WHAT’S IN YOUR FINANCIAL TOOL BOX? School Nutrition Administrator’s Conference October 23, 2014 Presented by Melanie Crews and Myra Mayse North Carolina Department of Public Instruction Safe and Healthy Schools Support Division School Nutrition Services Section “The USDA is an equal opportunity employer.” 1

Importance of Financial Management Stakeholders Superintendent Board of Education Finance Officer Taxpayers School Nutrition Administrator Cafeteria Managers and Staff Customers 2

Financial Management Tools 1. FC-1A Summary Report Analysis of the twice yearly FC-1A 2. Meal Equivalent Calculation for NC Converts meals to a standard Meal Equivalent (ME) 3. Meals Per Labor Hour Calculation Productivity measure of each cafeteria and the system-wide 3

Summary Annual FC-1A 4

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6 Net Cash Resource / One Month’s Operating Cost = # Months Operating Balance One month equals 20 feeding days. 180 feeding days / 20 days = 9 months. 185 feeding days / 20 days = 9.25 months. Total expenses on the Annual FC-1A / the number of months of operation = One Month’s Operating Cost

Summary Annual FC-1A 7

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Meal Equivalent Calculation: 1, 2, 3.5, 4 = 1 Meal Equivalent 1 lunch 2 breakfasts $3.50 a la carte 4 snacks

1 Lunch = 1 Meal Equivalent Include: Student Lunches School Nutrition Employee Lunches Adult Lunches Catered Lunches 1500 Lunches = 1500 Meal Equivalents

2 Breakfasts = 1 Meal Equivalent Divide Total Breakfasts by 2 700Breakfasts / 2 = 350 Meal Equivalents

$3.50 A la Carte Sales = 1 Meal Equivalent Dollars in Sales divided by 3.5 $1050 / 3.5 = 300 Meal Equivalents

4 Snacks = 1 Meal Equivalent Number of Snacks served divided by Snacks / 4 = 25 Meal Equivalents

Total Meal Equivalents Lunch Meal Equivalents1500 Breakfast Meal Equivalents350 A la Carte Meal Equivalents300 Snack Meal Equivalents25 Total2175

Meals per Labor Hour Calculation District-wide Per Kitchen

Meals per Labor Hour Calculation Total Meal Equivalents Divided by Number of Days in the Review Period Divided by Number of Assigned Daily Labor Hours Equals Meal Equivalents per Labor Hour

Meals per Labor Hour Calculation 2,175 Meal Equivalents Divided by 5 Days Divided by 28 Daily Labor Hours 15.5 Meals per Labor Hour

Financial Management Tools 1. FC-1A Summary Report Analysis of the twice yearly FC-1A 2. Meal Equivalent Calculation for NC Converts meals to a standard Meal Equivalent (ME) 3. Meals Per Labor Hour Calculation Productivity measure of each cafeteria and the system-wide 20

QUESTIONS?

Myra Mayse: Melanie Crews: