Slide 1. Slide 2. USDA Food Distribution Program. CNPweb Food Distribution Program. Address: Login.
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1 Slide 1 USDA Food Distribution Program Welcome to a brief overview of the Oregon Department of Education USDA Food Distribution Program. Federal USDA Foods support American agricultural producers by providing schools with healthy and nutritious food to Federal child nutrition programs. A wide variety of fruits and vegetables, grains, cereals and nuts, as well as dairy and meat products, are available as USDA purchased foods. Many products are formulated to be low in fat and have lower sugar and sodium content than commercial counterparts. USDA Foods account for approximately 15-20% of the foods used by school nutrition programs. Slide 2 CNPweb Food Distribution Program Login Click here Address: Click here The Oregon Department of Education Child Nutrition Programs has provided the CNPweb program as a tool for sponsors to manage the tasks associated with Child Nutrition Programs. Only registered users can access CNPweb. A CNPweb user authorization form must be completed and sent to your assigned specialist. Be sure to request Food Distribution access on the form. The Green puzzle piece on this slide represents the portal to the USDA Food Distribution Program. All of the USDA Foods activities will take place in the green puzzle piece. Users must have Food Distribution designation to enter this site.
2 Slide 3 USDA Foods State Entitlement Estimated State Entitlement Is based on Projected USDA Foods Entitlement Rate and the Projected # of lunches served in the Current SY. Projected Oregon Lunches Served X Projected Entitlement Rate = Projected State Entitlement Actual State Entitlement Is calculated by multiplying the actual USDA Foods Entitlement Rate that is published by USDA in the following July times the Actual Lunches Served that is published in the following November. The USDA Foods Program begins with Entitlement. Entitlement is the value for a given year that sponsors are able to spend on USDA Foods. Each SY in January, the State projects the next years entitlement by calculating the estimated statewide lunches served, times the estimated USDA Foods entitlement rate. The state must also factor in if there is a negative state entitlement carryover with USDA. This sometimes happens when the price of USDA Foods increases. This calculation produces the initial distribution of entitlement that sponsors use in the preorder for the following SY. This preorder is scheduled for Spring The actual state entitlement is calculated sometime in the fall. This could result in additional distribution of entitlement during the SY. In some cases an additional preorder period will open to give sponsors a chance to spend that additional entitlement.
3 Slide 4 How State entitlement is distributed to sponsors State Entitlement is distributed to Sponsors by calculating each Sponsor s percentage of the total lunches served in the state. Sponsor s Percent of State Lunched X Total State Entitlement Things to Remember About Sponsor Entitlement: 1. Sponsors should spend their entitlement during each SY. 2. Managing Entitlement is an ongoing effort. State Entitlement is distributed to Sponsors by calculating each Sponsor s percentage of the total lunches served in the state. This can be updated during the SY as the USDA rate and the actual lunches served become known. That means entitlement is a moving target. Here are some things to remember about sponsor entitlement: Each sponsor should make every effort to spend all of their entitlement each year to get the most value from USDA Foods Managing entitlement is an ongoing effort that requires active participation in each distribution period and each preorder period. Sponsor entitlement expires at the end of each SY. So, if you don t use it you loose it. Slide 5 USDA Foods Order and Distribution Periods USDA Foods Pre order Periods Place advance orders Designate preferred distribution periods USDA Foods Order and Distribution Period This includes the Order Window and it s corresponding Delivery Periods. USDA Foods Order Window Phase 1 Order USDA Foods or reduce them. Phase 2 No Charge to Entitlement Foods available. USDA Foods Delivery Periods 1 st Delivery Period is in the first half of the delivery month or period. 2 nd Delivery Period is in the second half of the month or delivery period. USDA Foods Ordering Instructions PDF There are several steps to ordering and receiving USDA Foods First, preorders are completed long before the SY even starts. These preorders help the Food Distribution Program advance order the foods from USDA. However, many factors influence USDA s purchase of products and sometime products that have been preordered never become available in the distribution periods for which they were ordered. Also, sometimes USDA cancels products before they are received in the state. Second, you must place those preordered products on an order with a delivery destination and delivery period. This is done during the order windows. Assuming that all the products pre ordered were available for purchase and they arrived in time for the distribution, they will be available for you to place on an order with a destination and delivery period during the
4 order window. The order & distribution schedule lists the dates you must place orders and assign them to a delivery location, the delivery dates available, as well as the dates that preorders open and close. This schedule is posted on the USDA Foods web page. There are two phases to each Order Window: During the 1 st Period order the commodities on your allocation or reduce them. This is the only time that food quantities may be reduced and entitlement returned to your account! You can also add Unassigned / Entitlement Foods or Bonus Foods if they are available. During the 2 nd Period No Charge to Entitlement Foods as well as Unassigned Entitlement Foods and Bonus Foods are sometimes available. It is very important that you keep track of the order and distribution schedule. If you miss an order window, you will not receive an order for that delivery period, but your entitlement will be charged for the pre ordered items. Slide 6 USDA Foods Order and Distribution Schedule For a copy of this chart go to: This is a view of the USDA Foods Order and Distribution Schedule. This document was sent to sponsors in the June Food Distribution Bulletin and posted on the Child Nutrition Web Page under USDA Foods. The direct link to this page is listed at the bottom of this page.
