This memorandum provides guidance to state distributing agencies and recipient agencies on the use of market basket analysis in procuring processed end products for USDA Foods in Schools and commercial goods for the National School Lunch Program, School Breakfast Program, Summer Food Service Program, and Child and Adult Care Food Program.
In this policy memorandum, we clarify that the SFA may, in some cases, include bids for procurement of end products in its solicitation for procurement of commercial food products from commercial distributors, rather than conduct two separate solicitations. This policy memorandum also clarifies the requirements, and the parties responsible for ensuring compliance with requirements, in exercising such option.
Further Clarification in Crediting for, and Use of, Donated Foods in Contracts with Food Service Management Companies
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 (FSMCs), and provides guidance to ensure compliance with such requirements in the first and final years of such contracts.