Thanks to an expansion of the Community Eligibility Provision (CEP) announced in a final rule September 26 by the U.S. Department of Agriculture (USA), an estimated 3,000 additional school districts with about 5 million students will be eligible to offer free breakfasts and lunches starting October 26.

With inflation significantly driving up grocery prices since the end of the COVID waiver providing free meals to students across the country regardless of family income, the Federal government, states, and school districts have grappled with the challenge – and expense – of addressing food insecurity among students, particularly in high poverty areas.

As a result, as of the 2022-2023 school year, the number of schools that adopted CEP grew to over 40,000 nationwide. To date, eight states have passed legislation establishing permanent universal school meal policies. Other states, like New York – which enacted legislation permanently requiring reduced-priced meals be provided for free – are making progress, with New York City, Albany, Rochester, and Yonkers offering universal free meals at school.

With the September 26 final rule, the identified student percentage (ISP) certified as eligible for free meals decreased from 40% to 25%, opening the door for another 3,000 high need school districts to make breakfast and lunch available to all students at no cost. Families do not have to apply for the program. Instead, data from SNAP and other income-based assistance programs will be used in a formula determining Federal funding; then, state, or local funds must cover any gap between Federal funds and program costs.

As noted on the USDA website, “As a result of this rule, more schools are eligible to participate in CEP and experience the associated benefits, such as increasing students’ access to healthy, no-cost school meals; eliminating unpaid meal charges; reducing stigma; and streamlining program administration and meal service operations.”

There’s more to come with the  Summer Electronic Benefit Transfer Program for Children (Summer EBT) officially launching in 2024 to provide low-income families with school-aged children grocery buying benefits when schools close for the summer.

Interested in learning more about CEP and school meal programs? Visit Community Eligibility Provision;  USDA School Meals;  USDA Support for Schools.

In the meantime, The New York State Education Department (SED), is holding in-person and virtual training opportunities for Child Nutrition Program operators. Anyone involved with the operation of a school nutrition program may be interested. To see the schedule of training opportunities through November, click here.

While you’re focusing on school meal programs among numerous other priorities, please know you can count on RBT CPAs professionals to support your accounting, tax, and audit needs. To learn more, give us a call today.

RBT CPAs is proud to say all our work is prepared in the U.S.A. – we never offshore. As a result, you get peace of mind that your operation’s financial and confidential information is handled by full-time, local staff who have met our high standards for quality, ethics, and professionalism.