A bill to amend the Food Stamp Act of 1977 to end benefit erosion, support working families with child care expenses, encourage retirement and education savings, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Food Stamp Fairness and Benefit 
Restoration Act of 2007''.

SEC. 2. ENDING BENEFIT EROSION.

    Section 5(e)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2014(e)(1)) 
is amended--
            (1) in subparagraph (A)(ii)--
                    (A) by striking ``Notwithstanding clause (i)'' and 
                inserting the following:
                                    ``(I) In general.--Notwithstanding 
                                clause (i) and except as provided in 
                                subclause (II)''; and
                    (B) by adding at the end the following:
                                    ``(II) Inflation adjustment.--On 
                                October 1, 2008, and each October 1 
                                thereafter, each of the amounts 
                                specified in subclause (I) shall be 
                                adjusted to the nearest lower dollar 
                                increment to reflect changes for the 
                                12-month period ending on the preceding 
                                June 30 in the Consumer Price Index for 
                                All Urban Consumers published by the 
                                Bureau of Labor Statistics of the 
                                Department of Labor, for items other 
                                than food.''; and
            (2) in subparagraph (B)(ii)--
                    (A) by striking ``Notwithstanding clause (i)'' and 
                inserting the following:
                                    ``(I) In general.--Notwithstanding 
                                clause (i) and except as provided in 
                                subclause (II)''; and
                    (B) by adding at the end the following:
                                    ``(II) Inflation adjustment.--On 
                                October 1, 2008, and each October 1 
                                thereafter, the amount specified in 
                                subclause (I) shall be adjusted to the 
                                nearest lower dollar increment to 
                                reflect changes for the 12-month period 
                                ending on the preceding June 30 in the 
                                Consumer Price Index for All Urban 
                                Consumers published by the Bureau of 
                                Labor Statistics of the Department of 
                                Labor, for items other than food.''.

SEC. 3. SUPPORTING WORKING FAMILIES WITH CHILD CARE EXPENSES.

    Section 5(e)(3)(A) of the Food Stamp Act of 1977 (7 U.S.C. 
2014(e)(3)(A)) is amended by striking ``, the maximum allowable level 
of which shall be $200 per month for each dependent child under 2 years 
of age and $175 per month for each other dependent,''.

SEC. 4. ENCOURAGING RETIREMENT AND EDUCATION SAVINGS AMONG FOOD STAMP 
              RECIPIENTS.

