Town Council expands transit budget for bus advertisements

Chapel Hill’s Carolina blue buses will become mobile billboards as early as this fall — a change that will help fund Chapel Hill Transit’s future.

The Chapel Hill Town Council unanimously passed an amendment Monday to expand the transit budget to include $150,000 to create a position to oversee and implement the new transit advertising program.

The rising cost of fuel and bus maintenance forced the council to pursue the transit ad program for additional revenue, said Chapel Hill Transit Director Steve Spade.

About 33 of the 88 buses in Chapel Hill Transit’s fleet need to be replaced because of their age, Spade said.

Though there are no estimates for how many people will see the ads, about 35,000 people ride the transit system on a daily basis, he said.

There will be no limit to the number of buses with advertisements, Spade said.

He said advertisers will pay for the ads on a monthly basis, and prices will depend on a tiered system, including two sizes of one-sided ads and a more expensive full-bus ad.

He said businesses will be able to choose the side of the bus where single-sided ads are placed.

And larger “bus wrapping” ads will allow advertisers to cover an entire bus exterior in a vinyl advertisement. The cost will include both vinyl wrapping expenses and the price of rented space.

For “bus wrapping” ads, businesses will have to commit to a one-year contract and pay $1,500 per month.

Despite the unanimous vote, not all members of the town council were happy with the decision.

Council member Laurin Easthom said she is worried the ads will distract drivers and detract from the town’s beauty.

“Why do we have to be like all the other towns that do it?” Easthom said. “We’re unique here.”

Businesses have already expressed interest in the advertising, Spade said.

“It’s just one more source of revenue we can use to support the system,” he said. “Every dollar we collect through transit advertising sales over and above our normal operating costs is a tax dollar we don’t need to spend.”

Council member Penny Rich expects some backlash from the community once the advertisements are implemented.

“In a way, those buses are somewhat iconic,” she said. “They sort of fit what the town is.”

Rich said while she is not thrilled about the new ads, she sees them as necessary.

“It’s a way for us to bring in some money, so I have to support it for that reason,” she said. “I guess it’s a balancing act when it comes to revenue versus advertisement.”

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