Recovery.gov - Track the Money

ARRA provides $150 million in funding for food purchases and administrative expenses for the TEFAP, available through September 30, 2010. Under ARRA, up to $50 million of that total is designated for administrative costs associated with the distribution of commodities, including up to $25 million in fiscal year 2009. These funds will be used to help food banks, soup kitchens and food pantries provide food assistance to the increased number of individuals seeking it due to recent economic conditions.

TEFAP is a federal nutrition assistance program that is State administered. Given this relationship with the States, FNS will use its regular reporting and monitoring tools to oversee ongoing State agency program operations for TEFAP include monthly financial reports and on-site financial and programmatic monitoring of TEFAP expenditures. These on-site efforts will now include a specific module on the review of ARRA activities. The use of the funds will be monitored by a specific ARRA Standard Form 667, Federal Financial Report, which will be required on a quarterly basis.

State agencies will be required to complete the recipient reporting requirements and ensure the completion of the sub-recipient reporting requirements established by Section 1512 of the Recovery Act and implemented through the guidance issued by OMB on April, 3, 2009. FNS will analyze this data to identify risks and take appropriate oversight actions. FNS will also draw on any audit finding associated with specific ARRA audits conducted by GAO and OIG, using these findings as a source of additional data to identify and then resolve any issues related to implementation.

Each State Agency that administers TEFAP has executed a Federal-State Agreement with FNS that requires the State Agency to comply with federal statutes, regulations, and other directives, especially in regard to the use of federal funding. FNS conducts Management Evaluations (ME) of TEFAP program operations. MEs cover a range of topics including whether funds are being used for their intended purpose. FNS regulations also require that TEFAP state agencies enter into written agreements with local recipient agencies which specify conditions and terms under which foods may be distributed and funds used. FNS regulations also require TEFAP State Agencies to annually review a number of their local recipient agencies for compliance with requirements regarding eligibility determinations, food ordering procedures, storage and warehousing practices, inventory control, reporting and recordkeeping. Current monitoring and oversight provisions will be expanded to include a specific module on the review of ARRA activities.

FNS will modify these existing monitoring activities to address ARRA requirements. This reporting will be supplemented by FNS Regional Offices performing on-site monitoring, based on the risk-assessment model created by FNS as part of ARRA implementation.

All FNS plans, guidance to States, allocation formulas and State-by-State funding allocations, press releases, and performance information are available on the FNS web site in a space dedicated to ARRA implementation: http://www.fns.usda.gov/fns/recovery. In addition to the FNS website, FNS provides updates to the Congress and hunger and nutrition advocacy organizations to ensure they are aware of our activities and to seek their feedback on FNS ARRA activities. FNS also monitors the media for any stories on FNS ARRA activities.

Since ARRA supports and enhances existing programs, the accountability structure related to ARRA implementation mirrors the existing management accountability structure for current operations. Each program is led by a senior manager who reports to one of the Agency’s Associate Administrators. ARRA-related program plans are reviewed weekly by the appropriate Associate Administrator, and FNS holds an ARRA implementation meeting once a week to review progress, identify and resolve barriers to implementation, and discuss means of ensuring transparency.

The FNS ARRA implementation plan includes key outcomes and outputs, milestones, individuals responsible, and timeframes; this plan is available on the FNS web site.

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