§ 250.2 Definitions. *2 CFR part 200* means the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards published by OMB. The Part reference covers applicable: Acronyms and Definitions (subpart A), General Provisions (subpart B), Post Federal Award Requirements (subpart D), Cost Principles (subpart E), and Audit Requirements (subpart F). (NOTE: Pre-Federal Award Requirements and Contents of Federal Awards (subpart C) do not apply to the National School Lunch Program).
*ACL* means the Administration for Community Living, which is the DHHS agency that administers NSIP.
*Administering agency* means a State agency that has been approved by the Department to administer a food assistance program. If such agency is also responsible for the distribution of donated foods, it is referred to as the distributing agency in this part.
*Adult care institution* means a nonresidential adult day care center that participates independently in CACFP, or that participates as a sponsoring organization, and that may receive donated foods or cash-in-lieu of donated foods, in accordance with an agreement with the distributing agency.
*Backhauling* means the delivery of donated foods to a processor for processing from a distributing or recipient agency's storage facility.
*Bonus foods* means Section 32, Section 416, and Section 709 donated foods, as defined in this section, which are purchased under surplus removal or price support authority, and provided to distributing agencies in addition to legislatively authorized levels of assistance.
*CACFP* means the Child and Adult Care Food Program.
*Carrier* means a commercial enterprise that transports donated foods from one location to another, but does not store such foods.
*Charitable institutions* means public institutions or private nonprofit organizations that provide a meal service on a regular basis to predominantly eligible persons in the same place without marked changes. Some types of charitable institutions are included in § 250.67.
*Child care institution* means a nonresidential child care center that participates independently in CACFP, or that participates as a sponsoring organization, in accordance with an agreement with the distributing agency.
*Child nutrition program* means NSLP, CACFP, SFSP, or SBP.
*Commingling* means the storage of donated foods together with commercially purchased foods.
*Commodity offer value* means the minimum value of donated foods that the distributing agency must offer to a school food authority participating in NSLP each school year. The commodity offer value is equal to the national per-meal value of donated food assistance multiplied by the number of reimbursable lunches served by the school food authority in the previous school year.
*Commodity school* means a school that operates a nonprofit food service, in accordance with 7 CFR part 210, but that receives additional donated food assistance rather than the cash assistance available to it under Section 4 of the Richard B. Russell National School Lunch Act (42 U.S.C. 1753).
*Consignee* means an entity (*e.g.,* the distributing or recipient agency, a commercial storage facility, or a processor) that receives a shipment of donated foods from a vendor or Federal storage facility.
*Contract value of the donated foods* means the price assigned by the Department to a donated food which must reflect the Department's current acquisition price. This may alternatively be referred to as the USDA purchase price.
*CSFP* means the Commodity Supplemental Food Program.
*Department* means the United States Department of Agriculture (USDA).
*DHHS* means the United States Department of Health and Human Services.
*Disaster* means a Presidentially declared disaster or emergency, in accordance with Section 412 or 413 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5179-5180), in which Federal assistance, including donated food assistance, may be provided to persons in need of such assistance as a result of the disaster or emergency.
*Disaster organization* means an organization authorized by FNS or a distributing agency, when appropriate, to provide assistance to survivors of a disaster or a situation of distress.
*Distributing agency* means a State agency selected by the Governor of the State or the State legislature to distribute donated foods in the State, in accordance with an agreement with FNS, and with the requirements in this part and other Federal regulations, as applicable (*e.g.,* a State agency distributing donated foods in CSFP must comply with requirements in 7 CFR part 247). Indian Tribal Organizations may act as a distributing agency in the distribution of donated foods on, or near, Indian reservations, as provided for in applicable Federal regulations (*e.g.,* 7 CFR part 253 or 254 for FDPIR). A distributing agency may also be referred to as a State distributing agency.
*Distribution charge* means the cumulative charge imposed by distributing agencies on school food authorities to help meet the costs of storing and distributing donated foods, and administrative costs related to such activities.
