CACFP for family child care homes (2026–27 rates)

What CACFP is

The Child and Adult Care Food Program (CACFP) is a USDA program that reimburses eligible child care providers, including licensed or approved family day care homes, for nutritious meals and snacks served to children in care. Federal rules are in 7 CFR Part 226, and a state agency runs the program in each state.

In return, you follow the CACFP meal pattern, keep daily menu and meal-count records, and accept monitoring visits.

2026–27 day care home rates (contiguous states)

USDA adjusts day care home rates every July. The rates below are in effect July 1, 2026 through June 30, 2027, from the USDA notice published in the Federal Register on July 27, 2026 (91 FR 46894, doc. 2026-15071):

• Tier I: breakfast $1.74, lunch or supper $3.31, snack $0.98.
• Tier II: breakfast $0.62, lunch or supper $1.99, snack $0.27.

The notice says these reflect a 2.74% increase in the CPI Food at Home series (May 2025 to May 2026). Alaska, Guam, Hawaii, Puerto Rico and the Virgin Islands have higher rates, listed in the same notice. Georgia, Florida and Texas use the contiguous-state rates. USDA lists all notices on its CACFP reimbursement rates page.

Federal rules generally limit reimbursement in day care homes to two meals and one snack, or one meal and two snacks, per child per day (7 CFR 226.13). Confirm the details with your sponsor.

Tier I vs Tier II

Day care homes are reimbursed at one of two tiers (7 CFR Part 226):

• Tier I homes are generally in an area where school or census data show high need for free and reduced-price meals, or the provider's own household income qualifies.
• Tier II homes are those that do not qualify for Tier I. A Tier II provider may still get Tier I rates for individual children whose households are income-eligible, if the family chooses to share that information.

Your sponsor determines your tier and tells you when it must be re-checked.

You join through a sponsor

Family day care homes do not sign up with USDA directly. They participate through a sponsoring organization, which is usually a nonprofit or public agency approved by the state. The sponsor:

• Enrolls you, determines your tier and trains you on the meal pattern.
• Collects your menus and meal counts (often in an online system) and pays your reimbursement.
• Makes monitoring visits, some of them unannounced.

To find sponsors, contact your state CACFP agency (in Georgia that is DECAL's Nutrition Services; in Florida, the Department of Health; in Texas, the Department of Agriculture). USDA keeps a directory of state agency contacts.

CACFP and your taxes

• Reimbursements are generally business income for a family day care provider. Keep your sponsor's payment statements.
• The IRS standard meal and snack rates for family day care are tied to CACFP Tier I rates in effect on December 31 of the year before the tax year (Rev. Proc. 2003-22). You can use them even if you are a Tier II provider or don't participate in CACFP at all.
• So the Tier I rates above ($1.74 / $3.31 / $0.98), which will be in effect on Dec 31, 2026, are the likely basis for tax year 2027 standard meal rates. That is our reading, not an IRS announcement; wait for Pub. 587 to confirm. For tax year 2026, see our standard meal rates guide.

Keep your CACFP menus and counts. They double as strong support for a food deduction (see audit records).

How to get started

1. Make sure your home is licensed or approved under your state's rules.
2. Call your state CACFP agency or a local sponsor and ask about enrollment and tiering.
3. Complete sponsor training and set up menu and meal-count records.
4. Track reimbursements monthly next to your food costs.