This report examines the impact of using Medicaid data to directly certify students for free and reduced-price school meals in the NSLP and SBP in fifteen states in school year 2019-20. It assesses outcomes related to certification, participation, federal reimbursement, and state administrative costs in SY 2019-20 and over the course of the demonstration.

FNS conducted a study of the first two years of this demonstration to describe the implementation process and explore the effects on certification, participation, federal reimbursements, and state administrative costs. This report presents the findings from the first year of the demonstration evaluation, school year 2016–17.

To ensure program integrity, school districts must sample household applications certified for free or reduced-price meals, contact the households, and verify eligibility. This process (known as household verification) can be burdensome for both school officials and households. Direct verification uses information from certain other means-tested programs to verify eligibility without contacting applicants. Potential benefits include: less burden for households, less work for school officials, and fewer students with school meal benefits terminated because of nonresponse to verification requests.

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.