It difficult to tell whether these product were not properly formulated or were improperly held, One could guess that the cheese sauce was not properly stored or handled after opening, allowing for a small amount of contamination to grow. It may have been transferred from a pouch to a canister or serving trey. For Clostridium botulinun, intoxication to occur, the organism would need to grow in number to produce sufficient toxin. The product itself would need to be formulated to allow growth and that product would also need to be held at improper temperatures, most likely in the upper part of the temperature danger zone (70F to 125F).
With a thick product like this, people may assume it is like ketchup or mustard that can be left at room temperature after opening....not unless it was formulated that way. Generally cheese sauce have a higher pH and Aw. Another potential issue can occur if these products are modified in any way. Adding peppers or other raw ingredients can be an issue. Adding water to the product can also be an issue....such as might be the case if the product thickened up after sitting on the hot bar all day.
Sacramento Bee
http://www.sacbee.com/news/local/health-and-medicine/article149818204.html
Nacho cheese to blame for rare botulism outbreak at Sacramento area gas station