Policy Memo 110
DOH-CACFP: Number 110 (05/06) - Supersedes Number 5 (3/95) and Number 6 (3/95)
TO: CACFP Participating Institutions*
FROM: Jeanne Culver, State Director, Child and Adult Care Food Program
SUBJECT: Purchasing Meals from a Food Service Vendor
I. Purpose and Scope
This Child and Adult Care Food Program (CACFP) memorandum outlines the procurement procedures participating institutions must follow when purchasing meals from an outside source. Institutions that enter into a contract to purchase meals from a food service vendor are responsible for ensuring that all food service operations conform to federal, state and local laws, and to the terms and conditions set forth in the contract.
CACFP has developed a simplified contract for sponsors to use when purchasing prepared meals from a food service management company or caterer, also known as a vendor. All contracts can be extended on a yearly basis for up to 4 years, for a total contract of 5 years.
II. Procedures for Public Organizations
Public entities include public schools, hospitals, colleges, government, etc. They are not required to use CACFP's standard Vendor Contract. They should follow their own agency's procurement rules and use their own contracts. Approval by CACFP is not required.
- The public institution is still responsible for managing and monitoring the contract to ensure compliance with CACFP meal requirements. All documents including the contract, price quotes or bids, daily delivery invoices, and monthly invoices must be kept on file by the organization for review by CACFP, when requested.
The remainder of this memo does not pertain to public entities.
III. Procedures for Private Non-profit and For-profit Organizations
The majority of CACFP participating institutions are private organizations, non-profit and for-profit. All private non-profit and for-profit institutions are required to use CACFP's standard Vendor Contract. When the Vendor Contract expires at the end of one year or when the contract has been extended four times, a new contract is required. Contracts and extensions are available at www.nyhealth.gov/nutrition, by calling 1-800-942-3858, ext. 27262 or by faxing the CACFP order form to 518-402-7252.
- When vended meal purchases will be $100,000 or less private non-profit and for-profit institutions should obtain informal price quotes from at least three vendors to compare costs. After identifying the lowest price quote, the institution and the vendor sign the completed contract. Institutions are not required to submit these contracts to CACFP.
- The institution is still responsible for managing and monitoring the contract to ensure compliance with CACFP meal requirements. All documents including the contract, price quotes, daily delivery invoices, and monthly invoices must be kept on file by the organization for review by CACFP, when requested.
The remainder of this memo pertains to only private non-profit and for profit institutions with annual vended meal purchases over $100,000.
When vended meal purchases will be more than $100,000 private non-profit and for-profit institutions are required to follow the formal bid process below:
- Advertise the bid in the newspaper
- Send the Invitation for Bid to interested parties
- Open the bids as required
- Submit the bids and contract to CACFP prior to notifying the vendors or signing the contract.
Materials needed to follow this bid process are available from CACFP by ordering the "Bid Packet" (which includes the invitation for bid and instructions) by calling 1-800-942-3858, ext. 27262, by faxing the CACFP order form to 518-402-7252 or at www.nyhealth.gov/nutrition.
The only exception to the formal bid process is for the institution that plans to contract with a school. They are required to obtain informal price quotes and follow the procedure above for contracts under $100,000.
