Notice2024-01009
Summer Food Service Program; 2024 Reimbursement Rates
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Published
January 19, 2024
Issuing agencies
Agriculture DepartmentFood and Nutrition Service
Abstract
This notice informs the public of the annual adjustments to the reimbursement rates for meals served in the Summer Food Service Program. These adjustments address changes in the Consumer Price Index, as required under the Richard B. Russell National School Lunch Act. The 2024 reimbursement rates are presented as a combined set of rates to highlight simplified cost accounting procedures. The 2024 rates are also presented individually, as separate operating and administrative rates of reimbursement, to show the effect of the Consumer Price Index adjustment on each rate. On average, the 2024 rates adjustment represents a 5.3 percent increase in the rates from last year.
Full Text
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<title>Federal Register, Volume 89 Issue 13 (Friday, January 19, 2024)</title>
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[Federal Register Volume 89, Number 13 (Friday, January 19, 2024)]
[Notices]
[Pages 3631-3633]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-01009]
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Notices
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Federal Register / Vol. 89, No. 13 / Friday, January 19, 2024 /
Notices
[[Page 3631]]
DEPARTMENT OF AGRICULTURE
Food and Nutrition Service
Summer Food Service Program; 2024 Reimbursement Rates
AGENCY: Food and Nutrition Service, USDA.
ACTION: Notice.
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SUMMARY: This notice informs the public of the annual adjustments to
the reimbursement rates for meals served in the Summer Food Service
Program. These adjustments address changes in the Consumer Price Index,
as required under the Richard B. Russell National School Lunch Act. The
2024 reimbursement rates are presented as a combined set of rates to
highlight simplified cost accounting procedures. The 2024 rates are
also presented individually, as separate operating and administrative
rates of reimbursement, to show the effect of the Consumer Price Index
adjustment on each rate. On average, the 2024 rates adjustment
represents a 5.3 percent increase in the rates from last year.
DATES: This adjustment is applicable January 1, 2024.
FOR FURTHER INFORMATION CONTACT: Penny Burke, Program Monitoring and
Operational Support Division, Child Nutrition Programs, Food and
Nutrition Service, United States Department of Agriculture, 1320
Braddock Place, Suite 401, Alexandria, Virginia 22314, (303) 844-0357.
SUPPLEMENTARY INFORMATION: The Summer Food Service Program (SFSP) is
listed in the Catalog of Federal Domestic Assistance under No. 10.559
and is subject to the provisions of Executive Order 12372, which
requires intergovernmental consultation with State and local officials.
(See 2 CFR, 415 and final rule-related notice published at 48 FR 29114,
June 24, 1983.)
In accordance with the Paperwork Reduction Act of 1995, 44 U.S.C.
3501-3520, no new recordkeeping or reporting requirements have been
included that are subject to approval from the Office of Management and
Budget.
This notice is not a rule as defined by the Regulatory Flexibility
Act, 5 U.S.C. 601-612, and thus is exempt from the provisions of that
Act. Additionally, this notice has been determined to be exempt from
formal review by the Office of Management and Budget under Executive
Order 12866.
Special Note: While the United States Department of Agriculture
(USDA) Food and Nutrition Service (FNS) does not have the authority to
adjust reimbursement rates above inflation in the contiguous United
States (CONUS), pursuant to section 12 of the Richard B. Russell
National School Lunch Act (42 U.S.C. 1760), USDA may make adjustments
to reimbursement rates in the outlying areas to reflect differences
between the cost of providing meals and supplements in those areas and
the costs of providing meals and supplements in all other States.
Therefore, FNS is increasing the reimbursement rates for the child
nutrition programs in Guam, Hawaii, Puerto Rico, and the Virgin Islands
to 30 percent above CONUS rates. This adjustment to the Summer Food
Service Program rates will be applied beginning on January 1, 2024,
until further notice.
Definitions
The terms used in this notice have the meaning ascribed to them
under 7 CFR part 225 of the SFSP regulations.
Background
This notice informs the public of the annual adjustments to the
reimbursement rates for meals served in SFSP. In accordance with
sections 12(f) and 13, 42 U.S.C. 1760(f) and 1761 of the Richard B.
Russell National School Lunch Act (NSLA) and SFSP regulations under 7
CFR part 225, the USDA announces the adjustments in SFSP payments for
meals served to participating children during calendar year 2024.
The 2024 reimbursement rates are presented as a combined set of
rates to highlight simplified cost accounting procedures. Reimbursement
is based solely on a ``meals times rates'' calculation, without
comparison to actual or budgeted costs.
