A bill to repeal the nutrition entitlement programs and establish a food stamp block grant program.

Summary: Food Stamp Restoration Act of 2012 - Directs the Secretary of Agriculture (USDA), for each of FY2014-FY2021, to establish a food stamp block grant program under which the Secretary shall make annual grants to each participating state that establishes a food stamp program and submits a specified annual report to the Secretary.

Requires a participating state to certify that its program includes: (1) work requirements; (2) mandatory drug testing; (3) verification of citizenship or lawful U.S. permanent residency; and (4) limitations on the eligible uses of benefits that are at least as restrictive as those in place for the supplemental nutrition assistance program (SNAP, formerly the food stamp program).

Provides a grant to a participating state in an amount equal to the product of: (1) the specified amount made available for the applicable fiscal year, and (2) the proportion that the number of legal residents in the state whose income does not exceed 100% of the poverty line (applicable to a family of the size involved) bears to the number of such individuals in all participating states for the applicable fiscal year.

Requires an annual Government Accountability Office (GAO) audit and report to Congress regarding the effectiveness of the nutritional assistance block grant program and the manner in which each participating state is implementing the program.

Permits a participating state to use the grant in any appropriate manner to provide food stamps to its legal residents.

Authorizes funds to remain available to a state for five years and requires any funds remaining unused after five years to be deposited in the Treasury.)

 Repeals: (1) the Food and Nutrition Act of 2008, effective September 30, 2013; and (2) specified mandatory and direct funding provisions.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Food Stamp Restoration Act of 
2012''.

SEC. 2. FOOD STAMP BLOCK GRANT PROGRAM.

    (a) In General.--For each of fiscal years 2014 through 2021, the 
Secretary of Agriculture (referred to in this Act as the ``Secretary'') 
shall establish a food stamp block grant program under which the 
Secretary shall make annual grants to each participating State that 
establishes a food stamp program in the State and submits to the 
Secretary annual reports under subsection (d).
    (b) Requirements.--As a requirement of receiving grants under this 
section, the Governor of each participating State shall certify that 
the State food stamp program includes--
            (1) work requirements;
            (2) mandatory drug testing;
            (3) verification of citizenship or proof of lawful 
        permanent residency of the United States; and
            (4) limitations on the eligible uses of benefits that are 
        at least as restrictive as the limitations in place for the 
        supplemental nutrition assistance program established under the 
        Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) as of 
        May 31, 2012.
    (c) Amount of Grant.--For each fiscal year, the Secretary shall 
make a grant to each participating State in an amount equal to the 
product of--
            (1) the amount made available under section 3 for the 
        applicable fiscal year; and
            (2) the proportion that--
                    (A) the number of legal residents in the State 
                whose income does not exceed 100 percent of the poverty 
                line (as defined in section 673(2) of the Community 
                Services Block Grant Act (42 U.S.C. 9902(2), including 
                any revision required by such section)) applicable to a 
                family of the size involved; bears to
                    (B) the number of such individuals in all 
                participating States for the applicable fiscal year, 
                based on data for the most recent fiscal year for which 
                data is available.
    (d) Annual Report Requirements.--
            (1) In general.--Not later than January 1 of each year, 
        each State that receives a grant under this section shall 
        submit to the Secretary a report that shall include, for the 
        year covered by the report--
                    (A) a description of the structure and design of 
                the food stamp program of the State, including the 
                manner in which residents of the State qualify for the 
                program;
                    (B) the cost the State incurs to administer the 
                program;
                    (C) whether the State has established a rainy day 
                fund for the food stamp program of the State; and
                    (D) general statistics about participation in the 
                food stamp program.
            (2) Audit.--Each year, the Comptroller General of the 
        United States shall--
                    (A) conduct an audit on the effectiveness of the 
                nutritional assistance block grant program and the 
                manner in which each participating State is 
                implementing the program; and
                    (B) not later than June 30, submit to the 
                appropriate committees of Congress a report 
                describing--
                            (i) the results of the audit; and
                            (ii) the manner in which the State will 
                        carry out the food stamp program in the State, 
                        including eligibility and fraud prevention 
                        requirements.
    (e) Use of Funds.--
            (1) In general.--A State that receives a grant under this 
        section may use the grant in any manner determined to be 
        appropriate by the State to provide food stamps to the legal 
        residents of the State.
            (2) Availability of funds.--Grant funds made available to a 
        State under this section shall--
                    (A) remain available to the State for a period of 5 
                years; and
                    (B) after that period, shall--
                            (i) revert to the Federal Government to be 
                        deposited in the Treasury and used for Federal 
                        budget deficit reduction; or
                            (ii) if there is no Federal budget deficit, 
                        be used to reduce the Federal debt in such 
                        manner as the Secretary of the Treasury 
                        considers appropriate.

SEC. 3. FUNDING.

