New delivery bags, transporters and trays rarely come out of a regular operating budget. Most Meals on Wheels and senior nutrition programs pay for equipment from a mix of sources: Older Americans Act funds, grants, donations and year-end money that has to be spent. This guide explains the usual options and how to make a request easy to approve.
This is general information, not legal or accounting advice. Your State Unit on Aging and Area Agency on Aging set the final rules for your program, so confirm with them before you buy.
Older Americans Act Title III funds
Most home-delivered meal programs receive Title III-C funding through their Area Agency on Aging (Title III-C2 covers home-delivered meals, III-C1 covers congregate meals). Equipment that keeps meals safe in transit, like thermal bags, meal transporters and REusable trays, is commonly treated as an allowable cost of running the meal program. The 2024 Older Americans Act rules list acquisition and replacement of equipment as a possible allowable use of funds (45 CFR 1321.9(c)(2)(xv)).
Funds flow from the Administration for Community Living to your State Unit on Aging, then to your Area Agency on Aging (AAA), then to your program under its AAA contract. That contract usually decides what you can buy.
- Ask your Area Agency on Aging first. Each state and AAA sets its own rules on what can be bought and whether you need approval in advance.
- Bags, trays and heat units usually count as supplies, not equipment. Under federal grant rules (2 CFR 200), an item is equipment only if it costs $10,000 or more per unit and lasts more than a year. That threshold rose from $5,000 to $10,000 for awards starting on or after October 1, 2024, and your agency may set a lower one. The test is the cost of each unit, not the whole order, so supplies usually mean less paperwork.
- NSIP cash is different. Nutrition Services Incentive Program money may only be used to buy domestically produced food, so plan equipment purchases from other funds.
Before you order, ask your AAA three questions:
- Is this purchase allowed under our contract?
- Does it need approval in advance?
- Which budget line should it be charged to?
Grants and local funders
Equipment is one of the easiest things to fund with a grant, because the need is concrete and the result is easy to show: every meal arrives hot.
- Community foundations, United Way chapters and service clubs (Rotary, Lions, Kiwanis) often fund one-time equipment for local programs.
- Local businesses and hospitals may sponsor a route, a set of bags or a tray program and like being thanked publicly.
- Meals on Wheels America and national partners periodically offer grants to member programs. Check their member resources for current openings.
- Title III-B and state or county funds. ACL notes that Title III-B and/or III-C may be used along with other non-federal funding sources. State and county dollars are often more flexible than federal ones.
Spending year-end or leftover funds
Many programs have money that must be committed by December 31 or by the end of their fiscal year. Equipment is a good use of it, because it serves clients for years. The best time to order is 4–8 weeks before the end of your funding year, when you know what budget is left.
| Funding year | Runs | Order by |
|---|---|---|
| Federal fiscal year | October 1 – September 30 | Early August |
| Most state and county fiscal years | July 1 – June 30 | Early May |
| Calendar-year budgets | January 1 – December 31 | Early November |
Ask your finance office whether funds count as spent on the order date, the invoice date or the delivery date. Rules vary by state.
- Our electric thermal bags are made to order, so order early. You can reserve your equipment now and receive it as it is built.
- In-stock items ship in 1–2 business days.
- We invoice on Net 30 terms for nonprofit and government programs, so you can commit the funds now. Your 30 days start when your order is delivered, not when it ships.
Make the request easy to approve
Whether you are asking your board, your AAA or a funder, the same five things help:
- A clear need. How many routes and meals per day, how long the routes take, and what happens today (meals cooling, worn-out bags, rising disposable tray costs).
- The food-safety reason. Hot food must stay at 135°F or above under the FDA Food Code. Equipment that keeps it there protects your clients and your program.
- A written quote. We provide quotes on our letterhead for boards and grant applications at no charge.
- The long-term savings. REusable trays usually pay for themselves in 6 to 9 months compared with disposables. See our guide to switching to REusable trays.
- The cost per meal. Divide the price by the meals it will carry over its life. Our bags last 5 to 7 years on average. A $190 bag used for 2 meals a day, 250 days a year, for 5 years carries 2,500 meals, about 8 cents a meal.
How much to ask for
Start with a count of what you need. Our guide on how many thermal bags you need walks through it route by route, and the Tray Budget Calculator works out tray quantities and cost.
We can help
Tell us your routes and meal counts and we will put together a recommendation and a written quote you can attach to your request. We accept purchase orders, and tax-exempt programs pay no sales tax.
Request a quote or call 1-800-332-6566 (Mon–Fri, 8–5 Eastern).