Simplified Acquisition Threshold
The purpose of this memorandum is to extend the prevailing simplified acquisition threshold, commonly referred to as the small purchase threshold, to the Child and Adult Care (CACFP) and Summer Food Service (SFSP) Programs. Small purchase procedures are those simple and informal procurement methods used to secure services, supplies, or other property that fall below the established threshold. While relatively simple and informal, small purchase procedures must still be conducted in a competitive manner.
Currently the simplified acquisition threshold in 7 CFR Part 3016.36 is set by 41 U.S.C. 403(11), at $100,000. While the majority of the Child Nutrition Programs set their small purchase thresholds by referencing them to the 41 U.S.C., CACFP and SFSP, do not. Consequently, these two programs currently have lower thresholds.
In an effort to achieve consistency among all the Child Nutrition Programs, we plan to revise the program regulations for the CACFP and SFSP to link the small purchase threshold to the 41 U.S.C. when able to do so. Until such time that we are able to make this regulatory change, we are raising the thresholds for these two programs by way of this policy memorandum. Thus, effective immediately, institutions participating in CACFP and SFSP may use simplified acquisition procedures for small purchase up to the threshold set by 41 U.S.C. 403(11), which is currently $100,000.
States should direct questions to their regional office.
Child Nutrition Division