BHSU - Fresh Ideas Questions.pdf
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- Attached to
- Dining Service Operations for SDBOR Institutions
- Solicitation number
- 26RFP-SDBOR07142026
- Issued by
- Kingsbury County, South Dakota
About this file
This is a Questions and Answers document for a dining services Request for Proposal issued by the South Dakota Board of Regents for Black Hills State University (BHSU), one of six public universities participating in a comprehensive food service management procurement. The RFP seeks proposals for complete dining operations management, including meal plan administration, catering services, retail dining locations, alcohol service, and technology systems across BHSU's Spearfish campus and Rapid City center. Current meal plan enrollment at BHSU totals 809 students across five plans (Jacket 10, Hive 5, Swarm 19, 20 Block, and 40 Block), with mandatory participation for students in traditional residence halls and Yellow Jacket Apartments. Operating requirements include 110 board days during fall semesters and 108 during spring semesters, with The Hive transitioning to summer camps and conference operations during non-academic periods. The Just Baked station in Bordeaux Hall remains the sole dining option during academic breaks and holidays. A mandatory pre-proposal conference is scheduled for August 31, 2026, with campus site visits occurring July 28 through August 6, 2026, and proposals due October 16, 2026 at 2:00 PM CST. The initial contract term is five years (through June 30, 2032) with options for four additional one-year renewals, and contracted operations commence July 1, 2027.
Financial proposals must include all applicable sales tax in pricing, with South Dakota sales tax rates ranging from 6.2 to 8.7 percent depending on location. Vendors must clearly document tax assumptions and are responsible for calculating and remitting applicable taxes. Historical sales data shows FY26 dining revenue of approximately $3.1 million (meal plans and flex dollars combined) and FY25 revenue of approximately $3 million, with separate revenue streams from catering, retail locations, and alcohol sales totaling $27,570 in annual beer and wine revenue. The current vendor receives $15,000 annually for use of the Blackboard System/Buzz Cards, and the university owns all POS equipment (Transact/Illumina software with NorPOS and NCR CX7 machines) and small equipment. BHSU retains ownership of the card access system and plans to migrate to an IDX cloud system within one to two years; any replacement equipment must be compatible with this system. The incumbent vendor holds the Einstein Bros franchise license but the university owns the Just Baked machine. Approximately 16 international students and 173 student-athletes reside on campus with meal plans, and the university provides childcare drop-off meals to 55 students Monday through Thursday at three Spearfish locations during the academic year. Any proposed investment must be fully amortized within the initial five-year contract term, with estimated transition costs of approximately $836,000.
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FRESH IDEAS INFORMATION & DATA REQUEST
BLACK HILLS STATE UNIVERSITY
Meal Plans
1. Please provide Fall 2026 projected meal plan enrollment by plan.
Meal Plan FY27 Cost # of Meal Plans Projected – Fall 2026 Jacket 10 $2,050 562 Hive 5 $1,109 134 Swarm 19 $2,453 54 20 Block $213 4 40 Block $374 55 Total 809
2. Which students are required to have meal plans? Which meal plans are they required to have?
All students living on campus must have a meal plan. The requirement is based on where they live.
Students in traditional residence halls (Bordeaux, Heidepriem, Humbert, Thomas, and Wenona Cook) must have the Yellow Jacket 10 meal plan. Those in the Yellow Jacket Apts. are required to carry the Hive 5 plan.
3. If a meal exchange or meal equivalency is offered, please provide the details. (i.e., how many are allowed per week, which locations accept them, during what times, and what they get for a swipe or the dollar value of the equivalency).
One “meal plan meal” per day can be exchanged for a meal at one of the retail locations.
4. Are the students enrolled at the Rapid City campus required to have a meal plan and, if so, which plan(s)?
No meal plan is required for BHSU-RC students.
5. What is the % (or number) of international students on campus? How many are on a meal plan?
Currently, BHSU has 32 international students; 16 of them live on campus. All carry a meal plan.
6. What is the % (or number) of athletes on campus? How many are on a meal plan?
Currently, BHSU has approximately 390 student-athletes; 174 of them live on campus. Of those who live on campus, 173 have a meal plan.
7. Meal Plan Taxability Are meal plans taxed? If so, what is the tax rate?
If flex dollars are taxed, are they taxed at the point of sale when redeemed or up front in the total meal plan cost? What is the tax rate?
