1. Food Services Program Evaluation March 28, 2011 Pocantico Hills Board of Education April 26, 2011

2. Food Services Program Evaluation March 28, 2011  The Pocantico Hills Board of Education employed a consultant to review the Food Services Program to make recommendations that will allow the program to operate on a more cost effective basis.  The consultant’s recommendations focused on reducing labor and food costs, while pursuing ways to increase program revenue through increasing participation, and increasing prices.

3. Food Services Program Evaluation March 28, 2011  The consultant reviewed the following areas of program operation: Financial and Cost Effectiveness of the Program’s Operation. Staffing & Productivity Analysis. Marketing & Student Participation. Food Preparation & Menu Planning. Staff Development & Training. Options Available to the District.

4. The Problem:  A Pre K – 8 building lacks the revenue generating potential of the average high school.  Most self supporting school lunch programs are facing major problems, which include: The cost of food, labor, and benefits are increasing faster than the program’s ability to generate revenue. A perception that the nation’s overweight and “obese” children are the fault of the school cafeteria.

5. The Problem:  School food service program revenues essentially come from four sources: The sale of student breakfast and lunches. Federal and State Meal Reimbursement. Ala Carte or other sales that include snacks, vending, adult lunches, and catering revenue. Local subsidy.

6. The Problem:  The program at Pocantico Hills: Experiences below average participation at breakfast and lunch. Labor and benefit costs exceed 50%-55% of program revenues. Labor hours assigned to the program exceed the number of hours justified by the rate of participation in the lunch program. The breakfast program offered by the District serves 5- 10 students per day on average. This level of participation does not justify the cost to operate the program. The monthly menu offers food that is very simple to prepare and serve, and does not justify the number of staff hours employed, and consists of expensive high quality foods.

7. Consultant’s Observations and District Options:  Consultant’s Observations and District Options: The consultant stated that “My highest praise and gratitude is extended to the food services team for their professionalism and assistance during my visit to the district. It is not easy to have an “outsider” evaluating the program in which one is employed, presumably seeking only what may be wrong, and the need for change. Their professionalism and character during my visit was outstanding. Moreover, they had to withstand my walking around, asking questions and constant note taking, something that would be very difficult for any of us to experience as we do our job.”

8. Consultant’s Observations and District Options:  Consultant’s Observations and District Options: During his visit to the Pocantico Hills School District, he found many exciting and positive aspects of the program, which include a wide variety of daily menu offerings, and food of excellent quality. The cost of operating the program must be significantly reduced, both in the areas of labor and food cost.

9. Consultant’s Observations and District Options:  Consultant’s Observations and District Options: The District should strive to increase revenue through increased student participation and prices, and increase ala Carte and vending sales. Without a remedial action plan program subsidies will increase annually. Cease participation in the School Lunch/Breakfast program and move to an ala Carte food service program.

10. Consultant’s Observations and District Options:  Consultant’s Observations and District Options: Bringing the program to a more cost effective status will not be easy, and will necessitate a major change in the way that the program has operated to date. The consultant does not believe that this program can ever eliminate, or even significantly reduce the amount of District subsidy necessary to operate the program.

11. Summary of Recommendations 1. The District should develop an action plan. 2. The District should operate the program as a business, employing a business approach to menu planning, pricing, and operational costs, while holding the manager accountable. 3. Generate more revenue through the sale of healthy ala Carte foods, increase vending sales, while reducing food and labor costs. 4. Program revenues should be allocated as follows: Food – 35%-38% Labor – 50%-55% Other - 4% - 6%

12. Summary of Recommendations 5. Reduce Program Expenses as follows: 1. Eliminate the Breakfast Program. 2. Reduce the number of labor hours employed by the program to 12-14 hours per day. 3. Prepare menus in accordance with a food budget. 4. Reduce the number of food options available to students and staff. 5. Discontinue serving soup since it is too costly to include on the menu. 6. Eliminate soup and sandwich menus. 7. Discontinue practice of preparing additional items for adults. 8. Meals should be served on disposables. 9. Discontinue the use of salad bar. 10. Discontinue serving fruit juice with each meal.

13. Summary of Recommendations 10. Increase program revenues by: 1. A marketing and promotion campaign. 2. Increase the sales price of lunch by.25. 3. Increase the sales price of ala Carte items. 4. Expand vending options available to students. 5. Provide for the sale of fruit juice through a vending machine. 11. The Assistant Superintendent and the Food Service Manager should meet monthly to review the prior month’s financial operation of the program.

14. Draft Action Plan 1. Create a committee of student and parent representatives to participate in the creation of menus, and marketing and promotional campaigns. 2. Increase revenue by: 1. Increasing Participation through a marketing and promotion campaign. 2. Increase the sales price of lunch by.25. 3. Increase the sales price of ala Carte items. 4. Expand vending options available to students. 5. Provide for the sale of fruit juice through a vending machine.

15. Draft Action Plan 3. Decrease expenditures: 1. Eliminate the Breakfast Program. 2. Reduce the number of labor hours employed by the program to 12-14 hours per day. 3. Prepare menus in accordance with a food budget. 4. Reduce the number of food options available to students and staff. 5. Discontinue serving soup since it is too costly to include on the menu. 6. Eliminate soup and sandwich menus. 7. Discontinue practice of preparing additional items for adults. 8. Meals should be served on disposables. 9. Discontinue the use of salad bar. 10. Discontinue serving fruit juice with each meal.

16. Draft Action Plan 4. The Assistant Superintendent and the Food Service Manager will meet monthly to review the prior month’s financial operation of the program. 4. Staff Training. Food service staff will continue to be afforded the opportunity for staff development. 4. Manage Costs: 1. Create menus in accordance with a food budget. 2. Survey students/adults at beginning of the day to determine the number of meals to be prepared and served, thereby reducing waste. 3. Provide the lunch program with attendance information on a daily basis.

17. Breakfast Program Waiver  Annual exemption granted based on lack of need documented by a survey conducted of all elementary parents.  Response rate of 33% or greater with 80% of responders indicating that they would not use the program.  If the breakfast program were offered, would your child/children participate an average of three days per week? _____Yes _____ No  Exemption must be requested by July 1, 2011.

18. Conclusion  The Food Services Program Evaluation provides recommendations and guidance on methods to improve the program’s efficiency.  Accuracy: Prior payroll data from 2009-10 reflect an additional cafeteria employee not employed in 2010-2011.  Accuracy: Certain statements are incorrect. “The Cashier makes a determination of how much to charge for various items.” Program manager spent time removing the ham from the sandwiches for use on another day.”  The Consultant Report will be available on the District’s web page as of April 27, 2011.