[Federal Register Volume 87, Number 6 (Monday, January 10, 2022)]
[Notices]
[Pages 1107-1109]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-00120]


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DEPARTMENT OF AGRICULTURE

Food and Nutrition Service


Summer Food Service Program; 2022 Reimbursement Rates

AGENCY: Food and Nutrition Service, USDA.

ACTION: Notice.

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SUMMARY: This notice informs the public of the annual adjustments to 
the reimbursement rates for meals served in the Summer Food Service 
Program for Children. These adjustments address changes in the Consumer 
Price Index, as required under the Richard B. Russell National School 
Lunch Act. The 2022 reimbursement rates are presented as a combined set 
of rates to highlight simplified cost accounting procedures. The 2022 
rates are also presented individually, as separate operating and 
administrative rates of reimbursement, to show the effect of the 
Consumer Price Index adjustment on each rate.

DATES: The rates take effect January 1, 2022.

FOR FURTHER INFORMATION CONTACT: J. Kevin Maskornick, Program 
Monitoring and Operational Support Division, Child Nutrition Programs, 
Food and Nutrition Service, United States Department of Agriculture, 
1320 Braddock Place, Suite 401, Alexandria, Virginia 22314, 703-305-
2537.

SUPPLEMENTARY INFORMATION: The Summer Food Service Program (SFSP) is 
listed in the Catalog of Federal Domestic Assistance under No. 10.559 
and is subject to the provisions of Executive Order 12372, which 
requires intergovernmental consultation with State and local officials. 
(See 2 CFR, 415 and final rule-related document published at 48 FR 
29114, June 24, 1983.)
    In accordance with the Paperwork Reduction Act of 1995, 44 U.S.C. 
3501-3520, no new recordkeeping or reporting requirements have been 
included that are subject to approval from the Office of Management and 
Budget.
    This notice 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. Additionally, this notice has been determined to be exempt from 
formal review by the Office of Management and Budget under Executive 
Order 12866.

Definitions

    The terms used in this notice have the meaning ascribed to them 
under 7 CFR part 225 of the SFSP regulations.

Background

    This notice informs the public of the annual adjustments to the 
reimbursement rates for meals served in SFSP. In accordance with 
sections 12(f) and 13, 42 U.S.C. 1760(f) and 1761, of the Richard B. 
Russell National School Lunch Act (NSLA) and SFSP regulations under 7 
CFR part 225, the United States Department of Agriculture announces the 
adjustments in SFSP payments for meals served to participating children 
during calendar year 2022.
    The 2022 reimbursement rates are presented as a combined set of 
rates to highlight simplified cost accounting procedures. Reimbursement 
is based solely on a ``meals times rates'' calculation, without 
comparison to actual or budgeted costs.

[[Page 1108]]

    Sponsors receive reimbursement that is determined by the number of 
reimbursable meals served, multiplied by the combined rates for food 
service operations and administration. However, the combined rate is 
based on separate operating and administrative rates of reimbursement, 
each of which is adjusted differently for inflation.

Calculation of Rates

    The combined rates are constructed from individually authorized 
operating and administrative reimbursements. Simplified procedures 
provide flexibility, enabling sponsors to manage their reimbursements 
to pay for any allowable cost, regardless of the cost category. 
Sponsors remain responsible, however, for ensuring proper 
administration of the Program, while providing the best possible 
nutrition benefit to children.
    The operating and administrative rates are calculated separately. 
However, the calculations of adjustments for both cost categories are 
based on the same set of changes in the Food Away from Home series of 
the Consumer Price Index for All Urban Consumers, published by the 
Bureau of Labor Statistics of the United States Department of Labor. 
They represent a 5.8 percent increase in this series for the 12-month 
period, from November 2020 through November 2021 (from 298.253 in 
November 2020 to 315.481 in November 2021).

Table of 2022 Reimbursement Rates

    Presentation of the 2022 maximum per meal rates for meals served to 
children in SFSP combines the results from the calculations of 
operational and administrative payments, which are further explained in 
this notice. The total amount of payments to State agencies for 
disbursement to SFSP sponsors will be based upon these adjusted 
combined rates and the number of meals of each type served. These 
adjusted rates will be in effect from January 1, 2022 through December 
31, 2022.
    These changes are reflected below.
    All States except Alaska and Hawaii--Rural or Self-prep Sites--
Breakfast--2 dollars and 60.50 cents (14.25 cent increase from the 2021 
reimbursement rate), Lunch or Supper--4 dollars and 56.25 cents (24.5 
cent increase), Snack--1 dollar and 7.75 cents (5.75 cent increase); 
All Other Types of Sites--Breakfast--2 dollars and 55.5 cents (14 cent 
increase), Lunch or Supper--4 dollars and 48.75 cents (23.75 cent 
increase), Snack--1 dollar and 5.25 cents (5.50 cent increase).
    Alaska--Rural or Self-prep Sites--Breakfast--4 dollars and 22 cents 
(23 cent increase), Lunch or Supper--7 dollars and 40 cents (40.75 cent 
increase), Snack--1 dollar and 75 cents (10 cent increase); All Other 
Types of Sites--Breakfast--4 dollars and 14 cents (22.5 cent increase), 
Lunch or Supper--7 dollars and 28 cents (40 cent increase), Snack--1 
dollar and 71 cents (9.75 cent increase).
    Hawaii--Rural or Self-prep Sites--Breakfast--3 dollars and 4.5 
cents (16.5 cent increase), Lunch or Supper--5 dollars and 34.50 cents 
(29.75 cent increase), Snack--1 dollar and 26.75 cents (7.75 cent 
increase); All Other Types of Sites--Breakfast--2 dollars and 98.75 
cents (16.25 cent increase), Lunch or Supper--5 dollars and 26 cents 
(29.25 cent increase), Snack--1 dollar and 23.75 cents (7.5 cent 
increase).

