Healthy drinks may cost schools

As part of its proposal to wipe out soda from schools, the Board of Supervisors says it will pony up $5,000 to fizzle out any losses each district may experience from the move. But that may be a drop in the bucket compared to the considerable change soft drinks ring in.

The San Mateo Union High School District reaps upwards of $150,000 every year from its soda machines, said Bob Arnold, associate superintendent of business services. In exchange for being the exclusive soda peddler in the district, PepsiCo pays the district a $75,000 flat fee every year. On top of that, Arnold said the district gets another $75,000 or more in profit-sharing from the machines. That's money that goes toward keeping lunch prices down and also funds after-school music and athletic programs.

Taking out soft drinks won't totally erase the $150,000 the district makes every year from its PepsiCo machines, but Arnold said it will probably reduce revenue from vending machines by about 20 percent to 30 percent. Currently, soda accounts for about 65 percent of sales from the machines; water accounts for 20 percent and the balance is made up by fruit juice and Gatorade.

On the other hand, Supervisor Mark Church said kids might go for the healthy options.

"Maybe there won't be any loss," he said.

The pilot program will span between six months and a year; the board will decide after about six months whether to expand and continue the program. Church said the change should be rolled out within the next few months.

The San Mateo Union High School District was already planning on increasing the healthier options before the proposal ever came about. Starting next school year, Arnold said the mix in vending machines will be weighed more heavily in favor of water and fruit juice.

Right now, the machines offer 20-ounce soda and water bottles for the same amount. School officials are hoping to tempt students into drinking more water by offering 20-ounce water bottles for $1, while charging $1.25 for a 12-ounce can of soda.

"What it does is create a different scenario," Arnold said.

It's a tough time for the healthier, costly changes, considering the district has been losing money from its food services program for several years now. The labor costs of running the program has increased steadily, but the district hasn't changed the price of a school lunch - $2.50 - in seven years. In the past few years, the district has taken about $100,000 from its general fund to offset the cost of running its lunch program. Arnold said the district has to consider how to bring the program closer to breaking even by increasing the price of student lunches. That's going to be complicated by the district's plans to make lunches healthier overall.

"As we start adding healthy foods, the costs are going to go up," he said.

Yunmi Choi can be reached by e-mail at yunmi@smdailyjournal.com or by phone: (650) 344-5200 ext. 109. What do you think of this story? Send a letter to the editor: letters@smdailyjournal.com.