NON-PROGRAM FOODS SOLD IN SCHOOLS VALERIE CROUCH, SNS SCHOOL AND COMMUNITY NUTRITION

REVENUE FROM NON-PROGRAM FOODS SOLD IN SCHOOLS Section 206: Revenue from Non-program Food Intent: To ensure that sufficient funds are provided to the food service account for foods sold in schools outside of reimbursable meals.

NON-PROGRAM FOODS Food sold outside of program meals Purchased with funds from the school food service account Includes competitive foods as currently provided in regulations

NON-PROGRAM FOODS OVERVIEW A school food authority must ensure that the overall revenue from non-program foods is proportional to the cost of obtaining these foods. If non-program food is purchased with the nonprofit school food service account, all revenue must accrue back to the account

NON-PROGRAM FOODS IMPLEMENTATION AND TIMELINE School food authorities should begin reviewing the cost of obtaining any non-program foods sold in relation to the revenue generated by their sale. Effective: July 1, 2011.

NON-PROGRAM REVENUES AND COSTS Gather the following information: Food costs of reimbursable meals Food costs of non-program foods Revenue from non-program foods Total revenue

FOOD COSTS OF REIMBURSABLE MEALS Utilizing the InTEAM’s Menu Costs Feature in the Menu Compliance Tool, a director can cost a week of menus and establish an average reimbursable meal cost. At the conclusion of an operating month, the director will take the total reimbursable meal count and multiply times the average reimbursable meal cost to establish the month’s food costs for reimbursable meals.

FOOD COSTS OF NON-PROGRAM FOODS Next step, take the total cost of food used for the operating month and subtract the reimbursable meal food costs to calculate the non-program food costs for the month.

TOTAL NON-PROGRAM FOOD REVENUE At the conclusion of an operating month, a report should be generated from your point of service computerized program that reports the total non-program food revenue. Again this is revenue from food sold outside of the program (NSLP reimbursable) meals. Examples, Adult and A la Carte sales.

NON-PROGRAM FOOD REVENUE TOOL – SP The Non-program Food Revenue Tool was created to help SFAs calculate the amount of revenue required to meet the new requirements in Section 206 of the Healthy, Hunger-Free Kids Act of To use the tool, an SFA must collect the cost of both program and non-program food and the total revenue for the previous school year. So the steps we took to determine a month of program and non-program food costs would need to be done for the 9 months of the previous school year. Also the total revenue from the non-program food sales and total revenue would need to be calculated.

NON-PROGRAM FOOD REVENUE TOOL INSTRUCTIONS To calculate the amount of revenue from non-program food required to meet this requirement, an SFA must: 1.Enter the cost of food for reimbursable meals in the previous school year in the Cost for Reimbursable Meal Food row. 2.Enter the cost of the non-program food from the previous school year in the Cost of Non-program Food row. 3.Enter the revenue from non-program foods from the previous school year in the Total Non-program Food Revenue row. 4.Enter the total revenue from the previous school year in the Total Revenue row. Based on these amounts, the tool will calculate the minimum amount of revenue from non-program foods that is required to meet this requirement. The tool will also calculate the additional revenue, if any, needed to comply.

NON-PROGRAM FOOD REVENUE TOOL INSTRUCTIONS Based on these amounts, the tool will calculate the minimum amount of revenue from non-program foods that is required to meet this requirement. The tool will also calculate the additional revenue, if any, needed to comply. These figures will appear in the MINIMUM REVENUE REQUIRED FROM THE SALE OF NONPROGRAM FOODS and the ADDITIONAL REVENUE NEEDED TO COMPLY rows. SFAs can now compare their non-program food revenues to this required amount to determine if they are in compliance with this requirement.