Updates on the Coronavirus Food Assistance Program
Under the recently announced Coronavirus Food Assistance Program (CFAP), USDA has created the Food Box Distribution Program (FBDP), which will utilize $3 billion of the CFAP funding to purchase agricultural products. Request for Proposal (RFP) solicitations for the FBDP will begin April 24, 2020. Unlike past USDA food purchases that procured specific commodities, the FBDP is geared toward purchasing family-ready meal boxes that include a variety of commodities (i.e., cooked pork/chicken, salad mix, dairy product).
We are still waiting to hear when the Direct Assistance Program will begin accepting applications, but it is anticipated that USDA will start solicitations in early May, with direct payments beginning as early as late May. The payments will be based on price losses sustained from January 1, 2020 to April 15, 2020, and anticipated price losses from April 15, 2020 through the next two quarters.