|
SLAC Cafeteria Prices—Why Are They
Higher Now?
By Jerry Jobe
Many of you have noticed that SLAC cafeteria prices were recently
raised. This has led to several inaccurate reports regarding cafeteria
operations and how its prices are determined. To set the record
straight, I will describe how the cafeteria is operated and how SLAC is
involved.
How the Cafeteria is Operated
The cafeteria is operated by a private concessionaire under contract to
SLAC. The Lab provides the facility, utilities, maintenance and some
supplies. The concessionaire provides the food service in the cafeteria,
catering services on site and vending machine service.
SLAC’s Involvement in Cafeteria Operations
Menu offerings and prices are established by the concessionaire. As food
service professionals, the concessionaire’s job is to ensure a wide
variety of quality foods at reasonable prices while covering their costs
and also achieving desired profit margins. This combination is not
always possible. To help make that possible, SLAC subsidizes the
concessionaire’s operations up to a maximum of $35,000 per year.
Why Prices Have Gone Up
Due to various factors, including lower-than-projected catering
business, the concessionaire has been losing money at a rate that will
exceed the maximum subsidy. When the concessionaire realized this, they
approached us with the problem in the hope that SLAC would increase the
subsidy.
SLAC’s response was that the subsidy could not be raised. However, the
concessionaire was free to adjust the menu and/or prices as necessary to
cover costs and make the operation viable. After careful evaluation of
the situation, the concessionaire decided to raise prices in early
March.
If losses continue to be excessive, the concessionaire may find it
necessary to take additional action.
Contact: Jerry Jobe (BSD) Ext. 4245,
jlj@slac.stanford.edu
|
