This memorandum provides clarification on the value pass through methods available under 7 CFR 250.36 and on the timing of processor inventory reductions (also referred to as draw down) of USDA Foods under each system.
This memorandum addresses inventory limitations and requirements that USDA Foods processors must follow when manufacturing processed end products for use in child nutrition programs.
The purpose of this policy memorandum is to clarify the options available to state distributing agencies or recipient agencies in assigning value to USDA donated foods for audit purposes.
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.
Policy Memorandum FD-085, Nonfat Dry Milk Processing is cancelled. The Commodity Credit Corporation no longer has nonfat dry milk available for donation as a bulk commodity for reprocessing and all inventory of this product has been depleted.
Minimum Inventory Protection Requirements for Processors Participating in the National Processing Program
The purpose of this memorandum is to inform processors of minimum inventory protection requirements effective beginning in School Year 2014-2015.
School Food Authorities Purchasing Produce from Department of Defense Vendors using Section 4 and 11 FFVP Funds
This memorandum clarifies how School Food Authorities may use funds provided under Sections 4 and 11 or 19 of the National School Lunch Act to purchase fresh fruits and vegetables from DoD Fresh Fruit and Vegetable Program vendors.
USDA Food and Nutrition Service policy memo SP 26-2013, "Extending Flexibility in the Meat/Meat Alternate and Grains Maximums for School Year 2013-14" extends the flexibility regarding Meat/Meat Alternate (M/MA) maximums for SY 2013-13, allowing state agencies to assess compliance based on the minimum daily and weekly serving requirements only.
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.
In accordance with 7 CFR 250.30(1), a processor may. in most cases, substitute Department of Agriculture (USDA) donated foods with commercially purchased foods of U.S. origin, and of equal or better quality in all USDA purchase specifications than the donated food. The substitution option permits processors to conduct their business efficiently and provide finished end products to school food authorities (SFAs) and other recipient agencies in a timely manner.