It has come to our attention that a number of state agencies and school food authorities are failing to maintain appropriate records for procurement transactions occurring in connection with the child nutrition programs.
This guidance was issued upon our learning that a number of school food authorities were not drafting their own specifications and procurement documents for certain software acquisitions but instead directly incorporating a list of features written by a prospective bidder.
Several state agencies have recently asked FNS to approve increases in their Standard Utility Allowances (SUA’s) for heating and cooling based on projections of substantial price increases in energy sources – particularly natural gas. We are aware of broad interest in the issue of the impact of higher energy prices on household budgets and appreciate the conferences and correspondence that bring this issue to our attention.
We are continuing to receive questions regarding procurements in the child nutrition programs, particularly in the National School Lunch and School Breakfast Programs. Attached are the most recently received questions and answers.
We have recently received a series of questions regarding the procurement of automated meal accountability systems in conjunction with the procurement of a food service management company.
Periodically, we receive questions concerning the procurement requirements of 7 CFR Parts 3016 and 3019 and certain procurement procedures used by public and nonprofit school food authorities. Attached are a number of these recent questions and their corresponding answers.
Regarding awarding contracts, state agencies are advised to carefully review school district to ensure they are in compliance with federal regulations and take appropriate actions.
Recently, we have been asked 1) whether an equipment manufacturer would violate Department regulation 7 CFR Part 3016.60(b) if the equipment manufacturer writes the bid specifications for a school food authority (SFA) when that manufacturer does not directly sell its products to the SFA, but uses dealers or distributors instead and 2), would a food service management company (FSMC) violate §3016.60(b), if the FSMC drafted a provision to amend an existing SFA-FSMC contract
As you know, in August 2000, the procurement requirements for the child nutrition programs were moved from Department regulation 7 CFR Part 3015 to 7 CFR Parts 3016 and 3019. Attached are a number of questions and answers we have received concerning how these requirements changed the procedures for procurements paid with State Administrative Expense Funds.
This notice reminds state agencies of the requirements of the Food Stamp Program regulations and suggests guidelines for development of standard utility and/or telephone allowances by presenting examples of some of the methodologies used by states to develop these allowances.