POLICIES and PROCEDURES

POLICIES and PROCEDURES Standard Agreement As a sponsor of the Child and Adult Care Food Program (CACFP), we act on behalf of the state and federal governments and must carry out the rules and regulations they set for the program as a whole. Our responsibility is to make sure you understand and comply with the regulations so the program will meet state and federal standards at all times. The Standard Program Agreement is a form used statewide by all participating family day care homes and CACFP sponsors. This agreement explains the basic federal requirements for the CACFP. A signed copy of the agreement is kept in your program file by Community Connection for Child Care (CCCC). You must keep your signed copy with your records. Enrollment - child At the time of enrollment with the provider and before any child care is provided, an enrollment form for each child must be created, signed by the parent or guardian, and retained by the provider. Only the parent or guardian may sign the enrollment form. Enrollment forms verify that providers serve meals to children enrolled for care and prevent providers from claiming meals for children who do not exist or are not enrolled in the day care home [7 CFR 226.18(e)]. Enrollment and Non Participation forms are provided by CCCC or may be printed from the WebKIDS online program. Both of these forms are valid for twelve (12) months only. The Enrollment and Non Participation form must be updated as information changes as well as renewed and signed annually by a parent or guardian of the child. Enrollments Regulations require that you submit Child Enrollments within 5 days of a child starting in your care. If you submit your claim and the Enrollment is not submitted with the claim or before the claim arrives, then the child s meals cannot be reimbursed. Enrolling infants: After you have completed the Enrollment form with the child s name, number, etc. be sure to remember to tell us: Who is providing the formula What is the name of the formula? What is the name of YOUR house formula? Section II Page 1

Enrolling school aged children: After you have completed the Enrollment form with the child s name, number, etc. be sure to remember to tell us: What type of school do they attend? (Kindergarten, preschool, etc.) What are their school hours? Do they have a short/minimum day? ALL CHILDREN: If children attend on Saturdays, are their hours different than the rest of the week? If yes, be sure to document the hours on the Enrollment. Enrolling children online: Be sure all information pertaining to the child is recorded in the computer before submitting the enrollment. Mail in the original copy of the Enrollment Form you have printed with the parent s signature in order for the office to activate the enrollment. All Enrollments must be signed with the date that is consistent with the first day of care. If the child begins on the 1st of the month but the parent signs it on the 10th, we are unable to reimburse for the child s meals before the 10th. Keeping Menu Records If the United States Department of Agriculture (USDA) doesn t reimburse CCCC for a meal, we can t reimburse you. USDA only pays for meals that meet the requirements completely. Meals must have all components required by the Department of Agriculture and must meet the required portion amount for each age group as listed on the USDA meal pattern. If a child s diet must deviate from the required meal pattern, the provider must supply CCCC with a Physician s statement or waiver. To let you know how you are doing on the menus, your program monitor will discuss your menus with you on home visits. If you have any meals which are disallowed because they do not meet the USDA requirements, we will mail you a summary explaining any specific problems that were noted. If any of your meals do not meet the requirements, your next check will be smaller than you expected because it will not include payments for ineligible meals. To avoid missing out on your full reimbursement, keep accurate records and serve meals which meet the CACFP requirements. If you have any questions, please feel free to call the office at any time at (661) 861-5200. Regular office hours are from 7:30 a.m. - 5:00 p.m., Monday thru Friday. Section II Page 2

Keeping Attendance & Meal Count Records The Attendance and Meal Count must be recorded daily either at time of service or by the end of the day but never before meal service. Remember to only use #2 pencils. Use only the provided CACFP forms. Remember to date and sign your meal count record before mailing it in to our office. Claim no more than 2 meals and 1 snack or 2 snacks and 1 meal per child per day. The USDA CACFP only reimburses for a total of the three meals for each child Record Retention Retain the required records mentioned above for a period between 37 and 49 months (four years is a best practice). The records must be kept for the following months; a. Month(s) in which meals were served but a claim has not yet been submitted; b. Month(s) claims have been submitted but not paid; c. Months of the current federal fiscal year (October September) that your last claim was paid; and d. Three federal fiscal years (36 months) prior to the current federal fiscal year Only twelve months plus the current month must be maintained and immediately available at the provider s home. The rest of the retained documents must be close enough for you to retrieve within a reasonable amount of time if requested by the sponsor. Records may be kept in hard copy or electronic format, as long as the records are available for review. Section II Page 3

