1. 2015 NAFDPIR Conference USDA Food and Nutrition Service
General Session
June 15, 2015

2. FDPIR OVERVIEW & Priorities
Laura Castro
Director, Food Distribution Division

3. Priorities for
Ensure sufficient resources to meet increased participation and full food package benefit levels
Collaborate closely with Food Package Review Work Group
Procure Traditional Foods
Complete Participant Characteristics and RVP Studies
Support Nutrition Education and Communications Initiatives

4. Participation in FDPIR
Currently serving an average of 87,000 individuals per month nationally.
As of March 2015, FDPIR is serving an average of 87,000 individuals a month. To date, this is a 15 percent increase from FY 2013 when FDPIR served approximately 75,600 individuals on an average monthly basis.
FY 2015 Individuals Participating in FDPIR:
Oct 2014 – 89,331  
Nov 2014 – 86,091  
Dec 2014 – 87,391
Jan 2015 – 90,983  
Feb 2015 – 81,482
Mar 2015 – 86,629
YTD FY 2015 – 86,985
Preliminary Data:
April 2015 – 87,677 individuals
FD and SNAP policy changes to both programs likely contributed to the increase in FDPIR participation starting in FY Those changes were:
The FDPIR: Income Deductions & Resource Eligibility Final Rule was published final on August 27, 2013 with an effective date of September 26, This rule established more parity between FDPIR and SNAP by revising income deductions and removing the resource test.
On November 1, 2013, the American Recovery and Reinvestment Act of 2009 (ARRA) temporary increase in SNAP benefits expired. This resulted in SNAP benefit amounts being reduced. For example, the maximum SNAP benefit for a one-person household was reduced from $200 to $189.
ABAWD [Dana will cover ABAWD in detail during the policy update.]
SNAP legislation limits the receipt of SNAP benefits to 3 months in a 3-year period for able-bodied adults without dependents (ABAWDs) under certain conditions, but States may request a waiver of this provision for people in certain areas. However, the number of States to qualify for this waiver is projected to reduce significantly in FY 2016 (42 offered waivers in 2013, 4 are projected to offer waivers in 2016).

5. National and Local Inventories
FY 2014
Participation increases put strain in food availability/variety
Commitment to meet full food package
FY 2015
Returned to more stable levels of inventory
Continued commitment to meet full food package
National warehouses able to meet participant preferences
The higher than expected increase in FDPIR participation starting last fiscal year (FY) drove a higher demand for FDPIR foods, resulting in lower inventory levels. As USDA Foods are generally procured 3 months in advance of delivery for use in FDPIR and other FNS nutrition assistance programs, the significant participation increases resulted in a temporary shortfall on some available food selections. While the full variety of foods available in FDPIR were somewhat lower than normal, FNS committed to ensuring that all programs could offer a full food package. In some instances, less popular items needed to be offered until purchasing inventories could be adjusted to meet the higher levels of participation.
The FY 2014 President’s Budget included $104 million for FDPIR of which $ was allocated for food purchases and $ for administration. Due to a high increase in program participation during FY 2014, an additional $15.5 million was reprogrammed from the SNAP account to FDPIR to cover food purchases. The revised funding level for FDPIR totaled $ million for FY 2014.
Inventory levels have returned to normal with both National warehouses able to accommodate food orders to participant preference. Food Distribution Division has been holding monthly conference calls for all FDPIR Program Directors to provide an overview of and outlook on Federal FDPIR food inventories.

6. FNS Research Updates USDA Foods Healthy Eating Index (HEI) Update
2009 HEI Score = 85.3/100
FDPIR Regional Vendor Pilot Assessment
FDPIR Food Package Retail Value
Feasibility of Tribal Administration of Federal Nutrition Assistance Programs
FDPIR National Study Dana will be speaking in detail about the FDPIR National Study, including status and next steps, in his policy updates.
Healthy Eating Index (HEI) Update
Rates diet based on overall nutrition
Rated the FDPIR food option package at 85.3 out of 100 in 2009
A HEI score above an 80 is considered a healthy diet)
FNS researchers are conducting a study to determine a new HEI score for FDPIR
Results are expected later this year
FDPIR Regional Vendor Pilot Assessment
The report will describe the experiences the four ITOs had with the pilot, the regional vendor’s experience, and will provide program cost comparisons between the national warehouse and regional model
The report will be available to FNS as early as fall 2015
FDPIR Food Package Retail Value
$235/month for a 3-person household, as measured in 2009
FNS is updating the value
We should have more information later this year
Feasibility of Tribal Administration of Federal Nutrition Assistance Programs
Required by the Agricultural Act of 2014
Designed to determine the level of interest in and feasibility of Tribal Nations) administering FNS programs. 
Primarily focused on four FNS programs that Tribes currently do not administer as State Agencies – SNAP, NSLP,  SBP, and SFSP. 
The survey has been sent to all 566 Federally-recognized Tribal Nations
Includes questions on administering other FNS programs, such as TEFAP. 
We expect the report to be publicly available this fall. 

