HillsboroughSchools.org • P.O. Box 3408 • Tampa, FL 33601-3408 • Procurement Services (813) 272-4327 Raymond O. Shelton School Administrative Center • 901 East Kennedy Blvd. • Tampa, FL 33602-3507

REQUEST FOR PROPOSALS (RFP)

25580-RFP-DST PRIMARY FOOD SERVICE DISTRIBUTOR - STUDENT NUTRITION SERVICES

BID BROADCAST DATE

JANUARY 09, 2026

LAST DAY FOR TECHNICAL QUESTIONS

Friday, January 23, 2026, at 12:00 PM

ADDENDUM DATE

January 26, 2026

PROPOSAL DUE DATE AND TIME

Friday, February 20, 2026, at 5:00:00 PM

TO BE SUBMITTED SOLELY VIA: WWW.MYVENDORLINK.COM

REVIEW DATE

February 23, 2026

ESTIMATED AWARD DATE

June 02, 2026

ESTIMATED START DATE

July 01, 2026

Hillsborough County Public Schools (“HCPS”), on behalf of The School Board of Hillsborough County, Florida (the “Board”), hereby issues this Request for Proposals (“competitive solicitation,” “solicitation,” or “RFP”), per Rule 6A- 1.012, F.A.C., to announce that HCPS is accepting proposals from all qualified firms or individuals interested in providing the commodities and contractual services as described in Section 1. Scope of Services.

Important Dates. The above event dates and times are subject to change. Any updates will be posted via www.myvendorlink.com.

VendorLink Technical Support. The Proposer must allow sufficient time to upload their submittal on VendorLink and is solely responsible for contacting VendorLink technical support at support@eVendorLink.com if technical difficulties arise during the proposal submission process.

Notice. Failure to file a protest within the time prescribed in § 120.57(3), Florida Statutes, or failure to post the bond or other security required by law within the time allowed for filing a bond shall constitute a waiver of proceedings under Chapter 120, Florida Statutes. Any protest must be submitted on time to the General Manager of Procurement Services via email at contractsupport@hcps.net.

Lobbying/Cone of Silence. Per Policy 6320, Procurement: https://web.hillsboroughschools.org/policymanual/, any communication regarding an active solicitation between any HCPS employee or Board member and any third-party representative or lobbyist of that party is prohibited, effective from the time the solicitation is released until an agreement is signed by HCPS or awarded by the Board.

Federal Funding Disclosure. This solicitation is funded by the United States Department of Agriculture (USDA) as part of an award totaling $40,000,000 (100%) with (0 %) state, local, and/or non-federal sources.

http://www.myvendorlink.com/ http://www.myvendorlink.com/ mailto:support@eVendorLink.com mailto:contractsupport@hcps.net https://web.hillsboroughschools.org/policymanual/

Hillsborough County Public Schools Page 2 of 52 Request for Proposals: 25580-RFP-DST Primary Food Service Distributor – Student Nutrition Services

TABLE OF CONTENTS

1 SCOPE OF SERVICES

2 PROPOSER INSTRUCTIONS

3 QUALIFICATIONS AND EXPERIENCE

4 REQUIRED FORMS

5 COST/VALUE

6 GENERAL TERMS AND CONDITIONS

[INTENTIONALLY BLANK.]

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1 SCOPE OF SERVICES

1.1 BACKGROUND

☐ New Solicitation ☒ Replacing an expiring solicitation: RFP 20190-DST-KJ Primary Foodservice Distributor

1.2 ESTIMATED EXPENDITURES/BUDGET

1.2.1 Estimated Budget. HCPS’ performance and obligation to pay under the Agreement are contingent upon an annual appropriation by the Board. For protest purposes, the estimated yearly budget is $40, 000,000.

1.3 AGREEMENT TERMS/RENEWALS

1.3.1 Initial Term - The initial term of the contract shall be from July 1, 2026, through June 30, 2027, following approval by The School Board of Hillsborough County, Florida.

1.3.2 Renewals - This contract may be renewed for four (4) additional one (1) year periods provided all terms and conditions remain unchanged and in full force and effect. The option to renew, if exercised, will be executed in the form of a renewal letter, to be issued not sooner than one-hundred twenty (120) days prior to expiration of this contract. This option to renew requires the mutual agreement of both parties. Refusal by either party to exercise this option to renew will require this contract to expire on the original or mutually agreed date.

1.3.3 Upon mutual agreement, this contract may be renewed beyond the four (4), one-year periods for a period not to exceed 180 days.

1.3.4 A price escalation of the fixed delivery fee per case and/or jobber fee per case shall be firm against any increase for at least one (1) year from effective date of this proposed contract. After this date, it shall be the vendor's responsibility to notify the Procurement Officer a minimum of 120 days in advance of any anticipated changes in the fixed delivery fee and submit a request for a price increase.

1.3.5 HCPS reserves the right to accept or reject within thirty (30) days after the request for a price change. If the price change is rejected, the specific item in question will be canceled. If the price change is approved, the price will remain firm for at least one (1) year from the date of the change.

