School Food Modernization Act

Summary: School Food Modernization Act - Directs the Secretary of Agriculture (USDA) to issue loan guarantees to local educational agencies (LEAs) participating in the school lunch program, tribal organizations, or consortia of such entities to finance the construction, remodeling, or expansion of infrastructure or the purchase of durable equipment that will facilitate their provision of healthy meals through the school breakfast and lunch programs. Requires the Secretary to give a preference to applicants that, compared with other applicants, demonstrate a substantial or disproportionate need for food service infrastructure or durable equipment. Prohibits a loan guarantee from covering more than 90% of a loan's principal. Amends the Child Nutrition Act of 1966 to direct the Secretary to award competitive grants to assist LEAs participating in the school lunch program, tribal organizations, or consortia of such entities in purchasing the durable equipment and infrastructure they need to serve healthier meals and improve food safety. Gives grant priority to applicants that serve a high percentage of students eligible for free or reduced price meals under the school lunch program. Directs the Secretary to award competitive matching grants to experienced third-party training institutions to provide school food service personnel with the training and technical assistance they need to meet updated school lunch program nutrition standards.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``School Food Modernization Act''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Durable equipment.--The term ``durable equipment'' 
        means durable food preparation, handling, cooking, serving, and 
        storage equipment.
            (2) Eligible entity.--The term ``eligible entity'' means--
                    (A) a local educational agency operating a school 
                lunch program;
                    (B) a tribal organization; or
                    (C) a consortium that includes a local educational 
                agency described in subparagraph (A), a tribal 
                organization, or both.
            (3) Infrastructure.--The term ``infrastructure'' means a 
        food storage facility, kitchen, food service facility, 
        cafeteria, dining room, or food preparation facility.
            (4) Local educational agency.--The term ``local educational 
        agency'' has the meaning given such term in section 9101 of the 
        Elementary and Secondary Education Act of 1965 (20 U.S.C. 
        7801).
            (5) School lunch program.--The term ``school lunch 
        program'' means the school lunch program established under the 
        Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et 
        seq.).
            (6) Tribal organization.--The term ``tribal organization'' 
        has the meaning given the term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b).
            (7) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.

SEC. 3. LOAN GUARANTEE FOR ASSISTANCE TO SCHOOLS FOR INFRASTRUCTURE 
              IMPROVEMENTS AND DURABLE EQUIPMENT NECESSARY TO PROVIDE 
              HEALTHY MEALS THROUGH SCHOOL FOOD PROGRAMS.

    (a) Authority To Guarantee Loans.--The Secretary of Agriculture 
shall issue a loan guarantee to an eligible entity for purposes of 
financing the construction, remodeling, or expansion of infrastructure 
or the purchase of durable equipment that the Secretary determines will 
assist such entity in providing healthy meals through the school food 
programs.
    (b) Competitive Basis.--Subject to subsection (c), the Secretary 
shall select eligible entities to receive a loan guarantee under this 
section on a competitive basis.
    (c) Preferences.--In issuing a loan guarantee under this section, 
the Secretary shall give a preference to an eligible entity that, 
compared with other eligible entities seeking a loan guarantee under 
this section, the Secretary determines demonstrates substantial or 
disproportionate need for--
            (1) infrastructure improvement; or
            (2) durable equipment need or impairment.
    (d) Oversight.--The Secretary shall establish procedures to enable 
the Secretary to oversee the construction, remodeling, or expansion of 
infrastructure or the purchase of durable equipment for which a loan 
guarantee is issued under this section.
    (e) Guarantee Amount.--A loan guarantee issued under this section 
may not guarantee more than 90 percent of the principal amount of the 
loan.
    (f) Use of Commodity Credit Corporation.--The Secretary shall use 
the funds, facilities, and authorities of the Commodity Credit 
Corporation to carry out this section.

SEC. 4. EQUIPMENT GRANT PROGRAM.

