Cathie McCulloughDirector
Food Distribution DivisionFNS/USDA
School Nutrition AssociationLegislative Action Conference
March 2, 2009
Food Distribution Priorities
• Web Based Supply Chain Management Transition
• DoD Fruits & Vegetable Program• USDA Foods Image Improvements
Web Based Supply Chain Management
What Is It?• Web-based replacement for 30-yr old system• Financials – payments, accounting• State Ordering• Purchasing, deliveries
• Domestic and International Programs• Affects USDA, States, some schools and food banks, industry, PVOs, USAID, and MARAD• ECOS functions will be integrated into WBSCM
What will it mean for•States•Schools•Industry
Timeline
DEC 312009
GO LIVE!
APR2009
SYSTEM TESTING BEGINS
SEPT
2009
USER ACCEPTANCE TESTING
SDA ECOS USERS TRAINING
RA ECOS USERS TRAINING
DE
VE
LOPM
EN
T
USDA FoodsDoD Fresh Program
• Funding• 2008 Farm Bill• $56 M SY 2009
• Security Certificates• 16,000 Users• $150 per user• Waiver through June 2010• WE WILL FIND ANOTHER WAY!!
USDA FoodsDoD Fresh Program
• FFAVORS vs. STORES Ordering• Eliminating FFAVORS and replacing with STORES• Waiver to keep FFAVORS until June 2010• WBSCM Ordering
• Prime Vendor Contracts• 32 States have new contracts• 15 States still have old contracts
USDA FoodsRecalls
The Peanut Recall….Big impact in the commercial world…
…Relatively small impact in the world of USDA Foods
USDA FoodsRecalls
Lessons Learned from Beef Recall: Expectation of local level notification…
Fix: Commodity Alert System• Email notices of holds/recalls
• Self register for free on USDA website:
https://www.envoyprofiles.com/USDA-ALERTS
USDA FoodsFarm Bill Benefits
More F&V Money
DOD Fresh Cap Removed
Whole Grain Pilot
USDA FoodBonus SY 2009 Purchases
Cut-up chicken
Bulk Chicken (processing)
Orange juice
Frozen Cherries
Canned Pear Halves
Catfish
USDA FoodsWhole Grain Pilot• Requires purchase and study ($4 million total) of additional whole grain products for school meals
• Whole grain pancakes and tortillas
• Requires acceptability study by September 2011
USDA FoodsTraining Opportunities • ACDA ANC Training Sessions
• SNA ANC USDA “Track” • State Processing Presentations• IOM & FRAC Presentations• NFSMI Satellite Seminar:
USDA Foods, America’s Finest
USDA FoodsImage Improvements
VisionTo increase participation in USDA nutrition
assistance programs by improving public perception of USDA Foods.
• School lunch and commodities cause obesity
• USDA “surplus” commodities are the culprit
• Commodities are low quality
Needs replacing with…Needs replacing with…
USDA FoodsThe Perception
• Healthy Choices and American Grown• Account for 15-20% of school food purchases• Request driven purchases• School districts are not required to accept
items they do not want
USDA FoodsThe Realities
USDA FoodsNutrition Initiatives
• Low sodium canned vegetables• Whole Grain pasta• Parboiled brown rice• Low Sat Fat Soy Bean Oil• Unsweetened Applesauce• Reduced Fat Bakery Mix• Low Fat Meats and Poultry• Reduced Fat Cheeses
Established Stakeholder Team Had several stakeholder roundtables/events Developed Mission Statement, Logo, Materials, Website Established FY 2009 Objectives & Tasks Hired PR Firm to Focus Test Logo & Materials Develop a multi-year Communication Plan
USDA FoodsInitiative Status
USDA FoodsProcurement & Ordering Initiatives
Long term contracts (LTC) to ensure supply require earlier orders and contract awards: • Low Sodium Canned Vegetables LTC orders for delivery July 2009 - June 2010 due Feb 27
• Turkey LTC orders for July - Oct 2009 deliveries: due March 5
• Cheese LTC orders for Jan - Dec 2010 deliveries: due June 30