*Distributor* means a commercial food purveyor or handler who is independent of a processor and charges and bills for the handling of donated foods, and/or sells and bills for the end products delivered to recipient agencies.
*Donated foods* means foods purchased by USDA for donation in food assistance programs, or for donation to entities assisting eligible persons, in accordance with legislation authorizing such purchase and donation. Donated foods are also referred to as USDA Foods.
*Elderly nutrition project* means a recipient agency selected by the State Unit on Aging to receive assistance in NSIP, which may include donated food assistance.
*Eligible persons* means persons in need of food assistance as a result of their: ( 1 ) Economic status;
( 2 ) Eligibility for a specific food assistance program; or
( 3 ) Eligibility as survivors of a disaster or a situation of distress.
*End product* means a food product that contains processed donated foods.
*End product data schedule* means a processor's description of its processing of donated food into a finished end product, including the processing yield of donated food.
*Entitlement* means the value of donated foods a distributing agency is authorized to receive in a specific program, in accordance with program legislation.
*Entitlement foods* means donated foods that USDA purchases and provides in accordance with levels of assistance mandated by program legislation.
*FDPIR* means the Food Distribution Program on Indian Reservations and the Food Distribution Program for Indian Households in Oklahoma.
*Federal acceptance service* means the acceptance service provided by: ( 1 ) The applicable grading branches of the Department's Agricultural Marketing Service (AMS);
( 2 ) The Department's Federal Grain Inspection Service; and
( 3 ) The National Marine Fisheries Service of the U.S. Department of Commerce.
*Fiscal year* means the period of 12 months beginning October 1 of any calendar year and ending September 30 of the following calendar year.
*FNS* means the Food and Nutrition Service of the Department of Agriculture.
*Food recall* means an action to remove food products from commerce when there is reason to believe the products may be unsafe, adulterated, or mislabeled. The action is taken to protect the public from products that may cause health problems or possible death.
*Food service management company* means a commercial enterprise, nonprofit organization, or public institution that is, or may be, contracted with by a recipient agency to manage any aspect of a recipient agency's food service, in accordance with 7 CFR part 210, 225, or 226, or, with respect to charitable institutions, in accordance with this part. To the extent that such management includes the use of donated foods, the food service management company is subject to the applicable requirements in this part. However, a school food authority participating in NSLP that performs such functions is not considered a food service management company. Also, a commercial enterprise that uses donated foods to prepare meals at a commercial facility, or to perform other activities that meet the definition of processing in this section, is considered a processor in this part, and is subject to the requirements in subpart C, and not subpart D, of this part.
*Household* means any of the following individuals or groups of individuals, exclusive of boarders or residents of an institution: ( 1 ) An individual living alone;
( 2 ) An individual living with others, but customarily purchasing food and preparing meals for home consumption separate and apart from the others;
( 3 ) A group of individuals living together who customarily purchase and prepare meals in common for home consumption; and
( 4 ) Other individuals or groups of individuals, as provided in FNS regulations specific to particular food assistance programs.
*Household programs* means CSFP, FDPIR, and TEFAP.
*In-kind replacement* means the replacement of a loss of donated food with the same type of food of U.S. origin, of equal or better quality as the donated food, and at least equal in value to the lost donated food.
*In-State processing agreement* means a distributing agency's agreement with an in-State processor to process donated foods into finished end products for sale to eligible recipient agencies or for sale to the distributing agency.
*In-State processor* means a processor that has entered into agreements with distributing or recipient agencies that are located only in the State in which all of the processor's processing facilities are located.
*Multi-food shipment* means a shipment from a Federal storage facility that usually includes more than one type of donated food.
*Multi-State processor* means a processor that has entered into agreements with distributing or recipient agencies in more than one State, or that has entered into one or more agreements with distributing or recipient agencies that are located in a State other than the State in which the processor's processing facilities or business office is located.
