The City Council of Puerto del Rosario, through the Department of Economy and Finance, announces the upcoming implementation of the Municipal Ordinance Regulating Private Sponsorship of Municipal Activities, a regulatory tool that seeks to promote collaboration between the public and private sectors for the development of activities of general interest in the municipality.
This ordinance complies with the provisions of Article 22 of Law 34/1988, of November 11, 1988, General Advertising Law, which defines a sponsorship contract as a contract whereby, in exchange for financial assistance, the sponsored party undertakes to collaborate in the promotion of the sponsor. It is neither a subsidy nor a service contract, but a mutually beneficial collaboration formula, in which the advertising return is justified as the basis for the equivalence of benefits.
The purpose of the new regulation is to establish the regulatory bases for the sponsorship of municipal actions, thus reinforcing an active policy of public-private collaboration that contributes to the economic and institutional dynamism of the municipality.
“This ordinance marks a before and after in the way in which the City Council can collaborate with the local business fabric to promote cultural, social, sports or environmental initiatives,” said the mayor, David de Vera.
For his part, the Councilman of Economy and Finance, Juan Manuel Verdugo, stressed that: “With this regulation we give legal certainty to all parties, while encouraging the involvement of the private sector in municipal life, generating synergies that benefit all citizens”.
The Ordinance is divided into five chapters and a total of fourteen articles, plus a Single Additional Provision, two Transitory Provisions and two Final Provisions. Among its contents, it regulates the legal conditions of sponsorship, the sponsor’s contributions, advertising returns and the annual sponsorship program.
Sponsorship may be formalized by means of contracts or sponsorship agreements, both of which are differentiated according to the advertising consideration received. In any case, the objective is always to promote activities of municipal competence with a clear projection of social, cultural and economic improvement.
Sponsors may be individuals or legal entities, national or foreign, that meet the requirements established in the Public Sector Contracts Law.
With this initiative, the City Council of Puerto del Rosario reiterates its commitment to the development of innovative policies that allow greater involvement of civil society and the business community in the continuous improvement of the municipality.
