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Additional $1 billion targeted to Food Box Program

USDA has begun issuing agreements for distribution of Food Boxes in the third round of solicitations.

August 26, 2020

3 Min Read
Farmers to Families Food Box USDA milk cheese.jpg
USDA

An additional $1 billion will be invested in the Farmers to Families Food Box Program. The additional funding allows the program to continue support to farmers, distributors, and American families in need. The Farmers to Families Food Box program has provided more than 70 million boxes to hungry Americans across the country.

“I’m so proud of the people of USDA for designing this program in record time. With this additional up to $1 billion in funding, the Farmers to Families Food Box Program will continue to save countless jobs, support our farmers and move food to where it’s needed most,” said Agriculture Secretary Sonny Perdue.

Additionally, USDA announced it has begun issuing agreements for distribution of Food Boxes in the upcoming third round of solicitations. The first two rounds of deliveries began on May 15 and will run to Aug. 31. The third round will put more emphasis on food insecurity by seeking entities that provide combination boxes and requiring distributors to illustrate how they will provide coverage to areas identified as opportunity zones, detail subcontracting agreements, and address the “last mile” delivery of product into the hands of the food insecure population.

As a part of the third round, USDA continues to review proposals and make announcements of Basic Ordering Agreements (BOA). A list of current BOA holders and more information about the third round of Farmers to Families Food Box Program purchases is available at www.ams.usda.gov/selling-food-to-usda/farmers-to-families-food-box.

The additional up to $1 billion funding is part of the Families First Coronavirus Response Act (FFCRA) authorization. Entities that proposed under the previous solicitation, including current vendors, must resubmit a proposal to participate in the third round.

USDA is using BOAs in order to have greater flexibility to ensure contracted entities provide adequate coverage throughout the states and territories. A basic ordering agreement is not a contract but is a written understanding, negotiated between USDA and a company. It establishes terms for future contracts during a specific period, describes what will be provided and how future orders will be priced, issued and delivered under the contract. A BOA does not authorize companies to ship products and does not guarantee future work.

In the ongoing second round of purchasing and distribution, which began July 1 and will conclude Aug. 31, 2020, USDA has purchased more than $1 billion of food, extended contracts of select vendors from the first round of the program worth up to $1.27 billion and approved up to $202 million in new contracts to increase the focus on Opportunity Zones in order to direct food to reach underserved areas, places where either no boxes have yet been delivered, or where boxes are being delivered but where there is additional need.

The first round of purchases totaling up to $1.2 billion occurred from May 15 through June 30, 2020 and saw more than 35.5 million boxes delivered in the first 45 days.

Source: USDA, which is solely responsible for the information provided and is wholly owned by the source. Informa Business Media and all its subsidiaries are not responsible for any of the content contained in this information asset. 

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