1.3.6 Temporary Renewal. If HCPS needs to extend the Agreement beyond the stated renewal period(s), HCPS and the Contractor may agree to renew the Agreement for a period not to exceed 180 days.

1.4 HCPS’ CURRENT STATE

Student Nutrition Services (SNS) is currently utilizing contract RFP 20190-DST-KJ for its primary food service distributor.

As all renewal options have been exhausted, SNS will be issuing a new Request for Proposals (RFP) to secure a new contract for these services.

1.5 WHY IS THIS NEW SERVICE NEEDED

HCPS is seeking proposals from qualified firms to establish a “cost” plus “fixed fee per case” Prime Foodservice Distributor contract for the delivery of frozen, refrigerated, grocery, dry foods and commodity processed products to individual school sites for use in the United States Department of Agriculture’s National School Breakfast and Lunch Programs, Summer Food Service Program, and the Child Care and Adult Food Program’s After School Meals Program. A separate “jobber fee per case” for receipt, storage and distribution of United States Department of Agriculture (USDA) direct delivery commodity foods is also requested.

1.6 TASKS AND DELIVERABLES

1.6.1 This request for proposal must contain the following two groups for pricing:

Group A – Frozen, Refrigerated, Grocery and Dry Foods

Category 1: Product Pricing - Includes all commercial frozen, refrigerated, grocery and dry items. The awarded vendor will be required to competitively bid and purchase items in this group and then sell them at cost to HCPS. The fixed fee per case for Group A will be added to the invoiced price.

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Category 2: Net-Off Invoice (NOI) Commodity Pricing - Includes net-off invoice and closed net-off invoice commodity processed products. The awarded vendor will solicit pricing annually on behalf of HCPS for USDA commodities based on specifications and commodity material codes provided by HCPS. The awarded vendor will also provide Summary End Product Data Schedules (SEPDS) from processors containing USDA Material Code, Pass-Thru Value (PTV) per case, the commercial sale price/serving and the commodity sale price/serving. The commodity sell price will be determined by the commercial sell price less than the PTV per case as determined by USDA annually. Any additional ‘NOI” allowance provided by the processor will also be deducted from the commercial sell price. The fixed fee per case for Group A will be added to the invoiced price.

Group B – USDA Commodity Foods

“Jobber Fee per Case” for receipt, storage and distribution of USDA direct delivery commodity foods.

Estimated annual case volume:

Group A: 1,100,000 cases

Group B: 30,000 cases

Average weekly dollar value of products dropped per site is as follows:

Adult/Career (2) $ 1,250.00

Elementary Schools (135) $ 4,000.00

Elementary/Secondary-K8 (9) $ 5,000.00

Middle Schools (43) $ 6,000.00

High Schools (29) $ 7,000.00

Silo Culinary Kitchen $ 8,000.00

1.6.2 Award. To be considered for an award, the distributor must be able to service all school sites within the county. See Attachment C for delivery locations.

• The District reserves the right to increase or decrease the number of schools during the contract period. Any additional schools shall be serviced at the same rate/cost bid herein. In the event of default or non-availability of product, HCPS reserves the right to utilize the next rated bidder and their stated bid prices as needed.

• Qualified distributors must bid on all items on Attachment A - Price Response Sheets. Failure to bid on all items may disqualify the vendor for the bid award.

• Prior to beginning date of contract, successful distributor must pick-up and purchase any residual or items designated as “special to the contract” from incumbent distributor at no more than the most current contract cost. USDA commodity and commodity processed products must also be picked up. No fees for pick-ups are allowed.

1.6.3 Experience. The successful vendor must have been in the food distribution business for a minimum of five (5) years and maintain a current business license from the State of Florida. Proposers shall provide documentation of applicable license, certification, and/or commercial experience. HCPS reserves the right to request documentation at any time during the contract period.

1.6.4 Inspection of Facilities. HCPS reserves the right, prior to award of any contract and throughout the proposal period, to inspect the vendor’s facilities and place of business to determine that the vendor has a regular, bona fide establishment, that is presently a going concern and is likely to continue as such. Repondents must demonstrate to district officials that they have the capacity to procure, store, and deliver merchandise requested in this RFP in the volumes necessary to efficiently administer the provisions of any resulting contract.

• The vendor’s facilities may be evaluated, as they relate to a program serving in excess of 230,000 meals a day.

Areas of evaluation by school district representatives may include, but not limited to:

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1) warehouse facilities, total cubic feet and condition of warehouse; and

2) delivery fleet, capacity in terms of number and size of trucks to properly transport products.

1.6.5 Firm Prices. Cost prices for competitively bid commercial items must be firm from the beginning of the contract term until December 31, 2026. At the end of the initial pricing period and thereafter for every six-month period, prices may increase or decrease, according to market conditions. Price changes are effective the first day of each six-month interval (July 1st and January 1st). A vendor cannot institute a price change without prior approval by the SNS District Office.