    Section 7 of the Child Nutrition Act of 1966 (42 U.S.C. 1776) is 
amended--
            (1) by redesignating subsection (j) as subsection (k); and
            (2) by inserting after subsection (i), the following:
    ``(j) Equipment Grants.--
            ``(1) In general.--Beginning fiscal year 2015 and subject 
        to the availability of appropriations, the Secretary shall make 
        grants, on a competitive basis, to eligible entities to assist 
        such entities in purchasing the durable equipment and 
        infrastructure needed to serve healthier meals and improve food 
        safety.
            ``(2) Priority.--In awarding grants under this subsection, 
        the Secretary shall give priority to eligible entities serving 
        a high percentage of students eligible for free or reduced 
        price under the Richard B. Russell National School Lunch Act.
            ``(3) Definitions.--For purposes of this subsection:
                    ``(A) Durable equipment.--The term `durable 
                equipment' means durable food preparation, handling, 
                cooking, serving, and storage equipment.
                    ``(B) Eligible entity.--The term `eligible entity' 
                means--
                            ``(i) a local educational agency operating 
                        a school lunch program;
                            ``(ii) a tribal organization; or
                            ``(iii) a consortium that includes a local 
                        educational agency described in clause (i), a 
                        tribal organization, or both.
                    ``(C) Infrastructure.--The term `infrastructure' 
                means a food storage facility, kitchen, food service 
                facility, cafeteria, dining room, or food preparation 
                facility.''.

SEC. 5. TRAINING AND TECHNICAL ASSISTANCE FOR SCHOOL FOOD SERVICE 
              PERSONNEL.

    (a) In General.--The Secretary shall carry out a grant program 
under which the Secretary shall award grants, on a competitive basis, 
to provide support to eligible third-party training institutions 
described in subsection (b) to develop and administer training and 
technical assistance for school foodservice personnel to meet updated 
nutrition standards under section 4(b)(3) of the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1753(b)(3)) for the school food 
programs.
    (b) Criteria for Eligible Third-Party Institutions.--The Secretary 
shall establish specific criteria that eligible third-party training 
institutions shall meet to receive grants under this section, which 
shall include--
            (1) a demonstrated capacity to administer effective 
        training and technical assistance programming to school 
        foodservice personnel;
            (2) prior, successful experience in providing or engaging 
        in training and technical assistance programming or applied 
        research activities involving eligible entities, school food 
        service administrators, or directors;
            (3) prior, successful experience in developing relevant 
        educational training tools or course materials or curricula on 
        topics addressing child and school nutrition or the updated 
        nutrition standards under section 4(b)(3) of the Richard B. 
        Russell National School Lunch Act (42 U.S.C. 1753(b)(3)); and
            (4) the ability to deliver effective and cost-efficient 
        training and technical assistance programming to school 
        foodservice personnel at training sites that are located within 
        a proximate geographic distance to schools, central kitchens, 
        or other worksites.
    (c) Program Assistance.--The Secretary shall assist the 
institutions receiving grants under this section in publicizing and 
disseminating training and other project materials and online tools 
wherever possible.
    (d) Federal Share.--
            (1) In general.--The Federal share of costs for training 
        and technical assistance funded through a grant awarded under 
        this section shall not exceed 90 percent of the total cost of 
        such training and technical assistance.
            (2) Matching.--As a condition of receiving a grant under 
        this section, the eligible third-party training institution 
        shall provide matching support in the form of cash or in-kind 
        contributions.
    (e) Oversight.--The Secretary shall establish procedures to enable 
the Secretary to--
            (1) oversee the administration and operation of training 
        and technical assistance funded through grants awarded under 
        this section; and
            (2) ensure that such training and assistance is operated 
        consistent with the goals and requirements of this Act.

SEC. 6. REPORT TO CONGRESS.

    Not later than one year after funds are made available to carry out 
this Act, and annually thereafter, the Secretary shall submit to 
Congress a report on the Secretary's progress in implementing the 
provisions of this Act.

SEC. 7. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as may be 
necessary to carry out this Act for fiscal year 2014 and each 
succeeding fiscal year.