1. Procurement and Food Service Contracts Pages 57-60

2. Procurement, p. 57 Open and free competition when utilizing Federal funds in the CACFP … that means goods and services must be obtained at the lowest possible costs

3. Methods of Procurement Formal bid –Followed if purchase of like items exceeds $150,000 per year. ($7500 for state agencies) Small purchase –Must be followed if not doing a formal bid –Complete a price survey – A30

4. Method of Procurement continued Purchase of Equipment - Costing $1000 or more Noncompetitive Negotiations Emergency Purchase Procedures Food Service Agreements/Contracts

5. Procurement Plan Must be completed and on file in your office Sample Form on pages hand-out and Appendix A Read –Complete all empty spaces –Mark methods of procurement you plan to use –The Official Representative must sign and date

6. Small Purchase Procedures Select two items Get prices from two places on same day Write down results Do price survey twice a year Usually buy from the place with the lowest price Page 57

7. 3/2/10 ABCXYZ MILK3.79/gal4.27/gal Ground Beef2.09/lb.2.39/lb. 5.886.66 Lowest ABC Grocery

8. File the surveys with your procurement plan! p. 59 Establish a permanent CNP procurement file.

9. Food Service Agreements Instructions outlined in Appendix C Forms in Appendix A 1. Food Service Agreement with Schools 2. Contracts under $150,000 3. Contracts over $150,000

10. 1. School Agreement Must use the State Department Form Must include menus Must be signed by all parties before it starts –Signed on August 31, 2014 –Contract must begin on September 1 or later! Suggest all contracts run the fiscal year –Oct.1, 2014 to Sept. 30, 2015

11. Contract with School Board Legal Contract Entered into with a School Board Contract without soliciting or advertising for bids Must use SDE approved form Not renewable – must be submitted annually

12. What to send the SDE  Agreement for a School to Furnish Food Service  Meal Delivery Schedule A  One month’s sample menus – Schedule B

13. Food Service Agreements Contracted Meals Must use formal bid or small purchase procedure Must follow procedures outline in Appendix C, Procurement Procedures Must use SDE approved contract – no alterations

14. Contracts > $150,000 Use SDE Form Use Small Purchase procedure : - identified 3 vendors identified - attain 3 quotes Award lowest price Train vendor on records and food requirements Need documentation of state or health certification

15. What to send the SDE If the contract value exceeds $50,000, submit a copy of : the unsigned Agreement Schedule A (meal delivery schedule) Schedule B (11day cycle menu)

16. What to send the SDE with the Original Agreement Food Service Agreement of Less than $150,000 Schedule A, Meal Delivery Schedule B, 11 day cycle menu Health Certification

17. Invitation to Bid Contracts over $150,000 Instructions in Appendix C –Advertise in newspaper –Formal bid invitations –Formal bid opening –Formal awarding of bids

18. What to send the SDE with the Original Agreement At least 14 days prior to bid opening: –Public Notice –Bid Solicitation/Response letter After the contract is awarded, submit the following prior to the first day of the contract: –Page 1, Acceptance completed and marked “original” –The remainder of the contract (all pages) –The Certification Statement –Proof of liability insurance –State or local health certification

19. Renewing an Agreement for both Less than or More than $150,000 Complete Food Service Renewal Form Submit Food Service Renewal Agreement Submit before the start date of the Agreement

20. Federal Regulations Limit the duration of contracts to one year Option of yearly renewals Not to exceed four Additional years

21. If you contract for food service, you must use the State approved forms and follow special procedures. Refer to Appendix C

22. Fast Food Vendors, page 59 Occasionally purchasing…. Meal must contain all required components, including milk. Need signed statement from vendor stating specific amounts of food provided per child. Need an itemized receipt. Documented by center meal on a Production Record.

23. Happy Meal Hamburger –Meat –Bun French Fries Coke + Lettuce & Tomato + Milk

24. Procurement File A Procurement File should contain: 1. Completed and signed Procurement Plan (pages A30). 2. Price Surveys (two per year and shop at store with lowest prices). 3. Contract for meal, all documents related to contract (see Appendix C)

25. Civil Rights Compliance, p. 86-87 Must run centers without discrimination Collect and report ethnic and racial data as part of annual renewal And Justice For All Poster Building for the Future poster Civil Rights Statement Complaint Procedure, p.87

26. Administrative Reviews USDA Requirement  Goal to review each sponsor once every three years  May be announced or not  New sponsors after 12 months on program

27. Reviewing ….What? Monitor current operations A sample month is selected for testing purposes - meal is observed and analyzed - required records are reviewed - facility is reviewed

28. Words you do not want to hear…. Serious Deficiencies Corrective Action National Disqualified List P. 88

29. Organize Your CACFP Records (page 76)

30. Permanent File Permanent Agreement Civil rights complaint procedure, p.21 Annual Program File Copies of all application documents submitted each year Procurement File - Procurement Plan - Price surveys - Food Service Contracts =

31. Income Eligibility Forms Organize in Notebook by Fiscal Year –IEF Applications alphabetical –Place ethnic/data sheet in notebook

32. Monthly Program Records Daily Record or Daily Attendance Sheets If completing the Daily Record, the Meal Count Record Monthly Summary Form Monthly General Journal or equivalent Financial Records supporting expenses Time Sheets and payroll records if claiming labor Site data sheet print-out Menus Production Records If contracted meals, meal delivery tickets Sign-in and -out Sheets p. 22

33. Multi–site Records Annual Training Documentation Sponsor Monitoring Form Any other required documentation related to the Monitoring Form

34. Put Your Program to Bed Each Month Remember: Prior to filing records…, Review for Completeness!!!!! Place in one file/envelope Mark month and year Seal and move forward!