Procurement
The current procurement system has product specifications that are by design general (in order to
adequately improve competition), that there is very little consistency with the final product from
shipment to shipment due to awards to multiple vendors.
Solutions – USDA Foods information sheets need to reflect all relevant allergen and product information
by DO.
Long term contracting could help with product consistency issues. For example, if there are four salsa
vendors and USDA has an IDIQ contract, could states/SFAs request specific vendors and have USDA
provide those particular products to those specific states. This may enhance purchasing closer to home.
USDA specs that match commercial specs will increase supply, increase vendor participation and help all
parties involved.
USDA Foods should support the current meal pattern as well as any subsequent revisions to the meal
pattern.
SAs should be able to mix products from the same vendor in order to fill the truck and have the same
truck ship NSLP/TEFAP/CSFP shipments on the same truck or have the ability for LTL shipments.
Sometimes it is more advantageous for an RA to procure commercial products as opposed to USDA
Foods due to operational costs.
The current ordering schedule causes SFAs to divert product to processors before the bidding process is
completed.
More best practices from private industry regarding guidance of product acquisition. (USDA needs to
emulate the commercial procurement process.)
Create specifications that allow for compliant products uniform through all FDD programs.
Evaluate the current effectiveness of the current DOD system.
Complaints/Complaint Process
Complaints should have multiple levels (i.e. food safety, packaging and quality, etc.). SAs don’t get any
response or acknowledgement of any resolution to the complaint.
Solutions – Fix the current system. Open the complaint process to RA level. Also, program WBSCM to
send automatic responses as the complaint works its way through the system.
Pasta minimums are too high. Can different pastas (from the same manufacturer) be ordered from the
same truck.
WBSCM should have the ability to allow complaints to be submitted in such a manner that the SO
information is automatically uploaded, instead of having to enter all of the relevant information.
Entitlement
November 15 pricing – inaccurate and causes a host of problems with forecasting, ordering, transfers
and various other issues.
Solution – find a better system to help all involved
End to end ordering
Ordering – what value does the current ordering process add for RAs ordering processed items? By
having RA orders rolled up directly by USDA, this simplifies the process for RAs and facilitates building
trucks electronically rather than having all SFAs consolidate trucks. What value does an SDA provide in
this process? Why are SDAs matching up trucks? Wouldn’t it be more efficient if USDA matched up
trucks? For example, if the minimum truck order to processors was ½ a truck, it would be easy to match
up with other orders.
Lack of consolidation of draw down data from multiple distributors for multiple vendors is neither timely
nor accurate which leads to lack of accurate information.
Solution – Require Agreements as part of the USDA/Processor Agreement and the RA permanent
agreement. Add mandated processor/distributor agreements as part of the NPA and/or SPA.
Processors provide states and lists of distributors with which they have agreements. RAs would not be
able to take delivery from a processor until properly procuring distribution services from a state
approved distributor.
We need to have the entitlement proceed the ordering cycle.
Lack of dependability of USDA Foods makes the system unreliable in difficult to use. (and understand. It
is not transparent.)
Long term contracts should reduce the number of cancelled trucks and ease of use of the program.
Align procurement with operations within the USDA structure. Why is procurement for FDD taking place
in two different agencies?
Purchase FOB source vs. FOB processor. Distribution is a separate contract.
States open surveys once a year. States need to offer more opportunities for RAs to enter orders.
Pathogen standards for beef diverted for processing into fully cooked items must be reviewed.
States do not need to approve SEPDS. Upon approval of SEPDS by USDA, this should be posted to the
website and print enabled. This saves time, eliminates a non-value added task. Therefore potentially
allows additional time for critically needed training.
More RA involvement when products are selected by USDA.
It may be more advantageous for SFAs to procure processed products than USDA.
Identify how AMS can be a more desirable customer to potential vendors.
Entitlement management
The issues of excess inventories needs to be addressed.
Operations
50 states / 50 ways to processing. The fifty different ways to process makes it difficult for processors to
function efficiently and serve RAs. Could USDA have four or five structures that all states would adhere
to or follow?
Food Distribution must be addressed in the SAE formula. (Especially when FDD is in a separate agency
than CN).
We need to find a way to serve both masters better, the agriculture community and child nutrition.
Streamline and simplify the process for RAs to use WBSCM.
Automatic receipting within two days should be addressed.
Improve/streamline/strengthen verification process.
Look at alternative methods for drawing down white/dark inventories (e.g. white barrel cheese model).
Have processor inventories (K-12, Processorlink, etc.) uploaded into WBSCM to allow all parties (USDA,
SA and FA) easier monitoring of inventory.
Have separate material codes for items that are sent to processors and school programs. For example,
peaches that are sent to a processor to be packed in fruit cups should not be sent to processor in #10
cans. The processor should receive a bulk pack of some sort.
Instead of procuring chicken meat in 40# bags to be sent to a processor to be packed in single serve
packs, why not just procure the single serve packs of chicken meat initially.
RA Handbook should include information for school boards which explains timelines for approving bids
and how this affects the school foodservice operation.
Procure all USDA Foods with a consistent identification of dates. For example, all USDA Foods should
have a best if used by date, production date or manufacture date.
Establish parameters for transfers regarding completion date. (i.e. transfers should be completed within
15 days). Some processors delay payment which slows down the transfer process.
The HACCP tool kit is outdated. FDA has updated the food code twice in the last ten years and the
HACCP tool kit has not kept up with current changes.