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Overview of New USDA Food Aid Regulations: Key Changes and Implications

This document outlines the new USDA regulations for food aid programs, highlighting significant changes, additions, modifications, and removals. It discusses the implications of the final rule on organizations involved in food assistance, including guidance improvements, operational efficiencies, and alignment with Federal Acquisition Regulations. Key highlights include the introduction of mid-term evaluations, transparency measures, and participant retention of funds, with clear expectations set for the public. The effective date of these regulations is May 26, 2009, with further guidance forthcoming on the FAS website.

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Overview of New USDA Food Aid Regulations: Key Changes and Implications

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  1. FAS Food Aid Regulations Babette Gainor Deputy Director Food Assistance Division

  2. Agenda • Purpose for new regulations • Changes made in the regulations • Additions • Modifications • Removals • Implications of the Final Rule on your organization

  3. Regulations for USDA Food Aid Programs • 48 CFR Part 470 (USDA Acquisitions) • 7 CFR Part 1496 (Deleted) • 7 CFR Part 1499 (Food for Progress) • 7 CFR Part 1599 (McGovern-Dole) • 7 CFR Part 3019 (USDA Administrative Requirements for Agreements)

  4. Why New Regulations? • Implications of Farm Bill • Improve guidance to public • Provide clear expectations of the public • Contain program constraints and processes within agreements • Incorporate Federal Acquisition Regulation provisions for procurement • Align with USDA grant regulations 7 CFR 3019

  5. Why New Regulations? • Allow for greater transparency through the use of Federal Register Notices • Program solicitation • Training/Meeting invitations • Priority country input/comments • Section 416b availability • Gain efficiencies in operations • Single line of contact • Recognize experience & performance

  6. Highlight of Additions to Regulations • Mid-term and final evaluations (1499.13) • Noncompliance section (1499.14) • Connecting performance of participants between FAS programs • Transparency and use of Part 3019 in program regulations

  7. Highlight of Modifications to Regulations • Allow participants to retain funds from claims (cargo and commodity) • Procurement process • Definitions/terms • Agriculture product • Grants Awards • Recipient Agency Subrecipient • Cooperating Sponsor Participant • Flexible agreement & report format

  8. Highlight of Deletions from Regulations • 7 CFR part 1496 • Use of specific agreement/report formats • Timeframes

  9. Effective Date of Final Rule MAY 26, 2009

  10. Existing Agreements • In General – will follow old regulations that were in existence when participant signed the agreement • EXCEPTIONS: • Provisions contained in 7 CFR 1496 • Provisions contained in 48 CFR 470 • Provisions governed by 7 CFR 3019 • Any changes agreed upon between FAS and participant

  11. Agreements Signed After 5/26 • New regulations will apply in their entirety • Participants should anticipate longer agreement documents • Additional guidance is under development and will be posted to the FAS website

  12. QUESTIONS?

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