Rights Reserved. SHOW ME THE MONEY! · SHOW ME THE MONEY! Mike Birkmeyer Section Chief, Food...
Transcript of Rights Reserved. SHOW ME THE MONEY! · SHOW ME THE MONEY! Mike Birkmeyer Section Chief, Food...
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ANNUAL NATIONAL CONFERENCE SALT LAKE CITY, UTAH JULY 12-15, 2015
Explore. Discover. Inspire.
SHOW ME THE MONEY!
Mike Birkmeyer Section Chief, Food Distribution
Maryland State Department of Education Co-Chair ACDA Processing Committee
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OBJECTIVES How Entitlement is Determined
What Effects Entitlement During School Year
Why Entitlement Changes During School Year
Ideas For Maximum Entitlement Usage
Learn Something New
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WHY IMPORTANT?
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WHAT ALLOWED TO SPEND
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ENTITLEMENT Planned Assistance Level
Allocation
Commodity Budget
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ENTITLEMENT IS STATE PROPERTY Managed By USDA as a State Total
Fairly and Equally Distributed
Planned Assistance Level
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ENTITLEMENT Claimed Lunches
X
Commodity Rate
= Entitlement
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CLAIMED LUNCHES
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COMMODITY RATE Based on Consumer Price Index
Official July 1st
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12 PER CENT
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RICHARD RUSSELL ACT 12 Per Cent of all NSLP Reimbursements Must Be
USDA Foods.
4- 6 Cents
Added To Commodity Rate
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ENTITLEMENT Claimed Lunches
X
Commodity Rate
+ 12%
= Entitlement
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ESTIMATES Lunches
Rate
Prices
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RECONCILIATIONS July Actual Commodity Rate Published
October Actual Lunch Reconciliation
November Prior Year Reconciliation
Last Purchase Price Weekly
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TWO YEAR PROCESS SY14
Lunches decreased 1000
1000 x .305=305.0
305 Over Entitlement
SY15
Same Lunch Decrease
305 + 305 Carryover From SY15
610 Over Entitlement
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MANAGING ENTITLEMENT March Requisition Consolidation
July Processor Carryover Inventory Reallocation
October MSNA Show and Schools Meeting
December USDA Foods Processing Show
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TRACKING SPENDING
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USDA BUYING SCHEDULE Beef/Poultry/Cheese Monthly
-Processors Control Delivery Dates
Fruits and Vegetables Less Frequently
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WHY IMPORTANT? Frequency of Price Changes
Ability To Adjust Orders
More Flexibility Earlier In Year
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ENTITLEMENT DRAWDOWN States
Actual Prices
Average Purchase Price
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ENTITLEMENT DRAWDOWN Schools
Actual Prices
November 15th Prices
Market Prices
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SCHOOL YEAR 2015 VARIANCES
November 15th Prices Actual Entitlement Drawdown Bulk Chicken .85 lb
Bulk Turkey 1.08 lb
Green Beans .3655lb
Applesauce .4947 lb
Sliced Peaches .7009lb
Bulk Chicken .95-.98lb
Bulk Turkey 1.24lb
Green Beans .36-.40lb
Applesauce .47-.49lb
Sliced Peaches .91lb
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2.42 ORDERED VS 2.23 NOV 15 VS 3.80 ACTUAL
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ACTUAL BEEF PRICES Desc. Status Text Requested Del. Date Requested Qty. Sales Unit Cost / LB
BEEF COARSE GROUND FRZ CTN-60 LB Order Received 08/15/2014 42,000.000 LB 2.96
BEEF COARSE GROUND FRZ CTN-60 LB Order Received 09/15/2014 42,000.000 LB 3.35
BEEF COARSE GROUND FRZ CTN-60 LB Order Received 09/30/2014 42,000.000 LB 3.48
BEEF COARSE GROUND FRZ CTN-60 LB Order Received 10/15/2014 42,000.000 LB 3.68
BEEF COARSE GROUND FRZ CTN-60 LB Order Received 11/15/2014 42,000.000 LB 3.80
BEEF COARSE GROUND FRZ CTN-60 LB Order Received 12/15/2014 42,000.000 LB 3.54
BEEF COARSE GROUND FRZ CTN-60 LB Order Received 01/15/2015 42,000.000 LB 3.42
BEEF COARSE GROUND FRZ CTN-60 LB Purchased 02/28/2015 42,000.000 LB 3.31
BEEF COARSE GROUND FRZ CTN-60 LB Purchased 02/28/2015 42,000.000 LB 3.31
BEEF COARSE GROUND FRZ CTN-60 LB Purchased 02/28/2015 42,000.000 LB 3.31
BEEF COARSE GROUND FRZ CTN-60 LB Approved by SDA 03/15/2015 42,000.000 LB 3.31
BEEF COARSE GROUND FRZ CTN-60 LB Approved by SDA 03/31/2015 42,000.000 LB 3.31
BEEF COARSE GROUND FRZ CTN-60 LB Approved by SDA 03/31/2015 42,000.000 LB 3.31
BEEF COARSE GROUND FRZ CTN-60 LB Approved by SDA 04/30/2015 42,000.000 LB 3.31
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BUDGET VS PURCHASES
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CUT OR ADD $1,000,000 PURCHASES
7 Trucks of Beef
12 Trucks of Cheese
28 Trucks of Chicken
53 Trucks of Applesauce
77 Trucks of Green Beans
100 Trucks of Flour
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I HAVE TO REACH MY ENTITLEMENT EXACTLY
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STATES GET A BONUS FOR BEING UNDER ENTITLEMENT
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TRUE VALUE OF USDA FOODS Value of USDA Food
+
State Charges/Fees
+
Processing Costs/Fees
+
Storage/Handling/Delivery Fees
=
True USDA Foods Value
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EASTERN SHORE POTATOES 12.00 per case USDA Food/18.00 per case Commercial
+ 0 State Fee
+ 4.00 per case Delivery Fee
+ 5.00 per month Storage Fee After 30 Days
17.00 per case USDA Food After 31 Days
22.00 per case USDA Food After 61 Days
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MAXIMUM ENTITLEMENT USAGE
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WHAT WOULD YOU RATHER SAVE?
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BULK FLOUR
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BULK POTATOES
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BULK TOMATO PASTE
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BULK APPLES
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USDA FOOD VALUE PER POUND Bulk Flour 22.6 cents
Potatoes 10.5 cents
Tomatoes 46 cents
Apples 36 cents
Total 1.15
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USDA FOOD VALUE PER POUND Big Four 1.15 Chicken .976
Turkey 1.16
Beef 3.54
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DIVERSIFY “Big Four” 8.5 Million Pounds
Beef 1.5 Million Pounds
Chicken 3 Million Pounds
Pork 750,000 Pounds
Cheese 2.5 Million Pounds
Turkey, Eggs, Peanut Butter, Fish
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DIVERSIFY 48 Trucks Canned/Frozen Fruit
23 Trucks Canned/Frozen Vegetables
$1,000,000.00 DOD Fresh Fruits and Vegetables
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OBJECTIVES How Entitlement is Determined
What Effects Entitlement During School Year
Why Entitlement Changes During School Year
Ideas For Maximum Entitlement Usage
Learn Something New
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THANK YOU!
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