Meal Service Times Meals can only be claimed during the following meal service times Monday thru Saturday (no reimbursement on Sundays or Holidays): Breakfast 5:00 AM to 9:00 AM AM Snack 9:00 AM to 11:00 AM Lunch 11:00 AM to 1:30 PM PM Snack 1:30 PM to 4:00 PM Dinner 4:00 PM to 7:00 PM License Capacity and Shifts Federal and state program regulations state that child care licensing requirements must always be followed for claiming meal reimbursement in the food program. If providers are found to be over capacity, the CACFP is required to notify licensing immediately. CCCC must follow the state policy on capacity. In summary, it states that there should never be more than the licensed number of children at your family day care home at one time. This means that we can only reimburse you up to your licensed capacity for child care. There is one exception to this general rule. If you have actual shifts of child care, we can reimburse you for meals served which appear to go over your licensed capacity. For example, a provider who is licensed for 8 children has shifts of child care. She cares for four school age children before school. They arrive at 6:45 a.m., have breakfast, and leave for school at 7:30 a.m. five preschool children arrive at 8:00 a.m., and they have breakfast too. This provider has served nine children breakfast, but she was never over her licensed capacity for child care. Licensing requirements should always be followed. There should never be more than the licensed number of children at the child care home at one time. HOLIDAY POLICY Community Connection for Child Care is unable to reimburse providers for meals that are served on Sunday or the following holidays : New Years Day Dr. Martin Luther King Jr. Birthday Presidents Day Memorial Day Observed Independence Day Labor Day Veteran s Day Observed Thanksgiving Day Christmas Day Section II Page 4

Claiming Your Own Children Under USDA rules, your own children can be claimed in the food program if they eat with other day care children; are under age 13; and if your own family meets certain income or category guidelines. Each July, the income guidelines are reviewed by congress if there are any changes you will be notified. If you wish to claim your own children, you must submit a provider eligibility application and also enrollment forms for each of your own/foster child(ren). You must renew your application annually. In order to claim your own/foster child(ren), CCCC must have this application on file by the 25th of the month you wish to start claiming your own children on the CACFP. List the names and ages of your own children that you want to claim. List the names and ages of all adult household members. List the total gross income for all household members (before any deductions). This includes your child care income, SSI, child support, eligible programs, etc. If you wish to claim foster children, you will need to complete a separate form for each foster child listing the income/reimbursement received for that child. The provider does not need to list anyone other than the child and themselves on the application. The form and the information on it are confidential. This information may only be made available to designated representatives of our agency, USDA, or CDE/CACFP. Your CACFP monitor will let you know whether or not your children are eligible. If you do not agree with the decision, you may wish to contact us at (661) 861-5200. If your family income or size changes, you must complete a new application. Section II Page 5

Tiering Options FDCHs participating in the CACFP are classified as tier I homes either by location of the home in an eligible area, or by the provider's income. After a home has been classified as tier I, all CACFP meals served to enrolled children are reimbursed at tier I rates regardless of the income of the enrolled child s household. However, if the tier I classification is based on area eligibility, the provider must still submit an income eligibility statement in order to receive reimbursement for meals served to her own children. A tier II FDCH is one that does not meet the criteria for classifying an FDCH as tier I. That is, it is not located in an eligible area, nor is the provider's household income eligible. Tier II FDCHs (those that do not qualify to receive the higher tier I rates) may still receive tier I rates for those children enrolled in their care who are individually determined to be eligible for tier I reimbursement. FDCHs that receive both tier I and tier II reimbursement rates for meals served to enrolled children are referred to as "mixed tier II" homes. The provider will receive tier I rates for meals served to children who have been determined to be eligible based on household size and income or who receive a benefit that makes them categorically eligible for CACFP. The provider will receive tier II rates for meals served to all other children [7 CFR 226.13(d)(3)(i)(ii)(iii) and CACFP Eligibility Guidance for Family Day Care Homes]. Parents or guardians can send income eligibility forms directly to the sponsor, or providers can collect them and send them to the sponsor. If the provider collects the forms, parents or guardians need to complete a written consent form. Because a lot of the information on the forms is private, it is important that we check to make sure they were properly handled. Tier I - all children enrolled will be reimbursed at the Tier I reimbursement rate. Tier II - the provider has four options for reimbursement. 1. Receive Tier II reimbursement for meals served to all enrolled children, or; 2. Send a Parent Eligibility Application to the households for all children enrolled in your care. 3. Send a Parent Eligibility Application only to households of certain children enrolled for care who you know are categorically eligible for Tier I reimbursement based on their participation in a federal or state funded program; or 4. The Tier II provider may choose to fill out a Provider Eligibility Application to determine if they are eligible for Tier I reimbursement based on income, or based on the providers participation in a federal or state funded program If selecting option 2 or 3, have the application returned to our office as soon as possible. Program regulations require that we keep the parent information confidential. Section II Page 6

