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CACFP Income Eligibility Guidance for Adult Day Care Centers

Income Eligibility Determinations

CACFP Income Eligibility Guidance for Adult Day Care Centers


Income Eligibility Determinations

Meal reimbursement rates are based on household size and income, as noted on each Income Eligibility Form (IEF), compared to the current Income Eligibility Guidelines. The three meal reimbursement rates (categories) are free, reduced-price, and paid and are determined as a percentage of the poverty guidelines.

An IEF must be on file at the center for each participant claimed for free and reduced-price meals. If the participant, family member, or legal guardian does not choose to complete the IEF, then the participant must be claimed in the paid category.

Income information must be kept confidential.

If a participant is unable to complete the IEF and if no family member or guardian is available to complete the IEF, the center may complete the IEF on behalf of the participant if the participant is eligible for free meals. A participant is categorically eligible for free meals if he/she is a Medicaid, Supplemental Security Income (SSI), or Supplemental Nutrition Assistance Program (SNAP) recipient. The center must have documentation of the participant’s categorical eligibility on file.

All IEFs must be kept for three federal fiscal years plus the current contract year after the date the final claim for the fiscal year was submitted. If audit findings have not been resolved, the IEF must be kept as long as necessary to resolve the issues raised by the audit.

Effective Dates

Adult day care centers have flexibility concerning the effective date of certification for program benefits. The date to be used to make this determination may be either the date the participant, family member, or legal guardian signed the IEF or the date on which the center representative signs the form to certify the eligibility of the participant. However, if the date of the participant's signature is not within the month of certification or the immediately preceding month, the effective date must be the date the center representative signs the form. Adult day care centers must decide which date they will rely on as the effective date and apply this date consistently to all IEFs received.

  • The IEF should be considered current and valid until the last day of the month, on which the form was approved, signed, and dated by the center representative one year earlier. This means an IEF that was approved on September 12, 2025 is valid until the last day of September 2026. A new IEF must be completed by the participant, family member, or legal guardian in the “anniversary” month each year. Reuse of an expired IEF or use of correction fluid or other means to alter the IEF will invalidate the form.
  • Centers may not re-evaluate old IEFs when new income guidelines are issued in July. In addition, the center may not request that a new IEF be completed sooner than the one-year anniversary. The only exception is if the participant is currently approved in the paid or reduced-price meal category and the household income is reduced, or the household size increases. It may benefit the center to request that another IEF be completed since the household may be approved for a different meal reimbursement rate.
  • If the participant, family member, or legal guardian completes the IEF before the actual date of enrollment for care, the center should collect a new IEF from the participant, family member, or legal guardian if more than two months have lapsed. For example, John Jones completed the IEF in January 2026. However, John did not enroll and start attending the center until May 2026. A new IEF must be completed for John at the time he actually started attending the center since more than two months lapsed between the completion of the form and the actual enrollment date.

The center representative must review, sign, and date the IEF as soon as it is received from the participant, family member, or legal guardian. Failure to do so may result in the reclassification of the participant from the free or reduced category to the paid category.

Participant Letter

The participant letter and a blank IEF must be given to the participant, family member, or legal guardian. The letter and the instructions outline the required information needed for completing the form. This letter is updated each year. Be sure to use the most current participant letter with the IEF.

Pricing programs (centers that charge a separate fee for meals) do not use this participant letter. Contact the Child and Adult Care Food Program (CACFP) office at 800-733-6251 for a copy of the pricing letter.

Income Eligibility Guidelines

The United States Department of Agriculture (USDA) updates the income eligibility guidelines yearly. When reviewing IEFs, use the most current income guidelines.

Once approved for free or reduced-price meal benefits, a participant is eligible for those benefits for one full year after the IEF has been signed and dated, regardless of changes in income or household size that may occur throughout the year. Centers may not re-evaluate IEFs when new income guidelines are issued in July of each year. For example, if a participant, family member, or legal guardian completes an IEF in January 2026, eligibility will be based on income guidelines issued in July 2025. When the new income guidelines are issued in July 2026, the center may not re-evaluate the IEF completed in January 2026 using the new income guidelines. The eligibility must continue to be based on the income guidelines in effect at the time the form was initially completed and reviewed.

If, during a monitoring review, it is found that participants were incorrectly classified or that the IEF has expired, the center will have to repay the CACFP. Therefore, it is very important that IEFs be carefully reviewed.

Meal Reimbursement Rates Information

Meals are reimbursed in adult day care centers according to the meal category (free, reduced-price, or paid) determined by an accurately completed and approved IEF. The meal reimbursement rates are effective from July 1 through June 30. The reimbursement rates include the value of commodities or “cash-in-lieu of commodities,” which facilities receive as additional assistance for each lunch or supper served to participants in the program. The current meal reimbursement rates are located on the CACFP website.

Pricing Programs Only

An institution is operating a pricing program if a separately identifiable charge is made for a meal(s) served to enrolled participants. Federal regulations require that the participant letter contain certain information. A sample letter to the participant for pricing institutions is available upon request from the Missouri Department of Health and Senior Services–Community Food and Nutrition Assistance.