5 Slide 7 Direct Delivery (BB) USDA Foods Direct Delivery Foods (Brown Box) is the term used for foods that come directly through the USDA and case packed for distribution through the State Distributing Agent. Cancelled Products (Loads): When an item you have requested is cancelled, your entitlement account will be credited for the USDA value of that item. There will be opportunities for you to spend the entitlement that has been returned to your account. Delayed Products (Loads): When the delivery date is delayed, you will receive that product in a later distribution month. Distribution Periods: There are 7 Distribution Periods that correspond to the following months: August / September / October / November / January / March / April Fair Market Value: Is the price that the USDA determines is the value of the USDA Foods products. Availability of USDA Foods Sometimes, products that you have preordered will not be available in the distribution periods that you selected. The USDA Foods Ordering Instructions: Food Distribution Bulletins and CNPweb notice page will provide updated information on availability. There are 3 ways to spend USDA Foods entitlement. They can be spent on: Direct Delivery USDA Foods, also know as Brown Box or BB Foods Diversion Processing of USDA Foods into End Products The DoD Fresh Produce Program. Direct delivery foods also known as (Brown Box Foods) is the term used for foods that come directly through the USDA and are case packed for distribution through the State. These products are ordered from the USDA for delivery to the State contracted warehouse and then distributed from there to the sponsors during the 7 distribution periods. These are the products that must be placed on an order during the order windows. Slide 8 Diversion/Processing 1. Sponsors direct the State to send USDA Foods to processors for further processing into End Products. This is done on a Preorder in CNPweb. 2. Sponsors must use competitive procurement when selecting processors. This must be done before diverting USDA Foods on the Preorder. 3. Sponsors communicate the desired End Products and delivery specifications to the processors through brokers and processor representatives. The next way to spend entitlement is Diversion /Processing. This allows sponsors to send USDA Foods to processors for converting into end products. These are products that are made from USDA Foods with added ingredients or processing. The processors bills each sponsor for the additional costs. Sponsors are responsible for the following: Competitive procurement of processors according to state and local procurement laws. Communication with processor to
6 identify the product, quantity to produce, and when and where to deliver the end products. Only Processors who have state approved processing agreements may be used. Sponsors must ensure that they are receiving the full value of USDA Foods in the products they receive. Commodities diverted for a SY must be received by the sponsor by Dec 31 st of the following school year otherwise the pounds divert to the state holding account. Slide 9 DoD Fresh Produce Getting Started If you choose to participate in the DoD Fresh Produce Program, follow these steps: 1. Determine how much entitlement you would like to put towards purchasing DoD Fresh produce. 2. Send a Fax or to the ODE USDA Foods Distribution Analyst with this information: A. Sponsor Name and CNPweb Number B. DoD Receiving Address with City, State and Zip Code C. Include contact information for the person who will handle the DoD in your organization. D. The Amount of Entitlement that you would like to divert to DoD. ODE will send your request to the Department of Defense to create an account in the Fresh Fruit and Vegetable Order Receipt System (FFAVORS). 3. Once your account is created, you will be notified of your temporary username/password, and the entitlement amount you requested will be loaded into the FFAVORS system by July 1. You may begin placing fresh produce orders at that time. Domestic (USA) Grown Products Only Only products grown in the United States are available for DoD. DoD Surcharge A 4.6% surcharge will be added to your account balance in FFAVORS to cover delivery/administrative fees. This surcharge is paid from your entitlement and goes directly to DoD. ODE FDP will also charge a small per pound fee to cover administrative costs. The Department of Defense (DoD) Fresh Produce Program allows a sponsor to take a portion or all of their USDA Foods entitlement and apply it to the DoD Fresh Produce Program. DoD entitlement is not extra or additional funds. Sponsors who participate in DoD must request that a portion of their entitlement be transferred into a DoD account. Sponsors who participate in this program will have access to a DoD on-line ordering system. DoD contracts with produce vendors to operate the program. Only domestic produce (US grown) may be purchased.
7 Slide 10 Receiving and Storage of USDA Foods Follow these procedures when receiving commodities: 1. Inspect USDA Foods for damage 2. Check and record temperatures and ensure that they are appropriate for each product 3. Count products and check the count against the Bill of Lading (delivery document) 4. Document discrepancies 5. Sign delivery document Single Inventory System USDA allows USDA Foods to be comingled with purchased products in your inventory. You do not have to separate them or inventory them separate. When USDA Foods are delivered to sponsors they must be counted and verified with the delivery document. In addition, all deliveries should be inspected for damage or mishandling. Delivery documents must be signed at the time the products are received. The contracted warehouse and carrier will notify your designated contact person at least 48 hours prior to notice. If your contact person is not available, please contact Tools for School with alternate contact information. Due to the single inventory system you do not have to separate USDA Foods from your commercial inventory. Slide 11 USDA Foods Fact Sheets USDA Foods Fact Sheets are available at: USDA Foods Fact Sheets are available at the web site listed here. Take some time to review these sheets as they provide valuable information for your menu planning. They include: nutritional information, product description, preparation instructions and other valuable information. Actual products received from USDA may be slightly different than the fact sheet. This is due to variations between processors and the competitive procurement process that is required. The fact sheets represent an average of all of the products that USDA procures.
