Department%20of%20Food%20and%20Nutrition

1
Department of Food and Nutrition

• Cost Issues Affecting
• District School Meal Programs

Miami-Dade County Public Schools
2
Miami-Dade, FloridaDepartment of Food
NutritionGuiding Principles

• School Meal Services Breakfast, Lunch, After
  School Snacks, Summer Food Programs, Contracted
  Programs
• Wellness Policy Initiatives Trans-fat free
  foods, healthy vending and nutrition guidelines
• Compliance with Federal, State, Local Regulations
  
• Healthy School Environment
• Fiscal Responsibility

3
Challenges / Costs

• Total Compensation Agreements (Living Wage
  Initiatives)
• Health Insurance Costs
• Rising Costs of Food
• Rising Costs of Energy and Fuel
• Demographic changes shifting family's eligibility
  from free meal approvals to ineligibility for
  meal benefits
• Increased overhead with decreased revenues

4
Miami-Dade County Public SchoolsEnrollment Trend
5
Total Annual Lunches Breakfasts Served
Implementation of Universal Free Breakfast
6
Income Eligibility Guidelines vs. Rising Cost of
Living

• IEGs require annual income lt 22,321 for family
  of 3 to qualify for free meal benefits
• 2004 Census annual median income in Miami-Dade
  34,682, family size 2.84
• Self-Sufficiency standard in Miami-Dade family of
  3 41,156
• Miami determined one of the poorest cities in
  the US

Percentage Below Poverty US Census Detroit 32.5
Cincinnati 27.8 Cleveland 27.0 Miami,
Fla. 26.9
7
Percentage of Student Lunches Served by
Eligibility
2005-2006 Active Students 351,372
2007-2008 Active Students 339,847
Reduced 38,650
Reduced 39,302
?6
Free 203,797
Paid 122,347
Paid 108,925
Free 178,198
?6
8
Rising Cost of Food

• Wellness Policies / Healthier Food Initiatives
• Higher costs of Fruits, Vegetables, Whole Grains
• Reduced revenue from loss of sales of non-healthy
  items (e.g. soda, donuts, pastries)
• Food Costs

2006-2007 2007-2008 Annualized Projected Total Additional Expenditures From Prior Year
Milk, ½ pint carton 0.170 0.259 4,930,515
Whole Grain Breads 1.79 1.86 471,010
Trans Fat Free Margarine per case 12.115 21.960 125,888
Delivery Fees Per Case (fuel charge) 1.95 2.35 635,303
Food price and delivery fee Increases on Mainline Grocery Bid (dry, frozen and refrigerated) 1,930,303
Produce (price and usage) 1,318,139
Total Total Total 9,411,157
9
Miami-Dade County School LunchTurkey Wrap, Mixed
Vegetables, Fresh Grapes, 1 Low-Fat Milk
Food CostMilk 0.25 Mixed Vegetables
0.22 Turkey/Cheese Wrap 0.56
Grapes 0.13 TOTAL 1.16
10
Miami-Dade County School LunchUncrustable,
Juice, 1 Low-Fat Milk, 4 oz. Low-Fat Yogurt
Food CostMilk 0.25Yogurt 0.26Uncrustable
0.33Juice 0.14TOTAL 0.98
11
Additional Costs Per MealLabor Salary,
Fringes,Health Insurance 1.25
12
Rising Labor Costs

1. Adoption of Living Wage
2. Health Insurance Costs

Month of Employees Hourly Rate Avg.

January 08 2,917 10.21
January 07 3,079 8.38
January 06 3,227 8.46

January 08 2,917 Hourly Employees Hourly Employees
2,574 Coverage with Medical Benefits (343 additional employees eligible for medical coverage effective 7/1/08) Coverage with Medical Benefits (343 additional employees eligible for medical coverage effective 7/1/08)

13
Rising Labor Costs Productivity Standards
2005-06 2007-08
Salaries 45,200,000 45,175,595 -Increased productivity -Living wage
Benefits/ Insurance 19,522,000 23,375,672 ? 3.85M
14
Additional Costs Per MealOperating Expenses
Energy, Water, Indirect Costs, Equipment 0.26
15
Additional Costs Per MealSupplies Trays, Cups,
Paper Products, Sanitation Supplies .08
16
Total Cost Per MealFood, Labor, Indirect Costs,
Energy, Equipment, Supplies (average) 2.77
17
Federal Meal Reimbursement Rates
Lunch Prices 2.00 Secondary 1.75 Elementary
18
Initiatives

• Control costs through Menu Changes/Service
  Changes
• Increased Productivity Standards
• Marketing Efforts to Increase student
  participation
• Maximization of Meal Schedules
• Re-evaluation of Universal Breakfast Program (in
  view of increasing food costs and reimbursement
  rates below food cost increases)
• Increase price of school meals to full-price
  customers
• Legislative Action - State and Federal Policies
• Cost Differentials for Urban Districts
• Increased Meal Reimbursement Rates
• Improved Economic Income Eligibility
  Guidelines
• USDA Commodity Allocation for fluid milk

19
District Staffing, Menu Planning, Operations
State/Federal Indirect Costs, Reimbursement
Rates, IEGs, Commodities, Guidelines for Child
Nutrition Funds
20
Miami-Dade County Public SchoolsDepartment of
Food and Nutrition
21

• Miami-Dade County Public Schools
• Department of Food and Nutrition
• 7042 West Flagler Street
• Miami, Florida 33144-2703
• [phone] Fax [phone]