Questions have arisen regarding the eligibility for reimbursement of meals served to children who are placed by a public school district in special schools or institutions which are either not eligible to participate or choose not to participate in the NSLP and/or SBP.
This Instruction establishes policy for charging allowable costs associated with the administration of TEFAP, and for assigning such costs to states and eligible recipient agencies (ERAs). Such classification of costs is necessary in order to demonstrate compliance with the statutory and regulatory requirements described in section II, of this document.
This memorandum encourages those state agencies that have not already done so to consider seriously adopting provisions currently available to simplify operations and improve program access for households with earnings.
It has come to our attention that there is still some question regarding the ability of state agencies and sponsoring organizations to use “stop payments” (suspension of all program reimbursement to institutions or providers) as a tool to enforce an institution or a provider’s compliance with program requirements.