Feds Hike Payments for School Lunches and Milk
Published Date: 7/24/2025
Notice
Summary
Starting this July, the government is updating how much money it gives schools for lunches, breakfasts, snacks, and milk for kids in special meal programs. These changes reflect rising food costs and include extra help for places like Alaska and Hawaii. Schools and kids in these programs will see new payment rates that help keep meals affordable and tasty all year long!
Analyzed Economic Effects
2 provisions identified: 2 benefits, 0 costs, 0 mixed.
Annual School Meal Payment Updates
Each July, the Federal Government updates the amounts it gives States for lunches, breakfasts, and afterschool snacks served to children in the National School Lunch and School Breakfast Programs. These annual adjustments follow changes in the Consumer Price Index (Food Away From Home) and also update the maximum per-lunch federal reimbursement rate a State can provide a school food authority; adjustments include higher-cost allowances for Alaska, Guam, Hawaii, Puerto Rico, and the Virgin Islands.
Special Milk Program Rate Change
Each July, the Federal reimbursement rate for a half-pint of milk served to non‑needy children in the Special Milk Program is adjusted. That annual change follows the Producer Price Index for Fluid Milk Products and also includes additional adjustments for higher costs in Alaska, Guam, Hawaii, Puerto Rico, and the Virgin Islands.
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