Sponsors receive reimbursement that is determined by the number of
reimbursable meals served, multiplied by the combined rates for food
service operations and administration. However, the combined rate is
based on separate operating and administrative rates of reimbursement,
each of which is adjusted differently for inflation.
Calculation of Rates
The combined rates are constructed from individually authorized
operating and administrative reimbursements. Simplified procedures
provide flexibility, enabling sponsors to manage their reimbursements
to pay for any allowable cost, regardless of the cost category.
Sponsors remain responsible, however, for ensuring proper
administration of the Program, while providing the best possible
nutrition benefit to children.
The operating and administrative rates are calculated separately.
However, the calculations of adjustments for both cost categories are
based on the same set of changes in the Food Away from Home series of
the Consumer Price Index for All Urban Consumers, published by the
Bureau of Labor Statistics of the United States Department of Labor.
They represent a 5.3 percent increase in this series for the 12-month
period, from November 2022 through November 2023 (from 342.266 in
November 2022 to 360.383 in November 2023).
Table of 2024 Reimbursement Rates
Presentation of the 2024 maximum per meal rates for meals served to
children in SFSP combines the results from the calculations of
operational and administrative payments, which are further explained in
this notice. The total amount of payments to State agencies for
disbursement to SFSP sponsors will be based upon these adjusted
combined rates and the number of meals of each type served. These
adjusted rates will be in effect from January 1, 2024, through December
31, 2024.
These changes are reflected below.
All States except Alaska and Hawaii--Rural or Self-prep Sites--
Breakfast--2 dollars and 97.75 cents (15.25 cent increase from the 2023
reimbursement rate), Lunch or Supper--5 dollars and 21.25 cents (26.25
cent increase), Snack--1 dollar and 23.50 cents (6.75 cent increase);
All Other
[[Page 3632]]
Types of Sites--Breakfast--2 dollars and 92.25 cents (15 cent
increase), Lunch or Supper--5 dollars and 13 cents (26 cent increase),
Snack--1 dollar and 20.50 cents (6.50 cent increase).
Alaska--Rural or Self-prep Sites--Breakfast--4 dollars and 82.50
cents (24.25 cent increase), Lunch or Supper--8 dollars and 45 cents
(42 cent increase), Snack--1 dollar and 99.75 cents (10 cent increase);
All Other Types of Sites--Breakfast--4 dollars and 73.50 cents (23.75
cent increase), Lunch or Supper--8 dollars and 31.25 cents (41.25 cent
increase), Snack--1 dollar and 95.25 cents (10 cent increase).
Guam, Hawaii, Puerto Rico, and Virgin Islands \1\--Rural or Self-
prep Sites--Breakfast--3 dollars and 87 cents (56.25 cent increase),
Lunch or Supper--6 dollars and 78.25 cents (98.50 cent increase),
Snack--1 dollar and 60.50 cents (23.50 cent increase); All Other Types
of Sites--Breakfast--3 dollars and 79.50 cents (55 cent increase),
Lunch or Supper--6 dollars and 67.25 cent (96.75 cent increase),
Snack--1 dollar and 56.75 cents (23 cent increase).
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\1\ Starting January 1, 2024, Guam, Puerto Rico, and Virgin
Islands receive the same reimbursement rates as Hawaii for Summer
Food Service Program.
2024 Reimbursement Rates (Combined)
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Per meal rates in whole or fractions of U.S. dollars All states All states Alaska Alaska Guam, Hawaii, Guam, Hawaii,
--------------------------------------------------------- except Alaska except Alaska -------------------------------- Puerto Rico, Puerto Rico,
and Hawaii and Hawaii and Virgin and Virgin
-------------------------------- Islands Islands
Site types Rural or self- All other -------------------------------
Rural or self- All other prep sites types of sites Rural or self- All other
prep sites types of sites prep sites types of sites
--------------------------------------------------------------------------------------------------------------------------------------------------------
Breakfast............................................... 2.9775 2.9225 4.8250 4.7350 3.8700 3.7950
Lunch or Supper......................................... 5.2125 5.1300 8.4500 8.3125 6.7825 6.6725
Snack................................................... 1.2350 1.2050 1.9975 1.9525 1.6050 1.5675
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Operating Rates
The portion of the SFSP rates for operating costs is based on
payment amounts set in section 13(b)(1) of the NSLA, 42 U.S.C.
