This report responds to a requirement of PL 110-246 to assess the effectiveness of state and local efforts to conduct direct certification of children for free school meals. Under direct certification, children are determined eligible for free meals without the need for household applications by using data from other means-tested programs.

This is the third in a series of annual reports assessing administrative error associated with the local educational agency’s approval of applications for free and reduced-price school meals. 

The Improper Payments Information Act of 2002 requires all federal agencies to calculate the amount of erroneous payments in federal programs and to periodically conduct detailed assessments of vulnerable program components. This is the second wave of a program assessment of the Family Day Care Home component of USDA's Child and Adult Care Food Program. 

School food service programs such as we have in 1971 did not just happen over-night nor even during the past decade. Preceding today's programs is a long history of more than a hundred years of development, of testing and evaluating, and of constant research to provide the best in nutrition, nutrition education, and food service for the nation's millions of children in school. 

The NSLP offers free and reduced-price school meals to students from eligible households. Households with incomes at or below 130 percent of poverty are eligible for free meals, and households with incomes between 131 percent and 185 percent of poverty are eligible for reduced-price meals. Traditionally, to receive these benefits, households had to complete and submit application forms to schools or be directly certified. Direct certification, on the other hand, is a method of eligibility determination that does not require families to complete school meal applications. Instead, school officials use documentation from the local or state welfare agency that indicates that a household participates in AFDC or food stamps as the basis for certifying students for free school meals.

GAO Report to Congressional Committees on Food Assistance: Financial Information on WIC Nutrition Services and Administrative Costs

This report duplicates the precise methodology of the earlier analysis with more than 10,000 new investigations to generate an estimate for the 1996 - 1998 calendar year period.