Corporate Sponsorship Policy

1.1 In this policy, unless the context requires otherwise:

CAO means the individual appointed as the chief administrative officer of the City;

City means The Corporation of the City of Kingston;

City employee(s) means a person who performs work or supplies services directly to the City for monetary compensation under an employment contract;

council means the council of the City;

CMT means the members of the City’s corporate management team and includes the CAO;

director means the director of a City department or the manager of a City department that reports directly to a member of CMT;

donation means a voluntary contribution of cash or in-kind support for which no reciprocal commercial benefit is expected;

sponsor refers to an external corporation, organization or person(s) that enters into a sponsorship arrangement with the City;

sponsorship means a marketing-oriented contractual arrangement between the City and a sponsor that involves the payment of a fee or payment in-kind by the sponsor in return for the right to public association with an activity, item, person or property for mutual commercial benefit, but does not include a donation;

sponsorship agreement means a formal written agreement between the City and a sponsor outlining the terms of a sponsorship;

sponsorship assets means tangible or intangible property of the City, which may include City programs, services, properties, events, facilities, signage, publications, websites, and social media platforms for which sponsorship arrangements are approved; and

values alignment review means a due diligence process that evaluates a potential sponsor's track record, business practices, and public reputation to ensure compatibility with the City’s social, environmental, and cultural values.

1.2 In this policy, include, includes and including indicate that the subsequent list is not exhaustive.

1.3 A reference to any legislation, regulation, bylaw, rule, policy or provision thereof includes a reference to any legislation, regulation, bylaw, rule or provision thereof enacted in substitution thereof or amendment thereof.

1.4 A reference to legislation includes all of the regulations made thereunder.

1.5 A reference to the position or title of any City employee includes a reference to any position or title created in substitution thereof.

2.1 The purpose of this policy is to establish guidelines for the assessment, approval, implementation, management and monitoring of sponsorship arrangements, and to ensure that the City enters into mutually beneficial, sustainable sponsorship arrangements that enrich the lives of residents by enhancing City properties and programs.

2.2 To facilitate timely sponsorship arrangements, a formal competitive process is not required when pursuing sponsorship opportunities. At times, the City may use its discretion to explore multiple potential sponsors to help maximize the value of sponsorship opportunities. Accordingly, sponsorships may arise from competitive processes, non-competitive processes, direct solicitation, or unsolicited proposals.

2.3 This policy applies to:

1. all sponsorship arrangements between the City and third parties in respect of sponsorship assets; and
2. all City employees involved in or responsible for generating, assessing, approving, implementing, managing and monitoring sponsorship arrangements on behalf of the City.

2.4 This policy does not apply to:

1. sponsorship arrangements or sponsorship agreements entered into prior to the date of this policy;
2. donations;
3. funding or grants obtained from other levels of government through grant programs or from trusts or foundations;
4. business partnerships between the City and its agencies, local boards, and commissions;
5. the naming of City assets pursuant to the Naming of Corporate Assets Policy;
6. advertising sales pursuant to the Advertising Revenue Generation Policy;
7. City sponsorship of external events where the City provides funds to an organization or where the City is one of multiple partners involved in hosting an event; or
8. not-for-profit corporations, charitable organizations and special interest lobbying groups that provide continuous support and leadership to City programs, services or facilities.

2.5 Sponsorship arrangements assessed, approved, implemented, managed or monitored under this policy are not subject to City of Kingston Bylaw Number 2022-154, A Bylaw to Establish a Procurement Policy for the City of Kingston.

3.1 The City will consider all sponsorship arrangements that satisfy the requirements of this policy, but the City has no obligation to accept any such arrangement. The City may refuse any sponsorship arrangement for any reason, including where:

1. the sponsorship is perceived to be incompatible with the City’s mission, vision or values or the strategic priorities of the City;
2. the sponsorship disparages the City in any way or promotes a product or service by drawing a negative comparison to a City program, service or facility;
3. the sponsorship implies endorsement of the sponsor or its products or services;
4. the sponsorship portrays or condones demeaning or derogatory portrayals of individuals identified by a prohibited ground of discrimination under the Human Rights Code, R.S.O. 1990, c. H.19;
5. the sponsorship may be perceived as granting preferential treatment or a competitive advantage to a sponsor outside of the sponsorship arrangement;
6. the proposed sponsor is currently or has been, within the last 15 years, the subject of legal proceedings where the City is named as a party;
7. the proposed sponsor is not in compliance with the City’s bylaws, policies or regulations or is in arrears of payments to the City;
8. the proposed sponsor’s principal business is derived from:
   1. the sale of tobacco, cannabis or vaping products;
   2. the sale or promotion of pornography;
   3. religious or political groups, factions or organizations;
   4. the sale or promotion of adult entertainment; or
   5. the support of or involvement in the production, distribution and sale of weapons;
9. the proposed sponsor or the sponsorship violates municipal, provincial or federal consumer protection and advertising laws, including those under the Consumer Protection Act, 2002, S.O. 2002, c. 30, Sched. A, the Competition Act, R.S.C. 1985, c. C-34, or the City’s advertising standards; or
10. the sponsor is otherwise disqualified from doing business with the City.