1.6.6 Quarterly Adjustable Pricing. The successful distributor may submit product price increases quarterly, every August, October, January, and March, on bid items due to an unexpected price increase from the vendor or extenuating circumstances that require the distributor to procure the bid item from an alternate source who may not honor the original negotiated product cost. HCPS reserves the right to reject any significant price increases and remove that bid item from the contract.

1.6.7 Submittal of Proposal. Qualified distributors must propose a cost on all items in Category 1 and Category 2 of Group A on Attachment A - Price Response Sheets. Distributor’s costs shall mean the district awarded price or otherwise the invoiced cost (net of any manufacturer’s promotional allowances reflected on the manufacturer’s invoice and not reduced by cash discounts, performance based incentives and marketing fees for services provided to suppliers).

Rounding of bid unit cost and total extended cost must be rounded to two digits.

• Proposers must submit a fixed delivery fee per case to deliver items in Categories 1, and 2; a fixed jobber fee per case for the delivery of Group B, USDA Commodity Foods; and a total cost of products in Category 1 and Category 2 of Group A. .

• Do not include the proposed fixed delivery fee per case in your unit cost on the Price Response Sheets (Attachment A).

1.6.8 Proposer must provide the following information:

PROPOSED FIXED FEES:

Proposer/Distributor Name:

Group A: Fixed Fee per Full Case - Frozen, Refrigerated, Grocery and Dry Foods

Group B: Jobber Fee per Full Case - USDA Commodity Foods

1.6.9 Definition and Review of Cost Pricing

Definition – Product cost, when used in this proposal, must include all freight and pick-up charges for delivering product to distributor’s warehouse. Discounts and allowances must accrue to the benefit of HCPS. For example, if the cost of a product is $25.00 and the distributor petitions the packer for a $1.00 rebate, the rebate shall be passed on to HCPS and the cost would then become $24.00.

Review - After the opening of the proposals, school officials will review the cost of each item. Compliance with all instructions and specifications will be reviewed in order to ascertain that the brands quoted are in accordance with the terms of the request for this proposal. School officials from SNS Administration who find any errors in calculations will adjust the total cost figure accordingly. During the time proposals are being reviewed, an independent auditor of the District’s choosing may audit selected items for the accuracy of cost prices quoted. The extent of this audit will be at the discretion of HCPS. Written quotes and/or any other documentation to ascertain if these items were shopped and the lowest quotation used will be reviewed during the audit. In the event the District made an error in an item specification, that item would be excluded for all proposers for evaluation purposes only. Any item excluded from the tabulation will be excluded for all proposers for evaluation purposes only.

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1.6.10 Estimates. Quantities stated are for bidders’ guidance only and are based on historical data for a 12-month period. It shall be understood by all parties concerned that any contract established as a result of this request for proposal will not oblige HCPS to receive any quantity less than or in excess of actual requirements. School district authorities will make a reasonable effort to fully utilize projected supplies. There will be no stipulation of a minimum order for any bid item.

1.6.11 Distributor Relationship. Under the arrangements of this contract, the successful vendor must prioritize the best interests of HCPS in relation to the following areas:

• Maintain a constant search for items that offer better value.

• Promote the introduction of new items, either by manufacturer or local vendor representatives to SNS staff members on a quarterly basis.

• Make purchase of specified items at the lowest price (including freight).

• Interface with manufacturers/packers on problems relating to product and quality.

• Provide, in a timely manner, the necessary documents for product usage and price changes.

• Purchase products in the best interest of HCPS regarding pricing, quality and service.

• Communicate effectively and in a timely manner with SNS District Office and On-Site Representative with respect to shortages, errors, pricing mistakes, ordering issues, and delivery problems.

1.6.12 Program/Business Review. The parties shall conduct annual reviews to discuss and monitor the implementation of this contract and evaluate ways of improving its day-to-day operation and achieving operational and cost efficiencies. Participants in such reviews shall include SNS staff together with representatives from the distributor.

Distributor reports that are typically reviewed at this meeting include, but are not limited to:

• Order Fill Performance/Ratio

• Key Performance Indicators

• Top 50 Items – By Sales/Case Volume

• Key Sales Data by School Site

1.6.13 Designated Account Manager. The awarded vendor shall assign a designated on-site Account Manager (AM), specifically assigned to HCPS. The AM shall be stationed at the SNS District Office at the distributor’s expense. SNS will provide desk space and facilities, free of charge, as may be required for adequate job performance. HCPS expects the AM to provide the following list of services and any other requirements as needed throughout the life of the contract.

The duties of the designated account manager shall include, but not be limited to, the following:

• Be the main point of contact and respond to messages and emails from SNS district office staff members and individual school sites.

• Coordinate the ordering and delivery of all products to school sites, as well as assist them in selecting and managing product quantities, handling invoice discrepancies and managing substitutions and delivery problems.

The successful vendor must be able to receive orders electronically. Web based and proprietary-ordering systems will not be accepted. SNS uses a computerized back-office order software system. School sites place their orders via computer four days in advance of delivery.

• Track orders from school sites to ensure all school sites have placed a weekly order. Contact schools accordingly if their order is missing.

• Develop and maintain delivery schedules in SNS computerized back office software system.

