Agenda Item
i. Extension (Renewal) RFP No. 20-20 Sanitation Services and Materials (Year 4 of 4) to Sanitech Systems, Inc. for SY 23-24 (Not to exceed $230,000)
Summary: Presented by: Mr. Erick Hofstetter, Chief Operating Officer, Division of Operations
Request: It is requested the Board of Education ratify and approve the renewal of RFP 20-20, purchase of Sanitation Services and Materials to Sanitech Systems, Inc., in the amount not to exceed $230,000 for SY 23-24. This request extends the agreement for Sanitech Systems, Inc. an additional year from November 5, 2023 through November 4, 2024.
Why: The services provided by Sanitech Systems will enable School Nutrition Services (SNS) to maintain well-sanitized kitchens and equipment to serve healthy and safe meals to DeKalb County students.
Sanitech ServSafe Certified Service Technicians provide on-site training for School Nutrition Managers and Food Assistants on chemical usage and safety. This equips SNS personnel to maintain clean and sanitized food service environment.
Details: Due to an excellent level of service provided by Sanitech Systems, Inc., School Nutrition Services (SNS) request to extend RFP 20-20 for an additional year with the same terms and conditions as the original term contract from November 5, 2023, through November 4, 2024.
RFP 20-20 was approved by the Board on June 10, 2019, in the amount not to exceed $190,000 Year 1 is the initial year of the contract with the option of four renewals totaling five years. This is the fourth of four extensions allowed. During SY 22-23, SNS expended $148,197.00 for sanitation services and materials.
Sanitech Systems, Inc. has indicated a 51% price increase for SY 2023-2024 based on several price increases due to supply chain issues, increase cost of raw materials, increases in freight, packaging, fuel, labor costs, and the district’s increase product usage in paper towels, and cleaning detergents.
Sanitech Systems, Inc.
4033 Holden Road, Lakeland, FL 33811
Financial impact: There is no financial impact to the General Fund. School Nutrition Services is a self-supporting entity with revenue based on meal participation and supplemental sales. Funds will be paid from GL account 622.3100.561000.00062.8200.9990.8015.040.0000.
Contact: Mr. Erick Hofstetter, Chief Operating Officer, Division of Operations, 678.676.1475
Dr. Connie R. Walker, Executive Director of School Nutrition Services, Division of Operations, 678.676.1780
Status: Approved by General Counsel
September 25, 2023
DeKalb County Schools
Student Nutrition
Dear Ms. Stone/Ms. Watkins
As you are aware our current agreement with your schools ends in November. On April 20 th, we
advised that we would be unable to renew at the end of our agreement. There were a couple of
reasons why.
As all of us realize, our economy has taken a sharp decline since the pandemic. Supply chain
issues across the board have greatly caused significant increases with the all types of products
that we source. Because raw ingredients necessary to produce our cleaning chemicals have
gone up, our manufacturers pass these costs along to us. Everything that we purchase has gone
up dramatically. From paper, fuel, freight charges, plastic… the list goes on and on.
Additionally, DeKalb County Schools tops Sanitech’s entire customer base in product usage
coming in at over 70% of what we have been invoicing your district annually. Not one of our other
districts are even remotely close to that figure. The second highest is around 43%.
So, as I see it there are 3 options:
1. DeKalb needs to rebid as mentioned in our notice last April.
2. We would be willing to renew for another year but at $22,377.00 per month (a normal 10-
month extension) continuing until November 2024.
3. We offer the same deal as above without paper towels at a rate of $19,749.00.
We would love to keep DeKalb County Schools as valued Sanitech customer, but we have to be
profitable. Thanks for your understanding of this matter. Please don’t hesitate to contact me
should you need any further information.
Best regards,
Greg Guice
President
Sanitech Systems