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Sponsor and Provider Permanent Agreement

Nutrition Services Division Management Bulletin

Purpose : Policy, Action Required

To : Child and Adult Care Food Program Day Care Home Sponsors

Attention : Program Operator

Number : CACFP-05-2018

Date : June 2018

Reference : Title 7, Code of Federal Regulations , Section 226.18(b)

Supersedes: Management Bulletin NSD-CACFP-01-2013: Sponsor and Provider Permanent Agreement

Subject : Sponsor and Provider Permanent Agreement

This management bulletin supersedes Management Bulletin NSD-CACFP-01-2013; Sponsor and Provider Permanent Agreement, and notifies Child and Adult Care Food Program (CACFP) day care home (DCH) sponsors that the California Department of Education (CDE) updated the Permanent Agreement between a Sponsor and a DCH Provider (Agreement). Action is required for all DCH Provider Agreements as outlined below, starting October 1, 2018.


The Child Nutrition and Women, Infants and Children Reauthorization Act of 2004 requires DCH sponsors to have Agreements with their providers. The Nutrition Services Division (NSD) previously issued Management Bulletins 05-209 (April 2005), USDA-CACFP-05-2010: Extending Categorical Eligibility Questions and Answers (August 2010), and NSD-CACFP-01-2013 (August 2013) regarding the Agreement, which included details pertaining to the Agreement between DCH sponsors and their providers and a sample updated Agreement.

Sample Agreement Updated 2018

Title 7, Code of Federal Regulations , Section 226.18(b), requires the below to be included in the Agreement and contains the following updates since the 2013 release:

  • Page 1, Item 5—upon request of a Tier II provider, collect applications and determine the eligibility of enrolled children for free or reduced-price meals.
  • Page 2, Item 11—receive approval from the CDE for any time limit for submission of meal records by providers.
  • Page 4, Item 20—allow representatives of the sponsor, the CDE, or the U.S. Department of Agriculture to contact parents as necessary.
Sponsor Action Required

By October 1, 2018, all DCH sponsors must keep and have one of the following on file for each:

  • New provider—a signed updated Agreement at the DCH administrative office.
  • Existing provider—a signed addendum containing the above requirements or the updated Agreement at the DCH administrative office. A signed addendum is considered part of the Agreement.

The updated sample Agreement is available in the Download Forms section of the Child Nutrition Information and Payment System, Form ID DCH 16. The DCH sponsors must ensure their agency is using the most current version of the form.

Note: Unless sponsors elect to include additional requirements in the signed updated Agreement or addendum, sponsors are not required to receive approval from the CDE before executing the Agreement or addendum.

Sponsor Modifications to Agreement

Sponsors that choose to modify and use the sample Agreement must not eliminate any of the sample Agreement requirements. With the CDE’s prior approval, however, sponsors may clarify topics and include additional requirements. Proposed additional requirements must not conflict with any CACFP regulations and policies or create a barrier to provider participation.

Procedure to Request Approval of Time Limits or Modifications to Sample Agreement

To receive written approval of a proposed time limit or a modified Agreement, sponsors must submit a request for approval by email to . The email must include the proposed time limit, and modified Agreement, or both, as an attachment. Allow 30 calendar days for the review and approval of the request(s).


If you have any questions regarding this subject, please contact the NSD DCH Program Specialist assigned to your agency. A list showing your assigned DCH Specialist is available on the CDE CACFP Contact List Web page at . You may also contact Kayla Christensen, Community Nutrition Programs Administration Office Technician, by phone at 916-324-6153 or by email at .

Questions:  Nutrition Services Division | 800-952-5609

This institution is an equal opportunity provider.
Esta institución es un proveedor que ofrece igualdad de oportunidades.