• Develop and maintain internal HCPS email lists for district staff and SNS cafeteria managers.

• Consolidate orders from individual school sites and transmit them electronically to distributor. No manual keying of orders will be allowed.

• Check inventory levels at distributor for any items that might be out of stock.

• Work with distributor on proposed substitutions for out-of-stock bid items to ensure all substitutes are the same portion, unit pricing, and meet program guidelines.

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• Complete and submit HCPS outage form to SNS district office as necessary for approval.

• Notify school sites directly of any outages and approved substitutions.

• Process any emergency add/delete changes from school sites to existing consolidated orders.

• Edit consolidated orders in SNS back-office software system, such as substitutions, a different flavor, and turn commodity and commercial items on and off as needed.

• Coordinate all credits and returns of any products that are deficient or shipped incorrectly.

• Coordinate the replacement of critical items that are short on delivery days.

• Schedule emergency deliveries as needed.

• Process pick-ups for mis-picks or damaged goods that need to be returned to distributor.

• Communicate any late deliveries or delivery issues directly with school sites.

• Track invoice prices and compare to awarded contract pricing.

• Process new item request forms as needed.

• Be responsible for the initial set-up and on-going maintenance of all bid items and delivery schedules related to this contract in the SNS computerized back office software system.

• Work on Forecasting with distributor for menus and special items.

• Process all Summer Menus with Forecast and new item requests.

• Assist in evaluating and determining purchasing requirements against menu cycles; coordinate the change of deliveries from purchased food to commodity and commodity processed food and vice versa; coordinate the ordering of special menu items to ensure products are received on time.

• Track usage figures district wide. Set-up, maintain and submit monthly usage report to the SNS district office by the 15th of each month.

• Process quality control reports from school sites, ask for pictures, fill out QA report in distributor system, ask that any additional information needed by manufacture be send to manager provide name and phone number, also ask that a letter be send back to the district office on finding, process credit memo’s as needed. Close reports in SharePoint, and email manager with copy of response and credit memo.

• Review A/R reports for any outstanding invoices or credits that have not been processed or paid.

1.6.14 Delivery. The Contractor must provide inside delivery to the various HCPS locations. Refer to Attachment C – Delivery Locations.

• Regular School Year –The Contractor will provide a written delivery schedule four (4) weeks prior to the beginning date of the contract. A school calendar will be provided to the Contractor upon award of Proposal.

• Frequency – During the regular school year approximately 218 sites will require one delivery per week, and the Silo Culinary Kitchen will require two (2) deliveries per week.

• Delivery Time Frames - During the regular school year, delivery timeframes will vary by site type and shall be completed between either 6:00 am - 2:30 pm, 6:30 am to 3:00 pm, or 7:00 am and 3:30 pm, Monday through Friday except school holidays or closing days. All orders must be delivered during periods when SNS employees are present. This also excludes leaving products with custodial or security staff.

• Emergency Deliveries – In an emergency, HCPS may request non-scheduled deliveries in addition to the normal delivery schedule. There shall be no additional charge for any extra deliveries or those made outside the normal delivery schedule.

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• Excessive Late Deliveries – Deliveries made outside established delivery time frames shall not be tolerated and may be reason for contract termination.

• Holidays and Closings - When school holidays/closings fall on a scheduled delivery day, deliveries shall be made on the next school day or the prior school day.

• Tinker K-8 School - Tinker K-8 school is located on MacDill Air Force Base. All access to the base is restricted in accordance with Homeland Security rules and regulations. Employees at Tinker Elementary are not allowed to leave the school site and go to the base gate to pick up products. Awarded vendors for SNS must have at least two (2) designated delivery drivers at all times that have a permanent pass issued by MacDill Air Force Base. Any pass fee(s) associated with this location shall be paid by the Contractor.

• Delivery Schedule Changes - All delivery schedule changes must be submitted in writing, at least two weeks in advance, to the SNS District Office for approval prior to implementation.

• Summer School - During summer school, deliveries may be required in a shorter delivery window, depending upon the number of sites open and hours of operation. The Silo Culinary Kitchen may require daily delivery. A list of other school sites open during the summer program will be provided to the successful vendor approximately three (3) weeks prior to the opening date of summer school deliveries. During summer school, open sites will require delivery once per week.

• Delivery Acceptance – SNS employees are required to check in orders at the time of delivery. Delivery personnel shall cooperate with this process.

• Under no circumstances are orders to be delivered before the SNS Manager or designated representative arrives at the school or district site.

• Products may not be left on loading docks before school or other HCPS site hours.

• No school keys will be issued.

• Sign-in/Sign-out Requirements - All delivery personnel, i.e., drivers and helpers, must sign in and out on the “Visitor’s Log” in the cafeteria at each school site at the time of delivery. Drivers and their helpers shall deliver merchandise into designated areas at each school. Drivers are not required to stow merchandise.

• Product Condition and Temperature Requirements - All products must be in prime condition at time of delivery and delivered under clean and sanitary conditions. Delivery vehicles must be equipped with back-up warning signals and be capable of maintaining frozen products at 0 degrees Fahrenheit or below; refrigerated products at 35-40 degrees Fahrenheit and dry products that are clean and dry.

