and may be renewed by mutual agreement of the parties.
Naming Rights Agreements shall be in the form of a legal contract between the Applicant and the
City and shall include, but not be limited to the following provisions:
• The term of agreement, including reasons for possible termination or revocation of
said naming rights.
• Renewal options, if any.
• Value assessment, including cash, in -kind goods and services (and method of
evaluating in -kind contributions).
• Payment schedule.
• Rights and benefits.
• Agreement to remove or cover signage for a limited period and only during an event
where the City has a legal obligation to ensure sites are free of corporate signage.
• Release, indemnification, hold harmless and early termination clauses.
• Insurance clauses.
All naming rights agreements shall be reviewed to the satisfaction of the City Attorney.
The purchaser of naming rights may revoke the naming rights at any time with the understanding
that no refund or reduction of their financial commitment will occur.
The City reserves the right, in its sole discretion, to terminate naming rights where continuation of
the relationship would not be in the City's best interest.
EVALUATION
The proposed name to City park facilities and City library facilities shall be consistent with the
image and values of the City of Pearland and the community. In general, names shall not be
selected that:
• Cause confusion due to duplication or names sounding similar to existing locations within
the City.
• Are names of companies whose business are substantially derived from the sale of alcohol,
tobacco, firearms, and/or pornography; or any other business or industry that, in the sole
discretion of the City, is deemed inappropriate.
• Are discriminatory or derogatory considering race, gender, creed, religious, political
affiliation, sexual orientation, or other similar factors.
• Violate copyright or trademark laws.
PROCEDURE
The City Council may authorize, by contractual agreement, a Charitable Organization to seek,
negotiate and secure the purchase of naming rights to City park facilities and City library facilities
and to solicit funding through Capital Campaigns.
The Charitable Organization shall develop and implement a marketing strategy to secure the
purchase of naming rights for City Park Facilities, City Library Facilities, and Capital Campaigns.
The Charitable Organization shall identify potential purchasers, solicit sales, and negotiate any
proposed agreements. City staff shall submit proposed agreements, with a recommendation, to the
City Council for consideration.
Upon City Council approval, the Naming Entity shall contribute the funds to the applicable
Charitable Organization. The Charitable Organization shall utilize the proceeds in accordance
with the current contract with the City of Pearland specifying the purpose and mutual promises of
each organization including, but not limited to the following purposes: A) Capital improvements;
B) Funding of programs and services; or C) A portion of the proceeds may be placed in an
endowment fund with the interest utilized to offset maintenance and replacement costs.
REVIEW & REVISION HISTORY
August 23, 2021