Program errors and the risk of erroneous payments in the National School Lunch Program (NSLP) and School Breakfast Program (SBP) continue to be a concern. Slightly more than one in five students were certified inaccurately or erroneously denied benefits in school year (SY) 2005-06. New data estimates the gross cost of school meals erroneous payments due to certification error at about $935 million while other operational errors represent about $860 million. 

The Child Nutrition and WIC Reauthorization Act of 2004 permits direct verification of school meal applications and requires FNS to evaluate the feasibility and effectiveness of direct verification (instead of household verification) by school district.