The purpose of this policy memorandum is to provide guidance in ensuring compliance with requirements in Subpart D of 7 CFR Part 250 with respect to crediting for, and use of donated foods in contracts with food service management companies (FSMCs).
The attached memorandum is Food Distribution Policy Memo FD-110, which clarifies requirements in crediting for, and use of, USDA donated foods in contracts with food service management companies, and provides guidance to ensure compliance with such requirements in the first and final years of such contracts.
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.
The Child Nutrition and WIC Reauthorization Act authorizes FNS to award $9,000,000 in FY 2006 to be used to assist states in implementing mandatory direct certification and other provisions related to certification and verification of students’ eligibility to receive free and reduced price meal benefits in the school nutrition programs.