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Fees for Electronic Payment Services in the School

On November 1, 2024, the U.S. Department of Agriculture (USDA) issued Policy Memorandum SP 04-2025 Fees for Electronic Payment Services in the School Meal Programs. The memorandum clarifies policy related to fees associated with electronic (online) payments in the School Meal Programs and ensures students who are determined eligible for free or reduced-price meal benefits receive the benefits they qualify for without incurring additional fees. Effective school year (SY) 2027–28, families with students eligible for free or reduced-price meals must not be charged any fees associated with the cost of a meal, including fees for using electronic payment services.

Please note the policy requires school food authorities (SFA) to provide families with at least one free and accessible method of making deposits to a student’s account, even if student’s accounts are only used to purchase a la carte foods. As an alternative, SFA’s may charge online services to the nonprofit school food service account (cafeteria fund) if the service is determined to be reasonable and necessary for the operation of school food service.

A California Department of Education management bulletin is forthcoming.

The USDA policy may be accessed through the USDA food and Nutrition Service webpage External link opens in new window or tab..

If you have questions regarding fees for School Meal Programs, please reach out to the Resource Management Unit at SNPcafefundquestions@cde.ca.gov.

Questions:   Nutrition Services Division | 800-952-5609
Last Reviewed: Friday, January 31, 2025
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