COLLEGE STATION (AP) – Texas A&M University has already received $40 million by outsourcing 1,000 food and other service jobs to Compass Group USA, Inc. and could save millions more over the contract’s 10-year life.
The Bryan Eagle reported details of the contract on Sunday. The newspaper says the information was released after a court declared it public information.
The Eagle reports A&M received $40 million of a $46.5 million signing bonus. Chancellor John Sharp has said the deal will be worth $260 million in extra revenue and cost savings over 10 years.
North Carolina-based Compass is taking over dining services, landscape management and custodial and building maintenance services.
In its appeal to the court, Compass Group lawyer Richard Keeton called the size and scale of the incentives Compass offered unprecedented.
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