3.2 Sponsorships will only be considered for approval where the following criteria are satisfied:

1. sponsorship is mutually beneficial;
2. sponsorship aligns with the mission, vision and values and the strategic of the City;
3. sponsorship enhances the development, delivery, awareness or of one or more sponsorship assets, or provides for the delivery programs and services by the community in a manner deemed by the to be efficient, effective and in the best interests of the community at
4. sponsorship is valued at a level consistent with the proposed or acknowledgment of the sponsor; and
5. sponsorship must provide recognition to the sponsor in a manner that not detract from the physical attributes of the sponsorship asset and to the City's Visual Identity Policy.

3.3 Evaluation of a sponsorship arrangement will include consideration of:

1. long-term staffing and financial resource implications following the conclusion of the sponsorship agreement;
2. the anticipated community impact of the sponsorship;
3. the suitability of the sponsor and the sponsorship arrangement with the target audience; and
4. all other applicable laws, regulations, bylaws, or council decisions.

3.4 All proposed sponsors and sponsorship arrangements will be subject to a values alignment review.

4.1 All sponsorships must be documented in writing.

4.2 Any sponsorship having an estimated value of $50,000 or more must be documented in a sponsorship agreement.

4.3 All sponsorship arrangements must permit the City to terminate the sponsorship where it is determined by the City that the sponsor or the sponsorship is no longer in compliance with this policy.

4.4 All sponsorship arrangements must be for a fixed term.

4.5 No form of indemnification will be provided to any sponsor without the express written approval of the City Solicitor.

4.6 Sponsorship agreements should generally contain the following provisions:

1. identity of the parties;
2. type and estimated value of the sponsorship contribution;
3. the fixed term of the sponsorship;
4. of payment;
5. waiver from liability and an indemnity clause for damages or losses by the City;
6. benefits to be received by the sponsor;
7. obligations of the parties;
8. a statement confirming that the sponsor is aware of, and will comply with, the provisions of this policy; and
9. the termination clause described in subsection 4.3 above.

5.1 Approval of sponsorship arrangements will be in accordance with Appendix A.

5.2 The City’s Marketing & Revenue Development Division is responsible for the solicitation, assessment, implementation, management and monitoring of sponsorship arrangements. Without limiting the generality of the foregoing, the Marketing & Revenue Development Division will:

1. ensure sponsorship opportunities are promoted;
2. consult with directors to identify sponsorship assets;
3. conduct a values alignment review of any proposed sponsor or sponsorship arrangement;
4. solicit new and steward existing sponsorship opportunities;
5. negotiate terms and conditions of sponsorship agreements in consultation with the City Solicitor; and
6. notify the City’s Chief Financial Officer of all approved sponsorship arrangements for financial tracking purposes.

5.3 The Manager of Marketing and Revenue Development is responsible for ensuring that:

1. directors and CMT members are notified of any proposed new sponsor provided with an opportunity to comment on the proposed new and
2. relevant directors are consulted on the implementation of an approved arrangement.

5.4 CMT members and directors must take reasonable steps within their authority to direct compliance with this policy.

5.5 City employees must take reasonable steps to refer any sponsorship opportunity to the City’s Marketing & Revenue Development Division.

5.6 No City employee may accept any product, service, or asset for personal gain in connection with a sponsorship arrangement.

5.7 The City’s Director, Strategy, Innovation and Partnerships is responsible for preparing an annual report to council summarizing the City’s sponsorship arrangements.

5.8 The CAO shall have the authority to make final determinations regarding the interpretation and application of this policy, including assessments of whether a proposed sponsorship aligns with the mission, vision and values and the strategic priorities of the City, unless the sponsorship is subject to council approval.

8.1 This policy relates to or supplements the following City policies:

1. Commemoration Policy
2. Naming of Corporate Assets Policy
3. Donation Policy
4. Advertising and Revenue Generation Policy
5. Employee Code of Conduct Policy
6. Employee Conflict of Interest Policy
7. Visual Identity Policy

8.2 In the event of a conflict between this policy and another City policy or procedure involving sponsorships, this policy will prevail to the extent of the conflict.