• Campus Security - All delivery personnel must close and lock campus gates when entering, while unloading, and then close and lock them again upon leaving a school campus. In addition, delivery drivers are not allowed to prop back doors open to cafeterias when making deliveries. They must have an SNS employee stand by the back door and open and close it as they come in and out of the cafeteria to make the delivery. Repeated occurrences of delivery personnel failing to secure campus gates may result in contract termination.

• Special Deliveries - Special or intermediate deliveries will be required if any bid item is out of stock or the vendor fails to deliver the product on a regular scheduled delivery; in that case re-delivery shall be made within 24

Hillsborough County Public Schools Page 9 of 52 hours. If the vendor delivers an unsatisfactory product that is returned for credit, re-delivery shall be made within 24 hours.

1.6.15 Shelf life. The successful distributor must assure that first-in, first-out inventory management principles are used; a Hazard Analysis and Critical Control Point (HACCP) system is in place; a Cold Chain Management System is in place; and product shelf life is monitored.

Guaranteed Re-Distributed Shelf Life (GSL). Is the amount of life left on a product at the time of receipt at the distributor’s facility. Products purchased for our program by the distributor are required to have the below manufacturer’s shelf life or more at time of receipt:

• MFG Shelf Life <30 days will require 80% remaining shelf life at time of delivery. Example: A product with 30 days of manufactured shelf life should have 24 days of guaranteed redistributed shelf life left at time of receipt at school site (30 X 80% = 24).

• MFG Shelf Life >30 days will require 60% remaining shelf life at time of delivery. Example: A product with 365 days of manufactured shelf life should have 219 days of guaranteed redistributed shelf life left at time of receipt at school site (30 X 60% = 219).

• Refrigerated items such as cheese, sour cream and yogurt must have a minimum of ten (10) days remaining on the expiration date at the time of delivery.

• Dry storage items such as chips and crackers must have a minimum of fourteen (14) days remaining on the expiration date at the time of delivery.

1.6.16 Fixed/Jobber Fees and Price Changes. This includes the distributor’s cost (net of any manufacturer’s promotional allowances reflected on the manufacturer’s invoice) plus the established delivery fee per case. Initial cost prices must be firm from the beginning of the contract term until December 31, 2026.

Fixed delivery fee per full case (Group A): The fixed delivery fee per full case shall remain firm for at least one (1) year from effective date of this proposed contract.

Fixed delivery fee for broken case (Group A): The fixed delivery fee for broken case shall remain firm for at least one

(1) year from effective date of this proposed contract. The fee for less than case lot quantities will be prorated in accordance with the size of the case. For example, the fee for 1 unit, packed 12 units per case, will be 1/12 of the fee for a full case. Bid items for broken cases are indicated with asterisks (**) next to the description on the Bid Response Form.

• Jobber fee per full case (Group B): The jobber fee per full case shall remain firm for at least one (1) year from the effective date of this proposed contract.

• Pack size: If a pack size decreases during the specified costing period, the fee must be prorated. For example, if a pack size of 48 units was specified and bid, and the pack size subsequently changes to 24 units, the fee for the 24 pack case will be ½ the fee for the 48 pack case.

• Subsequent price solicitations: At the end of the initial pricing period and thereafter for every six-month period, commercial prices may increase or decrease. The successful distributor must re-solicit pricing or accept a six-month extension of price. Prices that have been extended by the manufacturer need not be re-bid unless there is an indication that market prices have decreased or an additional approved brand is added or as directed by SNS. Price changes are effective the first day of each six-month interval (July 1st and January 1st). SNS shall review all pricing updates as to their cost effectiveness and shall approve product increases prior to their implementation. Vendor cannot institute a price change without prior approval by the SNS District Office.

• Petition Procedures for Emergency Price Increases: The successful distributor may petition for product price increases based on an emergency created by unusual market conditions(s). A third-party market indicator supporting the request must be submitted with the written request to increase pricing. Petition for increases must be based on the cost of product only and may not be greater than the percentage increases in market publications.

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• Notice of price changes: The SNS District Office will initiate the process of soliciting price changes to the successful distributor sixty (60) days in advance of the upcoming pricing period. The successful distributor shall submit all price changes utilizing a price change form approved by the SNS District Office. Price changes must be submitted a minimum of four weeks prior to the effective date. Prices that have been extended by the manufacturer need not be re-bidden unless there is an indication that market prices have decreased, an additional approved brand is added or as directed by SNS. Written manufacturer quotations of all approved brands must be solicited. In the absence of approved brands, the vendor must solicit lower prices from at least two (2) sources unless product movement is less than 50 cases per month. The manufacturer’s quotes from all solicitations must be attached to the Price Change Form. Price changes will not be accepted unless forms are accurately completed in a timely manner.

1.6.17 Freight. Invoiced freight costs associated with the delivery of product to the vendor’s warehouse should be included in the vendor’s cost of the item.

