North Hills approves two measures to increase revenue
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The North Hills School Board unanimously approved at tonight's legislative meeting two measures in an effort to create additional revenue streams for the school district.
The district entered into a one-year non-exclusive licensing agreement with LRG Prep, LLC, for the Michigan-based company to manufacture and distribute products featuring the North Hills name, mascot, logo, or mark on items such as t-shirts, hoodies, loungewear, gifts, novelties, sporting goods, and specialty items.
Consumers will be able to purchase district merchandise through LRG online at www.rokkitwear.com and third-party vendors of LRG. Under the agreement, the district retained all ownership rights to its name.
North Hills will receive a minimum of 50 percent revenue from royalties and 65 percent of revenue from online sales. According to terms of the agreement, the district will receive all royalty payments within 60 days after the end of the school year.
The contract will automatically extend at the end of each year for an additional one-year period, unless either the district or LRG otherwise provide written notice at least 180 days prior to any additional year of an intention to terminate the agreement.
Additionally, the district unanimously approved Monday night a new commercial activities policy, permitting the district to engage in future advertisement solicitation, partnership and sponsorship opportunities with private providers or businesses.
Seeking to increase revenue sources and recognition, the district retains under the policy the exclusive authority to "pursue, accept, or decline an opportunity to engage in appropriate commercial activities" by assessing whether the commercial activity will provide a substantial benefit to the district, its schools and students, and whether it properly reflects the district's mission, policies, and goals, according to the purpose of the policy listed on the district's website.
First Published September 17, 2012 11:20 pm
