1. Commodity Food Distribution Orientation For Schools and Child Care Food Programs

2. Background The USDA Foods Program is administered by the Alaska State Department of Education and Early Development, Child Nutrition Programs Tony WarrenSue Lampert Education Program AssistantProgram Coordinator 465-3629465-8710 Tony.Warren@alaska.govTony.Warren@alaska.gov Susan.Lampert@alaska.govSusan.Lampert@alaska.gov 2

3. Overview Background State Agency Responsibilities Recipient Agency Responsibilities Complaints Disasters Nutrition 3

4. Acronyms Used RA – Recipient Agencies – YOU! DA or SDA – State Distributing Agency - US! CNP – Child Nutrition Programs – also us! USDA – United States Department of Agriculture CACFP – Child and Adult Care Food Program RCCI – Residential Child Care Institution SFSP – Summer Food Service Programs 4

5. Definitions Entitlement – the amount each RA may “spend” on USDA commodities Allocation – the commodities and cash- value each RA is receiving USDA Foods- also known as commodities are foods donated or available for donation by USDA 5

6. Eligible Programs National School Lunch Program including Residential Child Care Institutions (RCCIs) Child and Adult Care Food Program Summer Food Service Program 6

7. Quick Facts USDA Foods provide approximately 15-20% of the food offered in school meals Low costs, the value of commodities is 50%- 66% lower then through commercial purchasing Provides a variety of healthy food choices including fruit, vegetables, meat, fish, poultry, dairy, & grains 7

8. In a Nutshell CNP advises RAs of food items USDA has available & individual entitlement RAs order food through CNPweb Food is delivered RAs receive food on CNPweb CNP generates invoice in CNPweb for received food RAs pay CNP the administrative program fee 8

9. Year (or more!)-at-a-Glance 9

10. Entitlement Entitlement rate changes annually Commodity rate for school year 2014 is $0.2325 for each lunch served in school Cash-in-lieu rate for lunch and suppers in Child Care Centers is $0.2325 Bonus products do not reduce entitlement, but must pay the administrative program fee Additional entitlement distributed as not all schools participate 10

11. Ordering & Allocating On an equitable basis “fair share” ◦i.e. each school’s entitlement is a percentage of the lunches served by the school district against the total lunches served in the state of Alaska 11

12. Ordering & Allocating In the food types and forms most commonly used Obtain and use commodity acceptability info when ordering  Advisory council  Prior history  Actual requests from RAs 12

13. Allocating, not Warehousing All order direct shipped to RAs from Seattle, WA Non-processed commodity food items must be ordered in full truck or split with another state All commodity food items ordered must be allocated to RAs upon order Adjustments are made to orders to accommodate ordering restrictions 13

14. USDA Direct vs. Processed USDA Direct Commodities ◦“brown box” or “unprocessed” ◦Orders go directly from SDA to USDA ◦Commodities shipped to one of the 13 prepaid destinations (or Seattle) Processed Commodities ◦Orders go from SDA to USDA to Processor ◦RA may be required to have agreement with Processor ◦Commodities shipped directly to RA ◦RA pays Processor fee-for-service 14

15. Processed Commodities RA must pay the processor fee-for- service ◦the price by pound or by case representing a processor’s cost of ingredients (other than the donated food), labor, packaging, overhead, and other costs incurred in the conversion of the donated food into the specified end product  JTM Beef Meatballs ◦ Case Value (entitlement) $55.61 ◦ Fee-For-Service $55.61 – paid directly to processor ◦An invoice from the processor will be sent ◦A contract may be required by the processor 15

16. What’s Available? List of foods available on USDA website ◦http://www.fns.usda.gov/fdd/foods/SY13- Foods _Available_List_Enhanced.pdfhttp://www.fns.usda.gov/fdd/foods/SY13- Foods The Advisory Council ◦Made up from representatives of schools in Alaska Always accept recommendations 16

17. Changes in Orders State must balance orders by shipment requirements USDA direct commodities full truck orders ◦If not possible to split truckload with other states Processed commodities may also have minimum order requirements USDA may also cancel and/or delay orders Check CNPWeb for information on orders under Allocation or Inventory 17

18. When is it coming? Information on delivery of allocated commodities can be found: ◦On the delivery schedule which is sent monthly with the program bulletin ◦On the CNPWeb under Allocation ◦All delivery dates are estimates 18

