Overview
Requirements
-
For all SFAs participating in the SMP
Non-Congregate and Parent Pick up Waivers
USDA has granted the Non-Congregate and Parent Pick up waivers for the Special Milk Program (SMP) for flexibilities in serving milk due to virtual or distance learning and school closures related to COVID-19. You must complete this SMP waiver request if your program intends to offer milk in a non-congregate setting and distribute to parents or guardians.
Allowable Milk Types
Pasteurized fluid milk meeting state and local standards, having vitamins A and D at levels specified by the Food and Drug Administration (FDA). There is no requirement that a variety of milk be offered. The following milk types per age/grade group are allowable:- 1 year old: Unflavored whole milk
- 2-5 years old (not yet in kindergarten): Unflavored low-fat (1%) or fat-free (skim) milk
- 6 years old and older: Flavored or unflavored fat-free (skim) or unflavored low-fat (1%) milk
Milk sold to adults, as a la carte, or used in meal prep cannot be claimed for reimbursement.
Financial Management
Financial records must be kept to document SMP revenue and expenditures. Funds must be utilized to provide milk at no cost or at a low cost to children. Allowable costs include milk, coolers to store milk, milk cooler repair, napkins, straws, and direct food service labor.Pricing Milk
half-pint cost + $0.02-$0.05 (administrative costs) - reimbursement = half-pint price X 180 operating days = annual fee
Food Safety
- Temperature and Cleaning Log for Milk Coolers
- Required Standard Operating Procedures (see the Food Safety webpage)
- Use of Insulated Milk Barrels: Time as a Public Health Control Option
- Use of Milk Barrels: Monitoring of Temperature Option
- Use of Milk Bags: Monitoring of Temperature Option
Letter to Household
- SMP-Only Household Letter
- Note: The SMP-only Household Letter should be distributed by SFAs that participate in the NSLP and SBP that offer SMP to split session, half-day pre-kindergarten, or kindergarten students without access to the NSLP and/or SBP meals.
Point of Service Templates
Procurement
Read more about procurement requirements
Q: What procurement procedures do schools follow to secure milk contracts?
A: All SFAs must meet federal procurement (purchasing) requirements by documenting efforts to maximize open and free competition. Depending on the value of the purchase, the schools has several options.
Read about Micro Purchase Method (purchases costing less than $10,000)
This method is a non-competitive form of procurement where small-value procurements can be completed by the school quickly. The main requirement for this procurement method is the price must be reasonable and multiple purchases must be spread among similar vendors. This procurement method is ideal for small random/unexpected purchases, purchases that need to be made quickly due to outages, or for purchases for supplies that are purchased a few times a year.Read about Small Purchase Method (purchases costing less than $250,000)
This method is a competitive form of procurement often called three bids and a buy where schools can quickly and competitively purchase and award contracts with a value of less than $250,000. This is the most common procurement method used. Schools can simply call, email, fax, or be in-person at the time of requesting the bid, provide the vendor/supplier enough information and product specifications to submit a bid (verbal or written), and the school will award the contract/purchase to the lowest bidders meeting all the requirements of the bid. The bidder must also be a responsible bidder; able and capable of providing the product or service being procured. Additional information and resources can be found on the Informal Procurement Webpage.Read about Formal Procurement Method (purchases costing more than $250,000)
Additional information and resources for this procurement method can be found on the Formal Procurement Method webpage.Record Retention
Records must be kept for all purchases regardless of the procurement method used, including micro-purchases. Examples of solicitation documents for milk bids, along with other milk procurement resources, can be found on the Informal Procurement Webpage.Reimbursement Rates
-
See Financial Management webpage for the SY 2020-21 Reimbursement Rates
Special Dietary Needs
- See the Special Dietary Needs webpage for regulations and documentation requirements.
-
For SFAs participating in SMP only
Calendar of Requirements
Civil Rights
The Civil Rights Compliance Self-Evaluation Form (PI-1456) must be completed on an annual basis and kept on file at the SFA.- SMP-Only Civil Rights Self Compliance Form (PI-1456)
-
USDA requires Civil Rights training on an annual basis for all staff who interact with Child Nutrition Program participants including those participating in the SMP. The Civil Rights training is located on the Civil Rights webpage.
-
All materials and resources, including websites, that are used to inform the public about the USDA Child Nutrition Programs including participation in the SMP must contain the current USDA non-discrimination statement.