                                                                2022 Reimbursement Rates
                                                                       [Combined]
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  Per meal rates in whole or fractions of U.S. dollars      All States      All States        Alaska          Alaska          Hawaii          Hawaii
---------------------------------------------------------  except Alaska   except Alaska ---------------------------------------------------------------
                                                            and Hawaii      and Hawaii
                                                         -------------------------------- Rural or self-     All other    Rural or self-     All other
                       Site types                         Rural or self-     All other      prep sites    types of sites    prep sites    types of sites
                                                            prep sites    types of sites
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Breakfast...............................................          2.6050          2.5550          4.2200          4.1400          3.0450          2.9875
Lunch or Supper.........................................          4.5625          4.4875          7.4000          7.2800          5.3450          5.2600
Snack...................................................          1.0775          1.0525          1.7500          1.7100          1.2675          1.2375
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Operating Rates

    The portion of the SFSP rates for operating costs is based on 
payment amounts set in section 13(b)(1) of the NSLA, 42 U.S.C. 
1761(b)(1). They are rounded down to the nearest whole cent, as 
required by section 11(a)(3)(B)(iii) of the NSLA, 42 U.S.C. 
1759a(a)(3)(B)(iii).
    These changes are reflected below.
    All States except Alaska and Hawaii--Breakfast--2 dollars and 37 
cents (13 cents increase from the 2021 reimbursement rate), Lunch or 
Supper--4 dollars and 13 cents (22 cents increase), Snack--96 cents (5 
cents increase).
    Alaska--Breakfast--3 dollars and 84 cents (21 cents increase), 
Lunch or Supper--6 dollars and 70 cents (37 cents increase), Snack--1 
dollar and 56 cents (9 cents increase).
    Hawaii--Breakfast--2 dollars and 77 cents (15 cents increase), 
Lunch or Supper--4 dollars and 84 cents (27 cents increase), Snack--1 
dollar and 13 cents (7 cents increase).

                                 Operating Component of 2022 Reimbursement Rates
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                                                                    All States
  Operating rates in U.S. dollars, rounded down to the nearest     except Alaska      Alaska          Hawaii
                           whole cent                               and Hawaii
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Breakfast.......................................................            2.37            3.84            2.77
Lunch or Supper.................................................            4.13            6.70            4.84
Snack...........................................................            0.96            1.56            1.13
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[[Page 1109]]

Administrative Rates

    The administrative cost component of the reimbursement is 
authorized under section 13(b)(3) of the NSLA, 42 U.S.C. 1761(b)(3). 
Rates are higher for sponsors of sites located in rural areas and for 
``self-prep'' sponsors that prepare their own meals at the SFSP site or 
at a central facility instead of purchasing them from vendors. The 
administrative portion of SFSP rates are adjusted, either up or down, 
to the nearest quarter-cent.
    These changes are reflected below.
    All States except Alaska and Hawaii--Rural or Self-prep Sites--
Breakfast--23.50 cents (1.25 cent increase from the 2021 reimbursement 
rate), Lunch or Supper--43.25 cents (2.5 cent increase), Snack--11.75 
cents (0.75 cent increase); All Other Types of Sites--Breakfast--18.50 
cents (1 cent increase), Lunch or Supper--35.75 cents (1.75 cent 
increase), Snack 9.25 cents (0.5 cent increase).
    Alaska--Rural or Self-prep Sites--Breakfast--38 cents (2 cent 
increase), Lunch or Supper--70 cents (3.75 cent increase), Snack--19 
cents (1 cent increase); All Other Types of Sites--Breakfast--30 cents 
(1.5 cent increase), Lunch or Supper--58 cents (3 cent increase), 
Snack--15 cents (0.75 cent increase).
    Hawaii--Rural or Self-prep Sites--Breakfast--27.5 cents (1.5 cent 
increase), Lunch or Supper--50.50 cents (2.75 cent increase), Snack--
13.75 cents (0.75 cent increase); All Other Types of Sites--Breakfast--
21.75 cents (1.25 cent increase), Lunch or Supper--42 cents (2.25 cent 
increase), Snack--10.75 cents (0.5 cent increase).

                                                  Administrative Component of 2022 Reimbursement Rates
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  Administrative rates in U.S. dollars, adjusted, up or     All States      All States        Alaska          Alaska          Hawaii          Hawaii
            down, to the nearest quarter-cent              except Alaska   except Alaska ---------------------------------------------------------------
---------------------------------------------------------   and Hawaii      and Hawaii
                                                         -------------------------------- Rural or self-     All other    Rural or self-     All other
                       Site types                         Rural or self-     All other      prep sites    types of sites    prep sites    types of sites
                                                            prep sites    types of sites
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Breakfast...............................................          0.2350          0.1850          0.3800          0.3000          0.2750          0.2175
Lunch or Supper.........................................          0.4325          0.3575          0.7000          0.5800          0.5050          0.4200
Snack...................................................          0.1175          0.0925          0.1900          0.1500          0.1375          0.1075
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Cynthia Long,
Administrator, USDA Food and Nutrition Service.
[FR Doc. 2022-00120 Filed 1-7-22; 8:45 am]
BILLING CODE 3410-30-P