CLAIMING SCHOOL-AGE CHILDREN FOR LUNCH Remember when school is in session, your enrolled school-age children cannot be claimed for lunch unless: 1) the child is out sick; 2) the school is temporarily closed and/or is not in session. If either of these situations apply, you must complete the CIF form or make a note in your WebKIDS system explaining any dates in question, and with the in and out times. If you make sack lunches for your school-age day care children to bring to school, you cannot claim them on the CACFP. Home Visits Home visits are an important part of food program participation. Providers must permit representatives of the sponsor, CCCC, the state agency, and/or agents of the USDA to review the CACFP operation in your home with either announced or unannounced visits. Failure to do so will result in loss of reimbursement for current month and may result in termination from the CACFP. Providers Must Call: If you will be away from your home at a meal service time closed for the day or have no children in attendance at a meal or snack time if there is a meal you will not be claiming or if going to be on vacation As listed in the program agreement, we are required to visit your home: Within 28 days of the day you begin claiming. A minimum of three visits per fiscal year. Unannounced follow-up visits as needed. Section II Page 7

When conducting a home visit during a meal time, we are required to observe the meal and determine if it meets USDA requirements. We make sure that the meal has each required component, and that enough food was available to meet the minimum required amounts. If the meal did not meet the USDA standards, we must disallow payment of that meal. As needed we will give you suggestions on how to improve your meal service so that you can receive your full reimbursement. We may be required to revisit and observe another meal. At every home visit, we will ask to see your monthly records. We will always expect your records to be kept on a daily basis, and to reflect accurately the number of children and meals you are serving. If forms are not up to date and on CACFP forms, you will be disallowed the number of days you are behind. You may also be found seriously deficient. We will always compare the number of children in your home at the time of the visit to the number of children you claim on a regular basis. There may be times when the number of children in your home might vary (illness, etc.). We will ask about the absences, and expect your meal count to show the variation. We may revisit your home to observe more children in attendance. Monitoring the food program operation is required a minimum of three times a year (home site visits). All visits will be unannounced. Providers claiming suppers or Saturdays will have visits at suppertime and on Saturdays. More frequent unannounced visits are required if: Provider always claims 100% capacity. Record keeping is not current and/or accurate when the monitor visits your home. Program guidelines are not being followed as stated on Standard Agreement form. Remember to contact your monitor if you are going to be away at your meal service time. HOUSEHOLD CONTACT There are some findings that will require us to contact members of the child s family (usually after the review) to verify with the parent or guardian the attendance and enrollment of the child and the specific meal service(s) that the child routinely receives while in care. This is referred to as a household contact [7 CFR Section II Page 8

226.16(d)(5)]. Household contacts can verify that a provider s attendance and meal records are accurate and help explain problems in recordkeeping and other situations that might cause us to question a claim. Examples include: fewer children that are present on the review day than are regularly claimed, records that look like they were completed in advance and situations where a provider is not at home when you arrive for a visit, but the provider claims the meal for reimbursement. Submitting Your Claim - What to Mail - When and Where The top copy of your monthly forms should be sent after the last meal served on the last day of each month to: Community Connection for Child Care Child and Adult Care Food Program 2000 K Street, Suite 110 Bakersfield, CA 93301 Monthly records, which should be mailed to the office, include the following forms: Enrollment forms (for new children) Updated enrollment form / renewal worksheet Attendance/Meal Count CIF form Only claim forms with original signatures (not copies) can be accepted. Please keep only the bottom copy of the above forms. All records considered for your claim must be received on or before the 5th calendar day of the month or your reimbursement may be delayed. If your records are not mailed/submitted on time, your reimbursement will be delayed. Claims received after the 15th of the second month following the month claimed will not be reimbursed. Providers must retain all required records for a period between 37 and 49 months (four years is a best practice). Section II Page 9

How Much Postage? It takes approximately three to four (3-4) first class stamps (please check with your local Post Office for correct postage amounts) to mail a standard claim. If you have infant menus, time-in time-out sheets, or enrollment forms, more postage may be needed. WARNING: Claims submitted to CCCC with postage due are automatically returned by the USPS. Be sure to use the correct amount of postage. PAYMENT RULES Your reimbursement check is based on the records that you turn in to CCCC each month. (Due on or before the 5 th of the month) Sometimes your check might be more or less than you expect. This would happen for a number of reasons: 1. You claimed more children than your license allows 2. You claimed children with no or expired enrollment 3. Your meals did not meet the meal requirements 4. A correction/adjustment of an over/under payment from a previous month 5. Adjustments made based on site visits 6. Meals served to children over age 12 (unless CCCC has a waiver, IEP, etc. for a child or the parent is a migrant worker) 7. Meals which do not meet the USDA meal pattern requirements (unless there is a doctor's special diet statement on file) 8. Meals that have ineligible component items listed 9. Have not submitted CN labels for processed foods served To keep track of your payment, we suggest that you staple your check stub to your copy of the meal count form for that month. This way it is easy to keep track of your reimbursement. Providers must retain all required records for a period between 37 and 49 months (four years is a best practice). Section II Page 10

When to Expect Reimbursement We are able to reimburse you because the state reimburses us on the basis of our monthly claim. If we receive your claim by the 5th of the month, you should receive your check by the 25 th of the month. Payment rates are set by congress every July. You will be notified if there is any change in payment rates. Reasons for Probation, Suspension, or Termination All of the policies and rules in this workbook are important. They are written to help you understand the program regulations so that you can be sure your participation is within the rules of the program. It is important that sponsors like CCCC and family day care homes participating in the program have a partnership based on trust. However, if you break the rules, you should be prepared to bear the consequences of program probation: suspension, or termination (suspension meaning one month off the program). SERIOUS DEFICIENCY PROCESS for DAY CARE HOMES Serious Deficiency Determination Section 226.16(l)(1) of 7 CFR states [t]he sponsoring organization, Community Connection for Child Care (CCCC) must initiate action to terminate the agreement of a day care home for cause if the sponsoring organization determines the day care home has committed one or more serious deficiency (SD) listed in paragraph (l)(2) of this section.... i. Submission of false information on the application; ii. iii. iv. Submission of false claims for reimbursement; Simultaneous participation under more than one sponsoring organization; Non-compliance with the Program meal pattern; v. Failure to keep required records; vi. Conduct or conditions that threaten the health or safety of a child(ren) in care, or the public health or safety; Section II Page 11

vii. viii. ix. A determination that the day care home has been convicted of any activity that occurred during the past seven years and that indicated a lack of business integrity. A lack of business integrity includes fraud, antitrust violations, embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, receiving stolen property, making false claims, obstruction of justice, or any other activity indicating a lack of business integrity as defined by the State agency, or the concealment of such a conviction; Failure to participate in training; or Any other circumstance related to non-performance under the sponsoring organization-day care home agreement, as specified by Community Connection for Child Care (sponsoring organization), California Department of Education (State agency) or the USDA. Serious Deficiency Notice Once the CCCC determines the provider to be SD, the sponsor must issue a timely Serious Deficiency Notice to the provider by a method of delivery that confirms receipt and/or delivery of the notice. A copy of the SD notice must also be sent to the California Department of Education (CDE), Nutrition Services Division (NSD), Program Integrity Unit (PIU). The notice must: Clearly describe the SD finding(s) State the legal basis for each SD finding (cite the SD regulation(s) as well specific provisions in the sponsor/provider agreement and/or regulations that support the SD finding(s)) Inform the provider that voluntary termination from the CACFP will result in proposed disqualification of the provider Specify the corrective action(s) to be taken and the time allotted to correct the SD finding(s) (in accordance with 7 CFR Section 226.16(l)(3)(i)(C), corrective action(s) must be taken as soon as possible, but not to exceed 30 days) \ State that failure to fully and permanently correct each SD finding will result in the proposed termination of the providers CACFP agreement and the proposed disqualification of the provider Notify the provider that there are no appeal rights to the SD determination Inform the provider that program payments will be made during the corrective action period Section II Page 12

