[Federal Register Volume 83, Number 139 (Thursday, July 19, 2018)]
[Notices]
[Pages 34108-34110]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-15464]


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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, 2018 Through June 30, 2019

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 
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, 2018 through June 30, 
2019.

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:

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). 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. These rates are in effect during the period 
July 1, 2018 through June 30, 2019.

Adjusted Payments

    The following national average payment factors and food service 
payment rates for meals and snacks are in effect from July 1, 2018 
through June

[[Page 34109]]

30, 2019. 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 
receive 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.
    Adjustments to the national average payment rates for all meals 
served under the Child and Adult Care Food Program are rounded down to 
the nearest whole cent.

National Average Payment Rates for Centers

    The changes in the national average payment rates for centers 
reflect a 2.68 percent increase during the 12-month period from May 
2017 to May 2018 (from 268.128 in May 2017, as previously published in 
the Federal Register, to 275.307 in May 2018) in the food away from 
home series of the CPI for All Urban Consumers.
    Payments for breakfasts served are: Contiguous States--paid rate--
31 cents (1 cent increase from 2017-2018 annual level), reduced price 
rate--1 dollar and 49 cents (4 cents increase), free rate--1 dollar and 
79 cents (4 cents increase); Alaska--paid rate--46 cents (1 cent 
increase), reduced price rate--2 dollars and 57 cents (8 cents 
increase), free rate--2 dollars and 87 cents (8 cents increase); 
Hawaii--paid rate -35 cents (1 cent increase), reduced price rate -1 
dollar and 79 cents (6 cents increase), free rate--2 dollars and 09 
cents (6 cents increase).
    Payments for lunch or supper served are: Contiguous States--paid 
rate--31 cents (no change from 2017-2018 annual level), reduced price 
rate--2 dollars and 91 cents (8 cents increase), free rate--3 dollars 
and 31 cents (8 cents increase); Alaska--paid rate--51 cents (1 cent 
increase), reduced price rate--4 dollars and 98 cents (14 cents 
increase), free rate--5 dollars and 38 cents (14 cents increase); 
Hawaii--paid rate--37 cents (1 cent increase), reduced price rate--3 
dollars and 48 cents (10 cents increase), free rate--3 dollars and 88 
cents (10 cents increase).
    Payments for snack served are: Contiguous States--paid rate--8 
cents (no change from 2017-2018 annual level), reduced price rate--45 
cents (1 cent increase), free rate--91 cents (3 cents increase); 
Alaska--paid rate--13 cents (no change), reduced price rate--74 cents 
(2 cents increase), free rate--148 cents (4 cents increase); Hawaii--
paid rate--9 cents (no change), reduced price rate--53 cents (1 cent 
increase), free rate--1 dollar and 6 cents (2 cents increase).

Food Service Payment Rates for Day Care Homes

    The changes in the food service payment rates for day care homes 
reflect a 0.14 percent increase during the 12-month period from May 
2017 to May 2018 (from 238.964 in May 2017, as previously published in 
the Federal Register, to 239.287 in May 2018) in the food at home 
series of the CPI for All Urban Consumers.
    Payments for breakfast served are: Contiguous States--tier I--1 
dollar and 31 cents (no change from 2017-2018 annual level) and tier 
II--48 cents (no change); Alaska--tier I--2 dollars and 9 cents (no 
change) and tier II--74 cents (no change); Hawaii--tier I--1 dollar and 
53 cents (1 cent increase) and tier II--55 cents (no change).
    Payments for lunch and supper served are: Contiguous States--tier 
I--2 dollars and 46 cents (no change from 2017-2018 annual level) and 
tier II--1 dollar and 48 cents (no change); Alaska--tier I--3 dollars 
and 99 cents (no change) and tier II--2 dollars and 41 cents (1 cent 
increase); Hawaii--tier I--2 dollars and 88 cents (no change) and tier 
II--1 dollar and 74 cents (no change).
    Payments for snack served are: Contiguous States--tier I--73 cents 
(no change from 2017-2018 annual level) and tier II--20 cents (no 
change); Alaska--tier I--1 dollar and 19 cents (no change) and tier 
II--33 cents (1 cent increase); Hawaii--tier I--86 cents (1 cent 
increase) and tier II--23 cents (no change).

