Quarterly Policy Update: October 2025
October 6, 2025
In the last few months, there have been many actions by USDA, HHS, and Congress impacting Child Nutrition Programs. Over $130 million have been released by USDA and HHS in grant funding and USDA has also opened applications for the Patrick Leahy Farm to School Grant. The administration has also released the Make America Healthy Again Strategy and a USDA reorganization plan, both of which could have effects on child nutrition programs. Second, the government shutdown occurred as lawmakers were unable to reach an agreement on funding for FY26. Keep reading to see what you’ve missed and stay up to date with CACFP policy!
Government Shutdown
On October 1, the government shutdown after lawmakers were unable to reach an agreement on government funding for the next fiscal year.
In response, USDA released a Lapse of Funding Plan to address what programs will continue to operate and funds will continue to flow during the shutdown. USDA States that Child Nutrition Programs operators should continue to be reimbursed for meals served in September and October. However, if the shutdown extends beyond November 1, funding could be delayed. NCA is continuously updating our blog with information on the shutdown.
USDA Updates
Implementation Starts October 1st: CNP Final Rule Updates
Beginning October 1, 2025, the Child and Adult Care Food Program (CACFP) will implement new regulations requiring limits on added sugars in breakfast cereals and yogurts served in child and adult care settings. These updates are part of the Final Rule: Child Nutrition Programs—Meal Patterns Consistent with the 2020–2025 Dietary Guidelines for Americans (DGA), which emphasizes limiting added sugars as a key component of healthy eating. NCA will be hosting a second live event on November 6th to help operators understand these changes: Sweet Changes Ahead: Preparing for CACFP's Added Sugar Rules.
Also beginning October 1, 2025, any schools participating in the NSLP Afterschool Snack Service are required to follow the CACFP meal pattern. To help schools understand the changes taking place, NCA has created an NSLP Snack vs. CACFP At-Risk Afterschool comparison chart.
NCA Comment: USDA Reorganization Plan
Agriculture Secretary Brooke Rollins announced the reorganization of the USDA. Over the next two years, USDA plans to consolidate the FNS Regional Offices from seven to five hubs. During this process, USDA also plans to reduce the number of employees in the DC area from 4,600 individuals to 2,000.
NCA submitted comments to USDA on the reduction in force at the national office, as well as the relocation and reduction in the number of FNS regions. NCA’s comment highlights the reorganizations potential impact on USDA’s ability to provide timely technical assistance, loss of employees with critical programmatic knowledge, and risk to program integrity for Child Nutrition Programs.
FY26 Area Eligibility Map Updated
USDA announced that the CACFP and SFSP Area Eligibility Mapper has been updated for fiscal year 2026. This map can be used to determine the tiering of family child care homes in the CACFP, as well as for every SFSP summer site.
2025-2026 Value
The USDA has released the cash in lieu value of USDA Foods (commodities) for July 1, 2025 - June 30, 2026 in the Federal Register. For July 1, 2025 - June 30, 2026, the value is 30.50 cents per meal. This is an increase of one-half cents from the school year 2025.
Executive Actions
Make Our Children Healthy Again Strategy
The White House released the Make Our Children Healthy Again Strategy Report which outlines actions of the executive branch to address the childhood chronic disease crisis. The Strategy will be implemented by federal agencies, including USDA and HHS, to align existing policies and programs with the Make America Healthy Again (MAHA) agenda. The Strategy highlights CACFP as an important tool for accessing healthy, nutritious meals in child care. Several Strategy policies could impact the CACFP as it calls for a reduction in Ultra-Processed Foods (UPFs) and a prioritization of “whole healthy foods”.
Grant Announcements
Application Open: Patrick Leahy Farm to School Grant
USDA announced that FY26 applications for the Patrick Leahy Farm to School Grant Program have been opened. The Leahy Grant is designed to increase the availability of local foods in child nutrition program (CNP) operations and connect students to the sources of their food through education, taste tests, school gardens, field trips, and local food sourcing for CNP meals. The objective of the FY 2026 Farm to School Grant is to improve access to local foods in eligible CNP sites through comprehensive farm to CNP programming that includes local sourcing and agricultural education efforts.
Award Amount: $100,000 - $500,000
Application Deadline: December 5, 2025
HHS Invests $61.9 Million to Support Nutrition in Head Start
The U.S. Department of Health and Human Services (HHS) announced over $61 million in funding to over 290 Head Start programs to support nutrition services. Approximately 50% of this funding will go towards materials, supplies and equipment, 25% on food service upgrades, and 25% on nutrition education. Recipients will implement their nutrition initiatives over the next year, but this investment will have a long-term impact on Head Start families.
USDA Announces $72.9 Million in Specialty Crop Block Grant Funding
USDA announced $72.9 million in grant funding to states through the Specialty Crop Block Grant Program. The purpose of the SCBGP is to enhance the competitiveness of specialty crops, including fruits, vegetables, tree nuts, dried fruits, horticulture and nursery crops (including floriculture).
For more information contact policy@cacfp.org.