As required by 7 CFR Section 226.16(d), sponsors must monitor day care home providers operation of the CACFP. If, during a monitoring visit, the sponsor identifies findings described in 7 CFR Section 226.16(l)(2) and in examining the severity and frequency of the findings determines that the findings do not rise to the level of a serious deficiency, the sponsor must document in their monitoring report the finding(s) and what corrective actions must be taken to resolve the finding(s). The CDE recommends that the sponsor warn the provider in the monitoring report that failure to implement permanent corrective action will result in the initiation of the SD process. The provider, if available, must sign the monitoring report as acknowledgement that the finding(s) and corrective actions have been explained to the provider. A sponsor may choose to also notify the provider of the finding(s), corrective actions, and the warning in a separate letter. Corrective Action As stated above, the sponsor may allow the provider a maximum of 30 days from the receipt date of the SD notice to submit corrective action documents. However, in most situations, providers will be able to implement permanent corrective actions in less time. In accordance with 7 CFR Section 226.16(l)(3)(ii), if the provider corrects the SD finding(s) within the allotted time and to the sponsor s satisfaction, the sponsor must send a notice of Successful Corrective Action, Temporary Deferment of Serious Deficiency to the provider utilizing a method of delivery that confirms receipt and/or delivery of the notice. A copy of the Temporary Deferment notice must also be sent to the PIU and must inform the provider that: Corrective action(s) must be permanent. If corrective action(s) is/are not permanently corrected, the sponsor will immediately propose termination and disqualification of the provider. The provider may not transfer to another sponsoring organization until the current sponsor completes an additional monitoring visit (no later than 180 days after the date of the rescission notice) verifying the provider implemented permanent corrective actions for the SD(s) (reference MB NSD-CACFP-03-2008. If it is found in any subsequent review that any of these serious deficiencies have not been fully and permanently corrected, the sponsor will immediately propose to terminate the provider s agreement for cause and propose to disqualify the provider without any further opportunity for corrective action. Section II Page 13

Health or Safety Violations In accordance with 7 CFR Section 226.16(l)(4), if a provider is cited for a serious health or safety violation by state or local health officials, or by a licensing official, the sponsor must immediately suspend the provider s CACFP participation, even before any formal action has been taken to revoke the provider s license. If the sponsor determines that there is imminent threat to the health or safety of participants in the home, or the provider engages in activities that threaten public health or safety, the sponsor must immediately notify state or local licensing and health authorities and take action that is consistent with the recommendations and requirements of those authorities. If licensing and health authorities recommendations support the issuance of the Combined Serious Deficiency, Suspension, Proposed Termination, and Proposed Disqualification Notice: Imminent Threat to Health or Safety notice to the provider, the sponsor must issue the notice with appeal procedures. These documents must be sent utilizing a method of delivery that confirms receipt and/or delivery of the notice. The sponsor should obtain a copy of the state or local licensing official s report. The report can be used to substantiate the sponsor s suspension action. A copy of the suspension notice must also be sent to the PIU. The notice must: Inform the provider that participation in the CACFP has been suspended and that the provider has been designated as seriously deficient and that the sponsor is proposing termination and disqualification Specify the serious deficiency(ies) found State that participation, including all program payments, will remain suspended until the administrative review is concluded Inform the provider that if the administrative review official overturns the suspension, the provider may claim reimbursement for eligible meals served during the suspension Inform the provider that the termination of their CACFP agreement will result in the placement of the provider on the National Disqualified List (NDL) Inform the provider that if he/she voluntarily terminates their CACFP agreement after receiving the suspension notice, the provider will be terminated for cause and placed on the NDL Section II Page 14

