The Boston catering firm that lost out on its bid to be the preferred choice for the $7 million food and beverage contract for the Midwest Airlines Center is trying to get board members to reconsider their choice of a Chicago catering firm.

The Wisconsin Center District Board on May 9 directed District staff to begin negotiations with Levy Restaurants. In making that decision, the board decided against the recommendation of a four-person subcommittee that reviewed the proposals for the contract. The subcommittee recommended awarding the contract to Distinctive Gourmet, headed by three employees that used to work for the catering company that has the current contract, despite suggestions that convention center staff was trying to steer them the contract.

At the same time, a review of documents by Milwaukeeworld.com found several more irregularities about the bidding process for the contract, including reviews of all the proposals for District staff by an executive of one of the bidders and a February 2003 trip to Ft. Lauderdale, Fla., by Richard Geyer, president of the Midwest Airlines Center, to meet with executives of Distinctive Gourmet.

The trip came just three days after the District’s Finance and Personnel Committee decided to issue a request for qualifications for the catering contract. The travel documents showed that Geyer also attended the National Hockey League’s All-Star game on the trip, which cost the District $738.67. No other travel records could be found that showed Geyer either traveled to or met with the other firms that ended up bidding on the contract.

“This whole process has been handled horribly,” said a District Board member. “Staff thought it would be a slam dunk for Distinctive Gourmet, but it has blown up on them.” Several District Board members said Distinctive Gourmet had retained Todd Robert Murphy, a Milwaukee public relations executive and lobbyist, to try and convince one of the nine board members that voted for Levy to make a motion at the next meeting to reconsider the vote.

Milwaukee Alderman Marvin Pratt, a member of the District’s Board, said Murphy contacted him and tried to convince him to change his mind and instead support Distinctive Gourmet, or to propose that the bidding process be done again because it was flawed.

Board members have questioned the process used to award the contract, which included allowing all four bidders to review their competitors’ cost proposals and then being offered the opportunity to resubmit new, revised financial proposals.

“This whole process has been very unusual, but I believe that all things being equal, Levy had the best proposal and is the firm that should get the contract,” Pratt said. “I see no reason for us to reconsider this decision.”

Murphy could not be reached for comment, but has told District Board members that he believes he can get the votes necessary to overturn the decision, a prospect that seems unlikely since a number of Board members who voted for Levy were very strong in their support of the firm at the meeting.

Levy was one of four bidders for the contract. The Chicago firm operates many catering contracts around the country, including at Lambeau Field in Green Bay, Staples Center in Los Angeles, McCormick Place Convention Center in Chicago and Orange County Convention Center in Orlando, Fla. The other firms to submit bids are Distinctive Gourmet, Sportservice Corp., Buffalo, N.Y., which holds the food and beverage contract at Miller Park, and ARAMARK, a Philadelphia catering firm.
The center’s catering contract is currently held by ARAMARK. The firm took over the contract from Fine Host, when it acquired the food service management firm in December 2002. That acquisition allowed the Wisconsin Center to end its catering contract with Fine Host because of a contract clause that allows for the cancellation if the company is sold. The District’s bidding process for the food and beverage contract has been tainted by controversy in recent weeks after the subcommittee decided to allow one of the bidders to change their bid after the firm apparently misunderstood the necessary capital investment. That led the committee to allow all of the firms to revise their prices. After a complaint that some of the price information had been leaked to the other firms, all of the firms were provided their competitors’ price proposals.

Documents released by the Wisconsin Center contained reviews of the original four bids that were completed by a member of Fine Host, including a review of his own firm’s bid.

The author of the reviews is not identified, but several sources said John Stockholm, general manager of the Milwaukee operation of Fine Host, wrote them. The reviews are filled with references to “we” and “that’s not how we currently do it.”

“One of the strongest aspects you get (from) ARAMARK, (is) you get us,” the review of ARAMARK states.

In his review of Sportservice, Stockholm wrote the company’s strength is the “hot dog and popcorn crowd,” going on to say that Fine Host has served a more sophisticated customer for many years.

Stockholm, who worked with the three Distinctive Gourmet personnel, also wrote a scathing review of Levy, in hopes of convincing District management to exclude the Chicago firm. He sent Charles Pesano, the District’s chief financial officer, an e-mail saying he would likely find other employment if Levy was chosen.

“Levy also has a reputation of doing anything they can to get through the door,” Stockholm wrote in a letter to Geyer, printed on Fine Host stationery. Larry Levy, chief executive officer of Levy Restaurants, was infuriated by Stockholm’s comments and others made about the firm, and attended the May 9th District Board meeting to voice his concerns.

“I am so incensed,” he said. “I never come to these types of meetings. But I was so mad about the process and some of the things that have been said that I came to clear our name.”

Geyer, who could not be reached for comment, has defended the bidding process, saying District staff was just trying to have a fair and equitable process and get the best price for the District. However, at the recent District Board meeting where Levy was chosen, Geyer did admit the whole process “has been embarrassing.”

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