FNS - Food and Nutrition Service

07/02/2024 | Press release | Distributed by Public on 07/03/2024 12:09

Child Nutrition: Program Integrity Final Rule

FNS published a final rule on program integrity to ensure that child nutrition programs are properly operated and managed to protect federal funds and taxpayer dollars. The final rule impacts the National School Lunch Program, School Breakfast Program, Special Milk Program, Summer Food Service Program, and Child and Adult Care Food Program.

The final rule strengthens program integrity by modernizing how state agencies oversee child nutrition programs. This rule is one of many steps that USDA is taking to ensure that federal child nutrition programs can serve the millions of children who depend on them to reach their full potential. The stakeholder notification summarizes the rule in plain language.

Implementation Timeline

School Programs Provision Changes
Category Status Compliance Date
Discretion in Taking Fiscal Action for Meal Pattern Violations New Provision Sept. 22, 2023
Return to a 5-year Review Cycle New Provision July 1, 2024*
Substitution of Local-Level Audits New Provision July 1, 2024
Completion of Review Requirements Outside of the Administrative Review New Provision July 1, 2024
Framework for Integrity Focused Process Improvements New Provision Sept. 22, 2023
Assessment of Resource Management Risk New Provision Sept. 22, 2023
Buy American Area of Review New Provision Sept. 22, 2023
School Food Authority Contracts with Food Service Management Companies No Substantive Change Aug. 23, 2024
Annual NSLP Procurement Training New Provision Aug. 23, 2024
Performance Based Reimbursement Reporting New Provision Sept. 22, 2023
First annual report due Oct. 30, 2024

* Prior to the compliance date, state agencies may continue to apply for a waiver of the current administrative review cycle

CACFP Provision Changes
Category Status Compliance Date
State Agency Review Requirements in CACFP New Provision Aug. 23, 2024
State Liability for Payments to Aggrieved Child Care Institutions New Provision Aug. 23, 2024
CACFP Audit Funding Previously Implemented Sept. 22, 2023
Financial Review of Sponsoring Organizations in CACFP New Provision Aug. 23, 2024
Informal Purchase Methods for CACFP No Substantive Change Aug. 23, 2024
Elimination of the Annual Application for Institutions Previously Implemented Sept. 22, 2023
Timing of Unannounced Reviews Previously Implemented Sept. 22, 2023
Standard Agreements Between Sponsoring Organizations and Sponsored Child Care Centers New Provision Sept. 22, 2023
Collection and Transmission of Household Income Information Previously Implemented Sept. 22, 2023
Calculation of Administrative Funding for Sponsoring Organizations of Day Care Homes Previously Implemented Sept. 22, 2023
Carryover of Administrative Funding for Sponsoring Organizations of Day Care Homes Previously Implemented Sept. 22, 2023
Miscellaneous Amendments and Provisions
Category Status Compliance Date
Fines For Violating Program Requirements New Provision Aug. 23, 2024
State Administrative Expense Funds (SAE) New Provision Sept. 22, 2023

Additional Resources & Policy Guidance