SECTION 1. FRUIT AND VEGETABLE PILOT PROGRAM.

    Section 18 of the Richard B. Russell National School Lunch Act (42 
U.S.C. 1769) is amended by striking subsection (g) and inserting the 
following:
    ``(g) Fruit and Vegetable Pilot Program.--
            ``(1) In general.--For each of the school years beginning 
        July 2003, July 2004, July 2005, July 2006, and July 2007 the 
        Secretary shall carry out a pilot program to make free fresh 
        and dried fruits and free fresh vegetables available, 
        throughout the school day in 1 or more areas designated by the 
        school, to--
                    ``(A) students in the 25 elementary or secondary 
                schools in each of the 4 States, and in the elementary 
                or secondary schools on the reservation, authorized to 
                participate in the program under this subsection (as in 
                effect on the day before the date of enactment of this 
                subparagraph);
                    ``(B) to the maximum extent practicable, an 
                additional 10,000 students in each State authorized to 
                participate in the program under this subsection (as in 
                effect on the day before the enactment of the this 
                subparagraph);
                    ``(C) to the maximum extent practicable, 20,000 
                students enrolled in schools in each of the States not 
                participating in the program under this subsection on 
                the day before the date of enactment of this 
                subparagraph, as selected by the Secretary; and
                    ``(D) to the maximum extent practicable, 20,000 
                students enrolled in schools operated by tribal 
                organizations.
            ``(2) Selection of schools.--
                    ``(A) In general.--In selecting schools to 
                participate in the pilot program, the Secretary shall--
                            ``(i) to the maximum extent practicable, 
                        ensure that not less than 75 percent of 
                        students selected are from schools in which not 
                        less than 50 percent of students are eligible 
                        for free or reduced price meals under this Act;
                            ``(ii) solicit applications from interested 
                        schools that include--
                                    ``(I) information pertaining to the 
                                percentage of students enrolled in the 
                                school submitting the application who 
                                are eligible for free or reduced price 
                                school lunches under this Act;
                                    ``(II) a certification of support 
                                for participation in the pilot program 
                                signed by the school food manager, the 
                                school principal, and the district 
                                superintendent (or their equivalent 
                                positions, as determined by the 
                                school); and
                                    ``(III) such other information as 
                                may be requested by the Secretary; and
                            ``(iii) for each application received, 
                        determine whether the application is from a 
                        school in which not less than 50 percent of 
                        students are eligible for free or reduced price 
                        meals under this Act.
                    ``(B) Lottery.--
                            ``(i) Schools with substantial free or 
                        reduced price meal eligibility.--Subject to 
                        clauses (iii) and (iv), the Secretary shall 
                        randomly select, from among the schools in a 
                        participating State determined under 
                        subparagraph (A)(iii) to have at least 50 
                        percent of students eligible for free or 
                        reduced price meals under this Act, schools to 
                        participate in the program under this 
                        subsection so as to ensure, to the maximum 
                        extent practicable, that the aggregate number 
                        of students represented by those schools in the 
                        State meets the requirements of this 
                        subsection.
                            ``(ii) Other schools.--Subject to clauses 
                        (iii) and (iv), the Secretary shall randomly 
select, from among the schools in a participating State determined 
under subparagraph (A)(iii) to have less than 50 percent of students 
eligible for free or reduced price meals under this Act, schools to 
participate in the program under this subsection so as to ensure that 
the aggregate number of students represented by those schools, plus the 
aggregate number of students from schools selected under clause (i), in 
the State meets the requirements of this subsection.
                            ``(iii) Insufficient applications.--If, for 
                        any State, the Secretary determines that the 
                        number of schools described in subparagraph 
                        (A)(i) is insufficient to meet the requirements 
                        of this subsection, the Secretary may randomly 
                        select such additional applications from 
                        schools submitting applications under this 
                        subsection as are necessary to meet the 
                        requirements.
                            ``(iv) Applicability to existing 
                        participants.--
                                    ``(I) In general.--Except as 
                                provided in subclause (II), the 
                                schools, States, and reservation 
                                authorized to participate in the pilot 
                                program under this subsection (as in 
                                effect on the date before the date of 
                                enactment of this subparagraph) shall 
                                not be subject to this subparagraph.
                                    ``(II) New students.--Subclause (I) 
                                shall not apply to students authorized 
                                to participate in the program under 
                                paragraph (1)(B).
            ``(3) Notice of availability.--To participate in the 
        program under this subsection, a school shall widely publicize 
        within the school the availability of free fresh and dried 
        fruits and free fresh vegetables under the pilot program.
            ``(4) Reports.--
                    ``(A) Interim reports.--Not later than September 30 
                of each of fiscal years 2004, 2005, 2006, and 2007, the 
                Secretary, acting through the Administrator of the Food 
                and Nutrition Service, shall submit to the Committee on 
                Education and the Workforce of the House of 
                Representatives and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate an interim report 
                that describes the activities carried out under this 
                subsection during the fiscal year covered by the 
                report.
                    ``(B) Final report.--Not later than December 31, 
                2007, the Secretary, acting through the Administrator 
                of the Food and Nutrition Service, shall submit to the 
                Committee on Education and the Workforce of the House 
                of Representatives and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate a report that 
                describes the results of the pilot program under this 
                subsection.
            ``(5) Per student grant.--
                    ``(A) In general.--For each school year during 
                which a school participates in the program under this 
                subsection, the Secretary shall provide to the school 
                $75 for each student, as adjusted under subparagraph 
                (B).
                    ``(B) Adjustment.--The amount of the grant for each 
                student under subparagraph (A) shall be adjusted on 
                July 1, 2004, and each July 1 thereafter, to reflect 
                changes in the Consumer Price Index of the Bureau of 
                Labor Statistics for fresh fruits and vegetables, with 
                the adjustment--
                            ``(i) rounded down to the nearest dollar 
                        increment; and
                            ``(ii) based on the unrounded amounts for 
                        the preceding 12-month period.
            ``(6) Funding.--
                    ``(A) Existing funds.--The Secretary shall use to 
                carry out this subsection any funds that remain under 
                this subsection (in effect on the day before the date 
                of enactment of this subparagraph).
                    ``(B) New funds.--The Secretary shall use such 
                funds made available under section 32 of the Act of 
                August 24, 1935 (7 U.S.C. 612c) as are necessary to 
                carry out this subsection (other than paragraph 4).
                    ``(C) Receipt and acceptance.--The Secretary shall 
                be entitled to receive, shall accept, and shall use to 
                carry out this subsection the funds made available 
                under this paragraph, without further appropriation.
                    ``(D) Availability of funds.--Funds made available 
                under this paragraph shall remain available until 
                expended.
                    ``(E) Reallocation.--The Secretary may reallocate 
                any amounts made available to carry out this subsection 
                that are not obligated or expended, as determined by 
                the Secretary.''.
Amends the Richard B. Russell National School Lunch Act to reauthorize and expand the fruit and vegetable pilot program.
A bill to amend the Richard B. Russell National School Lunch Act to reauthorize and expand the fruit and vegetable pilot program.