Board weighs 'net-zero' scoreboard deal that would deliver scoreboards in exchange for ad revenue share

District staff presented a vendor proposal that would provide two digital scoreboards under a seven-year "net-zero" advertising model: the vendor would retain 75% of scoreboard advertising revenue and the district would receive 25%. Staff said the vendor would supply scoreboards valued at $105,000 with no capital outlay by the district, but the district would be responsible for certain startup and installation costs.

Staff identified known and estimated costs: electrical work to support the boards (estimated $10,000'$20,000), a startup working-capital payment of about $21,000 that the vendor returns after a year, and optional add-ons such as shot clocks (two shot clocks for the main gym about $6,500). The scoreboard software has a $7,500 annual subscription, which the vendor said would be waived under the seven-year deal. Staff estimated that, absent additional sponsorships, the district's net cash outlay might be $50,000'$60,000 for electrical, tables and incidentals, though that number could be reduced by sponsorships.

Board members discussed advertising controls and existing sponsorships (Pepsi and Lehigh Valley Health Network) and stressed the need to revise the district advertising policy before authorizing a third-party-managed advertising platform. Staff said the district would retain approval rights over advertisements and that the vendor could not sell to direct competitors of existing sponsors. The committee was asked whether it wanted the item added to next week's board agenda for a vote.

Members also discussed the programmatic benefits of scoreboards for athletics and school events and noted the shot clocks are a separate charge that the district would pay even under the net-zero scoreboard arrangement.

The committee agreed to forward relevant agenda items to the full board so trustees can decide next week whether to include the scoreboard arrangement on the May 21 voting agenda.