USDA released today the new reimbursement rates for the Child and Adult Care Food Program.
CACFP Centers, including Afterschool Programs:
Free and reduced rates for centers increased 4 cents per breakfast, 7 cents per lunch or supper, and 2 cents (free rate) and 1 cent (reduced rate) per snack.
Paid rates increased by 1 cent for breakfast, snack, and lunch or supper.
Family Child Care Homes:
Unfortunately, reimbursement rates for family child care homes did not increase:
All Tier I rates remain unchanged.
Tier II breakfast and snack rates remain unchanged and the lunch and supper rate decreased by 1 cent.
Why Didn’t the Family Child Care Reimbursement Rates Increase?
USDA is required to update the reimbursement rates for inflation by using the:
Consumer Price Index for “food away from home” to adjust center rates; and
Consumer Price Index for “food at home” to adjust family child care rates.
The Consumer Price Index for “food away from home” went up (2.3 percent), resulting in higher reimbursement rates for centers.
The Consumer Price Index for “food at home” was nearly unchanged, with only a slight decrease (0.16 percent). Consequently, the rates for family child care homes are mainly unchanged. An increase in reimbursement rates would have more accurately reflected the real costs to providers.
Sponsors Administrative Reimbursement Rates:
Sponsors administrative reimbursement rates increased by $2 per month for the initial 50 homes, and $1 per month for all other categories.
The new reimbursement rates are effective from July 1, 2017, to June 30, 2018.
(Rates for the Contiguous States — for Alaska and Hawaii consult the link above.)
CACFP Centers, including Afterschool Programs:
Free and reduced rates for centers increased 4 cents per breakfast, 7 cents per lunch or supper, and 2 cents (free rate) and 1 cent (reduced rate) per snack.
Paid rates increased by 1 cent for breakfast, snack, and lunch or supper.
Family Child Care Homes:
Unfortunately, reimbursement rates for family child care homes did not increase:
All Tier I rates remain unchanged.
Tier II breakfast and snack rates remain unchanged and the lunch and supper rate decreased by 1 cent.
Why Didn’t the Family Child Care Reimbursement Rates Increase?
USDA is required to update the reimbursement rates for inflation by using the:
Consumer Price Index for “food away from home” to adjust center rates; and
Consumer Price Index for “food at home” to adjust family child care rates.
The Consumer Price Index for “food away from home” went up (2.3 percent), resulting in higher reimbursement rates for centers.
The Consumer Price Index for “food at home” was nearly unchanged, with only a slight decrease (0.16 percent). Consequently, the rates for family child care homes are mainly unchanged. An increase in reimbursement rates would have more accurately reflected the real costs to providers.
Sponsors Administrative Reimbursement Rates:
Sponsors administrative reimbursement rates increased by $2 per month for the initial 50 homes, and $1 per month for all other categories.
The new reimbursement rates are effective from July 1, 2017, to June 30, 2018.
(Rates for the Contiguous States — for Alaska and Hawaii consult the link above.)
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