SMP-Only Contract
SMP-Only Claim Manual
Pricing Options
-
Pricing (with free milk option)
Checklist
Calculate Price
Reimbursement provided to schools should be maximized in order to reduce the cost of milk to students. It is recommended to charge the difference between the anticipated per half-pint milk cost and the reimbursement rate. Consider adding on 2 cents to cover any milk price adjustments and administrative costs associated with SMP.
$____ (half-pint cost) + 2¢ – $____ (reimbursement) =$____ (half-pint price) X 180 days =$____ (annual charge)Note: Documentation must be maintained to justify milk price adjustments and administrative costs greater than 2 cents
Count
Milk is provided without charge to children eligible for free milk and are claimed in the free claiming category. Children who are not eligible for free milk pay the established price and are claimed in the paid claiming category. There is no reduced claiming category.The point-of-service (POS) counting system must determine how many half-pint equivalents (8 fl oz) are served to students by benefit category without overt identification. SMP POS templates are posted under the "For SFAs participating in the SMP" requirements section.Manuals
- Eligibility Manual for School Meals (section 6 on verification does not apply to SMP -only)
Form PI-1405
Application Materials
Public Release
All SFAs are required to distribute the SMP Public Release before the start of the school year. SFAs should send this to the media, grassroots organizations, major employers contemplating or experiencing large layoffs, and local unemployment offices (as applicable). SFAs are not required to pay to have the Public Release published, but must maintain documentation of to whom the release was sent along with the specific materials distributed.
Application Materials
Materials must be distributed to all households and used to qualify students for free milk benefits on or around the beginning of the school year, but not before July, 1. SFAs may also choose to use Direct Certification to find students that qualify for free milk.- Household Application for Free Milk (Spanish) (Hmong)
- How to Apply for Free Milk (Spanish) (Hmong)
- Free Milk Letter to Parent/Frequently Asked Questions (FAQ) (Spanish) (Hmong)
- Notice to Households of Approval/Denial of Benefits (Spanish) (Hmong)
- Notice of Direct Certification (Spanish) (Hmong)
- Income Eligibility Guidelines (for processing applications purposes only, do not provide to households)
Sharing Information and Disclosure Agreement
If the SFA exercises the option to waive or subsidize other district/school fees (e.g., registration, athletic fees, technology fees, etc.) based on a student’s free milk benefit status, the SFA must utilize the Sharing Information with Other Programs (Spanish) (Hmong) form. This form must be sent to all free benefit recipients, as determined through an application and Direct Certification.SFAs are not allowed to have a blanket fee waiver. SFAs must allow households to limit consent to only those programs they wish to share information. Additional benefits outside of the milk benefit cannot be provided until a signed form is returned to the SFA allowing the information to be shared. For anyone receiving benefit information to approve students for non-milk benefits, a Disclosure Agreement form must be signed and on file at the SFA.
-
Pricing (without free milk option)
Checklist
Calculate Price
Reimbursement provided to schools should be maximized in order to reduce the cost of milk to students. It is recommended to charge the difference between the anticipated per half-pint milk cost and the reimbursement rate. Consider adding on 2 cents to cover any milk price adjustments and administrative costs associated with SMP.
$____ (half-pint cost) + 2¢ – $____ (reimbursement) =
$____ (half-pint price) X 180 days =
$____ (annual charge)
Note: Documentation must be maintained to justify milk price adjustments and administrative costs greater than 2 cents
Count
All children are charged the same price for milk. It is not provided without charge to children eligible for free milk. All milk is claimed in the paid category.
If a SFA charges for milk by half-pint equivalents (8 fl oz) on a daily basis, the point-of-service (POS) counting system must record individual student names for billing purposes. If a SFA collects milk fees on an annual, semester, or quarterly basis, the POS can record the total number of milks served rather than by individual student names. SMP POS templates are posted under the SMP-only Requirements section.Form PI-1405
-
Non-pricing
Checklist
Count
All children are provided milk without charge, or milk is included in tuition, boarding fees, or paid by private donation or endowment. All milk is claimed in the paid category.The SFA may record the total number of half-pint equivalents (8 fl oz) of milk served at the point of service (POS). There is no requirement to track milks served by individual student names. SMP POS templates are posted under the SMP-only Requirements section.Form PI-1405