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This message is to provide guidance about Supply Chain Assistance (SCA) funds as school year 2023-24 ends.
The U.S. Department of Agriculture (USDA) provided over 66 million for Washington state local education agencies to alleviate supply chain issues between school year 2022-23 and 2023-24. Four rounds of funding were distributed via the Washington Integrated Nutrition System (WINS); September 2022, January 2023, September 2023, and January 2024. To receive funds, Local Education Agencies (LEA) must have opted in to each round by providing an attestation or responding to a survey.
To see the full amount of SCA funds your LEA received:
Supply Chain Assistance Funds Performance Period
SCA funds were intended to be used during the 2023-24 school year. However, we understand that some districts may have not been able to fully expend these funds therefore, LEAs should prioritize spending any remaining SCA funds as soon as possible.
Suggestions for spending remaining funds:
- Identify allowable costs in the 2034-24 school year and journal voucher expenses to SCA funds. For example, JV fluid milk expenditures or domestic produce to SCA funds.
- Plan purchases of minimally processed domestic products that are non-perishable during the summer months or purchase local produce as school begins in August/September.
- LEAs that opted to order Local Food for Washington Schools products in 2024-25 can use SCA funds for this purpose.
Should SCA funds need to be carried over to the 2024-25 school year, LEAs must use the instructions provided in the General Ledger (GL) 828 to account for carryover of SCA funds. LEA business managers are familiar with the GL 828 and can assist with tracking carryover.
Accounting Guidance
SCA funds were to be deposited into the nonprofit school food service account. Guidance was provided for development of a district-specific accounting identifier within account code 98-42-5630 to separate SCA food purchases from other food expenditures. OSPI Program Specialists created sample tracking tools for SCA funds. If you would like these tools, please reach out to your Program Specialist.
Interest Earned on SCA Funds
2 CFR 200.205 states that interest earned amounts up to $500.00 per year maybe retained by the non-Federal entity for administrative expense. Specific guidance for remitting interest can be found in 2CFR 200.205.
The Assistance Listing Number (ALN) for Supply Chain Assistance funds is 10.555. The Federal Award Identification Number (FAIN) is 237WAWA3N8903.
Allowable Costs
Funds must be used to purchase domestic unprocessed, or minimally processed food products for the school meal programs. Labor, supplies, equipment, and administrative expenses are not an allowable use of the funds.
SCA funds must be used exclusively for the purchase of domestic food products that are unprocessed or minimally processed. Examples include:
- Fluid milk or other dairy foods such as cheese and yogurt.
- Fruits and vegetables including 100% fruit juice.
- Grain products such as pasta and rice.
- Meat that is minimally processed; whole, pieces or ground meat.
- Meat alternates; legumes and beans.
- Foods in a variety of minimal processing states; whole, cut, pureed or fresh, frozen, canned, or dried are allowable.
Supply Chain Assistance funds may be used for purchasing costs such as shipping, handling, or packaging (of allowable foods) that are normal costs charged by a vendor. Labor, supplies, equipment, and administrative expenses are not an allowable use of the funds.
LEAs must follow Buy American requirements when ensuring domesticity of food products using SCA funds. The limited exceptions allowed under the Buy American provision may not be used since all products must be domestic.
While there is no requirement to purchase local foods, LEAs are encouraged to consider purchasing foods from local farmers.
OSPI Bulletins previously published for SCA funds:
If you have questions about supply chain assistance funds, please contact:
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