1.6.18 Fuel Surcharges. HCPS will not entertain proposals with clauses that allow vendors to add a fuel surcharge during periods of volatility in the petroleum market.

1.6.19 Discounts and Allowances. Manufacturer invoices that reflect promotional allowances (i.e. one free with ten), and/or bid allowances shall be to the benefit of HCPS. Cash discounts, label allowances and buying group rebates or allowances shall accrue to the benefit of the HCPS.

• Allowable costs will be paid from the nonprofit school food service account to the successful distributor net of all discounts, rebates and other applicable credits accruing to or received by the Contractor or any assignee under the contract, to the extent those credits are allocable to the allowable portion of the costs billed to the school food authority.

• Successful distributor must exclude all allowable costs from its billing documents and certify that only allowable costs are submitted for payment and records have been established that maintain the visibility of unallowable costs, including directly associated costs in a manner suitable for contract cost determination and verification.

• Successful distributor’s determination of its allowable costs must be made in compliance with the applicable Departmental and Program regulations and Office of Management Budget cost circulars; A-87 for cost principals, A-102 for administrative requirements, and A-133 for audit requirements.

• Successful distributor must identify the method by which it will report discounts, rebates and other applicable credits allocable to the contract that are not reported prior to conclusion of the contract.

• Successful distributor must individually identify discounts, rebates and other applicable credits on all invoices presented to HCPS for payment.

• Successful distributor must maintain documentation of costs and discounts, rebates and other applicable credits, and must furnish such documentation upon request to HCPS, State agency, or the United States Department of Agriculture.

• Prohibited Expenditures: No expenditure may be made from the non-profit school food service account for any cost resulting from a cost reimbursable contract that fails to include the requirements of this section, no may any expenditure be made from the non-profit school food service account that permits or results in successful distributor receiving payments in excess of the Contractor’s actual net allowable costs.

1.6.20 Procurement of New Products. New products are evaluated prior to each upcoming pricing period following the SNS District Office product testing procedures. When considering new products for evaluation, the first step is completion of the approved SNS Product information Form. This form is provided to manufacturers/brokers by the SNS District Office. Criteria used in selecting products for testing include, but are not limited to; portion cost, nutritional analysis, menu needs, a la carte menu needs, student acceptability of similar products, current mix of products, etc.

The SNS District office reserves the right to test products believed to best serve the goal of providing quality products to the students of HCPS. If samples are requested, the company representative will be notified to provide a sealed, full-case sample from a production line (not a specially made sample) to a designated school site for further testing.

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Completion of the product information form does not guarantee that a product will be tested. For products that have been tested and approved, it is the manufacturer’s responsibility to notify the SNS District Office, in writing, of any changes in the formulation, ingredients, product code number or CN number for re-evaluation. Failure to do so may result in removal of the item as an approved brand. HCPS reserves the right to add/delete items throughout the contract period.

• It is desired that any new products approved for use in our program be set-up and available for school sites to order within four (4) to six (6) weeks after formal request is made and approval from the SNS District Office.

1.6.21 Nutrition Labeling Compliance. To ensure alignment with federal student nutrition standards as outlined in the 7 CFR Subchapter A, all new food and beverage items proposed under this solicitation must include a complete and accurate Nutrition Facts label. The label must be printed on the product packaging or provided to the School Food Authority (SFA) and the proposer. Each Nutrition Facts label must include the following nutrient information per serving:

• Calories

• Total Fat

• Saturated Fat

• Added Sugars

• Sodium

1.6.22 Approved Brands. Approved brand(s) and product code numbers listed on proposal response forms are the result of on-going product testing and evaluation. These are the only brands allowed for this proposal. Offering any item other than approved brands may be cause for disqualification. Only one manufacturer’s brand and code number may be bid for each item. The brand specified will be the product that will be delivered.

1.6.23 House Brands. A house brand is defined as a brand used exclusively by a distributor for a product or line of products that are typically sold for prices lower than that of comparable items with manufacturer brand names.

1.6.24 Inventory Requirements. Successful vendor shall order supplies from manufacturers/suppliers in sufficient quantities and maintain inventories at ample levels to prevent out of stock or substitute situations for SNS. Inventory levels must be monitored on a regular basis. SNS will not be responsible for excessive residual/ discontinued inventory items at end of contract term.

SNS will provide successful distributor with shipment information, as soon as it becomes available, concerning the availability/arrival of USDA donated foods which may impact inventory levels of some commercially purchased foods.

1.6.25 Bar Coding Requirements. It is the intent of Student Nutrition Services to move towards incorporating barcode scanners to receive, count, and organize inventory items at individual school sites for full and broken cases. The successful distributor shall have or implement bar coding/tracking pick stickers on all items shipped to school sites that are usable and compatible with the software/hardware system when selected by HCPS.

1.6.26 Item Substitutions, Additions and Changes

Substitutions of product will only be considered when manufacturer has discontinued the product or is having difficulties in the manufacturing and delivery of the product. If the successful vendor is temporarily out of stock of a particular item, they must deliver an equal or superior product at an equal or lower price with prior approval from the SNS District Office. All outages must be submitted to the SNS District Office a minimum of 24 hours prior to delivery.