    (a) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this Act--
            (1) for fiscal year 2014, $40,000,000,000;
            (2) for fiscal year 2015, $40,700,000,000;
            (3) for fiscal year 2016, $41,600,000,000;
            (4) for fiscal year 2017, $42,400,000,000;
            (5) for fiscal year 2018, $43,200,000,000;
            (6) for fiscal year 2019, $44,100,000,000;
            (7) for fiscal year 2020, $45,000,000,000; and
            (8) for fiscal year 2021, $45,900,000,000.
    (b) Discretionary Spending Limit Adjustment.--Section 251(c) of the 
Balanced Budget and Emergency Deficit Control Act of 1985 (2 U.S.C. 
901(c)) is amended--
            (1) in paragraph (3), by striking the figure and inserting 
        ``$1,106,000,000,000'';
            (2) in paragraph (4), by striking the figure and inserting 
        ``$1,126,700,000,000'';
            (3) in paragraph (5), by striking the figure and inserting 
        ``$1,148,600,000,000'';
            (4) in paragraph (6), by striking the figure and inserting 
        ``$1,173,400,000,000'';
            (5) in paragraph (7), by striking the figure and inserting 
        ``$1,199,200,000,000'';
            (6) in paragraph (8), by striking the figure and inserting 
        ``$1,226,100,000,000'';
            (7) in paragraph (9), by striking the figure and inserting 
        ``$1,253,000,000,000''; and
            (8) in paragraph (10), by striking the figure and inserting 
        ``$1,279,900,000,000''.
    (c) Discretionary Cap Adjustment for New Program Spending.--Section 
251A(2) of the Balanced Budget and Emergency Deficit Control Act of 
1985 (2 U.S.C. 901a(2)) is amended--
            (1) in subparagraph (B)(ii), by striking the figure and 
        inserting ``$550,000,000,000'';
            (2) in subparagraph (C)(ii), by striking the figure and 
        inserting ``$560,700,000,000'';
            (3) in subparagraph (D)(ii), by striking the figure and 
        inserting ``$571,600,000,000'';
            (4) in subparagraph (E)(ii), by striking the figure and 
        inserting ``$583,400,000,000'';
            (5) in subparagraph (F)(ii), by striking the figure and 
        inserting ``$596,200,000,000'';
            (6) in subparagraph (G)(ii), by striking the figure and 
        inserting ``$610,100,000,000'';
            (7) in subparagraph (H)(ii), by striking the figure and 
        inserting ``$623,000,000,000''; and
            (8) in subparagraph (I)(ii), by striking the figure and 
        inserting ``$635,900,000,000''.

SEC. 4. REPEALS.

    (a) In General.--Effective September 30, 2013, the Food and 
Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) is repealed.
    (b) Repeal of Mandatory Funding.--
            (1) In general.--Notwithstanding any other provision of 
        law, effective September 30, 2013, the supplemental nutrition 
        assistance program established under the Food and Nutrition Act 
        of 2008 (7 U.S.C. 2011 et seq.) (as in effect prior to that 
        date) shall cease to be a program funded through direct 
        spending (as defined in section 250(c) of the Balanced Budget 
        and Emergency Deficit Control Act of 1985 (2 U.S.C. 900(c)) 
        prior to the amendment made by paragraph (2)).
            (2) Direct spending.--Effective September 30, 2013, section 
        250(c)(8) of the Balanced Budget and Emergency Deficit Control 
        Act of 1985 (2 U.S.C. 900(c)(8)) is amended--
                    (A) in subparagraph (A), by adding ``and'' at the 
                end;
                    (B) in subparagraph (B), by striking ``; and'' at 
                the end and inserting a period; and
                    (C) by striking subparagraph (C).
            (3) Entitlement authority.--Effective September 30, 2013, 
        section 3(9) of the Congressional Budget and Impoundment 
        Control Act of 1974 (2 U.S.C. 622(9)) is amended--
                    (A) by striking ``means--'' and all that follows 
                through ``the authority to make'' and inserting ``means 
                the authority to make'';
                    (B) by striking ``; and'' and inserting a period; 
                and
                    (C) by striking subparagraph (B).
            (4) Other direct spending.--Effective September 30, 2013, 
        section 1026(5) of the Congressional Budget and Impoundment 
        Control Act of 1974 (2 U.S.C. 691e(5)) is amended--
                    (A) in subparagraph (A), by adding ``and'' at the 
                end;
                    (B) in subparagraph (B), by striking ``; and'' at 
                the end and inserting a period; and
                    (C) by striking subparagraph (C).
    (c) Relationship to Other Law.--Any reference in this Act, an 
amendment made by this Act, or any other Act to the supplemental 
nutrition assistance program shall be considered to be a reference to 
the food stamp block grant program under this Act.

SEC. 5. BASELINE.

    Notwithstanding section 257 of the Balanced Budget and Emergency 
Deficit Control Act of 1985 (2 U.S.C. 907), the baseline shall assume 
that, on and after September 30, 2013, no benefits shall be provided 
under the supplemental nutrition assistance program established under 
the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) (as in 
effect prior to that date).