Proposed Termination and Disqualification after SD Temporary Deferment To further provide clarification on the definition of permanent corrective action, according to 7 CFR Section 226.16(l)(3)(i)(c), the sponsor must require the provider to correct their SD(s)...as soon as possible, but not to exceed 30 days. In accordance with 7 CFR Section 226.16(l)(3)(ii), the sponsor must determine shortly after the required corrective action period whether or not the corrective action submitted (and the follow-up review if one is conducted) demonstrates that the provider has implemented corrective action(s), and if so, If the provider corrects the serious deficiency (ies) within the allotted timeframe, the sponsor will notify the provider that the determination of serious deficiency has been temporarily deferred.. Based on the written (and sometimes observed) corrective action, the sponsor must conclude that if the provider were to follow their corrective action plan, they would remain in compliance with program requirements from that date forward. Therefore, if in a future review the same or similar deficiency(ies) are found, the provider has demonstrated that their corrective action plan was not permanently implemented. Accordingly, the sponsor must issue a Notice of Proposed Termination and Proposed Disqualification. Proposed Termination of Agreement If a provider fails to permanently correct the serious deficiency(ies) in the time allotted for corrective action or any time after the original SD notice has been rescinded, the sponsor must issue a Notice of Proposed Termination and Proposed Disqualification to the provider utilizing a method of delivery that confirms receipt and/or delivery of the notice and submit a copy of the notice to the PIU. The notice must: Reference the SD notice and state why corrective action was not acceptable (or state that the provider failed to submit a corrective action document within the time allotted) Offer the provider the opportunity to appeal (7 CFR Section 226.6(l)(2)), including appeal procedures (7 CFR Section 226.16(b)(6)) (Attachment 2, Appeal Procedures for Day Care Homes) Notify the provider that the termination of the provider s CACFP agreement will result in termination for cause and disqualification from the CACFP Notify the provider that voluntary termination of the CACFP agreement after the receipt of the proposed termination/disqualification notice will still result in the proposed disqualification Notify the provider that he/she may continue to participate in the CACFP through the appeal deadline, or, if an appeal is requested, until the hearing officer issues a decision (7 CFR Section 226.16(l)(3)(iii)) Section II Page 15

Hearing Official s Decision The hearing official must be independent and impartial. Although the administrative review official may be an employee or board member of the sponsoring organization, he/she must not have been involved in the action that is the subject of the administrative review or have a direct personal or financial interest in the outcome of the administrative review (7 CFR Section 226.6(l)(5)(iv)). In accordance with 7 CFR Section 226.6(l)(5)(ii), [t]he day care home may retain legal counsel, or may be represented by another person. Therefore, if the provider is represented in an appeal by another person, the hearing official must be sure that all correspondence and communication pertaining to the appeal is done through the individual representing the provider. The hearing official must base his/her decision on the documents and testimony provided by the sponsor and the provider, on the applicable federal regulations, and on the applicable CDE and USDA guidance governing the CACFP. The hearing official must not issue a decision in favor of the provider based solely on the providers promise or agreement to abide by CACFP requirements. The hearing official s decision must be issued to the sponsor and the provider within 30 days from the receipt date of the hearing request. The hearing official s decision must include the documents reviewed, the legal basis(es), and facts supporting the decision. The decision issued by the hearing official is the final determination to be afforded to the provider (7 CFR Section 226.6(l)(5)(v) and (vii)). A copy of the hearing official s decision must be sent to the PIU. Rescission of Serious Deficiency, Proposed Termination, and Proposed Disqualification After Provider Wins Appeal If the hearing official overturns the sponsor s proposed termination and proposed disqualification actions, the sponsor must issue a: Rescission of Serious Deficiency, Proposed Termination, and Proposed Disqualification (after provider wins appeal) (Sample Letter F) Rescission of Serious Deficiency, Suspension, Proposed Termination, and Proposed Disqualification: Imminent Threat to Health or Safety (after provider wins appeal) (Sample Letter J) The letter must be sent to the provider utilizing a method of delivery that confirms receipt and/or delivery of the notice, and a copy of the notice must be sent to the PIU. If the hearing official overturns the sponsor s proposed termination and proposed disqualification actions, and in the future, the sponsor determines that the provider has committed the same or similar serious deficiency, the sponsor cannot move directly to proposed termination and proposed disqualification. Rather, the sponsor must implement the SD process from the beginning. Section II Page 16

Agreement Termination and Disqualification In accordance with 7 CFR Section 226.16(l)(3)(v), if the provider does not submit a timely request for appeal, or if the hearing official upholds the sponsor s proposed actions, the sponsor must immediately terminate the provider s agreement to participate in the CACFP and disqualify the provider from future CACFP participation. If the hearing official upholds the sponsor s proposed actions, the sponsor must issue to the provider one of the following: Notice of Termination and Disqualification (after sponsor wins appeal) Notice of Termination and Disqualification: Imminent Threat to Health or Safety The letter must be sent to the provider utilizing a method of delivery that confirms receipt and/or delivery of the notice, and a copy of the notice must be sent to the PIU The date of the termination and disqualification will be the date of the hearing official s decision. If the provider did not request an appeal, the sponsor must issue to the provider one of the following: Notice of Termination and Disqualification (following failure to appeal) Notice of Termination and Disqualification: Imminent Threat to Health or Safety (following failure to appeal) The letter must be sent to the provider utilizing a method of delivery that confirms receipt and/or delivery of the notice, and a copy of the notice must be sent to the PIU. The effective date will be the day after the appeal deadline. 1. Provider Corrective Action- 226.16(l)(ii)&(iii) Corrective action will result in either: a. The temporary deferment of the serious deficiency determination, if the corrective action is timely and successful; or b. The proposal to terminate the provider s program agreement, if the corrective action is not timely and successful. Section II Page 17

