Jaclyn Kupcha, USDA, Food and Nutrition Service

Loren LaCorte, USDA, Food and Nutrition Service

May 19, 2010

Overview of the School Meals Programs

How purchases are made in the programs

Mechanisms for schools to use when purchasing local, farm fresh products

Impact of the 2008 Farm Bill on the purchase of local farm products

How to connect schools with farmers

FNS Headquarters

FNS Regional Offices

State Agencies

School Food Authorities

Schools

http://www.fns.usda.gov/cnd

Throughout the existence of the School Nutrition Programs, USDA has focused on helping State agencies (SAs) and School Food Authorities (SFAs) find effective ways of providing more nutritious meals to America’s school children.

Public or nonprofit private schools and public or nonprofit private residential child care institutions

SFAs have written agreements with their State Agency

SFAs must operate using a nonprofit school food service account

SFAs typically conduct the purchasing for school meals programs

NSLP

31.3 mill

101,577

SBP

11.1 mill

87,814

Avg DailyParticipation

AvgParticipating

Schools

Most important principle of a sound procurement is that it is competitive

Free and open competition means that all suppliers are on a level playing field and have the same opportunity to compete

Procurement procedures may never unduly restrict or eliminate competition

Cost of products and services!

Quality of products and services

Program Regulations for Procurement: NSLP: 7 CFR 210.21

SBP: 7 CFR 220.16

Uniform Administrative Requirements for Procurement: State/local governments: 7 CFR 3016.36

Non-profits: 7 CFR 3019.44

Ensure Federal funds, when used to purchase products or services, result in the best and most responsive product at the lowest possible price

Provides the framework by which SFAs purchase goods or services with Federal funds in the School Meals Programs

Congress wants to achieve two goals:

Program benefits are widely available to eligible schools and children

Benefits are used effectively and efficiently, without waste or abuse

An SFA must evaluate:

Food Service Operations

Food Service Needs

SFAs must evaluate their schools’ current food service operations to determine their needs

Self-Op/Central Kitchen/FSMC

Storage capacity

Processing abilities Staff resources Food safety practices Prior year menus Current food inventory

SFAs must then evaluate their school’s current food service needs

Necessary volume

Students’ preferences

Menu requirements

Required transportationand delivery needs

Informal procurement Small Purchase Threshold

Formal procurement Competitive Sealed Bidding

Competitive Negotiation

Federal regulations set forth that a procurement contract under $100,000 in value may be awarded using informal methods

States or localities may set a lower small purchase threshold, thereby imposing more formal procedures

Informal procurements must maximize full and open competition

SFAs should put specs in writing before contacting any potential offerors

Recommend at least three sourcesbe contacted who are eligible, able, and willing to provide product orservice

Used when the value of purchase exceeds applicable Federal, State, or local threshold for small purchases

More rigorous and prescriptive:

Competitive Sealed Bidding

Competitive Negotiation

Detailed specs must be developed

Technical and cost factors

Bids/Solicitations must be publicly solicited

Measure and document why one company’s response to a particular criterion is better than another

SFAs may not intentionally split purchases to fall below the small purchase threshold and avoid formal procurement methods

Request local, farm products through quality indicators Degree of ripeness or maturity

Age

Condition upon receipt of product

Preservation method

Temperature

Other quality standards

Size

Quantity

Cleanliness

Packaging

Established delivery day

Direct from Farmer

Farmer Cooperative

Farmers’ Market

Wholesaler

SFA Buying Cooperative

Potential benefits of purchasing from local farmers: Shortening the supply chainCutting out the middle man

Reducing fuel costs

Forming relationships for growing specifications

Farmer cooperatives may develop a group distribution strategy

Purchasing from a farmer co-op may help food service directors reduce time spent on administrative tasks

Informal Procurement Process

Farmers are contacted and one is determined to have lowest priceFarmer brings the schools’ order to the

farmers’ market in addition to their productFood service staff have opportunity to

inspect product quality and see other available products for future menu planning