7. FDPIR Participant Characteristics Study – Update
23 Tribes participating in the study
Data collection scheduled to be complete as early as August 2015
21 programs (a total of 775 interviews) completed
2 programs remaining
Draft report for review – FY 2016
As a reminder, this is a national characteristic study of FDPIR going on now. Twenty-three ITOs are participating – thank you to all the ITOs and their staff involved in this important study.
The data collection piece of this study will be completed as early as August We expect draft reports in FY 2016, as early as the fall, which will be shared with participating IRBs and NAFDPIR. FNS will the coordinate review and comment process.
The final report will contain:
Profile of FDPIR Participants
Household demographic characteristics
Income and employment
Housing (food storage and preparation facilities; housing costs )
Health insurance and health status
Food insecurity
Food Access and FDPIR’s Contribution to Participants’ Food Supply
Includes access to FDPIR and food store access and cost
FDPIR and SNAP Participation
FDPIR participation trends
Switches between FDPIR and SNAP and reasons
 FDPIR Operations, Food Selection, and Distribution
Includes Improvements, challenges, program staff suggestions and promising practices
Nutrition and Health Education
Funding and staffing
Activities offered
Staff and participant recommendations for nutrition education
 Participant Satisfaction and Recommendations
Includes food package choices and program operations

8. Organization of the Food Distribution Division
Laura Castro
Director
Food Distribution Division
Dana Rasmussen
Chief
Policy Branch
Janice Fitzgerald
Household
Operations
Branch
Peggy Cantfil
Child Nutrition Operations Branch
Julie Skolmowski
Nutrition Services
and Access
Dennis Sullivan
Technology Branch
Kathy Staley
Program Integrity and Monitoring Branch
At USDA FNS headquarters, FDD is organized into six branches. We recently added a new branch, the Program Integrity and Monitoring Branch.

9. NUTRITION UPDATES

10. FDPIR Nutrition Education (FDPNE) Grants
Competitive nutrition education grants
Available annually since 2008
$998,000 to be awarded in FY15
Projects will benefit FDPIR participants in 17 states
Today (or yesterday), Secretary Kevin Concannon announced about $1 million in grants to support nutrition education programs for participants.
In total, 15 nutrition education projects from applicants in 8 states were selected through a competitive award process that was open to Indian tribal organizations and state agencies that administer FDPIR.
Two of the projects represent committees that will offer services to participants of all FDPIR programs in their regions. NOTE: These 2 projects do not represent WRO, however, one project in WRO is a little broader, so we may want to revisit this statement. WRO is working towards this same concept (Judy Fisch is involved in this project).
Overall, participants in 17 states will benefit from the activities funded.
Six of the awardees are located in areas designated to participate in the Secretary’s StrikeForce for Rural Growth and Opportunity Initiative.
One awardee is located in a community to benefit from President Obama’s Promise Zones Initiative.
FDNPE grants have been awarded since 2008.
NOTES: We (Julie and Akua) will provide Laura with specifics for those who we may expect to want to discuss their grants.

11. USDA Foods Labeling Changes for Canned Fruits and Vegetables
To continue to improve the perception of USDA Foods products in household programs, we introduced a requirement in 2015 that all household sized fruits and vegetables have labels that contain at least two colors in addition to black and white and that they display a graphic or image of the contents. Companies can use their commercial labels if they meet these Standards or use the “America’s Finest” label design available through USDA.
NOTE: Companies have been permitted to use up their existing stock of labels. All new purchase require the labels with at least two colors in addition to black and white, with a graphic or image of the contents.
For FSA products, vendors are required to use commercial labels.

