ODE CNP is responsible for ensuring that schools, districts, and other entities participating in the National School Lunch and School Breakfast Programs comply with federal regulations regarding financial management of their non-profit food service accounts. This includes a requirement that program sponsors limit their net cash resources (i.e. year-end balance) to an amount that does not exceed three months average expenditures for their nonprofit food service programs. Refer to 7 CFR 210.9(b)(2) and 7 CFR 220.7(e)(1)(iv).

Sponsors must first:

1.)    Review the ending balance in the non-profit food service account as of June 30, 2024

2.)    Review total expenditures/operating expenses from the account in school year 23/24

3.)    Divide the total expenditures by the number of months that you operated the NSLP (to include SSO) this will give you your average monthly operating expenses.

4.)    Multiply the average monthly operating expenses by three (Monthly expenses X 3 = Three months average operating expenses)

5.)    Determine if the balance as of June 30th 2024 exceeds three months operating expenses.