Considering a Food Service Management Company?

If the School District is considering a food service management company and is planning to continue participation in the National School Lunch and School Breakfast Programs, federal and state requirements must be taken into consideration.   Federal regulations on companies are found in 7 CFR part 210.16 and on procurement in 7 CFR 210.21.  Parts 3016 and 3019 also apply to contracts and procurement.  Numbered memo NSLP 24.2 addresses the bid process.  Information is also provided to schools from Legislative Audit on bidding and contract for public schools.

Child & Adult Nutrition Services neither condones nor condemns use of the companies as each school food authority’s (SFA) situation is different and each company must be evaluated on its own merits.  If the SFA is considering a contract for the 2003-2004 year, it is time to begin preparation of the bid specifications, advertisement, etc. Child & Adult Nutrition Services must approve contracts. The SFA should also involve their legal counsel in development of the bid and contract.

There is a clear distinction between what companies can and cannot do for the SFA.  Contract companies can manage the food service including purchasing, staffing, meal preparation and service, clean-up, and meal counts.  There are areas that the contract company is prohibited from handling certain areas.  These remain the responsibility of the SFA.  Those areas include but are not limited to developing the bid and contract specifications, filing the agreement with the state agency, distributing and approving applications for free and reduced price meals, filing claims for reimbursement, filing financial statements, and retaining responsibility for commodity foods.

Guidance materials available Child & Adult Nutrition Services at (605) 773-3413.  Request “the food service management company packet.”

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