Recordkeeping

Financial Recordkeeping for the Child and Adult Care Food Program

In order to remain eligible for the Child and Adult Care Food Program (CACFP), a nonprofit food service must be maintained. The cost to operate the CACFP must be higher than the amount of program reimbursement received. To monitor this status an accrual/cash accounting system to track actual CACFP administrative and food service operations is necessary. This system will be used for annual budget forecasting at application renewal time.

Accrual/Cash Accounting System could be a software program, electronic or paper ledger that tracks the following. View the journal ledger.

CACFP Administrative Expenses

– Administrative salaries and benefits.

– Mileage/travel expenses (include monitoring staff).

– Printing, office supplies, communications.

– Contracted services.

– Staff training.

– Administrative occupancy/utilities.

Food Service (FS) Operating Expenses

– Food service salaries and benefits.

– Food (including delivery charges).

– Purchased vended meals.

– Food service equipment.

– Allowable non-food supplies (used in food service operation).

– Food service occupancy/utilities.

Revenue

– CACFP Reimbursement.

– Cash-in-lieu of U.S. Department of Agriculture (USDA) foods.

– Other funding sources.

Keep a monthly file of the following

• Invoices paid/incurred.

• Bank statements/cancelled checks.

• Timesheets to support payroll.

• Travel logs.