This memo provides clarification of the procedures for State agencies requesting additional fiscal year (FY) 2018 Child and Adult Care Food Program (CACFP) Audit funding.
As discussed in memo CACFP 10-2016 issued on May 9, 2016, Section 335 of the Healthy, Hunger-Free Kids Act of 2010 (42 U.S.C. 1751 note) amended Section 17(i) of the NSLA to allow USDA to increase funding from 1.5 percent to a total of up to 2 percent of the funds used by each State agency in the Program during the second preceding year. Therefore in FY 2017, State agencies may request up to the maximum of 2 percent of the funds available to the State agency per the calculation in legislation.
On September 20, 2017, the Food and Nutrition Service (FNS) Regional offices were provided with State agency-by-State agency funding levels at the established 1.5 percent and the maximum of 2 percent for each eligible State agency in their respective Region.
Further, notice was provided at that time that State agencies have the opportunity to request up to the maximum of 2 percent at the beginning of FY 2018 and again at the end of the 2nd quarter of FY 2018. State agencies may not exceed a cumulative amount of 2 percent of the funds available for their use in any fiscal year.