3300 Disposition Of Unusable Commodities

USDA-donated commodities should always be handled, stored and distributed in such a manner as to minimize the amount of unusable products. Unusable product is food that has become unusable because of infestation or other spoilage; food that is damaged in shipping storage or handling; and/or food that is found to contain foreign matter. Unusable foods shall not be distributed for human consumption and shall be disposed of according to the procedures described below:

3301 Reporting of Unusable Products - All food products distributed through TEFAP are of a perishable or semi-perishable nature. Products may therefore, become unusable during shipment to the distribution area or while in the care of participating organizations. When a product become unusable, it must be reported according to the procedures below.

3301.1 Any quantity of products that have been damaged while in transit to the distribution area must be reported as indicated in Section 3400.

3301.2 Products that have become unusable or have been discovered to be unusable after participating organizations have received or distributed them must be reported. Upon the discovery of unusable products, either by observation or by recipient information, it shall be the responsibility of the participating organization to:

1. Determine the total amount of cases/packages involved (if possible).
   
   
2. Stop distribution of any products that are determined or suspected to be unusable.
   
   
3. Investigate the possible reason for the food becoming unusable and (if possible) correct the problem.
   
   
4. Report within three working days the facts surrounding the incident and the amount of unusable goods to the Regional Director if the amount of the unusable products is in excess of one case or bale. In situations regarding unusable product quantities of less than one case or bale, the participating organization shall document the loss in their inventory records and destroy the products according to the guidelines in Section 3304.

3302 Distribution Area Disposition Activities - For situations in which the unusable food is in excess of one case or bale of products, participating organizations are required to report the quantity involved and the reasons for the food becoming unusable to the Regional Director (See Section 3301). Once a report is received by the Regional Director, the following steps should be taken:

1. Advise the participating organization to maintain adequate care for the products, segregate them from usable products if risk of infestation or contamination exists, and hold products until disposition instructions are given.
   
   
2. Contact the Food Distribution Unit, report the occurrence of the unusable products, and receive disposition instructions.
   
   
3. Coordinate and carry out disposition instructions received from the Food Distribution Unit. (Relay necessary information/instructions to the participating organization(s) which has the unusable food on hand.)
   
   
4. Submit a written summary of the circumstances surrounding the food becoming unusable and the total quantity of products involved. This should include a signed statement from the person(s) who witnessed the destruction of the products. See Section 3304 for destruction details. The summary should clearly identify what delivery date the products came to the management area and also include (if applicable) any health department reports and recommendations as well as any corrective action(s) that have been taken to assure no further food will become unusable.
   
   

3303 Food Distribution Unit Disposition Activities - At anytime in which food has become unusable and a report is submitted by an Regional Director, it shall be the responsibility of the Food Distribution Unit to do the following:

1. Review the circumstances and causes of the food becoming unusable and determine the total amount of food involved.
   
   
2. Determine, based upon the value and quantity of food involved, whether or not food should have a Health Department inspection prior to being destroyed. USDA may make decisions and provide instructions regarding food inspections and product disposal in certain situations.
   
   
3. Determine if the food became unusable do to neglect, carelessness, or willful mishandling on the part of the participating organization and take necessary claim action as stated in Section 5000.
   
   
4. Issue destruction and/or other disposition instructions to the Regional Director.
   
   
5. Report to USDA any and all losses according to USDA requirements.
   
   
6. Monitor statewide incidents of food becoming unusable and when possible adjust TEFAP policies/procedures in order to minimize these occurrences.
   
   

3304 Destruction of Unusable Products - Because of the nature of the products distributed through TEFAP, the packaging of some products and the variations in handling of products prior to distribution, it is expected that some products will become unusable and must be destroyed. Participating organizations shall have authority to destroy unusable products in quantities up to one full case or bale. Any greater quantities must not be destroyed without prior SRS approval (See Section 3302). Inventory records must clearly reflect any quantity destroyed. Any unusable commodities shall be destroyed in the following manner:

1. Destruction of unusable commodities should be accomplished in a manner that will avoid misunderstanding and unnecessary public concern. Products should be removed from cases, bales, and/or packages in which USDA markings are present. This is to ensure that unusable products are not mistaken for usable products.
   
   
2. Unusable products should be cut, shredded, dissolved, buried or destroyed in such a manner as to assure that they cannot be used for human consumption.
   
   
3. The destruction must conform to all Federal, State and local health standards.
   
   
4. If the quantity of unusable food being destroyed is greater than one case or bale, this destruction process must be supervised and witnessed by a person(s) designated by the Regional Director. A signed statement that the unusable products were destroyed in an appropriate manner shall be submitted to the Regional Director from the witness and shall be included in a summary report.