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Rules and Regulations
Vol. 67, No. 205
Wednesday, October 23, 2002
DEPARTMENT OF AGRICULTURE
Food and Nutrition Service
7 CFR Part 250
Codification of Poultry Substitution
and Modification of Commodity
Inventory Controls for Recipient
AGENCY: Food and Nutrition Service,
ACTION: Final rule.
SUMMARY: This rule amends USDA’s
Food Distribution Program regulations.
The rule has two distinct parts. The first
part of the rule allows limited poultry
substitution and full substitution of all
other commodities except for beef and
pork. The second part of the rule
reduces current commodity
recordkeeping and reporting
requirements for some local level
recipient agencies, such as schools.
The Department has operated a
demonstration project program since
Feb. 1, 1996, which has allowed
commercial poultry to be substituted for
commodity poultry in processing.
Substitution of most donated foods with
commercial foods has always been
permitted under current regulations.
Current regulations provide a list of 16
commodities that may be substituted
without the prior approval of the Food
and Nutrition Service (FNS). Any other
commodity, except for meat and
poultry, may be substituted with the
prior written approval of FNS under 7
CFR § 250.30(f)(4) of the current
regulations. Required Certified Public
Accountant (CPA) audits have not
shown any significant problems with
these substitution options. No
substitution of inferior or non-domestic
product has been identified. Therefore,
this rule amends the regulations to
allow limited poultry substi