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Official Blog of the AALS Section on Contracts

Negotiation of Public Loo Contract

The New York Times reports today that New York City is in negotiation with aSpanish company, Cemusa, to build 20 public toilets, 3,300 bus shelters and 330newsstands at no cost to the city. Actually, the company would pay the city at least $1 billion over 20years in exchange for permission to sell advertising on the toilets, sheltersand newsstands.

Apparently, “the details of how Cemusa waschosen, as well as its designs for the toilets, bus shelters and newsstands,remain a mystery.” The project is one ofthe largest of its kind in the city’s history, and Cemusa outbid four othercompanies for the project.

The Times reports:

City and Cemusa officials, citing the continuing contracttalks, have refused to provide more information. Some lobbyists and cityofficials who have followed the bid say privately that one of the losingcompanies may still sue to block the project.

The mayor was pleased:

“It will mean for the city a billion dollars in revenues over 20 years,which we certainly can use, and it will make the streetscape look better andcleaner, and provide better access for people walking back and forth,” hesaid. “And toilets are one of those things that people need, and lots of othercities have them.”

The article is here (free subscription required).

[Meredith R. Miller]

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