Administrative Reimbursement Rates for Sponsoring Organizations of Day 
Care Homes

    The changes in the administrative reimbursement rates for 
sponsoring organizations of day care homes reflect a 2.80 percent 
increase during the 12-month period, May 2017 to May 2018 (from 244.733 
in May 2017, as previously published in the Federal Register, to 
251.588 in May 2018) in the series for all items of the CPI for All 
Urban Consumers.
    Monthly administrative payments to sponsors for each sponsored day 
care home are: Contiguous States--initial 50 homes--118 dollars (4 
dollar increase from 2017-2018 annual level), next 150 homes--90 
dollars (3 dollar increase), next 800 homes--70 dollars (2 dollar 
increase), each additional home--62 dollars (2 dollar increase); 
Alaska--initial 50 homes--191 dollars (6 dollar increase), next 150 
homes--145 dollars (4 dollar increase), next 800 homes--113 dollars (3 
dollar increase), each additional home--100 dollars (3 dollar 
increase); Hawaii--initial 50 homes--138 dollars (4 dollar increase), 
next 150 homes--105 dollars (3 dollar increase), next 800 homes--82 
dollars (2 dollar increase), each additional home--72 dollars (2 dollar 
increase).

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, 2018 through June 30, 2019.

                                                        Child and Adult Care Food Program (CACFP)
                            [Per meal rates in whole or fractions of U.S. dollars, effective from July 1, 2018-June 30, 2019]
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                         Centers                                     Breakfast                 Lunch and supper \1\                 Supplement
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CONTIGUOUS STATES:
    PAID................................................                           0.31                            0.31                            0.08
    REDUCED PRICE.......................................                           1.49                            2.91                            0.45
    FREE................................................                           1.79                            3.31                            0.91
ALASKA:
    PAID................................................                           0.46                            0.51                            0.13
    REDUCED PRICE.......................................                           2.57                            4.98                            0.74
    FREE................................................                           2.87                            5.38                            1.48
HAWAII:
    PAID................................................                           0.35                            0.37                            0.09
    REDUCED PRICE.......................................                           1.79                            3.48                            0.53
    FREE................................................                           2.09                            3.88                            1.06
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[[Page 34110]]


                                                  Child and Adult Care Food Program (CACFP)--Continued
                            [Per meal rates in whole or fractions of U.S. dollars, effective from July 1, 2018-June 30, 2019]
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                                                                Breakfast                     Lunch and supper                     Supplement
                  Day care homes                   -----------------------------------------------------------------------------------------------------
                                                         Tier I          Tier II           Tier I          Tier II           Tier I          Tier II
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CONTIGUOUS STATES.................................            1.31             0.48             2.46             1.48             0.73             0.20
ALASKA............................................            2.09             0.74             3.99             2.41             1.19             0.33
HAWAII............................................            1.53             0.55             2.88             1.74             0.86             0.23
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   Administrative reimbursement rates for
 sponsoring  organizations of day care homes     Initial 50        Next 150         Next 800           Each
 (per home/per month rates in U.S. dollars)                                                         additional
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CONTIGUOUS STATES...........................             118               90               70               62
ALASKA......................................             191              145              113              100
HAWAII......................................             138              195               82               72
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\1\ These rates do not include the value of USDA Foods or cash-in-lieu of USDA Foods which institutions receive
  as additional assistance for each CACFP lunch or supper served to participants. A notice announcing the value
  of USDA Foods and cash-in-lieu of USDA Foods is published separately in the Federal Register.

    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. (See 2 CFR 415.3-415.6).
    This notice has been determined to be not significant and was 
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, 2018.
Brandon Lipps,
Administrator, Food and Nutrition Service.
[FR Doc. 2018-15464 Filed 7-18-18; 8:45 am]
 BILLING CODE 3410-30-P