Nutrition
Nutrition Services Incentive Program
The Nutrition Services Incentive Program (NSIP) is not a new
program; it was authorized by Section 311 of the Older Americans
Act (OAA) of 2000, as amended, and has been authorized in one
form or another under the OAA since 1978. Until this year, the
program was administered by United States Department of Agriculture’s
(USDA), which provided cash and/or commodities to supplement
meals provided under the authority of the OAA. The Consolidated
Appropriations Resolution, 2003, Public Law 108-7, amended the
OAA to transfer the NSIP from the USDA to the Administration
on Aging (AoA) within the Department of Health and Human Services
(HHS). As will become clear from the information presented below,
the transfer to AoA does not result in significant changes to
the procedures for administering the program at the state, tribal
and local levels.
Purpose
The NSIP is intended to provide incentives to States and Tribes
for the effective delivery of nutritious meals to older adults.
Agency Participation
State Units on Aging (SUAs) funded through Title III of the OAA
and Indian Tribal Organizations (ITOs) funded through Title
VI of the OAA may receive grants of cash from the AoA and/or
commodities from the USDA to support OAA nutrition programs
Allocation Formula
The NSIP cash or cash and commodity allocation to SUAs and ITOs
is a proportional share of the annual appropriation based on
the number of meals served in the prior year.
2003 Funding
Because of “continuing resolutions” in 2003, the
USDA made two initial distributions, totaling about 39% of the
available grant funds. In April 2003, the AoA provided a third
interim distribution that increased the distribution to approximately
75 percent of the grant funds available to SUAs and ITOs. Another
allotment will be provided during the fourth quarter after the
meal count data and AoA management procedures are finalized.
2004 Funding
During federal fiscal year 2004 and later, the AoA will distribute
an allotment to SUAs and ITOs of about 75 percent of the appropriation
during the first quarter of the federal fiscal year. Another
allotment will be made available in the third quarter. The
remainder of the allotment will be provided at the end of fourth
quarter after adjustments.
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