Company fired in Ohio wins food services contract for Las Vegas facilities

A company that was fired by convention center officials in Columbus, Ohio, received unanimous support by the Las Vegas Convention and Visitors Authority on Monday and will become the new food service contractor for the Convention Center and Cashman Field next year.

The authority’s board of directors voted 11-0 to approve a 7½-year contract with two three-year options with Volume Services Inc., doing business as Centerplate LLC, a British company with U.S. offices in Stamford, Connecticut.

The contractor is expected to gross $25 million to $30 million a year and, based on an escalating commission percentage in the contract, the LVCVA should receive an average $7.8 million in revenue a year.

The contract takes effect Jan. 1 — days before Southern Nevada’s largest annual convention, CES, brings more than 170,000 conventioneers to the city.

Chief financial officer Rana Lacer said the staff and board were aware of the company’s controversies in Columbus where the Franklin County Convention Facilities Authority terminated its contract with Centerplate.

Lacer said the LVCVA thoroughly investigated the matter and determined it was an isolated incident that involved wrongdoing by a public official. She said the LVCVA conducted numerous reference checks and determined that contracting with Centerplate would not be problematic after receiving high marks from other customers.

Three companies were selected as finalists for the contract, including the current vendor, Aramark Sports and Entertainment Services LLC, which has held the contract for 44 years.

Former Clark County Commissioner Bruce Woodbury, an attorney representing the other rejected bidder, Levy Premium Foodservice LP, told the LVCVA board in a public comment period that the board needed to consider “ethics, character and reputation” in its decision and that the Columbus matter “speaks for itself.”

Centerplate sued the Ohio authority in May for wrongful termination and said the authority board damaged the company’s reputation with accusations that it conspired with board members to win the contract.

The Columbus incident stemmed from allegations of collusion in the bidding process and eventually led to an admission of guilt by powerful Columbus lobbyist John Raphael, who was sentenced to 15 months in federal prison earlier this year. Centerplate had hired Raphael to help it win the Columbus food service contract unaware that he was under federal investigation for extorting campaign contributions for former members of the Columbus City Council.

The LVCVA board did not discuss the Columbus matters prior to the vote.

The approved Centerplate contract guarantees the LVCVA more than $58 million in revenue over the life of the contract as a part of its share of the contractor’s gross receipts.

Under terms of the contract, Centerplate would be required to invest $21 million, including $16 million in improvements to existing facilities and $5 million for equipment for a new exhibition hall planned in the Convention Center’s $1.4 billion expansion.

Lacer said the $16 million in improvements would occur over time and involve upgrades to kitchens, preparation areas and equipment. Centerplate also is expected to develop new pop-up food vending facilities that won’t disrupt traffic on trade show floors.

The deal enables the LVCVA to receive commissions based on tiered percentages of gross receipts ranging from 22.5 percent on the low end to 40 percent if total receipts hit more than $45 million. Lacer said the contract is expected to generate 8 percent more revenue to the LVCVA than under previous contracts.

John Vingas, senior vice president of operations for Centerplate, and Richard Ginzel, vice president of operations and general manager, will be the top executives for the company in Las Vegas.

Contact Richard N. Velotta at or 702-477-3893. Follow @RickVelotta on Twitter.