19. Shipping USDA Direct Commodities ◦No shipping costs to the USDA pre-paid destinations:  Anchorage  Bethel  Dillingham  Fairbanks  Juneau  Ketchikan  Kodiak  Kotzebue  Mt. Village  Sitka  Soldotna  Unalakleet  Wasilla/Palmer 19

20. Shipping RAs located outside the pre-paid destinations must arrange and pay for pick-up and/or shipment of commodity food items. 20

21. Handling Fees RAs are invoiced $3.05* handling fee per case for all commodities: ◦Processed ◦USDA Direct ◦Entitlement ◦Bonus * The SDA reviews the handling fee annually 21 * Rate subject to change each program year

22. Recipient Agency Responsibilities Keep contact information current with State Agency “Receive” commodity foods upon delivery Payment of commodity fees upon receipt of invoicing Payment of fees for processing fees Other processor requirements (letter of credit, purchase order, etc.) 22

23. Single Inventory Separate inventory is not required If needed, RA’s may contact CNP to transfer commodity food items to other schools, summer school, residential child care institutions, child care programs, or summer food service programs participating in USDA programs through Child Nutrition Programs 23

24. Storage Requirements Recipient Agencies must: ◦Date USDA commodities box upon receipt (sharpie, date stamp, etc) ◦Store 6 inches off the wall and 6 inches off the floor ◦Maintain temperatures -  Frozen 0 degrees F or colder  Dry approximately 60 degrees ◦Dry, well ventilated, and rodent proof 24

25. Complaints Complaints on USDA Commodities are submitted to the State Agency Information needed: Commodity food item name and code Lot number/batch printed on case Nature and extent of the problem Physical location of product Quantities involved Contact Information How much it still on hand 25

26. Complaints Complaints may be: ◦Quality of product ◦Foreign material in product ◦Poor packaging ◦Cooking or preparation issues ◦Shipping problems ◦Over/short/damaged product upon receipt State agency works with USDA and/or processor and/or shipper to assess complaint Please take pictures! 26

27. Commodity Improvements Whole grains Lower fat Lower sodium Commodity Fact Sheets available at: http://www.fns.usda.gov/fdd/schfacts/ 27

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31. USDA Foods Program Resources 31 http://www.fns.usda.gov/fdd/programs/schcnp/default.htm

32. CNP Web Updating Forms ◦Recipient Agency information ◦Delivery Location Inventory Allocation Receiving Invoicing Ordering 32

33. Login Contact CNP when new users begin or older users leave Each user must have their own log-in and password Passwords must be reset by CNP 33

34. CNPWeb Log-in If you do not have an individual login, the User Authorization Request will be sent to you: Contact Sue Lampert susan.lampert@alaska.gov Contact Tony Warren tony.warren@alaska.gov 34

35. Access the CNPWeb All CNP Programs are using the CNPWeb Different users will have access to different pieces of the puzzle 35

36. Revising Recipient Agency (RA) Info Select the current program year 36

37. Revising Recipient Agency (RA) Info Select Revise under Recipient Agency Contract Form 37 Acme School District

38. 38 Acme School District 99801 Lunch Lady 1234 Snowy Lane 465-8887 sschoolworker@asd.org 465-8888 Llady @asd.org moneybags@asd.org Mary Moneybags Safetyman @asd.org 465-8884465-8881 Sidney Safety Susie Schoolworker Juneau

39. Revising Recipient Agency (RA) Info If any errors are detected, CNPWeb will prompt you to correct the error. If no errors are present, CNPWeb will automatically return you to the Recipient Agency Summary page. The Contract form will be shown as “Pending Approval”. We use the Food Distribution Program’s Primary and Alternate as contacts for monthly bulletins and other announcements. 39

40. Inventory The Inventory section of the CNPWeb reflects the commodity food items each RA has or will receive this program year. 40

41. Inventory Select the Inventory tab from the Recipient Agency Summary 41 Acme School District

42. Inventory 42 Acme School District

43. Inventory The Inventory view shows all products allocated to the program for the current program year – regardless of received status Alloc ID is a unique number for each allocation. Use this when referring to the USDA Foods Delivery Schedule to reference that allocation’s estimated arrival date. Important – Unit Cost is the USDA value of the item and is not a fee. Total Value shows the amount charged against Entitlement (unless Bonus is indicated) 43

44. Allocations Select Allocations tab from Recipient Agency Summary Allocations tab provides similar information as Inventory tab 44 Acme School District

45. Allocations Lists all commodities allocated for the year with estimated shipping and arrival dates Select view for additional product information 45 Acme School District