2. Notice of Intent to Terminate- 226.16(l)(iii) The notice of intent to terminate must include the following information: a. The provider s right to an administrative review or appeal of the termination; b. The provider may continue to participate in the CACFP and receive meal reimbursement until the administrative review is concluded; c. The sponsor must immediately terminate the provider s agreement and disqualify the day care home and its principals from participation in the CACFP for a period of seven years, if the sponsor s intent to terminate is upheld by the administrative review; d. Termination of the provider s agreement will result in the provider s termination for cause and disqualification; and e. A provider s voluntary termination of the program agreement after receipt of the notice of intent to terminate will still result in placement on the national disqualified list. 3. Administrative Review- 226.6 (l) The administrative review or appeal process is as follows: a. The procedures must be the same for all day care home providers; b. The provider may retain legal counsel or be represented by another person; c. The provider may review the basis for the serious deficiency determination and refute the determination in writing or request a hearing; d. The administrative review official must be independent and impartial, meaning that the person must not have been involved in the serious deficiency determination or have a personal or financial interest in the review outcome; e. The review official must make a decision based upon the information provided by the sponsor and the provider and the appropriate federal and state laws, regulations, policies, and procedures; f. The review official must inform both the sponsor and provider as to the timeframe for a decision; and, Section II Page 18

g. The decision is the final administrative determination to be afforded to the provider. If the decision is in favor of the provider, the serious deficiency determination will be rescinded. If the decision is in favor of the sponsor, the sponsor must immediately terminate the provider s program agreement and disqualify the provider from future CACFP participation for a period of seven years. The sponsor must also inform the state agency of the provider s termination and disqualification. The state agency will inform the United States Department of Agriculture of the sponsor s action so that the provider may be placed on the national disqualified list. Suspension of Day Care Home- 226.16(l)(4) The provider s main priority is to protect the health and safety of the children in care. If the monitor determines that there is an imminent threat to the health or safety of participants at a day care home, or that the day care home has engaged in activities that threaten the public health or safety, that provider will be suspended. This means that the provider will not receive payment until any Program-appeal activity is completed. If there is an imminent threat to the health or safety of the children in care, the monitor must immediately notify the appropriate State or local child welfare, licensing, and health authorities and take action that is consistent with the recommendations and requirements of those authorities [7 CFR 226.16(l)(4)(viii)]. Additionally, if a sponsor finds out that a State or local health or licensing officials has cited a day care home for a serious health or safety violations, the sponsor must immediately suspend the home s CACFP participation. The sponsor may not wait for formal action on behalf state or local health and/or licensing officials before taking any formal action to revoke the home s licensure or approval. The sponsor will notify the day care home that its participation has been suspended, that the day care home has been determined seriously deficient, and that the sponsor proposes to terminate the day care home s agreement for cause. The sponsor also must provide a copy of the notice to the State agency and follow the procedures outlined in Program regulations [7 CFR 226.16(l)(4)]. Section II Page 19

