State of Wisconsin Department of Public Instruction Elizabeth Burmaster, State Superintendent DATE: June, 2009 TO: All School Food Authorities Participating in the Commodity Program FROM: Lynne Slack and Laura Sime Commodity Team SUBJECT: Bonus Turkey USDA has purchased bulk bonus turkey breast meat to be further processed into several finished end products. The three processors who will be receiving bulk turkey are House of Raeford, JTM and Culinary Standards. Wisconsin’s allocation of bonus turkey at House of Raeford will be processed into turkey deli breast (C305) and some bulk turkey allocated to the direct diversion schools that have contracted with House of Raeford. For the turkey deli breast (C305) ONLY, schools do not need to order this product directly from House of Raeford. This product will be offered on a fair share basis through the commodity internet order system. In addition, invoicing will be handled directly through the commodity system school lunch claim offset method. Any additional bonus turkey deli breast (C305) ordered and received will be in addition to entitlement turkey deli breast (C305) previously ordered on 2009-10 school year annual order. Because this is a bonus commodity, it is available to all school food authorities, regardless of which processing program they participate. Prior to ordering, no bulk pound commitment is necessary; all of the bulk pounds required for each school’ s orders will come out of a National turkey account for each processor. Finished products will be sold on a first come, first serve basis until the inventory at each processor is depleted. Therefore, ordering of the finished end products need to happen quickly. USDA had provided states with procurement guidance regarding the bonus turkey. This guidance states: “We will not require States or school districts to go through a competitive process to take advantage of the finished end products that contain “bonus” turkey produced by House of Raeford, Culinary Standards, or JTM Foods. As long as you agree on price with the processor, you are free to purchase the finished product. However, if 2 or more processors are making like products, a competitive procurement would be in order.” There are two similar items (sliced turkey breast and gravy and turkey breast filling with vegetables) available from both JTM and Culinary Standards. Therefore, procurement is required for schools prior to ordering these two products. However, the $100,000 threshold rule Mailing Address: P.O. Box 7841, Madison, WI 53707-7841 Street Address: 125 South Webster Street, Madison, WI 53703 Telephone: (608) 266-3390 Toll Free: (800) 441-4563 FAX: (608) 267-1052 TDD: (608) 267-2427 Internet Address: dpi.wi.gov is applicable. If a school’s total turkey purchase is less than $100,000, the school is only required to conduct informal procurement. Informal procurement in this case means that the school must contact JTM and Culinary Standards to obtain pricing for the like products. When you are evaluating the pricing, please make sure you are comparing the same pricing structure (processing costs only or is it an inclusive price, which includes all costs the school is responsible for) for both items. In addition, case sizes vary from processor to processor. Therefore, you should determine a serving size price to use for your evaluation. Schools should contact processors direct for any questions, pricing, to place an order, etc. Schools will be responsible for payment of invoices to processor(s) and/or distributor(s) on any turkey products ordered. Please keep in mind that both processors may have minimum ship requirements. Enclosed is the product listing for JTM and Culinary Standards. The contact information is included on this document. Please note: The turkey taco filling listed on the Culinary Standards information is not available to schools.