46. Allocations Processor fees x Allocated Quantity will be billed directly by the processor Administrative fee x Allocated Quantity is billed through CNPWeb after the RA has “received” the product on the database 46 Acme School District

47. Receiving Orders If you (physically) receive a commodity that is not listed as “delivered” here, contact CNP as soon as possible. 47 AcmeSchool District

48. Receiving Orders The “ship date” reflects arrival in Seattle, and is not an estimated date of delivery. The Order Status column identifies commodities as “delivered” (shipped from Seattle) or “processed” (pending arrival in Seattle). Only commodities identified as “delivered” can be acknowledged as received. To “receive” an order, select Edit on a product with the status of Delivered 48 Acme School District

49. Receiving Orders 49 Acme School District Jane Smith, Food Service Manager (907)555-5555 Insert Qty received (7)

50. Receiving Orders Confirmation page: if the amount you entered is correct, select “submit”. If not, select “prev. page” and repeat the process 50 Jane Smith Food Service Manager (907)555-5555 Acme School District

51. Receiving Orders Back on the Orders tab, note that the status has changed from “delivered” to “received.” Repeat this process for each commodity received 51 Acme School District

52. Invoicing Select Invoicing tab from Recipient Agency Summary All open (unpaid) invoices are listed here. Click on “View” for details on each invoice. 52 Acme School District

53. 53 1234 Snowy Lane Juneau, AK 99081 Acme School District Lunch Lady

54. Invoicing Invoice detail shows items and amounts, as well the associated program fee per case (“Admin Fees” has increased to $3.05 as of 9/1/13). Processing Fees are included for reference only. Processors will bill schools directly. Only the “Total Fees” amount should be paid -- note that this matches the “Admin Fees” column. 54

55. Invoicing Print the invoicing page and submit along with payment to: Child Nutrition Programs Food Distribution 801 W. 10th Street, Suite 200 PO Box 110500 Juneau, AK 99811 Please reference the invoice number(s) on the check or warrant. If payment covers more than one invoice, include all invoice numbers. 55 Acme School District 1231

56. Select Entitlement Tab to see how much you may expend on commodities Ordering 56 Acme School District

57. Entitlement Entitlement tab – Entitlement is used throughout the year. 57 Acme School District

58. Surveys Surveys tab – this is where commodity orders are placed. Select Edit to place orders ~ or ~ Select View to see orders placed 58 Acme School District

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60. Survey Detail Survey detail screen Items are separated into categories, and Entitlement values for each category are totaled. “Cap” percentages and/or values are assigned by the State and represent the upward limit of Entitlement that a Sponsor can use for the product category. There are currently no Caps in place for FY14 for commodities. 60

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62. Item detail screen Each product/item will show a per-case USDA value – this is the amount charged against Entitlement for each case of product. 62

63. There may be 1-4 months available to order [based on popularity], check to see if the column is illuminated. 63 Acme School District

64. Survey The “Extra” line is optional, entry reflects the maximum amount of a given product that your agency could reasonably store and use. We encourage 10%-25% overspending of Entitlement by using the “Extra” line. There is no penalty or fee for overspending entitlement. Continue for each item in the category, and then hit “Submit.” 64

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66. Continue for each product category. The Entitlement information at top will continue to be updated as each product category is ordered. Click “Submit” when done. An error message may occur when the entitlement is over-expended. However usually the order will still submit even with the error message. To see if the order has taken, select the “View” button. When the survey closes, CNS will review the orders and begin commodity allocations. Surveys will be balanced the our office after the survey closes; sponsors will be able to view the completed orders at that time. 66

67. 2 initial surveys will be opened: ◦Entitlement USDA direct products  Charges against entitlement ◦Entitlement processed products  Charges against entitlement but also requires a contract with processor for fee-for-service  Fee-for-service is the balance due to a processor for items processed into finished product (i.e. chicken nuggets). 67

68. Why Order Processed? Pro ◦Processor reduces cost of items by the cost of the donated food (USDA Value) ◦Transportation is paid to your door Con ◦Processor bills you direct for fee-for-service ◦Administrative program fee still applies Research and consider all options to get the best value for your entitlement. 68

69. A final note on surveys Watch your bulletins and emails for surveys In emergency situations, we have very little time to fill a survey and orders will be first come, first serve 69

70. Thank you!! Questions & Answers 70

71. Commodity Food Distribution Orientation For Schools and Child Care Food Programs