|
Getting your Trinity Audio player ready...
|
By: Benyamin Davidsons
The New York City Ferry system, which has been financially in the red, is looking for ways to help make ends meet. As reported by Crain’s NY, Mayor Eric Adams’ administration is looking for a corporate sponsor for the Ferry system. The administration has announced
that the ferry name is up for grabs, and that a private company could pay to secure naming rights for the entire NYC Ferry system — including the system’s name, logo and the exteriors of its boats, as per plans outlined Monday by the city’s Economic Development
Corp. On Monday, the EDC, which oversees the ferry system, announced it will hire a consultant to set up the potential “revenue-generating naming rights and sponsorship brand partnership.”
The idea for a corporate sponsor had initially been suggested in a 2022 Adams administration financial improvement plan known as NYC Ferry Forward. That plan had been successful in raising the fare for a one-way ride from $2.75 to $4 for casual riders, while offering discounts for low-income, senior and disabled riders. The ferry system was launched in 2017 by former-Mayor Bill de Blasio. It has been a money losing venture, with taxpayers subsidizing the system roughly $8.55 per ride last fiscal year, down from $12.98 three years earlier.
The EDC hopes that once it appoints a consultant, they can begin fielding potential sponsors later this year and negotiate a deal with a brand partner in 2025, as reported by Crain’s. Also, besides for renaming “NYC Ferry” itself, the Request for Proposal says the eventual sponsor could showcase its name on the 38 boats, employee uniforms, and on signage across NYC. “With the release of the RFP to find an agency that will assist in securing a ferry sponsorship package, we are implementing another key element of Ferry Forward toward ensuring long-term financial stability for a service New Yorkers have come to love,” Andrew Kimball, EDC’s president and CEO, said in a statement.
On Monday, an ad was placed seeking a consultant who would work to “refine the NYC Ferry brand positioning,” which basically entails finding potential sponsors and inking a multiyear naming-rights deal. The RFP has a July 25 deadline.
“NYC Ferry vessels are visible from over 100 miles of New York City waterfront for approximately 16 hours per day,” the RFP says, in a pitch for potential sponsors. “NYC Ferry vessels operate in a low-clutter environment with limitations on alternative advertising/floating billboards or other aspects.”
Per Crain’s, Sean Campion, director of economic development studies for the watchdog Citizens Budget Commission, said the sponsorship idea is a step in the right direction for the struggling ferry system. He noted that this type of sponsorship was utilized by the MTA and the Citi Bike system, helping them to earn $200,000 annually from Barclays to include the company’s name in Brooklyn’s Atlantic Avenue station. “Any option to raise revenue is good and will offset the need for the relatively high subsidy that NYC Ferry has needed since it was first created,” Campion said. Campion’s watchdog group has previously suggested raising the ferry rate from $4 to $7 to match the cost of an MTA Express Bus.
Last fiscal year, the NYC Ferry set a record offering 6.6 million rides. The system spent $78 million in operating expenses, while bringing in just $21.5 million in revenues, leaving a hefty operating loss. The system has seven routes, running mostly along the East River.
