USDA Foods Utilization & CSW Updates Presented by the New Jersey - PowerPoint PPT Presentation

USDA Foods Utilization & CSW Updates Presented by the New Jersey Department Of Agriculture

Utilization Goals for USDA Foods Manage • Use Tools in • Entitlement Make Decisions to SNEARS • Dollars for Benefit Your District Maximum Use Understand the • Track your • Select Processors, Process of • balances so Products & Receiving USDA Dollars are not Distributors Based Foods wasted on Your Needs

Will Review: In This Training We  How your entitlement dollars are determined  Determining what percent of your entitlement dollars to send to the warehouse and/or for processed products  The Structure of USDA  Department of Defense Pilot  Completion of the new Warehouse Spreadsheet  Determining how to spend your processing entitlement dollars

Will Review: In This Training We  CSW Reference Form  CSW Diversion Calculator Tool  Quick Review of CSW Completion  Pass Thru Methods and Distribution  Tracking of Commodity Usage  Draw down and State Bank

ENTITLEMENT Federal Richard B. Russell National School Lunch Act:  Established a guaranteed level of assistance for USDA Foods at 11 cents per meal.  Adjusted annually for inflation.  Mandates the use of a formula multiplying the previous year’s ADP by a per meal rate.  The per meal rate is announced each July in the Federal Register  The current per meal rate to be used on the CSW is $0.2325

ENTITLEMENT State  Each State Receives A Dollar Value of Products Based on All RAs Average Daily Participation (ADP) from the Previous School Year  Dollar Value is Referred to as State’s Entitlement  Each State Orders Product Based on its Entitlement Until the Dollar Balance is Depleted.

Recipient Agency ENTITLEMENT Entitlement = ADP x 180 School Days x $0.2325 Meal Rate  Ex: ADP: 1000 x 180 Days X $0.2325 Per Meal Rate = $49,050 Entitlement  2014-2015 CSW Form is based on your ADP from the 2012-2013 School Year Why?  This is the data that was used by the federal government to determine the State entitlement dollars  How much commodity entitlement does your district have? The amount is pre-populated at the top of the CSW form

CSW FORM CSW Form

Warehouse and Processing ENTITLEMENT Percent to Need to determine what percent to send to warehouse and what percent to send to processing Entitlement Warehouse % Processing %

Making Decisions Things to Consider when  Past History (Refer to Commodity Acceptance Report in SNEARS)  Canned & Fresh Fruit Distributed through Warehouse  Which Products Best Fit Your Menu Mix?  Did You Use All Your Processing $$$ Last Year?  Did You Run Out of Processing $$$ Last Year?  New Tool: CSW Diversion Calculator

CSW FORM CSW Form

WAREHOUSE WAREHOUSE

Warehouse NJDA Current Process Current Process:  Allocations Based on ADP  ADPs Are Adjusted Based on % Selected for Warehouse (Ex.: ADP is 1,000; Warehouse % Selected is 50%; 1,000 X 50 % = 500 Adjusted ADP

Current Process Warehouse NJDA Warehouse Delivery Frequency: ADP ≥ 50 Monthly Allocation • • ADP 20 - 49 Sept. & March Allocation • ADP 1 - 19 Sept. Allocation

Warehouse NJDA Current Process  NJDA order products from USDA for the Warehouse  RA Receives Monthly Allocation Form with items to choose from including fresh produce  RA completes Allocation Form on SNEARS (Must be Submitted by Approx. 20 th of Prior Month; DOD Due Sooner)  Picking Ticket is Generated on SNEARS  Receive Monthly Delivery Based on Pre-Scheduled Pick-Up Date

Warehouse NJDA Current Process Where Can I Find Nutritional Information About the Warehouse Products:  Go to “Resources” section in SNEARS  Select “USDA Foods” on left side  Select ” USDA Foods Fact Sheets”

CSW FORM CSW Form

NJDA Future Process Warehouse Future Process  NJDA is in the process of procuring a new web based Food Distribution System  RAs will order their own warehouse products  Option to have direct delivery of fresh produce on a weekly basis

NJDA Future Process Warehouse Goals for Next School Year  Training RAs to make effective purchasing decisions when we transition to the web based food distribution system  Educate RAs about the structure of USDA and factors to consider when ordering from USDA  Implementation of Department of Defense) Pilot

Structure of USDA USDA Agency Roles in Procuring & Distributing USDA Foods Agriculture Marketing Service: AMS Food and Nutrition Service: FNS Farm Service Agency: FSA Department of Defense DOD

