Visitors to the Fruit Street fields can purchase items from the concession stand or vending machines. FILE PHOTO/JERRY SPAR

The Parks & Recreation Commission on Tuesday discussed conflicts between its vending machine contractor and new concession stand business at the Fruit Street athletic complex, stressing the need to have both options at the fields.

Braden Lu, the owner of Famished Machines, raised concerns about competition and overlap to the commission at its meeting on Oct. 13. Lu noted that his machines had been covered by tarps in recent weeks while Orange Hill Provisions, the new concessions vendor, was operating at the stand on Fruit Street. He also raised questions about price disparities between his machines and Orange Hill for similar items.

Both Lu and Anthony Iannone, the owner of Orange Hill, met with the commission Tuesday to resolve the concerns. At the outset of the discussion, vice chair Dan Terry said that whatever solution is reached should “not be a heavy lift for our limited staff here in the office.”

Iannone told the commission that he has seen a lot of business on weekends since he opened back in September. “Lots of folks know we’re going to be there, so they depend on it,” he said. “It turns into a really good stopgap for people.”

He also confirmed that he had tarped the vending machines, citing confusion over competing products. Iannone stated he did not want to hurt Lu’s business, but the overlap in food products offered affects his profit margins. He added that didn’t want to look like a jerk in charging a higher price and affirmed he was not trying to gouge customers.

Iannone told the commission he did not tarp over the vending machines the previous weekend. “My sales didn’t hurt at all,” he said.

Commission members raised concerns about the price disparity in similar items. “If your prices are incredibly different, that’s very concerning to me,” said member Amy O’Donnell. “That, to me, is a problem.”

Lu informed members that his vending machine and Orange Hill overlap on items like chips, sports bars, water and sports drinks. He noted that he can offer a different price point because his costs are lower than Iannone’s.

“It is really important that either one of us sells something or we harmonize our prices,” said Lu. “It’s about creating enough incentive to be there.”

Iannone stressed that he wanted “to do what’s best for the community.” He also said he was less worried about competing items than having to explain why his prices on certain items might be higher. In addition, Iannone clarified for Lu that quick-serve items like chips help him protect his profit margin.

“The whole idea is to have an income stream while also serving the community without me having to live there,” said Iannone.

Terry pointed out there were problems if the vendors raised prices to align better or lowered them to be competitive, noting the latter strategy “isn’t going to be a long-term solution.” He proposed the commission and the vendors get through this season and regroup to see where things were. 

“You don’t know really what effect the machines have,” Terry told Iannone.

Added Terry: “Even if the machines weren’t there, there’s a possibility that you’re not going to make enough money to want to keep doing this, and that is much of a concern to me as … being overly competitive.”

He and chair Kyle Smith also stated they did not want the commission to be involved in pricing and choosing products for sale beyond general guidelines. Iannone said he was happy to work with Lu on finding a solution.

Following the discussion, the commission voted to renew Lu’s contract, which was up for renewal.