APPEAL PROCEDURES FOR FAMILY DAY CARE HOMES All day care home providers (hereinafter providers) who receive a notice of intent to terminate and disqualify participation in the Child and Adult Care Food Program (CACFP) for cause have the right to appeal that termination and disqualification and request an administrative review appeal. An appeal is a process by which an impartial hearing official reviews information provided by the CACFP Day Care Home Sponsoring Organization (SO) and the provider to determine if procedures were followed and were within the federal and state laws, regulations, policies, and procedures governing the CACFP. The procedure for an appeal follows. Purpose The CACFP appeal procedure allows providers participating in the program an avenue for appealing the action of their CACFP SO. A provider may appeal (request an administrative review) when the CACFP SO: 1. Proposes termination of the provider s program participation. 2. Proposes to disqualify the provider from future CACFP participation. 3. Suspends the provider s agreement for program participation. Procedure Notification, request, and procedure for hearing: 1. Whenever the SO takes action that will affect the participation of a provider in the CACFP, the SO will inform the provider in writing of the action and the grounds upon which its decision is based. The SO will advise the provider of their right to appeal. 2. Upon receipt of the letter of proposed termination, the provider must submit to the SO a written request for appeal postmarked no later than 15 calendar days from the date the notice of proposed termination was received by the provider. The original and one copy of the appeal request must be sent to the SO via certified mail. The address is as follows: Community Connection for Child Care Child and Adult Care Food Program 2000 K Street, Suite 110 Bakersfield, CA 93301 Attn: Food Program Manager Section II Page 20

Community Connection for Child Care will forward the original copy of the appeal request to the hearing official via certified mail. The hearing official will acknowledge receipt of the request for appeal to both the provider and CCCC (SO) within ten calendar days. This notice must be in writing. 3. The provider may refute the charges (show they are false) by providing written documentation to the hearing official. In order for the provider s request for an appeal to be considered, written documentation must be filed with the hearing official within ten calendar days of the request for appeal. The SO will forward the information to the hearing official no later than five calendar days after the additional written documentation is filed with the SO. The hearing official will review only the written documentation/record unless there are extenuating circumstances, as defined by the hearing official. The provider may select to have a written review, written review with oral argument, or an oral hearing. The hearing official will set the time and place for the review of the provider records and SO records, if there is an oral hearing. 4. In the case of the oral hearing, failure of the provider to appear at a scheduled hearing will forfeit the provider s right to appeal. 5. The provider may represent him/herself, may be represented by another person, or may retain legal counsel. 6. Any information on which the sponsor s action was based will be available to the provider for review. The hearing official will make copies of this information available to the provider, if necessary. 7. The hearing official will make a decision based solely on information provided by the SO, the provider, and on program regulations, federal and state laws, and procedures governing the CACFP and sponsor provider agreement. 8. The provider, the SO s executive director, and the California Department of Education, Nutrition Services Division, must be notified in writing of the hearing official s final decision within 30 days from the date of receipt of the request for appeal. 9. The provider may continue to operate during an appeal of proposed termination unless there is evidence of eminent threat or danger to the health or welfare of the children. 10. Providers continuing to operate while appealing the proposed termination will be reimbursed for any eligible meals served during the period of the appeal. 11. During the period of the review by the hearing official, the SO will not take action to collect or offset any overpayment noted in the termination letter. Section II Page 21

12. The decision by the hearing official is the final administrative decision. There is no further opportunity to appeal to the California Department of Education. 13. If the provider loses the appeal, the termination date of the agreement is the date of the hearing official s decision. 14. The provider will be placed on the National Disqualified List of Providers for period of seven years, or until such time that the SO, in consultation with CDE, determines that the SDs have been corrected. However, if any debt relating to the SDs has not been repaid, they will remain on the list until the debt has been repaid. Appeal Procedure Notice of Suspension Whenever a CACFP SO suspends the participation of a provider for imminent threat to the safety of health of children, the provider must be notified both verbally and in writing that CACFP participation has been suspended; that the day care home is seriously deficient; and that the sponsoring organization proposes to terminate the provider s agreement for cause. The written notification must be sent by certified mail. 1. The notice must specify the serious deficiency (ies) found and state that the provider has the opportunity for an appeal of the proposed termination and disqualification from the CACFP. 2. The written notice must inform the provider that CACFP participation, including all payments, will remain suspended until the appeal is conducted. 3. The written notice must inform the provider that if the hearing official overturns the suspension, the provider may claim CACFP reimbursement for eligible meals served during the suspension. 4. The written notice must inform the provider that termination of the CACFP agreement will result in being listed on the National Disqualified List of providers. The provider will remain on this list for a period of seven years or until such time that the SO, in consultation with CDE, determines that the SD s have been corrected. However, if any debt relating to the SDs has not been repaid, they will remain on the list until the debt has been repaid. 5. The written notice must inform the provider that is (s)he seeks to voluntarily terminate the CACFP agreement after receiving the notice of proposed termination, the provider will still be considered terminated for cause and the SO will propose to place the provider on the National Disqualified List of Providers. Section II Page 22