This instruction establishes the general standards and procedures that the state distributing agency, Indian Tribal Organization, or other consignee must follow in receiving shipments of USDA Foods, and conveys established responsibilities for other entities such as USDA Foods vendors and carriers.
In order to update and streamline policy guidance for the USDA Foods Processing Program, FNS is cancelling policy memoranda FD-009, FD-025, FD-130, FD-102, FD-030, FD-038, FD-048, FD-103, and FD-108. The guidance provided by these memoranda is outdated and has been superseded by the Final Rule: Revisions and Clarifications in Requirements for the Processing of Donated Foods, which was published on May 1, 2018.
This memorandum provides guidance to state distributing agencies and recipient agencies on the use of market basket analysis in procuring processed end products for USDA Foods in Schools and commercial goods for the National School Lunch Program, School Breakfast Program, Summer Food Service Program, and Child and Adult Care Food Program.