82 FR 35173 - Child and Adult Care Food Program: National Average Payment Rates, Day Care Home Food Service Payment Rates, and Administrative Reimbursement Rates for Sponsoring Organizations of Day Care Homes for the Period July 1, 2017 Through June 30, 2018

DEPARTMENT OF AGRICULTURE
Food and Nutrition Service

Federal Register Volume 82, Issue 144 (July 28, 2017)

This notice announces the annual adjustments to the national average payment rates for meals and snacks served in child care centers, outside-school-hours care centers, at-risk afterschool care centers, and adult day care centers; the food service payment rates for meals and snacks served in day care homes; and the administrative reimbursement rates for sponsoring organizations of day care homes, to reflect changes in the Consumer Price Index. Further adjustments are made to these rates to reflect the higher costs of providing meals in the States of Alaska and Hawaii. The adjustments contained in this notice are made on an annual basis each July, as required by the laws and regulations governing the Child and Adult Care Food Program.

[Federal Register Volume 82, Number 144 (Friday, July 28, 2017)]
[Notices]
[Pages 35173-35175]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-15950]



[[Page 35173]]

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DEPARTMENT OF AGRICULTURE

Food and Nutrition Service


Child and Adult Care Food Program: National Average Payment 
Rates, Day Care Home Food Service Payment Rates, and Administrative 
Reimbursement Rates for Sponsoring Organizations of Day Care Homes for 
the Period July 1, 2017 Through June 30, 2018

AGENCY: Food and Nutrition Service, USDA.

ACTION: Notice.

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SUMMARY: This notice announces the annual adjustments to the national 
average payment rates for meals and snacks served in child care 
centers, outside-school-hours care centers, at-risk afterschool care 
centers, and adult day care centers; the food service payment rates for 
meals and snacks served in day care homes; and the administrative 
reimbursement rates for sponsoring organizations of day care homes, to 
reflect changes in the Consumer Price Index. Further adjustments are 
made to these rates to reflect the higher costs of providing meals in 
the States of Alaska and Hawaii. The adjustments contained in this 
notice are made on an annual basis each July, as required by the laws 
and regulations governing the Child and Adult Care Food Program.

DATES: These rates are effective from July 1, 2017 through June 30, 
2018.

FOR FURTHER INFORMATION CONTACT: Jessica Saracino, Branch Chief, 
Program Monitoring and Operational Support Division, Child Nutrition 
Programs, Food and Nutrition Service, U.S. Department of Agriculture, 
3101 Park Center Drive, Room 640, Alexandria, Virginia 22302-1594.

SUPPLEMENTARY INFORMATION:

Definitions

    The terms used in this notice have the meanings ascribed to them in 
the Child and Adult Care Food Program regulations, 7 CFR part 226.

Background

    Pursuant to sections 4, 11, and 17 of the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1753, 1759a and 1766), section 4 
of the Child Nutrition Act of 1966 (42 U.S.C. 1773) and 7 CFR 226.4, 
226.12 and 226.13 of the Program regulations, notice is hereby given of 
the new payment rates for institutions participating in the Child and 
Adult Care Food Program (CACFP). These rates are in effect during the 
period July 1, 2017 through June 30, 2018.
    As provided for under the law, all rates in the CACFP must be 
revised annually, on July 1, to reflect changes in the Consumer Price 
Index (CPI), published by the Bureau of Labor Statistics of the United 
States Department of Labor, for the most recent 12-month period. In 
accordance with this mandate, the United States Department of 
Agriculture (USDA) last published the adjusted national average payment 
rates for centers, the food service payment rates for day care homes, 
and the administrative reimbursement rates for sponsoring organizations 
of day care homes, for the period from July 1, 2016 through June 30, 
2017, on August 5, 2016, in the Federal Register at 81 FR 51840.

Adjusted Payments

    The following national average payment factors and food service 
payment rates for meals and snacks are in effect from July 1, 2017 
through June 30, 2018. All amounts are expressed in dollars or 
fractions thereof. Due to a higher cost of living, the reimbursements 
for Alaska and Hawaii are higher than those for all other States. The 
District of Columbia, Virgin Islands, Puerto Rico, and Guam use the 
figures specified for the contiguous States. These rates do not include 
the value of USDA Foods or cash-in-lieu of USDA Foods which 
institutions recieve as additional assistance for each lunch or supper 
served to participants under the Program. A notice announcing the value 
of USDA Foods and cash-in-lieu of USDA Foods is published separately in 
the Federal Register.

National Average Payment Rates for Centers

    Payments for breakfasts served are: Contiguous States--paid rate--
30 cents (1 cent increase from 2016-2017 annual level), reduced price 
rate--145 cents (4 cents increase), free rate--175 cents (4 cents 
increase); Alaska--paid rate--45 cents (1 cent increase), reduced price 
rate--249 cents (6 cents increase), free rate--279 cents (6 cents 
increase); Hawaii--paid rate -34 cents (1 cent increase), reduced price 
rate -173 cents (4 cents increase), free rate--203 cents (4 cents 
increase).
    Payments for lunch or supper served are: Contiguous States--paid 
rate--31 cents (1 cent increase from 2016-2017 annual level), reduced 
price rate--283 cents (7 cents increase), free rate--323 cents (7 cents 
increase); Alaska--paid rate--50 cents (1 cent increase), reduced price 
rate--484 cents (12 cents increase), free rate--524 cents (12 cents 
increase); Hawaii--paid rate--36 cents (1 cent increase), reduced price 
rate--338 cents (9 cents increase), free rate--378 cents (9 cents 
increase).
    Payments for snack served are: Contiguous States--paid rate--8 
cents (1 cent increase from 2016-2017 annual level), reduced price 
rate--44 cents (1 cent increase), free rate--88 cents (2 cents 
increase); Alaska--paid rate--13 cents (1 cent increase), reduced price 
rate--72 cents (2 cents increase), free rate--144 cents (4 cents 
increase); Hawaii--paid rate--9 cents (no change), reduced price rate--
52 cents (2 cents increase), free rate--104 cents (3 cents increase).