8 Slide 12 Allowable Uses of USDA Foods Should be used in lunches served to children as part of the: National School Lunch & Breakfast Program Summer Food Service Program Fresh Fruit and Vegetable Program May be used in other activities when the activities primarily benefit students. Revenues received must accrue to the school food authority s nonprofit school food service account. Allowable uses of USDA Foods- USDA Foods should be used in National School Breakfast and Lunch program, the Summer Food Service Program and the Fresh Fruit and Vegetable Program. However, they may also be used in other nonprofit school food service activities as long as the activities primarily benefit students. Revenues received from these activities must accrue to the school food authority s nonprofit school food service account and it must cover all costs. Slide 13 Value of Commodities Received Report State or local government agencies and nonprofit organizations that receive $500,000 or more in Federal grants in a given school or fiscal year must obtain an audit for that year. These organizations must consider the Value of USDA donated foods as part of such grants. At the End of each School Year, the ODE USDA FDP will provide each participating sponsor with a value of commodities received report. USDA Foods Delivered X USDA Foods Value + Entitlement to DoD Program = Value Received USDA Policy No. FD-104: This memo details the options available when assigning value to USDA commodity (donated) foods for audit purposes. ODE used option 3, the USDA commodity file cost as of a specified date, when assigning values for the commodity foods on your Value of Commodities Received report. State or local government agencies and nonprofit organizations that receive $500,000 or more in Federal grants in a given school or fiscal year must obtain an audit for that year. These organizations must consider the value of USDA donated foods as part of such grants. At the end of each school year, the Department of Education, USDA Food Distribution Program will provide each participating sponsor with a value of commodities received report. This report is calculated by multiplying the actual cases or lbs. of USDA Foods delivered to the sponsor times the value of that product plus the amount of entitlement diverted to the DoD Fresh Produce Program.
9 Slide 14 Annual Storage Self Evaluation Complete by June 30 th Keep on file for 3 years + current year Annual Storage Self-Evaluation This document must be completed each year by June 30th and retained in your files for three years plus current year. It is very important that this document is completed thoroughly and accurately each year. This document will be inspected during programs review, and failure to properly complete this form can result in loss of access to USDA Foods. Slide 15 Advisory Council The Advisory Council provides guidance to the Food Distribution Program that will ensure wise utilization of USDA funds. Send requests/suggestions to any Advisory Council member or ODE CFDP staff. If you are interested in serving on the Advisory Council complete an application and send it to ODE CNP. The Advisory Council provides guidance to the Food Distribution Program that will ensure wise utilization of USDA funds to best benefit the health and education of students throughout Oregon. The URL at the bottom of this page will take you to a list of the council members. Slide 16 Contact Information Oregon Department of Education, Child Nutrition Programs Chris Facha Phone: chris.facha@state.or.us Warehouse and Carrier/Delivery questions Tools For Schools/ NW Distributing Sally Jimenez Phone: sjimenez@toolsforschools.com Alpine Foods Shawn Hood Phone: shawn@alpinefoods.com DOD Prime Vendor Duck Delivery Sharon Whalen Phone: sharon.whalen@duckdelivery.com Diversion Processing Processor Contact List (See the Contact list attached to the Processing Catalog on the ODE USDA Foods website at Contact Information This document lists names and phone numbers of people you can call when you have a question or concern. If you have any questions or need assistance with the USDA Food Distribution Program please contact Chris Facha at or chris.facha@state.or.us.
10 Slide 17 The U.S. Department of Agriculture prohibits discrimination against its customers, employees, and applicants for employment on the bases of race, color, national origin, age, disability, sex, gender identity, religion, reprisal, and where applicable political beliefs, marital status, familial or parental status, sexual orientation, or all or part of an individual s income is derived from any public assistance program, or protected genetic information in employment or in any program or activity conducted or funded by the Department. (Not all prohibited bases will apply to all programs and/or employment activities.) If you wish to file a Civil Rights program complaint of discrimination, complete the USDA Program Discrimination Complaint form, found online at or at any USDA office, or call (866) to request the form. You may also write a letter containing all of the information requested in the form. Send your completed complain form or letter to us by mail at U.S. Department of Agriculture, Director, Office of Adjudication, 1400 Independence Avenue, S.W., Washington, D.C , by fax (202) or at program.intake@usda.gov Individuals who are deaf, hard of hearing or have speech disabilities may contact USDA through the Federal Relay Service at (800) ; or (800) (Spanish). USDA is an equal opportunity provider and employer.
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