Resource | Regulations
PART 252—National Commodity Processing Program

Part 252 provides a program whereby the Food and Nutrition Service (FNS) and private processors of food may enter into agreements under which the processor will process and distribute designated donated food to eligible recipient agencies.

Resource | Proposed Rule
Proposed Rule: Revisions and Clarifications in Requirements for the Processing of Donated Foods

This rule proposes to revise and clarify requirements for the processing of donated foods in order to: Incorporate successful processing options tested in demonstration projects, ensure accountability for donated foods provided for processing, and increase program efficiency.

Resource | Policy Memos | FD-140
Signature Block Removal from Summary End Product Data Schedules

The purpose of this policy memorandum is to clarify state distributing agency (SDA) requirements related to approval of end product data schedules (EPDS) and summary end product data schedules (SEPDS) and provide an explanation for the removal of signature blocks from the SEPDS A and B templates.

Resource | Policy Memos | FD-137
Alternative Value Pass-Through System Pilot Project under the Department of Defense Fresh (DoD Fresh) Program

The revised policy memo requires supplemental reporting from processors and requires state verification of credits provided by the processor to the SFA. Processors wishing to continue participation in the pilot will have to sign the attached revised NPA amendment to extend their participation in the pilot.

Resource | Policy Memos | FD-136
Cancellation of Policy Memorandum FD-085, Nonfat Dry Milk Processing

Policy Memorandum FD-085, Nonfat Dry Milk Processing (dated March 27, 2009) is cancelled.  

Resource | Policy Memos | FD-134
Minimum Inventory Protection Requirements for Processors Participating in the National Processing Program

FNS is committed to rigorous oversight and controls over USDA Foods processing to ensure that state agencies and school food authorities (SF As) receive the full benefit of the USDA Foods entitled to them, consistent with 7 CFR Part 250. As such, the National Processing Agreement requires that participating processors must furnish to USDA inventory protection in the form of a surety bond, an irrevocable letter of credit, or an escrow account in order to guarantee that the processor will account for, return, or pay for all of the USDA Foods received or carried forward, either as physical or book inventory. The purpose of this memorandum is to inform processors of minimum inventory protection requirements effective beginning in School Year 2014-2015.

Resource | Policy Memos | FD-049
Substitution and Valuation of USDA Cheese

In November 2005, the Food and Nutrition Service (FNS) issued Policy Memorandum FD-049 to assist school food authorities (SFAs) in providing healthier options and a wider variety of cheese products for students. The policy memorandum permits processors to substitute cheese donated by the Department of Agriculture (i.e., USDA cheese) with other varieties of cheese produced for the commercial market. The policy memorandum also allows processors to commingle USDA cheese varieties eligible for substitution into a single book inventory for each state agency, and establishes a single value for all such varieties, based on the 33-month average price for cheese from the Chicago Mercantile Exchange. 

Resource | Policy Memos | FD-127
Approval of End Products and Monitoring of End Product Sales

The purpose of this policy memorandum is to clarify a state distributing agency's (SDA) responsibilities regarding (1) the approval of end products for processing; and (2) monitoring of sales of such end products to school food authorities (SF A) in the National School Lunch Program (NSLP) by reviewing a processor's monthly performance report. Further guidance in monitoring a processor's USDA Food inventory is included in Policy Memoranda FD-064 and FD-122. These two memoranda relate specifically to reducing a processor's excessive inventory and tracking negative inventories.

Resource | Policy
Suggested Format for Surety Bonds

Suggested Format for Surety Bonds

Resource | Policy
Notice to the Trade - All Poultry Processors (June 2012)

Notice to the Trade - All Poultry Processors (June 2012)