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.
This memorandum clarifies FNS regulations and policies regarding the allowability of requiring payment and soliciting contributions (i.e., "payments" or "pay") in exchange for foods from FNS program participants.
This memorandum provides instructions on how to reconcile the physical inventory conducted at a distributing agency- or subdistributing agency-level storage facility with the book inventory required to be maintained for that facility.
FDD has received several complaints recently about dried fruit and grain products that became infested in storage. Therefore, it is imperative that dried fruit and grain products are distributed to the end user as soon as possible after receipt from the vendor to avoid problems with infestation.