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 is being issued to emphasize that states may use TEFAP administrative funds to pay for direct and indirect expenses associated with both the distribution of TEFAP foods and of foods secured from other non-federal sources. Foods secured from other sources is defined as any foods not obtained from USDA food assistance programs.
This memorandum clarifies how SNAP benefits should be treated in determining eligibility for CSFP and TEFAP when the benefits are provided through SNAP Pilot Projects or SNAP Work Programs.
FD-060, Use of Donated Foods in the NSLP and Other Child Nutrition Programs (dated June 21, 2006) is cancelled.