The vendor shall communicate outages and suggested substitutes by utilizing the approved SNS Outage Notification Form (form to be provided to successful vendor). The fact that a substitute is being made should be clearly stated on the invoice/delivery ticket.

• Excessive occurrences of distributor-related out-of-stock items may be cause for contract cancellation.

• For substitutions to be considered for discontinued items, we will require proof from the manufacturer that the item is no longer available.

• If the vendor needs to make a brand change during the term of the contract, the vendor shall submit a request to the SNS department manager listing the reason for the change. Testing of any brand change must follow SNS

Hillsborough County Public Schools Page 12 of 52 standard testing and evaluation procedures. Hillsborough County SNS District Office must approve any new brand in writing prior to shipment of any product.

1.6.27 Net-Off Invoice Commodity Processed Products (Group A – Category 2)

The Net-Off Invoice Value Pass Through (VPT) system is a variation of the “hybrid system” which allows a distributor to sell end products to recipient agencies at a discount and submit a refund application for the contract value of the donated food contained in each case to the processor. The recipient agency in this contract is HCPS. Under the Net- Off Invoice system, the distributor does not submit a physical refund application but rather deducts any eligible discount from the invoice received from the processor. For example, under the Net-Off Invoice VPT system a processor sells identical commodities and commercial products to the distributor at a gross commercial price of $30.00 per case. The value of the donated commodity food contained in one case of finished end product in this example is $10.00. The distributor sells the product at a discounted price based on the value of the donated food contained in the finished case, or in this example $20.00 plus the distributor’s fixed fee per carton. The distributor then deducts the value of the donated food from the gross commercial price shown on the processor’s invoice to the distributor and remits the balance due to the processor.

• SNS reserves the right to request successful distributor to solicit pricing for additional commodity processed products not included on the bid response form.

• Distributor must itemize or note the value of the commodity on each invoice. The invoice must identify the gross case price and the value of donated food(s) per case on separate lines.

• Distributor shall maintain a program that meets the reporting requirements of the State of Florida and any audit requirements, tracks and deducts the commodity value of the product delivered to the District and tracks remaining entitlement. No brand or item code substitution of product is allowed.

• Processed end products shall only be purchased from processors that have an approved processor end product summary schedule with the Florida Department of Agriculture and Consumer Services and have been approved by this agency to participate in the net-off invoice alternate system.

• The recipient agency must have a positive donated food inventory “on the books” or “in the bank” with processors to purchase items using the closed net-off invoice alternate system. Distributor is responsible for monitoring donated food inventory balances “on the books” or “in the bank” before purchasing closed net-off invoice commodity processed products.

• Distributor is responsible for sales verification of net-off invoice commodity processed products and must have the technology in place to meet the reporting and tracking requirements of processors (i.e. K12 Foodservice or Processor Link).

• Distributor agrees to slot commodity processed items on a regular basis and provide usage/velocity figures monthly.

• In the event that commodity processed foods are lost, destroyed, broken or damaged in any way through the negligence or the lack of proper care or storage by successful distributor, their liability to SNS shall be determined on the basis of the cost of processing plus the current value of the USDA donated food.

1.6.28 USDA Commodity Food Requirements (Group B)

This group is comprised of the total case volume of USDA “Brown Box” commodity. The district will receive an average of twenty (20) to thirty (30) truckloads per year. The average breakdown is 10,000 cases of dry storage items and 20,000 cases of frozen items. It is the intention of HCPS to facilitate movement of these products to school sites as quickly as possible minimizing the storage of these products at the distributor’s facility. It is estimated that each product will be distributed within 120 days, although this is not guaranteed. Usage history indicates 70% of USDA “Brown Box” commodity foods are distributed within 90 to 120 days. No fees for storage are allowed. The successful distributor must agree to the provisions below for warehouse storage of USDA products. Failure to accept these requirements may disqualify the vendor for the bid award.

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• Receive commodity foods for storage, delivered to their warehouse by, but not limited to, the US Department of Agriculture under consignment to Hillsborough County Public Schools.

• Upon receipt of federally donated commodities for HCPS, the successful distributor shall be responsible for inspecting the cases/cartons for product identification, visible damage, shortages or overages and to note any such discrepancies on all shipments. This applies to rail, truck, container shipments or any other manner in which the commodities are shipped.

• In order to receive direct shipments from USDA, the successful distributor must agree to enter the receipt information on the USDA supply chain portal/website within three days of receiving the shipment.

• Receipt of all USDA “Brown Box” commodities shall be reported within three (3) business days of to the SNS District Office. Distributor must provide the following information: USDA Sales Order Number, arrival date, distributor item number, item description, supplier/manufacturer name, original quantity, any damages or shortages, and actual quantity received.

