GLENDALE COLLEGE CAFETERIA

OPERATING DEFICIT Historically College has supported Cafeteria Operations  Last year Cafeteria was in the black  Audit finding since Problem throughout the State College commitment to providing food service for students

OPERATING STATEMENTS (in $ thousands) Food Sales1,1711,1431, College Support Total Revenue1,2511,2631,2501, Food Cost Salaries and Benefits Other Expenses Total Expenses1,2331,2841,2501, Net Profit18(21)013

REASONS FOR DEFICIT Staff Salaries and Benefits  Salaries above market  Retirement  Full medical Increased competition College budget cuts Cafeteria layout Recession

ACTIONS TAKEN Student Surveys Menu and portion sizes Reduced product inventory Vendor comparisons Franchising (Subway) Consultant Review Accepting Credit Cards Reduced staffing Offload Expenses

ACTIONS PLANNED Partnership with Culinary Arts Remodel of upstairs cafeteria

FUTURE OF CAFETERIA Continue to try to improve operations to make Cafeteria more self sufficient with the understanding that it will always need College support. Eliminate food services entirely. Downsize operations. Outsourcing opportunities

RESTRICTIONS OF ACTIONS CSEA bargaining agreement  No contracting out classified work Education Code  Food Service positions are part of the classified service  Contracting for services performed by classified employee to achieve cost savings is permissible if: Contractor pay rates are at industry levels and do not undercut district pay rates. Contract does not cause displacement of district employees.