Regulations at 7 CFR 210.14(e) require school food authorities (SFAs) participating in the National School Lunch Program to ensure sufficient funds are provided to the nonprofit school food service account for meals served to students not eligible for free or reduced price meals. There are two ways to meet this requirement: either through the prices charged for “paid” meals or through other non-Federal sources provided to the nonprofit school food service account. For SFAs in strong financial standing, FNS Memorandum SP 19-2015, Paid Lunch Equity: Guidance for School Years 2015-16 and 2016-2017, provides additional guidance for requesting an exemption to the Paid Lunch Equity requirement.
This memorandum provides guidance on the calculations SFAs must make in order to ensure they are in compliance with these requirements for School Year (SY) 2016-17. In addition, attached is the SY 2016-17 Paid Lunch Equity (PLE) Tool to assist SFAs as they make these required calculations.