[Code of Federal Regulations]
[Title 7 Volume 4]
[Revised as of January 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR245.11]

[Page 267-268]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER II--FOOD AND NUTRITION SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 245--DETERMINING ELIGIBILITY FOR FREE AND REDUCED PRICE MEALS AND FREE MILK IN SCHOOLS--Table of Contents
 
Sec. 245.11  Action by State agencies and FNSROs.

    (a) Each State agency, or FNSRO where applicable, shall, for schools 
under its jurisdiction:
    (1) As necessary, each State agency or FNSRO, as applicable, shall 
issue a prototype free and reduced price policy statement and any other 
instructions to ensure that each school food authority is fully informed 
of the provisions of this part. If the State elects to establish for all 
schools a maximum price for reduced price lunches that is less than 40 
cents, the State shall establish such price in its prototype policy. 
Such State shall then receive the adjusted national average factor 
provided for in Sec. 210.4(b); (2) prescribe and

[[Page 268]]

publicly announce by July 1 of each fiscal year, in accordance with 
Sec. 245.3(a), family-size income standards. Any standards prescribed by 
FNSRO with respect to nonprofit private schools shall be developed by 
FNSRO after consultation with the State agency.
    (a-1) When a revision of the family-size income standards of the 
State agency, or FNSRO where applicable, is necessitated because of a 
change in the Secretary's income poverty guidelines or because of other 
program changes, the State agency shall publicly announce its revised 
family-size income standards no later than 30 days after the Secretary 
has announced such change.
    (b) State agencies, and FNSRO where applicable, shall review the 
policy statements submitted by school-food authorities for compliance 
with the provisions of this part and inform the school-food authorities 
of any necessary changes or amendments required in any policy statement 
to bring such statement into compliance. They shall notify school-food 
authorities in writing of approval of their policy statements and shall 
direct them to distribute promptly the public announcements required 
under the provisions of Sec. 245.5.
    (c) Each State agency, or FNSRO where applicable, shall instruct 
School Food Authorities under their jurisdiction that they may not alter 
or amend the eligibility criteria set forth in an approved policy 
statement without advance approval of the State agency, or FNSRO where 
applicable.
    (d) Not later than 10 days after the State agency, or FNSRO where 
applicable, announces its family-size income standards, it shall notify 
School Food Authorities in writing of any amendment to their free and 
reduced price policy statements necessary to bring the family-sized 
income criteria into conformance with the State agency's or FNSRO's 
family-size income standards.
    (e) Except as provided in Sec. 245.10, the State agency, or FNSRO 
where applicable, shall neither disburse any funds, nor authorize the 
distribution of commodities donated by the Department to any school 
unless the school food authority has an approved free and reduced price 
policy statement on file with the State Agency, or FNSRO where 
applicable.
    (f) Each State agency, or FNSRO where applicable, shall, in the 
course of its supervisory assistance, review and evaluate the 
performance of School Food Authorities and of schools in fulfilling the 
requirements of this part, and shall advise School Food Authorities of 
any deficiencies found and any corrective action required to be taken.
    (g) The State agency must notify FNS whether the TANF Program in 
their State is comparable to or more restrictive than the State's Aid to 
Families with Dependent Children Program that was in effect on June 1, 
1995. Automatic eligibility and direct certification for TANF households 
is allowed only in States in which FNS has been assured that the TANF 
standards are comparable to or more restrictive than the program it 
replaced. State agencies must inform FNS when there is a change in the 
State's TANF Program that would no longer make households participating 
in TANF automatically eligible for free school meals.


(Secs. 801, 803, 812; Pub. L. 97-35, 95 Stat. 521-535 (42 U.S.C. 1753, 
1758, 1759(a), 1773, 1778))

[35 FR 14065, Sept. 4, 1970, as amended at 38 FR 14958, June 7, 1973; 
Amdt. 8, 40 FR 57208, Dec. 8, 1975; 44 FR 1364, Jan. 5, 1979; 46 FR 
51368, Oct. 20, 1981; 48 FR 12511, Mar. 25, 1983; 52 FR 19276, May 22, 
1987; 64 FR 50744, Sept. 20, 1999; 64 FR 72474, Dec. 28, 1999]