DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
Contract Award: Healthy Snack Vending Services
SUMMARY:
This Ordinance authorizes a contract with Ready Snacks of San Antonio, LLC to provide healthy snack vending services at City-owned and leased facilities. Healthy vending is one way to build healthier snacking habits in the worksite and these habits can extend to the home and throughout the community. Presently, there are approximately 60 snack vending machines located throughout the City. Any revenues generated by this contract will be deposited into the appropriate General Fund, Special Revenue Fund or Enterprise Fund.
BACKGROUND INFORMATION:
Submitted for Council consideration and action is a proposal submitted by Ready Snacks of San Antonio, LLC (Ready Snacks) to provide healthy snack vending services in City-owned and leased facilities. The contract will require the vendor to stock machines with a minimum of 80% healthy snack items that meet the City of San Antonio Healthy Snack Vending guidelines. The guidelines require snack items have no more than: 200 calories, 35% of calories as fat, 10% of calories as saturated fat, 35% of calories as sugar, 250 milligrams of sodium per package. In addition, these guidelines do not allow fried foods. The remaining snack item selections will be stocked at the vendor's discretion.
The agreement is for an initial five-year term with an option to renew the agreement for two additional two-year terms. The City will receive a 5% commission based on the adjusted metered gross receipts. However, the City will receive a 7% commission should the average sales exceed $250.00 per machine in a monthly period or a 12% commission if average sales exceed $300.00 per machine in a monthly period. As part of the contract, Ready Snacks will provide an assortment of healthy snacks items for City staff to sample at selected events.
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