12. DoD Fresh Updates Lemons – Available June 1 Coming in Fall 2015!
Clementines
Cranberries
Receipting requirement goes into effect by end of June 2015
We have been able to make new products available through DoD Fresh this year.
As of June 1, fresh lemons. According to the guide rate, 4 medium lemons equal a pound.
We expect clementines and fresh cranberries to be available this fall, when they will be in season domestically. We will provide more information on ordering and guide rates at a later date.
NOTE: Lemons are supposed to come in a 140 count case, which is what the current guide rate of 4 lemons to a pound is based on. We received a question about very small lemons (4 = ½ lb) from a tribe in the SW region. We are working with DLA to determine how to address situations where the lemons are not the correct size; and will build in flexibility to the guide rate for lemons as warranted.

13. DoD Fresh Shell Egg Pilot Seneca Nation
Began in October 2014
Participants receive one dozen eggs per month, instead of egg mix
Survey conducted in spring 2015
The Seneca Nation pilot began in October 2014 and has been ongoing since that time.
Participants receive one dozen eggs per month, as an alternative to the egg mix.
We worked with Seneca Nation to survey participants this spring.
The shell egg pilot has been well received by the FDPIR staff, participants, and the community.
We will include some highlights from the survey results in the Food Package Work Group session.
NOTE: At this time, FNS does not have plans to offer shell eggs to other programs, due to uncertainties in the market. We intend to revisit our next steps once egg supply stabilizes.
You’ll hear more about additional new food package items in Janice’s operations updates later this afternoon.

14. USDA Foods Communication
New USDA Foods E-Letter
Sign up via GovDelivery on the FNS website:
Recently launched USDA Foods E-Letter called USDA Foods from Farm to Plate
E-letter will go out monthly, but includes different focus areas “Spotlight on Schools”, “FDPIR Connection”, and “Household Highlights”. The e-letter features news, resources, and best practices for each target audience and stories of interest to anyone working with these programs
Anyone who is interested should sign up via GovDelivery. Click on the red envelope in the toolbar at the top of any page on the FNS FDD website.
A screenshot of the May FDPIR Connection e-letter is on the slide. This went to over 14,000 subscribers and is available on the FNS FDD website.

15. USDA Foods Communication
New Pop Up Banners
USDA staff worked with NAFDPIR’s Marketing Committee to develop a double-sided pop-up banner for local programs to use.
The banners reinforce the healthy options available in the food package and highlight nutrition education.
Two banners are on display here at the conference. (NOTE: They might be near registration, at the entrance to the general session room, or at the front of the room).
Banners will be sent directly to every FDPIR program. Look for these in a few weeks. (NOTE: The banners are supposed to arrive by the end of June. Every program will get one. We had enough funds to provide multiple banners to some of the larger tribes).

16. Policy Updates Dana Rasmussen Chief, Policy Branch
Food Distribution Division
Thanks Laura, and thanks for having us here today.

17. Upcoming Consultation Sessions
FNS Quarterly Consultation Schedule
August 19, 2015 from 3 p.m. – 4:30 p.m. Eastern
November 18, 2015 from 3 p.m. – 4:30 p.m. Eastern
People wishing to attend can register at: consultations/
For further information:
Visit:

18. Funding for FDPIR FY 2015 Appropriation
Provides $ million in total appropriated funds
$998,000 separately appropriated for FDPIR Nutrition Education (FDPNE) Competitive Grants
FY 2016 President’s Budget Request
$ million requested
Farm Bill:
The Agricultural Act of 2014 (Public Law , the 2014 Farm Bill) was signed into law on February 7, The Farm Bill reauthorizes FDPIR through [Also reauthorizes Department of Defense (DoD) Fresh Program].
The 2014 Farm Bill also reauthorizes the 2008 Farm Bill provision which provided for the establishment of a fund, subject to the availability of appropriations, for use in purchasing traditional and locally-grown foods for FDPIR. The FY 2015 full-year appropriation includes $5 million to meet this provision.
The 2014 Farm Bill separately authorizes $2 million annually, subject to appropriated funding, to conduct a demonstration project in which USDA provides a grant to one or more Indian Tribal Organizations (ITOs) administering FDPIR for the purchase of traditional foods, and when practicable, foods produced locally by Indian producers, for distribution to FDPIR participants. Funding has not been made available for this demonstration project.
The 2014 Farm Bill also requires USDA to conduct a study to determine the feasibility of Tribal administration of Federal food assistance programs. (Laura spoke about this in her updates).

