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Council reviews draft donation and sponsorship policy; asks staff to restrict political recognition and clarify adult-business guidance

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Summary

Staff presented a draft donation and sponsorship policy defining donations vs sponsorships and giving the city discretion to accept or refuse offers. Council members asked staff to add protections against political or partisan sponsorship recognition and to clarify handling of age-restricted businesses; no final vote was taken.

The Corona City Council on May 21 reviewed a proposed citywide donation and sponsorship policy and provided direction to staff but did not adopt the policy.

Nicole McDaniel, assistant to the city manager, described the draft policy as a standardized framework for accepting donations and sponsorships for programs, events and capital projects. The policy differentiates donations (gifts without defined donor benefits) from sponsorships (which carry defined recognition or benefits tied to a sponsorship level). Staff recommended reserving the right to reject or discontinue gifts or sponsorships that are not in the city's best interest and said the city would decline donations from "adult businesses" as defined in the Corona Municipal Code. The policy would allow additional review of donations from age-restricted businesses (for example those selling alcohol or cannabis) and stated that programs funded by such businesses should primarily serve an adult audience.

Councilmembers sought clarification about administration of donor acknowledgements, tax documentation, and whether city staff resources would be added to manage the program. Vice Mayor Jackie Casillas asked how the policy would handle donations from cannabis businesses and whether donated funds could be directed to adult-audience programs (staff confirmed prior donations have been used for senior-center programming). Several council members asked staff to add a clear restriction to prevent the city from being used as a marketing tool for political campaigns or for partisan recognition tied to elections; staff agreed to draft language reflecting that direction. The council also discussed whether sponsorship levels and recognition would vary by event size and project scale.

Council did not take a vote; staff will return with revisions that include additional language on political recognition restrictions, further details on administration and tax acknowledgement processes, and clarification about age-restricted business donations and recognition.