Board approves five‑year Coca‑Cola vending contract despite member concerns

The East Stroudsburg Area School District Board of Education voted April 28 to award a five‑year vending and beverage‑services agreement to Coca‑Cola, a contract the administration described as a district revenue opportunity and a logistics solution for school event sales.

The vote followed a lengthy discussion in which board members questioned the financial tradeoffs and contract terms, including exclusivity, signage restrictions and the limited guaranteed revenue for the district compared with the contract’s potential sales volume.

Nut graf — what board debated

Opponents emphasized the small guaranteed payouts and potential cost to parents and PTOs who buy drinks at events; proponents described an app‑based ordering process for PTOs and said the contract would replace an expiring Pepsi contract and standardize vending service across buildings.

Key comments

Keith Harcutt, board member, said he was skeptical the contract was fiscally responsible and noted the district’s guaranteed minimums were modest compared with total potential revenue. “The only amount we’re gonna achieve out of this is $35,000 over five years and $5,000 over five years with a one‑time sponsorship of $10,000,” Harcutt said. He also raised concerns about vendor withdraw clauses and the imposition of vendor signage and exclusivity rules on district property.

Board discussion and legal review

Board members asked whether the solicitors had reviewed exclusivity and product‑exclusion language; staff said the solicitor had reviewed the contract and that the agreement includes carve‑outs for nutrition products tied to the district’s St. Luke’s partnership. Administrators described a PTO ordering workflow: parent groups could place orders through an app and remit payment to the district, which would then pay the vendor.

Vote outcome and next steps

The board approved the Coca‑Cola contract after discussion. The motion carried despite explicit opposition voiced during the roll call; the vote included at least one “no” voiced by a member during the tally. Staff said they would finalize contract terms with solicitor input and return any material changes to the finance and property committees.

Ending

The contract replaces an expiring exclusive beverage arrangement and will govern vending, event sales and related signage; board members asked staff to monitor pricing and the vendor’s adherence to the district’s nutrition and facilities policies.