19. Requirements for the Distribution and Control of Donated Foods Rule
7 CFR Part 250
Proposed Rule published October 22, 2014
Would revise 7 CFR Part 250, our overarching regulation which applies to USDA Foods in CSFP, FDPIR, TEFAP, and Child Nutrition Programs
90 day comment period ended January 20, 2015
Incorporating comments and hoping to publish final soon
On the regulatory front, on October 22, 2014, we published the proposed rule entitled “Requirements for the Distribution and Control of Donated Foods,” which would revise 7 CFR Part 250, our overarching regulation which applies to USDA Foods in CSFP, FDPIR, TEFAP, and Child Nutrition Programs.
This rule would
revise and clarify requirements to ensure that USDA Foods are distributed, stored, and managed in the safest, most efficient, and cost-effective manner at State and recipient agency levels,
reduce administrative and reporting requirements for States,
revise or clarify regulations relating to accountability for donated foods, and
rewrite much of 7 CFR Part 250 in a more user-friendly, “plain language” format. 
There was a 90-day public comment period on that rule, which ended on January 20, We’re incorporating comments we received to the extent feasible and hope to publish final soon (19 public comments received – some associations had many comments). We will provide more details on the rule once it is available. [No comments received from NAFDPIR; will acknowledge comments in general]

20. FNS Instruction 709-5, Rev. 2, Shipment and Receipt of USDA Foods
Released June 4, 2015
5_Rev_2.pdf
Replaces the prior version, Rev. 1, dated April 1,   
Streamlines the prior version and incorporates recent food distribution updates, such as the advent of WBSCM and National Multi-Food Warehouses.
On June 4, Food Distribution Division released a revised FNS Instruction 709-5, Rev. 2, Shipment and Receipt of USDA Foods.  The Instruction replaces the outdated first version, significantly revising it to include reference to the Web-Based Supply Chain Management (WBSCM) system and associated requirements, the USDA National Multi-Food Warehouses which serve smaller programs CSFP and FDPIR, removing outdated reporting requirements and references, and updating it to include current requirements from our procurement partners and contracting offices at the Agricultural Marketing Service (AMS) and the Farm Service Agency (FSA). 
As a background, the purpose of this Instruction is to establish the general standards and procedures that the State distributing agency (State), Indian Tribal Organization (ITO) or other consignee must follow in receiving shipments of foods in USDA food assistance programs, including FDPIR; and in other outlets; and to convey established responsibilities for other entities such as USDA Foods vendors and carriers.  The standards and procedures established in the new Instruction are necessary in determining if shipments of USDA Foods are received in optimal condition and in the quantities ordered, and ensuring the proper disposition and replacement of USDA Foods when circumstances warrant.  The new Instruction incorporated comments from our State and ITO partners, and is the result of a collaborative, cross-agency effort. [No comments received from NAFDPIR; will acknowledge Cherokee’s comments]

21. Policy Highlights FDPIR SNAP Inventory Policy: 1.5 – 3 months
Upcoming FNS Handbook 501 updates
SNAP
Able-Bodied Adults Without Dependents (ABAWDs)
FNS 709-5, Rev 2 - New Handbook Revision: It is the responsibility of the vendor or carrier to re-seal/rebrace the truck for subsequent deliveries, such as in split shipments, or shipments originating from a National Multi-Food Warehouse. Previously, it was the ITO’s/State agency’s responsibility.
FNS Instruction 410-1, Rev 2- Handbook currently reference 410-1, Rev 1
Main update is to Section 9120: ITO/State Agency Collection of Claims for USDA Food Losses. The Handbook lists lower limits for Non-fraudulent losses (up to $250).
Revision: Non-fraudulent USDA Food Loss of $100 or above:
1. Losses up to $500: ITO/SA must make final claim determination.
 2. Losses above $500: ITO/SA must make tentative claim determination and submit written report of the loss to the FNSRO.
Reminder on Inventories - The ITO/State agency must maintain a supply of available food sufficient for up to 3 month's distribution for each food group. Local agencies must maintain a minimum of 1.5 month's. FNS will continue to monitoring tool to ensure that ITOs and SAs are maintaining appropriate levels of inventory.
Able-Bodied Adults without Dependents (ABAWD) [Info rec’d from SNAP]
SNAP legislation limits the receipt of SNAP benefits to 3 months in a 3-year period for able-bodied adults without dependents (ABAWDs) under certain conditions
States may request a waiver of this provision for people in certain areas
The number of States to qualify for this waiver is projected to reduce significantly in FY 2016.
42 State agencies operated Statewide waivers in FY 2013 – 34 State agencies in FY 2014 – 31 State in FY 2015 – 4 States are projected to qualify for Statewide waivers in FY 2016 (this projection has and will continue to change based on new unemployment data)
FNS will be closely monitoring the status and States with ABAWD waivers to see how this SNAP provision impacts participation in FDPIR.

