Direct Diversion Processing

Agencies receiving USDA foods through the National School Lunch Program (NSLP) can select direct diversion processing for receiving finished end-products. Direct diversion processing is the process of sending selected bulk raw USDA foods directly to selected processors to process into finished end-products. With this option, each participating agency is directly responsible for selecting their processors and choosing the finished end-products through a procurement process.

School Year 2012-13:

• Direct Diversion
• Bulk Commitments to Processors for SY 2012-13
• Inventory Carry-Over Policy SY 2012-13
• Participating Schools
• Processors Contact Information SY 2012-13
• Processors Participating - List of Bulk and VPT Methods SY 2012-13
• Questions, Answers and Examples
• Timelines for Schools for SY 12-13 Participation
  • Direct Diversion Agreement Between DPI and School - Required - submit to DPI, if participating (this is a read-only copy)

School Year 2011-12:

• Bulk Commitments to Processors for SY 2011-12
• Inventory Carry-Over Policy SY 2011-12
• Participating Schools
• Processors Contact Information SY 2011-12
• Processors Participating - List of Bulk and VPT Methods SY 2011-12
• Questions, Answers and Examples
• Timelines for Schools for SY 11-12 Participation

Basics:

• Commodity Glossary of Terms
• Informal Procurement Handout
• Methods of Substitution
• Procurement Comparison Charts
• Request for Information (RFI) Template
• Value Pass-Through Options
• Yield Methods

Guides\Worksheets:

• Bid Price Prototype Worksheet 1 With VPT Methods
• Bid Price Prototype Worksheet 2 With VPT Methods
• Bid Price Prototype Worksheet 3 With VPT Methods
• Bid Price Prototype Worksheet 3 Instructions
• Direct Diversion Product Specification Samples
• Guide to Calculating Direct Diversion Raw Pound Commitments
• Procurement Sample Language
• Sample Direct Diversion Contract Between SFA and Processor
• Training Powerpoint Presentation

USDA Guidance:

• Commodity Cheese Substitution
• FD-40 Commodity Inventory Reduction at Further Processors
• Fee-For-Service Billing Methods Through a Distributor
• Net Off Invoice Hybrid Value-Pass-Through Method
• Recipient Agency Commodity Processing Handbook - Produced by ACDA
• Soliciting Bids from Commercial Distributors for End Products - USDA Guidance Memo, 2/24/12 and attached memorandum, FD-119

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For questions about this information, contact Antonio D. Ante (608) 266-3615

Last updated on 5/7/2012 2:21:20 PM