USDA issues memo announcing the elimination of online fees for free & reduced lunch

Earlier this month, the U.S. Department of Agriculture’s Food and Nutrition Service issued a memo to schools across the country, announcing the elimination of online processing fees for students eligible for free and reduced meals.

K-12 schools serve meals to about 30 million children every school day. While this policy applies to all students eligible for free or reduced lunch, it will most directly benefit the more than 1 million students who received reduced price school meals, the memo notes. By law, students who are eligible for reduced price meals cannot be charged more than $0.30 for breakfast and $0.40 for lunch. But some families end up paying more than that, by way of processing fees they’re charged when depositing money into their student’s school meals account using an online method. 

While the school year 2027-2028 implementation date is intended to give schools ample time to modify current systems or establish new contracts, USDA is encouraging schools to implement this requirement as soon as possible.

If your district is looking for qualified guidance on navigating school menus and regulatory changes like this one, our team of registered dietitians is here to help.