22. FDPIR Website – Policy and Regulatory Resources Online
od-distribution-program-indian- reservations-fdpir
Online certification training program
FNS Handbook 501
FDPIR Regulations
FDPIR Policy
Guide Rates
Online Certification Training: Over 100 FDPIR staff have taken the updated training since it was released last year. About half of them have completed the training and received their certificates with many more nearing completion.
Can also find the most current handbook revisions, policy memos, regulations, and guide rates.

23. Operations Updates Janice Fitzgerald
Chief, Household Operations Branch
Food Distribution Division

24. USDA Foods Current Inventory & Outlook
Vast improvement
Foods consistently available
2015/2016 outlook
Macaroni
Turkey Breasts
Pork Chops
Bison

25. FOOD PURCHASING Yearly Quarterly Monthly
All Household Programs follow same purchasing schedule:
Food Distribution Program on Indian Reservations (FDPIR)
The Emergency Food Assistance Program (TEFAP)
Commodity Supplemental Food Program (CSFP)
Yearly – IDIQ’s – fruits & veggies – processed once/year – i.e. corn, diced tomatoes, green beans, peas, peaches, pears
Quarterly – apple products, juice, tomato & spaghetti sauce, canned meats & stew majority of Group B (crackers, rice, pasta products, oils, cereals)
Monthly – frozen chicken, ground beef, cheese

26. Ordering Timeline & Schedule
Annually – IDIQ due February/March of the prior year
Biannually – Due late summer and early winter
Quarterly:
January – March delivery orders due in WBSCM in October
April – June delivery orders due in WBSCM in January
July – September delivery orders due in WBSCM in April
October – December delivery orders due in WBSCM in July
Monthly – Due 2 months prior to delivery date

27. Food Purchases IDIQ (Annually) Biannual Quarterly Monthly Apricots
Fresh Apples
Remaining Vegetables
Cheese
Carrots
Fresh Pears
Apple & Dried Fruit Products
Chicken (Split Breast & Canned)
Cream Corn
Fresh Potatoes
Beans
Ground Beef
Diced Tomatoes
Salmon
Egg Mix
Turkey
Green Beans
FSA Products (Grains, Peanuts, Oils, and Dairy)
Mixed Fruit
Juices
Peaches
Livestock
Pears
Soups
Peas
Whole bagged chicken
Sliced Potatoes
Vegetable Mix
Whole Kernel Corn
IDIQ’s - product harvested & packed once a year
Quarterly as implies purchased 4 times/year generally/as a rule
Jan
April
July
Oct
Vegetables for example
Hominy
Spinach
Dehy’s
Spaghetti Sauce
Working on new purchasing schedules/contracts that may help with funding and product availability.

28. Replenishment Orders
Inventory orders are based on ordering trends from previous months
Generally use a 3 month average from the 3 previous months of multi-food orders
Adjustments made based on increased participation and product availability
Review orders for 3 month period and when necessary 6 months
Account for increased participation and shortages…
Determine replenishments at least 4 months in advance of delivery … June reviewing orders to start July purchases for October thru December deliveries

29. FDPIR Operations Call Monthly call to review inventories
Updates on product availability
Inventory status of National Warehouses
Next Steps
Continue?
Acceptable Format?
Topic Suggestions

30. TECHNOLOGY Updates Todd Griffith Program Analyst, Technology Branch
Food Distribution Division

31. Technology Branch
Responsible for oversight and management of computer applications
Manage contractor services for system support
Computer application project management and system governance
Coordinate with National Information Technology Center

32. Technology Branch USDA Foods Computer Applications
Automated Inventory System (AIS)
FDPIR program administration support
Fresh Fruit And Vegetable Order Receipt System (FFAVORS)
Order Management for DoD Fresh program
Web Based Supply Chain Management (WBSCM) System
National Warehouse multi-food order management
Direct delivery (FTL/Split Shipment) order management

33. Technology Branch Current projects
FFAVORS – product receipt requirement
Computer applications technology upgrade
Computer applications consolidation assessment

34. Questions? fdd-psd@fns.usda.gov

35. Thank You!