MGM Grand Plans To Add Retail And Dining To Its Strip Facade
MGM Grand President and Chief Operating Officer Scott Sibella said executives are “discussing redeveloping that entire frontage of the building out to the Las Vegas Strip.” (Todd Prince/Las Vegas Review-Journal)
Boyd Gaming planning new corporate campus
Casino operator Boyd Gaming Corp. has filed plans to build a new corporate campus. The plans call for two 10-story office buildings and a six-level parking garage in the southwest Las Vegas Valley. Boyd Gaming operates The Orleans, the Suncoast, downtown's California Hotel and other properties. The new headquarters would be just a mile from its current main office building.
Bellagio Conservatory transformed to celebrate Year of the Pig
The Bellagio Conservatory Team transformed the 14,000 square foot conservatory to commemorate Chinese New Year, the holiday that marks the end of the coldest days of winter. (Rachel Aston/Las Vegas Review-Journal)
CES 2019: Intro uses sound to connect people
Intro, a startup that is part of the Future Worlds Accelerator in the UK, has an app that uses ultrasonic sound to find people and companies nearby.
CES 2019 Video: CES wraps up another year
Time-lapse video of the action at CES 2019 in Las Vegas. (Mat Luschek/Las Vegas Review-Journal)
CES 2019: Create your own beauty products
Beauty Mix by BeautyByMe is a product that lets you create your own cosmetics and beauty products. (Mat Luschek/Las Vegas Review-Journal)
CES 2019: Picobrew’s home brew machine
Picobrew brings automation to homebrewing. (Mat Luschek/Las Vegas Review-Journal)
CES 2019: Surviving CES
What it's like to spend four days working the mammoth tech convention. (Jason Bracelin/Las Vegas Review-Journal)
Haier’s smart home
Haier presented smart home technology at CES 2019.
CES 2019 VIDEO: Foldimate makes laundry day easy
Foldimate has created a machine that will fold your laundry for you. Just feed it anything you need folded and it will do the rest. (Mat Luschek/Las Vegas Review-Journal)
CES 2019: Opte device corrects skin spots
Opte from Proctor and Gamble is a device for correcting spots and freckles from skin. It analyzes the area for spots and then covers them with a serum of matching skin tone. (Mat Luschek/Las Vegas Review-Journal)
Circa hotel-casino in downtown Las Vegas unveiled
Derek Stevens reveals Circa hotel-casino in downtown Las Vegas. He plans open by the end of 2020. (K.M Cannon/Las Vegas Review-Journal)
Circa, new casino coming to Fremont Street
Casino owner Derek Stevens announces his new property Circa, coming to Fremont Street in downtown Las Vegas in late 2020. (Michael Quine/Las Vegas Review-Journal)
Dreenk My Oeno makes wine suggestions
At CES 2019 in Las Vegas, the Dreenk My Oeno tells you all about wine.
Polaroid One Step Plus camera unveiled at CES 2019
Polaroid has moved into the digital age with its One Step Plus camera with Bluetooth. With the connected app, it turns your smartphone into a remote for the camera, along with filters and features.
Amazon is everywhere at CES 2019 in Las Vegas
Seemingly everything works with Amazon Alexa
LG Smart Mirror helps you dress snazzy
LG’s Smart Mirror is less of a mirror but more of an assistant to help get you looking snazzy. It takes your image and recommends clothes for you or matches existing clothes with new clothes, which can be purchased right from the mirror. (Mat Luschek/Las Vegas Review-Journal)
Underwater robots make waves at CES 2019 in Las Vegas
Robosea is a company dedicated to underwater robotics. They produce consumer robots for underwater filming as well as commercial products which can be used for underwater research. (Mat Luschek/Las Vegas Review-Journal)
CES 2019 - Victrola record players spin in Las Vegas
A new spin on an old favorite, Victrola record players are meeting a demand for retro products. The brand is also making furnitures with built-in speakers.
CES 2019: Slamtec robots ready to serve
Slamtec is a robotics company out of China whose goal is to provide solutions for laser localization mapping and navigation. They have created two autonomous robots that can be used in areas such as bars, restaurants and malls. (Mat Luschek/Las Vegas Review-Journal)
Mixologiq drink maker appears at CES 2019 in Las Vegas.
This is the Mixologiq drink maker.
CES 2019: Veritable smart garden
Let’s face it; not all of us have green thumbs. And herbs are particularly difficult to grow, considering their constant need for sunshine. Enter the Veritable smart garden from Exky, which does it all for you. (Heidi Knapp Rinella/Las Vegas Review-Journal)
Bonnie Springs Ranch near Las Vegas being sold to developer
Bonnie Springs Ranch near Las Vegas is being sold to a developer, set to close in March. Bonnie Springs, west of Las Vegas off State Route 159 — next to Spring Mountain Ranch State Park — spans more than 60 acres and was on the market for $31 million. The developer and his project partner are under contract to buy the ranch and plan to chop it up mostly into custom-home lots. The plans includes a 25-room motel, a restaurant and a 5,400-square-foot event barn.
Bone-conduction headphones form Aftershokz
Aftershokz offers bone-conduction headphones - headphones that don’t go in the ear.
CES Happy Hour party at Hangover Suite at Caesars Palace
Conventioneers mingled during the Hardware Massive CES 2019 Happy Hour Bash at The Hangover Suite at Caesars Palace in Las Vegas. (K.M. Cannon/Las Vegas Review-Journal) @KMCannonPhoto
Autonomous Cars and Futuristic Aircraft Rule CES
Day two of CES was dominated by autonomous cars and futuristic aircraft in the North Hall of the Las Vegas Convention Center.
TekNekSavr fights neck problems caused by smart phones
Atiya Syverson invented the TekNekSavr to help fight neck and head problems caused by strains while typing on smart phones. (Mat Luschek/Las Vegas Review-Journal)
New eyeglasses know if you fall and call for help
The French company Abeye has created eye glasses that will detect if the wearer falls and call for help. (Mat Luschek/Las Vegas Review-Journal)
Company that creates vibrator-like device claims genders bias against CES
Lora DiCarlo is a women-run start-up that creates a vibrator-like device designed for female pleasure called the Osé. This year they were awarded the CES Innovation Award in the Robotics and Drone Category, but a month later the Consumer Technology Association, which runs CES, rescinded the award and their booth. Haddock and her team believe it is a reflection of gender bias and sexism in an industry with a long history of male domination.
CES-Wagz has new pet products
Wagz has three new products to help create better lives for your pets in a digital world. One is a collar with LTE tracking and an HD camera. Also a smart pet door that only lets your pet in and out. Lastly, a device to humanely keep Fluffy out of certain areas of your home. (Mat Luschek/Las Vegas Review-Journal)
News Headlines
Home Front Page Footer Listing
You May Like

You May Like