FNS FNS ( Food and Nutrition Service )  NJDA’s Primary USDA Liaison  Calculates and Tracks State Entitlements  Takes Food Orders from States  Monitors the Flow of USDA Foods  Provides Policy Guidance on Program Issues

AMS & FSA AMS & FSA Farm Service Agricultural Marketing Agency Service  Purchasing and Delivery Arm for USDA Foods  Develop Product Specifications  Issues and Accepts Bids from Manufacturers  Purchases Products and Has Them Delivered to the State Designated Locations

AMS AMS Agricultural Marketing Service PURCHASES PERISHABLE PRODUCTS: • RED MEAT • EGG PRODUCTS • FISH • FRUITS • POULTRY • VEGETABLE

FSA FSA Farm Service Agency PURCHASES BASIC NONPERISHABLE PRODUCTS  CEREALS  GRAINS  PEANUT PRODUCTS  DAIRY PRODUCTS  OIL

DOD DOD Department of Defense  USDA Partners w/ Department of Defense ‘s (DOD) Fresh Fruit & Vegetable Program  Each State Selects Dollar Value for DOD  Partnership Provides Greater Variety of Fresh Produce for Schools

STATE AGENCY NJDA- State Agency’s Role (New Jersey Department of Agriculture)  Warehouse entitlement amount to spend is determined by the CSW Process  Considers past history of popular products  Orders truckloads of product for the warehouse using WBSCM (USDA Foods ordering system  Must order full truckloads  Order a variety of products because orders can be cancelled.

STATE AGENCY NJDA- State Agency’s Role (New Jersey Department of Agriculture)  Order more products earlier in the year so they are received.  Spread out orders so they do not incur warehouse storage fees if they cannot be allocated timely.  Set aside a specific amount of entitlement for fresh produce purchases through the Department of Defense.  Orders DOD produce weekly for RAs to receive monthly.  DOD items must be easily stored, transported & longevity.

DOD Pilot Department of Defense Pilot Program  Starts next school year  15 schools chosen - 50% or more diverted to warehouse -ADP greater than 1500  RAs to determine amount of entitlement for DOD  Will have account in FFAVORS to select and order produce  Will draw down from DOD Entitlement  Will order produce for delivery on a weekly basis

CSW Warehouse Worksheet Warehouse Allocation Worksheet  Training for Future Ordering Process  2014-2015 School Year-- Only Used for Training & Statistics  Mandatory to Complete!  NJDA Reviews to Ensure Full Truckloads  Will Not Get Exactly What You Requested  Major Factor in Product Decisions for 2014-2015

CSW Warehouse Worksheet Warehouse Allocation Worksheet  Spreadsheet Lists Products that will be Ordered Next Year  Translates Entitlement Dollars into Actual Products and Number of Cases  Spreadsheet must be Completed and Emailed to agnfood@ag.state.nj.us by CSW form due date

Warehouse Allocation Worksheet

LOCATION OF WAREHOUSE ALLOCATION WORKSHEET

Review of CSW Process Where are we in completion of the CSW?  Entitlement was pre-populated in the form  Chose a percent to divert to processing and warehouse  If 100% warehouse: -Complete Memorandum of Understanding -Complete & Email Warehouse Allocation Worksheet -Submit CSW Form to NJDA  If Diverting to Processing: -Continue to Processing Portion of the Form

CSW FORM CSW Form Note: Location of CSW Form Instructions

Processing Dollars What Does Processing Mean???? Conversion of Raw Commodity Finished End Product

Processing For Example: Chicken Large Chilled Bulk – Chicken Nuggets Mozzarella Cheese, Flour, Tomato Paste – Pizza Beef Bulk Coarse Ground – Burgers Flour – Pretzels & Cookies Potatoes, Bulk – French Fries

Processing Dollars How to Spend Processing Dollars????  Total Amount to Spend was Already Decided (Dollars Diverted to Processing)  Decide % to Divert for Each Raw Commodity  Decide How Much to Send to Each Processor  See CSW Reference Form on SNEARS ( Use to Determine Types of Products Associated w/ Each Raw Commodity)

CSW Reference Form CSW Reference Form  Top 15 products sold in New Jersey by each processor  Has serving sizes and meal components  Most popular items but can use other products as well  Separate spreadsheet per raw commodity on CSW Form  Tabs on bottom of sheet for each processor  Commodity credit per case

CSW Reference Form