*National per-meal value* means the value of donated foods provided for each reimbursable lunch served in NSLP in the previous school year, and for each reimbursable lunch and supper served in CACFP in the previous school year, as established in sections 6(c) and 17(h)(1)(B) of the Richard B. Russell National School Lunch Act ((42 U.S.C. 1755(c) and 1766(h)(1)(B)).
*National processing agreement* means an agreement between FNS and a multi-State processor to process donated foods into end products for sale to distributing or recipient agencies.
*Nonprofit organization* means a private organization with tax-exempt status under the Internal Revenue Code. Nonprofit organizations operated exclusively for religious purposes are automatically tax-exempt under the Internal Revenue Code.
*Nonprofit school food service* means all food service operations conducted by the school food authority principally for the benefit of schoolchildren, all of the revenue from which is used solely for the operation or improvement of such food services.
*NSIP* means the Nutrition Services Incentive Program administered by the DHHS ACL.
*NSLP* means the National School Lunch Program.
*Out-of-condition donated foods* means donated foods that are no longer fit for human consumption as a result of spoilage, contamination, infestation, adulteration, or damage.
*Performance supply and surety bond* means a written instrument issued by a surety company which guarantees performance and supply of end products by a processor under the terms of a processing contract.
*Processing* means a commercial enterprise's use of a commercial facility to: ( 1 ) Convert donated foods into an end product;
( 2 ) Repackage donated foods; or
( 3 ) Use donated foods in the preparation of meals.
*Processor* means a commercial enterprise that processes donated foods at a commercial facility.
*Recipient agencies* means agencies or organizations that receive donated foods for distribution to eligible persons or for use in meals provided to eligible persons, in accordance with agreements with a distributing or subdistributing agency, or with another recipient agency. Local agencies in CSFP, and Indian Tribal Organizations distributing donated foods to eligible persons through FDPIR in a State in which the State government administers FDPIR, are considered recipient agencies in this part.
*Recipients* means persons receiving donated foods, or a meal containing donated foods, provided by recipient agencies.
*Recipient agency processing agreement* means a recipient agency's agreement with a processor to process donated foods and to purchase the finished end products.
*Reimbursable meals* means meals that meet the nutritional standards established in Federal regulations pertaining to NSLP, SFSP, or CACFP, and that are served to eligible recipients.
*Replacement value* means the price assigned by the Department to a donated food which must reflect the current price in the market to ensure compensation for donated foods lost in processing or other activities. The replacement value may be changed by the Department at any time.
*SAE funds* means Federal funds provided to State agencies for State administrative expenses, in accordance with 7 CFR part 235.
*SBP* means the School Breakfast Program.
*School food authority* means the governing body responsible for the administration of one or more schools, and that has the legal authority to operate NSLP or be otherwise approved by FNS to operate NSLP.
*School year* means the period of 12 months beginning July 1 of any calendar year and ending June 30 of the following calendar year.
*Section 4(a)* means section 4(a) of the Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 612c note), which authorizes the Department to purchase donated foods to maintain the traditional level of assistance for food assistance programs authorized by law, including, but not limited to, CSFP, FDPIR, and disaster assistance.
*Section 6* means section 6 of the Richard B. Russell National School Lunch Act (42 U.S.C. 1755), which authorizes the Department to provide a specified value of donated food assistance in NSLP.
*Section 14* means section 14 of the Richard B. Russell National School Lunch Act (42 U.S.C. 1762a), which authorizes the Department to use Section 32 or Section 416 funds to maintain the annually programmed levels of donated food assistance in child nutrition programs.
*Section 27* means section 27 of the Food and Nutrition Act of 2008 (7 U.S.C. 2036), which authorizes the purchase of donated foods for distribution in TEFAP.
*Section 32* means section 32 of Public Law 74-320 (7 U.S.C. 612c), which authorizes the Department to purchase primarily perishable foods to remove market surpluses, and to donate them for use in domestic food assistance programs or by charitable institutions.
