|DATE:||October 9, 2007|
|SUBJECT:||Subject: ADP Costs Incurred by State Agencies Other Than Social Services Agencies|
FNS has become aware of a growing trend in states to consolidate or centralize some or all of the state's IT services across departmental lines. Because these organizational changes can have unintended consequences for our Food Stamp and WIC state agencies, we think it prudent to remind states of FNS requirements regarding such arrangements. Attached to this memorandum is a sample letter addressed to all state directors providing guidance in situations where a state is consolidating or centralizing its IT services. In the event that a program agency is receiving or losing equipment or services from or to a central facility or another state agency, a service agreement must be executed in accordance with FNS requirements. The memo identifies some of the issues that need to be considered as part of the agreement. It also clarifies when an Advance Planning Document (APD) is needed.
Please distribution the attached letter to all state directors within your region and any additional state offices which you believe would need to be aware of the requirements.
APD Oversight Committee