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To: Family Day Care Home Sponsoring Organizations
From: Child Nutrition Programs
Date: December 2, 2025
Re: FY 2025 Administrative Carryover Funds for the Child and Adult Care Food Program
Sponsoring organizations of Family Day Care Homes (FDCH) are allowed to carry over 10 percent of their Child and Adult Care Food Program (CACFP) administrative reimbursement from one Federal fiscal year to the next, these are referred to as carryover funds. Carryover funds are available only when the administrative payments exceed actual expenses. Carryover funds in excess of 10% will be recuperated. Once accepted, carryover funds and expenses must be tracked separately from administrative revenue and expenses.
Prior to accepting FY 2025 carryover funds, sponsors must review all FY 2025 CACFP administrative expenditures entered in CNPweb (October 2024 through September 2025) and verify the accuracy of information in CNPweb to their organizations financial management system reports. If any errors are identified, sponsors must revise the CNPweb claim(s) and resubmit for ODE CNP approval.
After verifying CNPweb administrative expenditures reflect accurately, sponsors must submit a report from their financial management system that identifies the amount of unspent CACFP reimbursement earned in FY 2025. The due date for revising FY 2025 administrative expenditures and submitting the financial report is December 19, 2025. ODE CNP will review the information submitted and provide approval of the amount of carryover funds allowed.
After receiving approval from ODE CNP of the allowable carryover amount, sponsors must then apply FY 2025 carryover funds to FY 2026 administrative expenses, by revising claims. The USDA policy is ‘first in, first out’ which means sponsors will need to apply the carryover funds starting with the October 2025 claim and continuing to the next month, if necessary, until all carryover funds are spent. Sponsor financial records must be adjusted to note the specific FY 2026 administrative costs that were charged to FY 2025 carryover funds.
By January 5, 2026, FDCH sponsors will have access to the CNPweb Carryover Expense Report which is in the Claims tab of CNPweb. The report identifies the allowable FY 2025 carryover amount, reported carryover expenses and net funds to be recovered by ODE, if applicable. All revised FY 2025 claims must be approved by ODE CNP before completing the CNPweb Carryover Expense Report. To complete the report, FDCH sponsors must certify and submit the report to ODE CNP. The Carryover Expense Report must be submitted no later than January 31, 2025.
ODE CNP has created a step-by-step guide for sponsors to use on how to complete their carryover report and apply expenses to carry-over to CNPweb.
If you have questions, please contact Meghan Tschida at 971-701-9004 or meghan.tschida@ode.oregon.gov.
Enclosure: Carryover Report Guide
Sincerely,
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