*Section 311* means section 311 of the Older Americans Act of 1965 (42 U.S.C. 3030a), which permits State Units on Aging to receive all or part of their NSIP grant as USDA donated foods.
*Section 416* means section 416 of the Agricultural Act of 1949 (7 U.S.C. 1431), which authorizes the Department to purchase nonperishable foods to support market prices, and to donate them for use in domestic food assistance programs or by charitable institutions.
*Section 709* means section 709 of the Food and Agricultural Act of 1965 (7 U.S.C. 1446a-1), which authorizes the Department to purchase dairy products to meet authorized levels of assistance in domestic food assistance programs when such assistance cannot be met by Section 416 food purchases.
*Service institution* means recipient agencies that participate in SFSP.
*SFSP* means the Summer Food Service Program.
*Similar replacement* means the replacement of a loss of donated food with another type of food from the same food category (*e.g.,* dairy, grain, meat/meat alternate, vegetable, fruit, etc.) that is of U.S. origin, of equal or better quality than that type of donated food, and at least equal in value to the lost donated food.
*Single inventory management* means the commingling in storage of donated foods and foods from other sources, and the maintenance of a single inventory record of such commingled foods.
*Situation of distress* means a natural catastrophe or other event that does not meet the definition of disaster in this section, but that, in the determination of the distributing agency, or of FNS, as applicable, warrants the use of donated foods to assist survivors of such catastrophe or other event. A situation of distress may include, for example, a hurricane, flood, snowstorm, or explosion.
*SNAP* means the Supplemental Nutrition Assistance Program.
*Split shipment* means a shipment of donated foods from a vendor that is split between two or more distributing or recipient agencies, and that usually includes more than one stop-off or delivery location.
*State* means any State of the United States, the District of Columbia, Puerto Rico, the Virgin Islands, Guam, and American Samoa.
*State Participation Agreement* means a distributing agency's agreement with a multi-State processor to permit the sale of finished end products produced under the processor's National Processing Agreement to eligible recipient agencies in the State or to directly purchase such finished end products.
*State Unit on Aging* means: ( 1 ) The State agency that has been approved by DHHS to administer NSIP; or
( 2 ) The Indian Tribal Organization that has been approved by DHHS to administer NSIP.
*Storage facility* means a publicly-owned or nonprofit facility or a commercial enterprise that stores donated foods or end products, and that may also transport such foods to another location.
*Subdistributing agency* means a State agency, a public agency, or a nonprofit organization selected by the distributing agency to perform one or more activities required of the distributing agency in this part, in accordance with a written agreement between the parties. A subdistributing agency may also be a recipient agency.
*Substitution* means: ( 1 ) The replacement of donated foods with like quantities of domestically produced commercial foods of the same generic identity and of equal or better quality.
( 2 ) A processor can substitute commercial product for donated food, as described in paragraph (1) of this definition, without restrictions under full substitution. The processor must return to the contracting agency, in finished end products, the same number of pounds of donated food that the processor originally received for processing under full substitution. This is the 100-percent yield requirement.
( 3 ) A processor can substitute commercial product for donated foods, as described in paragraph (1) of this definition, with some restrictions under limited substitution. Restrictions include, but are not limited to, the prohibition against substituting for backhauled poultry product. FNS may also prohibit substitution of certain types of the same generic food. (For example, FNS may decide to permit substitution for bulk chicken but not for canned chicken.)
*Summer camp* means a nonprofit or public camp for children aged 18 and under.
*TEFAP* means The Emergency Food Assistance Program.
*USDA Foods* means donated foods.
*USDA implementing regulations* mean the following: 2 CFR part 400, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards; 2 CFR part 415, General Program Administrative Regulations; 2 CFR part 416, General Program Administrative Regulations for Grants and Cooperative Agreements to State and Local Governments; and 2 CFR part 418, New Restrictions on Lobbying.
*Vendor* means a commercial food company from which the Department purchases foods for donation.
[81 FR 23100, Apr. 19, 2016, as amended at 83 FR 18926, May 1, 2018]