During the last procurement process, there was confusion regarding the treatment of sales tax within the pricing submitted by respondents. To avoid a similar issue, all pricing provided in proposals should include any applicable sales tax and be presented as the final price that would be charged to students. The universities will not add sales tax to the prices proposed by the vendor. Therefore, vendors must clearly identify any sales tax assumptions included in their pricing and specify their responsibility for calculating and remitting applicable taxes. All tax-related assumptions should be clearly documented to ensure proposals can be evaluated on a consistent basis and that the resulting agreement accurately reflects the parties' intent. For clarity, Flex Dollars are subject to sales tax at the point of sale and are taxed separately by the food service provider when purchases are made. Below are the current sales tax rates applicable at BHSU, as defined by the South Dakota Department of Revenue. Please note that tax rates are subject to change based on state and local tax decisions. It is the vendor's responsibility to remain informed of and comply with the applicable tax requirements for the location(s) included in its proposal and to incorporate any applicable taxes into its proposed pricing
1. State + municipal = 6.2%
2. State + Municipal + Municipal gross = 7.2%
3. State + municipal + tourism = 7.7%
4. State + municipal + municipal gross + tourism = 8.7%
8. Daily Rates
What are your current daily rates for each plan?
Do your daily rates include flex dollars?
The current agreement includes meal-plan pricing and other financial arrangements related to meal plan revenue. The campuses are not requiring proposers to replicate the current pricing structure. Proposers should clearly identify their proposed meal-plan pricing methodology, including any daily rates, commissions, fees, revenue-sharing arrangements, or retained revenue components included in their proposal.
Sales History
9. Please provide a two-year sales history (Fall and Spring combined) for each dining location by tender.
Please specify if the sales figures include tax.
No, the sales figures below do not include sales tax.
FY26 (2025-2026)
Dining Location Sales: Cash/ Credit/Debit /Buzz Bucks
Sales:
Flex Dollars
# of Dining Hall Meal Swipes
# of Meal Exchange Swipes
The Hive Meal Plans † $ 1,931490.34 $ 6,946.00 96,219 Retail & Catering * $ 570,861.73 $ Einstein Bros Bagels $ 332,644.34
$45,846.00 17,528
The Buzz Shack (Starbucks) * $ 2769.00 (BB) $ 63,394.00 10,608 Buzz Brew (Rapid City) * $ $ 0 Just Baked $ 251.00 (BB) $ 16,500.00 Alcohol $ 27,570.25 $
† This number is the total revenue generated from the sale of meal plans and flex dollars
* This total includes revenue from The Buzz Shack (Starbucks), Buzz Brew (Starbucks) at BHSU-RC, and cash sales from the Hive entrance.
FY25 (2024-2025)
Dining Location Sales: Cash/ Credit/Debit /Buzz Bucks
Sales:
Flex Dollars
# of Dining Hall Meal Swipes
# of Meal Exchange Swipes
The Hive † $ 1,885405.00
$ 2,522.00 (BB)
$ 3,780.00 95,789
Retail & Catering * $ 566,627.00 $ Einstein Bros Bagels $ 391,711.00 $ 38,408
$ 6,041.00 (BB)
The Buzz Shack (Starbucks) $5,058.00 (BB) $ 85,041.00 0 Buzz Brew (Rapid City) $ $ Just Baked $ 336.00 $ 3,675.00 Alcohol $ 28,042 $
† This number is the total revenue generated from the sale of meal plans and flex dollars
* This total includes revenue from The Buzz Shack (Starbucks), Buzz Brew (Starbucks) at BHSU-RC, and cash sales from the Hive entrance.
10. Operating Days & Hours:
What are the board operating days by semester?
Fall Semesters typically have 110 board days.
Spring semesters typically have 108 board days.
Please confirm the hours below from the RFP are the current operating hours. Are these the desired hours?
The operating hours listed below are correct (source). Yes, these would be the desired hours of operations moving forward.
Are any locations open during the summer? If so, please provide the summer operating days and hours.
None of these locations are open during the summer, except the Hive. But the Hive transitions to Summer Camps and Conference season. BHSU does not offer a meal plan for summer students who reside on campus. Additionally, The Hive is not open to the public during the summer.
Do any locations on campus remain open during academic breaks or holidays? If yes, please provide which remain open and the days and hours of operation of each location.
The Just Baked station in Bordeaux Hall is the only dining option available to students during academic breaks and holidays. On-campus students have access to the lobby of Bordeaux Hall 24/7.
11. Please provide the current summer conference and camp rates.
The current agreement includes meal-plan pricing and other financial arrangements related to meal plan revenue. The campuses are not requiring proposers to replicate the current pricing structure.
Proposers should clearly identify their proposed meal-plan pricing methodology, including any daily rates, commissions, fees, revenue-sharing arrangements, or retained revenue components included in their proposal.
12. Please provide your preboard service days, rate, and total preboard spending for the last two years.
(Preboard includes any meal expenditures before the board plan start date, for example, student-athletes, orientation leaders, new student orientation, etc.)
SP 25 FA 25 SP 26 FA26
Entity Serv. Days Entity Serv. Days Entity Serv. Days Entity Serv. Days
Res. Life
(33) 3 Res. Life
(33) 14 Res. Life
(34) 3 Res. Life
(31) 12
Soccer
(14) 2 Football
(65) 20 Basketball
(16) 14 Football
(71) 20
Softball
(15) 4 Inter.
