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BCPS staff recommend raising Chartwells deposit by $160,000; funds to come from food service fund
Summary
District staff presented a proposed contract amendment with Chartwells to increase the district deposit from $190,000 by $160,000 — to approximately $350,000 — to cover roughly one month of invoices; funds would come from the food service fund and be returned at contract end.
Battle Creek Public Schools staff at the May 12 work session recommended amending the district’s contract with Chartwells to increase the deposit on account by $160,000, bringing the total to about $350,000, to equal approximately one month’s invoice and provide working capital for the food service vendor.
A staff presenter said the district’s previous deposit was $190,000 and that Chartwells asked the district to increase the deposit to cover unforeseen disruptions and to ensure continued food purchases. The presenter said the additional funds would come from the district’s food service fund and that the full deposit would be returned to the district at the end of the relationship with the vendor.
Trustees asked whether the requested increase was consistent with typical business practices; staff responded that it was, citing current economic conditions and the vendor’s request. No final board action was recorded in the work session segment; staff said the matter would be moved through the district’s procurement and approval process.
