The Metropolitan Transportation Authority (MTA) is contemplating a significant policy change regarding alcohol advertising, a move driven by the potential to generate millions in revenue for the struggling transit system.
During its upcoming monthly meeting, the MTA board will cast a vote on proposals aimed at loosening the restrictions imposed by a ban established in January 2018.
If approved, the adjustments could yield an estimated $7.5 to $10 million annually, funds that are viewed as essential for enhancing transportation operations.
This revision would not only ease the blanket ban on alcohol-related promotions but also implement specific guidelines about when and where these advertisements can be displayed.
Daniel Dromm, a former City Councilmember and a longtime advocate for the original ban, expressed his disapproval, labeling the potential changes a regression.
Dromm stated, “I think it’s a rotten shame and a step backward.
We don’t need more alcohol advertising — they’ve survived this long without it and they’ll continue to survive without it.”
The MTA’s proposed changes, detailed in board documents, would permit alcohol ads on digital screens in stations and on trains and buses, but specifically exclude periods between 6 to 8 a.m. and 2 to 5 p.m., when many students commute.
Alcohol advertising would be allowed in major commuter rail hubs like Penn Station and Jamaica Station, as well as in areas adjacent to large venues that legally sell alcohol.
Additionally, the MTA is considering allowing alcohol ads on the wrapped shuttle trains that run between Times Square and Grand Central Terminal.
MTA officials assert that the current restrictions on alcohol ads are excessively stringent and are preventing the agency from capitalizing on a lucrative revenue stream.
In 2014, prior to the ban, alcohol advertisements contributed $7.5 million to the MTA’s finances.
The agency remains firm in its decision to prohibit political advertisements, any promotion of illegal goods or services, and sexually explicit content.
Jessie Lazarus, chairperson of an MTA committee dedicated to reviewing potential advertisements, indicated that the existing ban has led to missed opportunities.
“There is beautiful scenery and it features a glass,” Lazarus remarked.
“Our question is, ‘Is that glass alcohol or not?’ We actually don’t know.”
In their quest for a balanced approach, MTA officials have consulted with other transit systems, such as the Chicago Transit Authority, New Jersey Transit, and the Washington Metropolitan Area Transit Authority.
Under the proposed policy changes, the MTA could accept advertising for various events, including the recently held Gov Ball musical festival, which featured sponsors like Grey Goose vodka, Stella Artois beer, and Jim Beam bourbon.
Despite these developments, a 2019 executive order from former Mayor Bill de Blasio still prohibits all alcohol advertising on city property.
The MTA, which operates under a nearly $20 billion annual budget, views this advertising revenue as a vital financial boost, particularly in light of the current budgetary challenges.
Haeda Mihaltses, an MTA board member, emphasized the need for the agency to capitalize on advertising opportunities around major events like the U.S. Open.
She highlighted the paradox of witnessing extensive advertising in the vicinity of the tournament without the MTA benefiting financially.
“Every time you step off the 7 train during the last two weeks of August and September, you’re flooded with Heineken green,” she noted.
Mihaltses stressed that the MTA should not miss out on such substantial revenue sources.
However, the potential resurgence of alcohol advertising has roots in years of advocacy from various organizations that argue such ads contribute to underage drinking and tend to disproportionately target Black and Hispanic communities.
Robert Pezzolesi, convenor of the Interfaith Public Health Network, expressed concern about the implications of alcohol advertising, emphasizing the impact on local families.
“This impacts regular people in New York and their kids and their families,” he asserted, recalling his past work coordinating the Building Alcohol Ad-Free Campaign.
Pezzolesi voiced empathy toward families in communities where drinking is frowned upon, stating that many parents may not wish to expose their children to alcohol advertisements.
Conversely, Andy Deloney, senior vice president of state public policy for the Distilled Spirits Council, argued that alcohol ads can serve as a responsible revenue source for mass transit authorities and are broadly accepted by the public.
Deloney pointed out that the NYC MTA ad ban has been misguided in nature and welcomed the possibility of participating in this advertising market.
MTA officials highlighted that the digital advertising platforms would be strategically timed to avoid showing alcohol-related promotions during peak commuting hours for students.
Yet, Lisa Daglian, executive director of the Permanent Citizens Advisory Committee to the MTA, cautioned that ensuring compliance with the timing restrictions may prove challenging, especially with regard to school holidays and half-days.
Dromm expressed skepticism towards the ability to enforce these provisions effectively, suggesting that the changes might ultimately prioritize revenue over community welfare.
“I don’t see any type of enforcement working with that type of provision,” he claimed.
“I think it’s just an excuse to be able to get the advertising dollar that they want — it’s the almighty dollar again.”
image source from:thecity