Support sales and marketing of local farm products

Provide standard pack sizes and specifications

Transportation

PriceCutting out the

distributor

Neighboring school districts develop a group purchasing strategy

Buying co-ops often increase purchasing power and volume requests

Co-ops must still follow procurement regulations when purchasing for the group

U.S. Agriculture Extension System Find agricultural producers in the community

http://www.csrees.usda.gov/Extension/index.html

State Dept of Agriculture or Education Find local farms and farmers

Local Universities

National Farm to School Network Find local farms and farmers

http://www.farmtoschool.org/index.php

Familiarize yourself with potential customer

Contact local extension office

Call your State’s Department of Education or Department of Agriculture

Contact schools within your deliverable area

Contact the National Farm to School Network

Consider pooling resources with other farmers to increase delivery and efficiency

Be cognizant of different packing specifications that schools are used to

Be aware of size requirements for schools

Be aware of “language” barrier Crates /Bushels/Baskets/Pecks

The 2008 Farm Bill amended the National School Lunch Act to allow institutions receiving funds through the Child Nutrition Programs to apply a geographic preference when procuring

unprocessed locally grown or locally raised agricultural products

Only those agricultural products that retain their inherent character

Chopping, cutting, slicing, dicing, shucking, peeling

Cooling, refrigerating, freezing

Washing

Packaging, bagging

Preparation that may be necessary to present a product to a school in a useable form

Pasteurized milk

Butchered livestock and poultry

Discretion to define the local area for any geographic preference is left to the institution responsible for procurement

“Local” must not be defined in a way that unnecessarily limits competition

Proposed rule: “Geographic Preference Option for Procurement of Unprocessed Agricultural Products in Child Nutrition Programs”

Published in Federal Register on April 19, 2010

Comments may be submitted to FNS by June 18, 2010

http://www.fns.usda.gov/cga/Federal-Register/2010/04-19-10_CN.pdf

Develop solicitation and incorporate geo

preference points into scoring criteria

Publicly announce the IFB/RFP

Evaluate bidders using established

criteria

Producers of locally-grown unprocessed

products receive extra points in scoring

Determine most responsive and

responsible bidder at lowest price

Develop your specs in writing

Identify sources eligible, able, and willing to provide

products

Contact at least three sources

Evaluate bidders’ response to your

specs

Determine most responsive and

responsible bidder at lowest price

Tool to help food service professionals thinkthrough important decisions involved infood purchasing What quantity of raw product will provide the

amount of ready-to-cook food?

How many servings will you get from a specific quantity of food?

Factors affecting yields

Provides tips for planning, purchasing, preparing, and promoting fruits and vegetables Tricks of the Trade Food safety

Operating a salad bar

Meal Appeal Ideas for presenting fruits and veggies

Quality Food for Quality Meals Technical information on how to purchase high

quality fruits and vegetables

Quality Food for Quality Meals: Buying Fruits and Vegetables

Develop quality standards

Product descriptions

Proper storage

Fresh-cut

Product sheets for fruits and vegetables

Balance: Provide a mix of flavors, textures, colors

Variety: Offer cooked vs. raw; familiar and new

Choices: Regional and cultural preferences

Contrast: Texture, flavor, methods of preparation

Color: Add natural color using fruits and vegetables

Eye Appeal: Use produce as garnishes

http://teamnutrition.usda.gov/Resources

Offer taste-testing of new farm products Introduce new foods in the classroom (FFVP)

Sample portions on the classroom line

Have a harvest festival and showcase one local product each month

At the beginning of the school year, involve teachers in the planning process for increasing fruit and vegetable consumption

To encourage healthy eating and help students learn about agriculture and farms

FSA KidsFun activities on farming and agriculture http://www.fsa.usda.gov/FSA/kidsapp

MyPyramid for KidsLesson plans and interactive games with nutrition messageshttp://teamnutrition.usda.gov/kids-pyramid.html

Agriculture in the Classroom Ag facts, State farming facts, Farm & Fun Food http://www.agclassroom.org/kids/index.htm

Utilize a school garden and incorporate into lessons English

Mathematics

Science

Art

New website: www.fns.usda.gov/cnd/F2S

Resources

USDA Grants

Policy

Team Updates

Site visits

Webinars

FarmtoSchool@fns.usda.gov