D150 should know that there’s no such thing as a free lunch (UPDATED)

Here’s an informational sheet I received from District 150 on the first day of school:

A recent change in federal law allows Illinois, Kentucky and Tennessee school districts with a high poverty population to offer free meals to all students in the approved school. To be eligible and receive reimbursements from the government, a school district must have 40% or more families participating in Federal poverty programs for each school that is approved for the Community Eligibility Option (CEO). CEO is a pilot program for the three states listed above, and once a school is approved to participate, their participation is guaranteed by the Government for at least four years.

That’s right. Because fewer than half of families in a particular school need free or reduced price school lunches, the federal government has developed a program that gives everyone in the school free breakfast and lunch. In District 150, this means 22 out of 28 schools are participating — every school except Richwoods, Lindbergh, Washington Gifted, Kellar, Northmoor, and Charter Oak. So now, the first 15 minutes of the day at Whittier is spent serving kids free breakfast.

Obviously, I have no problem with a program that provides free and reduced price lunches to children in need. But under this program, up to 60% of families who are not at all in need will get free meals. Why? According to a USDA press release, “By streamlining the eligibility and enrollment process, no additional application is required to provide much need nutrition assistance to children in need.” Here’s how another press release expresses it:

“Community eligibility is a great way for schools to cut through burdensome red tape for themselves and low-income families so that children in high-poverty areas have access to the nutrition they need to learn and thrive,” said Agriculture Under Secretary Kevin Concannon. “Schools will benefit from reduced paperwork, parents will not have to fill out duplicative forms, and children in need will get better access to healthy school meals.”

In other words, those in need no longer have to fill out an application form (which the government considers “burdensome red tape”), and the school doesn’t have to process them. But who’s paying for all this convenience? Ultimately, the school district:

Under this option, schools utilize preexisting data to determine the amount of reimbursement they can claim from USDA. The determination is primarily based on the percentage of households in that community who are already participating in the Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program. Schools that utilize this option agree to provide meals to all children free of charge, and USDA reimburses them for the appropriate amount based on this preexisting data. Under this option, schools will still be responsible for paying the remaining difference between the Federal reimbursement amount and the total cost to operate the program. [emphasis added]

So, the federal government is only reimbursing school districts for those 40% or more students who are really in need. The up to 60% of other children that take advantage of the free breakfasts and lunches who are not in need will be paid for by the school district. This seems a high price to pay for eliminating an application form. On WCBU news this morning, it was reported that District 150 is facing a $2 million budget deficit this year.

UPDATE: I asked District 150 Comptroller/Treasurer David Kinney about the costs of this program to the district, and he had this to say:

Yes, we pay the difference [between the Federal reimbursement amount and the total cost to operate the program]. However, what is important is understanding what that “difference” is. With all formulas worked out, the feds will reimburse us 99.2% of the meals served. We are actually hopeful that we will be ahead with that formula for a couple of reasons. First we will be able to save a small amount in typical administrative costs. Second, we will NOT be in a situation with those eligible schools that we will be chasing down kids or families that haven’t paid for their lunches – which is the situation we have had in the past. What has often happened – and happens in many school districts, kids that are not “free” or “reduced” may spend their lunch money on something else and then charge their lunches – or parents didn’t have the money to give. When these charges accumulate, many school districts enact practices to try to collect those funds. For District 150, all those head aches will actually now go away. At a max of 8/10ths of one percent cost to implement this program, we project we will actually come out ahead.

We also think that with the ease of this program, we will serve more lunches and breakfasts to our kids, making for a better day for them.

He brings up another D150 policy that I find bizarre. One day my wife and I discovered that we owed D150 for milk our daughter had purchased on credit. We never gave her permission to buy milk, nor to have any kind of “credit” account. (We send an orange juice, which you can find at sites like https://orangina-na.com/, with her sack lunch, and would have given her milk money if she had asked for it — she never did.) But apparently at District 150, kids can put stuff on their parents’ tab without their parents’ knowledge. Then one day the parents get a surprise bill in the mail for it. It’s a strange economic system indeed that resolves collection problems by ceasing to charge for goods.