Overview
For School Food Authorities (SFAs) receiving USDA foods through the National School Lunch Program (NSLP), below is accounting and financial aspects related to ordering and receiving of USDA foods. On average, USDA Foods make up 15 to 20 percent of the products served, translating to significant savings on school meals budgets. For budgeting, SFAs may find “the 20% rule” useful - on average, entitlement should absorb 20% of the SFA’s food budget. SFAs do not pay for the value of the donated USDA Foods ordered. It is important that SFAs understand the value and fees associated with USDA Foods and compare costs to commercial options to receive the best value from USDA Foods.
Product Lists and Entitlement Values
SFAs are given an annual entitlement value balance (in dollars) to spend on USDA Foods. The amount of donated USDA Foods that SFAs can order each year is based on the number of reimbursable lunches served in the previous school year.
USDA releases initial product values in advance of the annual order. In March or April of the school year, after USDA has completed most purchases of USDA Foods, DPI calculates the actual average product values based on purchases for end of year bookkeeping and program evaluation.
School Year 2025-26 (PY 2026)
Product Lists, Entitlement Values, and Handling Fees - USDA Foods product values used during the Annual Order Survey are from December 2024. In February 2026, DPI will post the updated weighted average entitlement values for the CARS report from actual USDA Foods prices.
School Year 2024-25 (PY 2025)
Product Lists, Entitlement Values, and Handling Fees- USDA Foods product values used during the Annual Order Survey are from December 2023. Updated February 2025 entitlement values for the CARS report are weighted average values from actual USDA Foods prices.
DPI's Fees
Depending on the product and the type of delivery, USDA Foods fees may include administrative, processing, storage, and delivery fees. SFA’s fees are automatically deducted from the NSLP Claim as “Commodity Charges Recovered” in the Wisconsin Child Nutrition Online Services system.
School Year 2025-26 (PY 2026)
School Year 2024-25 (PY 2025)
Resources
- Product Description Crosswalk – DPI updated the WI USDA Foods Direct Delivery Product Descriptions in the WI USDA Foods Ordering System, June 2025. Product List includes the old and new descriptions for the Ordering System.
- WI USDA Foods Value Received and Fees Tracker - An optional tracker all SFAs can use to monitor USDA Foods Entitlement utilization, monthly product values received, and monthly handling fees. The purpose of this tool is to track the budgeted USDA Foods value and handling fees for the school year, against the actual received. Actuals received are for year-end Annual Financial Reporting.
- Sample: Online View of Handling Charges Recovered from Monthly Reimbursement
- Crediting USDA Foods Value and Handling Fees for FSMC Contracts, Vended Meal Agreements and Joint Agreements
- Determining USDA Foods Per Meal Credit with Joint Agreements (DPI Guidance Memo)
- This DPI memo provides guidance on the process of determining and establishing the USDA Foods per meal credit for schools entering into a Joint Agreement to provide meals to another school.