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Advocates have long pressed the state to seek higher federal reimbursements for school lunches and nutrition programs, to better match Hawaii’s high cost of living. That quest was partially fulfilled with a recent update of the U.S. Department of Agriculture’s Food and Nutrition Service reimbursements to Hawaii, projected to bring in an additional $8 million.
“Outlying areas” in the U.S. such as Hawaii and Alaska qualify for higher reimbursements because of higher labor and food costs, but the state’s reimbursement rate has languished at 17% above average payments, while Alaska’s has been 62% above average. The updated Hawaii rate goes into effect July 1, increasing reimbursements to 30% above average.