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San Diego inking corporate deals worth as much as $4.5M, including sale of tipster app to other cities - The San Diego Union-Tribune

San Diego is inking two new corporate sponsorship deals, including a pact that will allow other cities and government agencies to use the software that operates the city’s popular Get it Done! tipster app.

The deals, one with Deloitte and another with Cal Coast Credit Union, could generate $2 million in cash and another $2.5 million worth of in-kind services for the city.

The two deals are part of San Diego’s corporate partnership program, which has generated roughly $30 million since city officials created it in 1999 with hopes it would become an innovative revenue source.

The program has generated millions in cash, but city officials were criticized in 2018 by a county grand jury for not separating out actual cash from in-kind contributions.

For example, the city’s high-profile partnership with Toyota includes the company providing all of the city’s 34 lifeguard vehicles in exchange for the city promoting Toyota and hosting some marketing events.

The deal has an estimated $1 million annual value because the city avoids the expense of buying lifeguard vehicles, but the city receives no cash from Toyota.

In contrast, the city’s deal with Cal Coast Credit Union includes cash and in-kind contributions.

The credit union has agreed to a five-year extension of its existing partnership, which the City Council is scheduled to approve Tuesday.

The deal includes $875,000 in cash and $495,000 in non-monetary contributions. The cash includes $100,000 annually for the city’s general operating fund and $75,000 annually earmarked for special youth programs and San Diego’s “promise zone” economic development program in low-income areas.

The deal lets the credit union put ATMs on city property and say to the 11,000 city employees that they are the city’s financial partner.

The credit union deal was approved unanimously Feb. 10 by the council’s economic development committee.

Meanwhile, the council’s Rules Committee unanimously approved a separate, three-year deal with Deloitte that allows the company to market San Diego’s Get it Done software to other cities and government agencies.

City officials say other cities have expressed interest in copying the tipster app, which lets residents report potholes, graffiti and 50 other nuisances or problems.

The deal will allow San Diego to get compensation for developing the app, while reducing the start-up and development costs for other cities. It’s not clear how many other cities will pay for the software, but San Diego officials say the city could get as much as $1.15 million.

“We believe our targeted customers are small to mid-size cities,” said Sarah Brenha, the city’s program manager for corporate sponsorships.

The city will receive 100 percent of the “royalties” from any deals. Deloitte will be paid to implement the app and its software for other cities and government agencies.

Get it Done!, launched in 2016, will unveil a new version of the app soon that includes a Spanish language option.

San Diego’s other corporate sponsorship deals include an ongoing partnership with Turfstar, which is providing the city $7.5 million in cash and other contributions over 12 years in exchange for an equipment and maintenance deal that includes work at Torrey Pines Golf Course during this June’s U.S. Open.

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San Diego inking corporate deals worth as much as $4.5M, including sale of tipster app to other cities - The San Diego Union-Tribune
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