Stdnts. (4) 3 Softball
(14) 2 X Country
(10) 4
Men’s BBall (9) 4 X Country
(32) 4 Track & Field (7) 6 Inter.
Stdnts. (8) 3
Track & Field (50) 4 Soccer (12) 9 Triathlon
(5) 3
Women’s BBall (16) 2 Triathlon
(5) 8 Volleyball
(9) 14
Volleyball
(5) 7
Student Leaders
(30)
Student Leaders
(11)
13. Please provide Spring 2026 and Fall 2026 retail menus and pricing.
https://dinebhsu.sodexomyway.com/en-us/catering/catering
14. Please provide beer/wine sales history for athletic events for the past year.
Beer and Wine Revenue (regular) $27,570.84
15. Provide details (number of students, days per week/weeks per year) and annual revenue for community childcare drop-off meals.
The current vendor provides lunch to 55 students Monday – Thursday at three (3) childcare locations in Spearfish, SD. The current vendor only provides this service during the academic year.
16. Please provide the dining hall door rates, as applicable:
The current agreement includes meal-plan pricing and other financial arrangements related to meal plan revenue. The campuses are not requiring proposers to replicate the current pricing structure.
Proposers should clearly identify their proposed meal-plan pricing methodology, including any daily
Financials
17. Would you consider a longer amortization period than the five years outlined in the RFP?
No. The Board's intent for this procurement is that any proposed investment, including the payoff of existing unamortized investment balances, be fully recovered within the initial five-year contract term.
Respondents should structure their proposals accordingly and should not assume amortization beyond June 30, 2032.
18. Are the current hourly associates represented by a CBA (collective bargaining agreement)?
No.
19. Student Employees How many students work in the dining program?
Are students on the university payroll (work-study) or the current vendor payroll?
What is the average wage for student workers in dining services?
The requested human resources and employee information is not available to the University. The employees are employed by the current dining services contractor, and these records are maintained by that contractor. Therefore, the University is unable to provide the requested information.
Annual Donations & Commissions
20. Please provide any in-kind or annual donations you receive from your current vendor (for example, catering funds, scholarships, complimentary meal plans for RAs, faculty/staff, etc.). Which ones would you like to see continued?
The institutions currently benefit from various vendor-supported programs and investments that may differ by campus and contract year – however information regarding contributions, scholarships, sponsorships, capital investments, donations, and other in-kind support provided under the current agreement will not be disclosed. Proposers should describe any value-added services, financial contributions, scholarships, capital commitments, sponsorships, or other benefits they are proposing as part of their response.
21. Beyond the request for financial support for food insecurity noted in the RFP, do you have any specific requests for new in-kind or annual donation support?
The institutions currently benefit from various vendor-supported programs and investments that may differ by campus and contract year – however information regarding contributions, scholarships, sponsorships, capital investments, donations, and other in-kind support provided under the current agreement will not be disclosed. Proposers should describe any value-added services, financial contributions, scholarships, capital commitments, sponsorships, or other benefits they are proposing as part of their response.
22. Do you receive commissions (e.g. catering, retail, concessions/alcohol)? If so, please provide the commission structure and the total commission dollar amount received in each of the past two (2) years.
The current agreement includes meal-plan pricing and other financial arrangements related to meal plan revenue. The campuses are not requiring proposers to replicate the current pricing structure.
Proposers should clearly identify their proposed meal-plan pricing methodology, including any daily
Equipment & Licensing
23. Card Access System/POS
Who owns the card access system/POS for dining?
BHSU/Institutional owns it.
Please provide the make, model, and date of purchase of the current Access & POS systems.
BHSU utilizes Transact/Illumina for its POS software. The majority of the POS machines are NorPOS. In the Hive, it is an NCR CX7. It was switched it over during the SP 26 semester. Any replacement would need to be compatible with the IDX cloud system. BHSU plans to migrate in the next year or two.
How much is the annual fee, and who pays for it?
Current vendor pays $15k/year for use of the Blackboard System/Buzz Cards.
24. Who holds the franchise agreement for Einsteins, the contractor or the school?
The current vendor holds the franchise license.
25. Who owns the Just Baked machine, the contractor or the school?
BHSU owns the Just Baked machine.
26. Please list the equipment, small equipment, and smallwares the incumbent will be taking from the premises if they do not retain the account.
BHSU owns and will retain all small equipment, smallwares, and kitchen equipment currently used by the vendor.
Other
27. Please provide floor plans for all dining venues on campus. CAD or PDF file preferred.
PDFs will be provided via email to offerors present during the pre-submission conference call.
28. Who is on the RFP dining selection committee? Who is the key decision-maker (s)?
The identities of evaluation committee members will not be disclosed during the procurement process.
Respondents should direct all questions and communications through the designated procurement contact identified in the RFP.
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