Prime Vendor Food Program
Nebraska ESU Affiliated Schools ONLY
May 12, 2006
2008-2009
Food Program
Pegler Sysco Food
Services
New 2008-2009 food contracts were sent out to schools on April
9, 2008. It is never too late to join! If you did not
receive your contact or are interested in learning more about the
program, please contact us at 1-800-584-802. Completed
contracts should be mailed to:
NE ESU Cooperative Purchasing
Attn: Brenda Libolt
1292 E. 4th St.
Ainsworth, NE 69210
Click here, www.sysco.com, to go to Pegler Syco's website.
The Nebraska ESU Cooperative Food Program will begin the 13th year
of service to the ESU affiliated schools in Nebraska. Pegler
Sysco is our newly awarded Prime Vendor for the 2008-2009 school
year. Most schools are aware of this program, buy may still
have questions. If you school is hiring a new Food Service
Director, Superintendent, or you need additional information,
please call Brenda Libolt at 1-800-584-9802.
Highlights of
2007-2008
* 120 schools committed to the program for 2007-2009.
* Food usage reports are sent to each participating school's
Administrator and Food Service Director regularly.
* Updates reported monthly to the schools on cost increased
that exceed the 5% limit.
* Drop size incentive program adds from 1/2% - 1% additional
discounts.
* Early payment offers an additional 1/2% discount.
* Milk is available through the Coop Program and will apply
to the $400 minimum order and the commitment to the program.
However, FSD must purchase food product also to receive
continued service from Pegler Sysco.
Nebraska ESU Cooperative Purchasing & Pegler Sysco & Pegler
Syco are offering a "Drop Size Incentive" for the school
participating in the Prime Vendor Food Program
The monthly price list provided by Pegler Sysco will reflect the
prices established by the bid. The Drop Size Incentive is
based on the average weekly order. Discounts will be
determined as follows:
$400 - $499 ....... No additional discount
$500 - $999 ....... 1/2% discount
$1,000 - & Up ... 1% discount
An additional 1/2% discount is also available for payment within 14
days.
All discounts will be applied monthly in the form of a credit
memo.
Savings Illustration
The information below illustrates the approximate savings to your
school. We have used 10% as the savings if the commitment is
met. The illustration shows the number of free plates based
on the dollar saved through the program. The savings would be
greater if a school exceeds the commitment requirement. The
figures are based on a 10 month participation.
Average price per plate for Secondary Paid
Student: $1.45
Average Daily Participation: 300
plates
School's commitment to the program:
$20,000.00
Savings based on 10% of committed dollar:
$2,000.00
Daily Savings (20 days/month):
$10.00/day or 7 free plates at $1.45 each
Monthly Savings: $200.00/month or 138
free plates at $1.45 each
Yearly Savings: $2,000.00/year or
1,379 free plates at $1.45 each
NE ESU Cooperative
Purchasing Food Product Program Details
Pegler Sysco Full House Includes:
- Canned Goods (fruits and vegetables)
- Dry Grocery Goods (excluding fresh bread)
- Frozen Meats
- Dairy Products (including fresh milk - contac NE Coop for
pricing)
- Fresh Produce
- Fresh Meat
- Equipment
- Chemicals
- Small Wares
- Frozen Pizza
- Frozen Potatoes
- Frozen Items (others)
- Frozen Seafoods
- Paper/Plastic Products
Pegler Sysco Contract Period:
- August 1, 2006 to July 31, 2007
- Contract negotiated and renewable yearly
School Agreement Period:
- Yearly Commitment
Pegler Syco agrees to:
- provide on-site audit information for cost control by
NE ESU Cooperative Purchasing
- provide participating schools price lists on a monthly basis
- hold firm prices for 30 days and all increases more than 5% held
for another 30 days, one week for meats, produce, dairy, and fresh
seafood
- offer full credit and pay all return charges for defective
packaging or deficient quality
- a 98% monthly fill rate
- delivery during normal school hours or as determined by the
school and vendor
- provide a sales representative on a regular schedule to take
orders, consult and present new items
- electronic ordering is also available (ask your sales
representative for more information)
Nebraska Coop agrees to:
- conduct the bid process and monitor the vendor contract
- have meetings with the vendor to review the program and make
adjustments
- periodically conduct an audit for cost control
- approve price increases of over 5%
-act as liaison between vendor and school as problems arise
Nebraska schools agree to:
- purchase 60% of: the total dollar amount reported on
the 2006-2007 NDE Child Nutrition Financial Report minus the total
dollar amount spend on commodities the same year, realizing
however, that the more they order from Pegler Sysco, the more they
will save
- order as they wish: weekly, monthly, or as determined by
the school and vendor
- pay on the terms of 30 days net
- purchase a minimum of $400 per order
Benefits for Nebraska schools include:
-school districts will not have to tie up cash and stock pile
inventories because of "special" deals and prices
- purchasing food products on a competitive bid statewide without
conducting individual bids
- pay one price that includes the Nebraska Coop Administrative Fee
(2%) and freight
-save approximately 10% in food costs alone, not considering time
and cost savings by having fewer sales representatives call on the
food service director
- drop size incentive and early payment discounts
Nebraska ESU Cooperative Purchasing, Pegler Sysco, and the ESU
Affiliated School will become partners in an effort to provide
quality products and service at the best possible price for the
school in Nebraska.
Frequently Asked Questions (FAQs) about the Food
Program.