1761(b)(1). They are rounded down to the nearest whole cent, as
required by section 11(a)(3)(B)(iii) of the NSLA, 42 U.S.C.
1759a(a)(3)(B)(iii).
These changes are reflected below.
All States except Alaska and Hawaii--Breakfast--2 dollars and 71
cents (14 cents increase from the 2023 reimbursement rate), Lunch or
Supper--4 dollars and 72 cents (24 cents increase), Snack--1 dollar and
10 cents (6 cents increase).
Alaska--Breakfast--4 dollars and 39 cents (22 cents increase),
Lunch or Supper--7 dollars and 65 cents (38 cents increase), Snack--1
dollar and 78 cents (9 cents increase).
Guam, Hawaii, Puerto Rico, and Virgin Islands--Breakfast--3 dollars
and 52 cents (51 cents increase), Lunch or Supper--6 dollars and 14
cents (89 cents increase), Snack--1 dollar and 43 cents (21 cents
increase).
Operating Component of 2024 Reimbursement Rates
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Guam, Hawaii,
Operating rates in U.S. dollars, rounded down to the nearest All states Puerto Rico,
whole cent except Alaska Alaska and Virgin
and Hawaii Islands
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Breakfast.................................................... 2.71 4.39 3.52
Lunch or Supper.............................................. 4.72 7.65 6.14
Snack........................................................ 1.10 1.78 1.43
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Administrative Rates
The administrative cost component of the reimbursement is
authorized under section 13(b)(3) of the NSLA, 42 U.S.C. 1761(b)(3).
Rates are higher for sponsors of sites located in rural areas and for
``self-prep'' sponsors that prepare their own meals at the SFSP site or
at a central facility instead of purchasing them from vendors. The
administrative portion of SFSP rates are adjusted, either up or down,
to the nearest quarter-cent.
These changes are reflected below.
All States except Alaska and Hawaii--Rural or Self-prep Sites--
Breakfast--26.75 cents (1.25 cent increase from the 2023 reimbursement
rate), Lunch or Supper--49.25 cents (2.25 cent increase), Snack--13.50
cents (0.75 cent increase); All Other Types of Sites--Breakfast--21.25
cents (1 cent increase), Lunch or Supper--41 cents (2 cent increase),
Snack 10.50 cents (0.50 cent increase).
Alaska--Rural or Self-prep Sites--Breakfast--43.50 cents (2.25 cent
increase), Lunch or Supper--80 cents (4 cent increase), Snack--21.75
cents (1 cent increase); All Other Types of Sites--Breakfast--34.50
cents (1.75 cent increase), Lunch or Supper--66.25 cents (3.25 cent
increase), Snack--17.25 cents (1 cent increase).
Guam, Hawaii, Puerto Rico, and Virgin Islands--Rural or Self-prep
Sites--Breakfast--35 cents (5.25 cent increase), Lunch or Supper--64.25
cents (9.50 cents increase), Snack--17.50 cents (2.50 cent increase);
All Other Types of Sites--Breakfast--27.50 cents (4 cent increase),
Lunch or Supper--53.25 cents (7.75 cent increase), Snack--13.75 cents
(2 cent increase).
[[Page 3633]]
Administrative Component of 2024 Reimbursement Rates
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Administrative rates in U.S. dollars, adjusted, up or All states All states Alaska Alaska Guam, Hawaii, Guam, Hawaii,
down, to the nearest quarter-cent except Alaska except Alaska -------------------------------- Puerto Rico, Puerto Rico,
--------------------------------------------------------- and Hawaii and Hawaii and Virgin and Virgin
-------------------------------- Islands Islands
Rural or self- All other -------------------------------
Site types Rural or self- All other prep sites types of sites Rural or self- All other
prep sites types of sites prep sites types of sites
--------------------------------------------------------------------------------------------------------------------------------------------------------
Breakfast............................................... 0.2675 0.2125 0.4350 0.3450 0.3500 0.2750
Lunch or Supper......................................... 0.4925 0.4100 0.8000 0.6625 0.6425 0.5325
Snack................................................... 0.1350 0.1050 0.2175 0.1725 0.1750 0.1375
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Authority: Sections 9, 13, and 14, Richard B. Russell National
School Lunch Act, 42 U.S.C. 1758, 1761, and 1762a, respectively.
Cynthia Long,
Administrator, Food and Nutrition Service.
[FR Doc. 2024-01009 Filed 1-18-24; 8:45 am]
BILLING CODE 3410-30-P
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</html>Indexed from Federal Register on January 19, 2024.
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