A few months ago, Wells Fargo ordered two full-bus wraps and about 12 smaller signs for one month of advertisement, director Stephen Spade said.

The ads cost $1,500 a month for each of the full-wraps and $160 to $220 for each of the other signs on the sides and rear.

While the new revenue may help prevent further cuts to the fare-free service, some local leaders see the Wells Fargo ads as contrary to their goal of encouraging people to shop locally.

"It's unfortunate that the first advertisement is going to be a big, corporate giant that's not local," said Carrboro Alderwoman Lydia Lavelle.

Chapel Hill Transit is funded by Chapel Hill, Carrboro and UNC-Chapel Hill.

Aldermen Dan Coleman and Sammy Slade and Alderwoman Jacquie Gist had also raised the concern about out-of-town corporate advertising when the revenue strategy was approved in June.

"It is disappointing to the extent that we were really hoping that this advertising program would primarily support local businesses in Chapel Hill and Carrboro," Coleman said. "Certainly this doesn't mean it's not going to do that, but ... out of the gate (this is) a step in the direction that we don't want to emphasize."

However, the goal was to bring in revenue so the bus system partners don't have to make additional service cuts or raise property taxes, Coleman said. "From that standpoint we are succeeding," he said.

Selling advertising to local businesses only is not economically viable, Spade told the Board of Aldermen in June. He listed banks, national insurance companies, television and radio stations as the types of companies that typically would be interested in advertising on buses.

The ads are estimated to create $200,000 for the remainder of this fiscal year and about $400,000 per year once the program is fully developed.

"One of the things that we like about this particular contract ... is it is a very short contract," Spade said. The short contract will make people aware of the opportunity to advertise on buses, he said.

Wells Fargo is buying advertisements for just one month to promote the Oct. 15 conversion from Wachovia to Wells Fargo, said Josh Dunn, corporate communications manager for Wells Fargo.

"The timing is set up so it heightens the awareness of our conversion and the introduction of the Wells Fargo brand," Dunn said.

Chapel Hill Transit expects more businesses to buy ads after the hiring of an advertising representative.