Contract Types and Base Year RFP/Contract
When bidding for FSMC services, the state prototype must be used regardless of what type of contract is bid. To encourage competition and to obtain the best contract possible, LEAs are encouraged to submit their RFP to as many FSMCs as possible. Federal regulations require that LEAs annually submit all new contracts, corresponding bid documents, and/or annual contract extensions to the Missouri Department of Elementary and Secondary Education, Food and Nutrition Services (FNS), for prior approval.
Fixed Price - In a fixed price contract, the FSMC sells a meal for a Fixed Price including their profit and overhead. All costs are known beforehand. Fixed Price contracts require no monitoring of National Volume Discounts and Rebates.
Cost Reimbursable - In a cost reimbursable contract, the FSMC passes along all costs (Food, Labor, etc.) and adds an administrative fixed fee and/or a management fixed fee.; Financial monitoring of this contract is more complex, and the SFA is responsible for ensuring that All National Volume Discounts and Rebates are being passed along.
For the current Fixed Price or Cost Reimbursable RFP, contact Kyle Heislen at email@example.com or 573-522-9849.
Food Service Management Companies approved to bid on RFP's
Guidance and Memos from USDA to State Agency (all documents in pdf format):
- Contracting with Food Service Management Companies: Guidance for Local Education Agencies
- Further Clarification in Crediting for, and Use of, Donated Foods in Contracts with Food Service Management Companies (SP-05-2011)
- Management of Donated Foods in Child Nutrition Programs, the Nutrition Services Incentive Program, and Charitable Institutions (7CFR 250)
- Questions and Answers Clarifying Requirements in the Food Service Management Company Final Rule (FD-080) REVISED 1/25/2011
- Value of Donated Foods for Audits (FD-104)
- Guidance Reaffirming the Requirement that State agencies and School Food Authorities Periodically Review Food Service Management Company Cost Reimbursable Contracts and Contracts Associated with USDA Foods (SP-23-2013)