Food Service Payment Rates for Day Care Homes

    Payments for breakfast served are: Contiguous States--tier I--131 
cents (no change from 2016-2017 annual level) and tier II--48 cents (no 
change); Alaska--tier I--209 cents (no change) and tier II--74 cents 
(no change); Hawaii--tier I--152 cents (1 cent decrease) and tier II--
55 cents (no change).
    Payments for lunch and supper served are: Contiguous States--tier 
I--246 cents (no change from 2016-2017 annual level) and tier II--148 
cents (1 cent decrease); Alaska--tier I--399 cents (no change) and tier 
II--240 cents (1 cent decrease); Hawaii--tier I--288 cents (no change) 
and tier II--174 cents (no change).
    Payments for snack served are: Contiguous States--tier I--73 cents 
(no change from 2016-2017 annual level) and tier II--20 cents (no 
change); Alaska--tier I--119 cents (no change) and tier II--32 cents (1 
cent decrease); Hawaii--tier I--85 cents (1 cent decrease) and tier 
II--23 cents (no change).

Administrative Reimbursement Rates for Sponsoring Organizations of Day 
Care Homes

    Monthly administrative payments to sponsors for each sponsored day 
care home are: Contiguous States--initial 50 homes--114 dollars (2 
dollar increase from 2016-2017 annual level), next 150 homes--87 
dollars (1 dollar increase), next 800 homes--68 dollars (1 dollar 
increase), each additional home--60 dollars (1 dollar increase); 
Alaska--initial 50 homes--185 dollars (3 dollar increase), next 150 
homes--141 dollars (2 dollar increase), next 800 homes--110 dollars (2 
dollar increase), each additional home--97 dollars (2 dollar increase); 
Hawaii--initial 50 homes--134 dollars (3 dollar increase), next 150 
homes--102 dollars (2 dollar increase), next 800 homes--80 dollars (2 
dollar increase), each additional home--70 dollars (1 dollar increase).

[[Page 35174]]

Payment Chart

    The following chart illustrates the national average payment 
factors and food service payment rates for meals and snacks in effect 
from July 1, 2017 through June 30, 2018.
[GRAPHIC] [TIFF OMITTED] TN28JY17.012

    The changes in the national average payment rates for centers 
reflect a 2.31 percent increase during the 12-month period from May 
2016 to May 2017 (from 262.074 in May 2016, as previously published in 
the Federal Register, to 268.128 in May 2017) in the food away from 
home series of the CPI for All Urban Consumers.
    The changes in the food service payment rates for day care homes 
reflect a 0.16 percent decrease during the 12-month period from May 
2016 to May 2017 (from 239.354 in May 2016, as previously published in 
the Federal Register, to 238.964 in May 2017) in the food at home 
series of the CPI for All Urban Consumers.
    The changes in the administrative reimbursement rates for 
sponsoring organizations of day care homes reflect a 1.87 percent 
increase during the 12-month period, May 2016 to May 2017 (from 240.236 
in May 2016, as previously published in the Federal Register, to 
240.733 in May 2017) in the series for all items of the CPI for All 
Urban Consumers.
    The total amount of payments available to each State agency for 
distribution to institutions participating in CACFP is based on the 
rates contained in this notice.
    This action is not a rule as defined by the Regulatory Flexibility 
Act (5 U.S.C. 601-612) and thus is exempt from the provisions of that 
Act. This notice has been determined to be exempt under Executive Order 
12866.
    CACFP is listed in the Catalog of Federal Domestic Assistance under 
No. 10.558 and is subject to the provisions of Executive Order 12372, 
which requires intergovernmental consultation with State and local 
officials.

[[Page 35175]]

    This notice has been determined to be not significant and was not 
reviewed by the Office of Management and Budget (OMB) in conformance 
with Executive Order 12866.
    This notice imposes no new reporting or recordkeeping provisions 
that are subject to OMB review in accordance with the Paperwork 
Reduction Act of 1995 (44 U.S.C. 3501-3518).

    Authority:  Sections 4(b)(2), 11a, 17(c) and 17(f)(3)(B) of the 
Richard B. Russell National School Lunch Act (42 U.S.C. 1753(b)(2), 
1759a, 1766(f)(3)(B)) and section 4(b)(1)(B) of the Child Nutrition 
Act of 1966 (42 U.S.C. 1773(b)(1)(B)).

    Dated: July 13, 2017.
Jessica Shahin,
Acting Administrator, Food and Nutrition Service.
[FR Doc. 2017-15950 Filed 7-27-17; 8:45 am]
 BILLING CODE 3410-30-P