• USDA shipments containing damaged products or shortages received shall first be reported to the carrier for inspection prior to unloading. Damaged items shall be separated by shipment and labeled with date and a withdrawal ticket covering damaged items signed by the carrier. If any commodities tendered by the delivering carrier at the time of such delivery are broken, destroyed, lost or damaged in any way, the successful distributor shall immediately notify the coordinator or designee of the State of Florida Food and Nutrition Wellness and the delivering carrier in writing of such shortages or damages, thereby relieving them of any liability thereof. All such shortages and/or damages shall be fully documented so as to form the basis for claims against the delivering carrier. A copy of all documentation regarding damaged products and shortages must be forwarded to the SNS District Office. All breakages, shortages and damages which are not adequately documented and reported shall be the liability of the successful distributor.

• Damaged products are not to be accepted into storage except upon permission from the SNS District Office. All instances of damages, shortages or overages connected with incoming shipments must be reported in accordance with USDA guidelines and on the USDA supply chain management portal/website within three days of receiving the shipment.

• Shipments from USDA must be clearly identified. Each individual shipment received into a distributor’s warehouse is assigned a Delivery Order (DO) number by USDA. The delivery will specify the number of cases that have been assigned to that DO number. Storage and shipment of USDA commodity foods must be by their DO number or by some method which would facilitate tracking in the event that foods are put on “Hold” or are recalled.

• No damaged or contaminated product is to be left exposed in rooms where food products are stored. There shall be no intermingling of federally donated commodity foods belonging to HCPS with other food items or with federally donated commodity foods belonging to other recipient agencies.

• The successful distributor is responsible for maintaining the quality of the food products stored through proper rotation. Storage facilities will be maintained in a manner to ensure food safety and sanitation. Products are to be stored and palletized in a manner to facilitate the removal for delivery on a “First-In, First Out” basis.

• The successful distributor will maintain sanitary conditions and otherwise meet Florida Department of Health standards in addition to local standards. Required temperatures are; Frozen 0° to 10° F, Chilled 33° to 41° F and Canned/Dry 50° to 70° F.

• The successful distributor’s plant facilities shall be subject to inspection and inventory by representatives of HCPS, USDA and State of Florida Food and Nutrition Wellness at any time during normal working hours without additional cost to HCPS. In the event that such commodity foods are lost, destroyed, broken or damaged in any way through the negligence or the lack of proper care or storage or handling by the successful distributor, their agents or employees shall be liable therefore, and their liability to HCPS shall be determined on the basis of replacing the commodity foods in the same quality and quantity or payment in lieu of the commodities at the same rate that will be required for replacement.

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• An inventory system will be in place for the duration of the contract. The successful distributor must conduct an annual physical inventory. After completion of the inventory, the successful distributor shall reimburse HCPS the amount of any shortages noted.

• Retain records on-site for the current physical year and the following three (3) years of the contract for USDA commodity and commodity processed products.

• USDA “Brown Box” commodity items will be ordered by HCPS school sites using the same back office ordering system for commercial food items.

1.6.29 Audits. On-site audits of selected items may be conducted a minimum of twice per year to monitor conformance to contract pricing. An independent auditor chosen by the district will select the items to be audited.

Initial and subsequent price solicitations will be reviewed. In the event of an unexpected market change that results in the manufacturer not honoring product pricing for the costing period, it is the distributor’s responsibility to make a special request for a price solicitation on that product through the stated price change procedure. The awarded vendor must maintain records of all documentation regarding prices within this contract and any and all price changes until they have been audited. The school district may withhold up to 10 percent of the final payment for the contract period until all audits are completed. Audits that reveal when the distributor has either overcharged or undercharged HCPS will be treated as follows:

• Overcharges: When an invoice from a manufacturer reveals that the price of a product delivered to the distributor’s warehouse is less than the quoted cost, a credit will be due on each carton delivered at the incorrect price. The credit shall be provided within 30 days of the close of the month in which the audit took place. The credit shall be made in the form of a check made payable to the Hillsborough County Public Schools and submitted to Student Nutrition Services.

• Undercharges: Whenever an invoice from a manufacturer reveals that the price of a product delivered to the distributor’s warehouse is more than the quoted cost, a debit to the school district’s account will not be permitted.

1.6.30 Purchasing Practices/Bill Backs

The primary role of the Prime Vendor is to purchase food products on behalf of Student Nutrition Services. Purchases must be made on a competitive basis and in the most effective manner. The vendor must accept manufacturer’s rebates/discounts/allowances and pass these to the school district for the purpose of lowering costs. The vendor cannot accept rebates or bill backs from manufacturers, which in effect lowers cost prices to the vendor but not the school board. To do so would be grounds for disqualification under this contract.

1.6.31 SNS Invoicing and Payment Requirements

HCPS complies with the Florida Prompt Payment Act (ss. 218.70-218.80). Invoice payment is Net 45 days from the date of delivery or the receipt of satisfactory invoice, whichever occurs last, unless invoices specify early payment discounts.

All payments, other than payments for construction services, are due and not made within the time specified by this section bear interest from 30 days after the due date at the rate of 1 percent per month on the unpaid balance.

• All invoices shall include a unique invoice number. Invoice numbers shall not be reused or duplicated during the…