Child Care Meal Rates Get CPI Bump for 2027
Published Date: 7/27/2026
Notice
Summary
This notice announces the annual adjustments to the national average payment rates for meals and snacks served in child care centers, outside-school-hours care centers, at-risk afterschool care centers, and adult day care centers; the food service payment rates for meals and snacks served in day care homes; and the administrative reimbursement rates for sponsoring organizations of day care homes, to reflect changes in the Consumer Price Index. Further adjustments are made to these rates to reflect the higher costs of providing meals in Alaska, Guam, Hawaii, Puerto Rico, and Virgin Islands. The adjustments contained in this notice are made on an annual basis each July, as required by the laws and regulations governing the Child and Adult Care Food Program.
Analyzed Economic Effects
4 provisions identified: 3 benefits, 0 costs, 1 mixed.
Higher Meal Payments for Child Care Centers
From July 1, 2026 through June 30, 2027, national average payment rates for meals and snacks served in child care centers and adult day care centers are increased to reflect a 3.54% change in the Consumer Price Index. For example, in the contiguous States breakfast paid rate is $0.42 (up $0.02), lunch/supper paid rate is $0.45 (up $0.01), and snack paid rate is $0.12 (up $0.01); Alaska and Guam/Hawaii/Puerto Rico/Virgin Islands have higher listed rates.
Increased Day Care Home Food Payments
For July 1, 2026 through June 30, 2027, food service payment rates for day care homes are increased reflecting a 2.74% CPI change. For contiguous States, Tier I breakfast is $1.74 (up $0.04), Tier II breakfast is $0.62 (up $0.01); Tier I lunch/supper is $3.31 (up $0.09) and Tier II lunch/supper is $1.99 (up $0.05); snack payments and higher Alaska and territory rates are listed similarly.
Higher Sponsor Administrative Reimbursements
Monthly administrative reimbursement rates to sponsoring organizations of day care homes are increased for the period July 1, 2026 through June 30, 2027 to reflect a 4.25% CPI change. For contiguous States the monthly payments per sponsored home are: initial 50 homes $157 (up $7), next 150 homes $119 (up $4), next 800 homes $93 (up $4), and each additional home $82 (up $3); Alaska and territories have higher listed amounts.
Territory Differentials, USDA Foods, and Rounding Rules
The notice also states reimbursements for Alaska, Guam, Hawaii, Puerto Rico, and the Virgin Islands are higher than contiguous States and that the District of Columbia uses contiguous States figures; all rates are rounded down to the nearest cent and are adjusted annually each July. The published payment rates do not include the value of USDA Foods or cash-in-lieu of USDA Foods, which institutions receive separately.
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