    (a) Allowable Financial Resources.--Section 5(g) of the Food Stamp 
Act of 1977 (7 U.S.C. 2014(g)) is amended--
            (1) by striking ``(g)(1) The Secretary'' and inserting the 
        following:
    ``(g) Allowable Financial Resources.--
            ``(1) Total amount.--
                    ``(A) In general.--The Secretary'';
            (2) in subparagraph (A) (as designated by paragraph (1)--
                    (A) by inserting ``(as adjusted in accordance with 
                subparagraph (B))'' after ``$2,000''; and
                    (B) by inserting ``(as adjusted in accordance with 
                subparagraph (B))'' after ``$3,000''; and
            (3) by adding at the end the following:
                    ``(B) Adjustment for inflation.--
                            ``(i) In general.--Beginning on October 1, 
                        2007, and each October 1 thereafter, the 
                        amounts in subparagraph (A) shall be adjusted 
                        to the nearest $100 increment to reflect 
                        changes for the 12-month period ending the 
                        preceding June in the Consumer Price Index for 
                        All Urban Consumers published by the Bureau of 
                        Labor Statistics of the Department of Labor.
                            ``(ii) Requirement.--Each adjustment under 
                        clause (i) shall be based on the unrounded 
                        amount for the prior 12-month period.''.
    (b) Exclusion of Retirement Accounts From Countable Financial 
Resources.--
            (1) In general.--Section 5(g)(2)(B)(v) of the Food Stamp 
        Act of 1977 (7 U.S.C. 2014(g)(2)(B)(v)) is amended by striking 
        ``or retirement account (including an individual account)'' and 
        inserting ``account''.
            (2) Mandatory and discretionary exclusions.--Section 5(g) 
        of the Food Stamp Act of 1977 (7 U.S.C. 2014(g)) is amended by 
        adding at the end the following:
            ``(7) Exclusion of retirement accounts from countable 
        financial resources.--
                    ``(A) Mandatory exclusions.--The Secretary shall 
                exclude from financial resources under this subsection 
                the value of any funds in a plan, contract, or account, 
                described in sections 401(a), 403(a), 403(b), 408, 
                408A, 457(b), and 501(c)(18) of the Internal Revenue 
                Code of 1986 and the value of funds in a Federal Thrift 
                Savings Plan account as provided in section 8439 of 
                title 5, United States Code.
                    ``(B) Discretionary exclusions.--The Secretary may 
                exclude from financial resources under this subsection 
                the value of any other retirement plans, contracts, or 
                accounts (as determined by the Secretary through 
                regulation).''.
    (c) Exclusion of Education Accounts From Countable Financial 
Resources.--Section 5(g) of the Food Stamp Act of 1977 (7 U.S.C. 
2014(g)) (as amended by subsection (b)) is amended by adding at the end 
the following:
            ``(8) Exclusion of education accounts from countable 
        financial resources.--
                    ``(A) Mandatory exclusions.--The Secretary shall 
                exclude from financial resources under this subsection 
                the value of any funds in a qualified tuition program 
                described in section 529 of the Internal Revenue Code 
                of 1986 or in a Coverdell education savings account 
                under section 530 of that Code.
                    ``(B) Discretionary exclusions.--The Secretary may 
                exclude from financial resources under this subsection 
                the value of any other education programs, contracts, 
                or accounts (as determined by the Secretary through 
                regulation).''.

SEC. 5. FAIRNESS FOR LEGAL IMMIGRANTS.

    (a) In General.--Section 6 of the Food Stamp Act of 1977 (7 U.S.C. 
2015) is amended by striking subsection (f) and inserting the 
following:
    ``(f) Aliens.--
            ``(1) Eligibility.----Notwithstanding sections 401(a), 
        402(a), and 403(a) of the Personal Responsibility and Work 
        Opportunity Reconciliation Act of 1996 (8 U.S.C. 1611(a), 
        1612(a), 1613(a)), an alien who is lawfully residing in the 
        United States may not be ineligible for the food stamp program 
        on the basis of--
                    ``(A) the immigration status of the alien; or
                    ``(B) the date the alien entered the United States.
            ``(2) Consideration of income.--The income (less, at State 
        option, a pro rata share) and financial resources of the 
        individual rendered ineligible to participate in the food stamp 
        program under this subsection shall be considered in 
        determining the eligibility and the value of the allotment of 
        the household of which the individual is a member.''.
    (b) Clarifying Eligibility.--Section 421(d)(3) of the Personal 
Responsibility and Work Opportunity Reconciliation Act of 1996 (8 
U.S.C. 1631(d)(3)) is amended by striking ``to the extent that a 
qualified alien is eligible under section 1612(a)(2)(J) of this title'' 
and inserting ``to the extent that a child is a member of a household 
receiving food stamps under that Act''.
    (c) Ensuring Proper Screening.--Section 11(e)(2)(B) of the Food 
Stamp Act of 1977 (7 U.S.C. 2020(e)(2)(B)) is amended--
            (1) by redesignating clauses (vi) and (vii) as clauses 
        (vii) and (viii), respectively; and
            (2) by inserting after clause (v) the following:
                            ``(vi) shall provide a method for 
                        implementing section 421 of the Personal 
                        Responsibility and Work Opportunity 
                        Reconciliation Act of 1996 (8 U.S.C. 1631) that 
                        does not require any unnecessary information 
                        from individuals who may be exempt from that 
                        section;''.
    (d) Simplified Administrative Reporting Requirement.--Section 11(a) 
of the Food Stamp Act of 1977 (7 U.S.C. 2020(a)) is amended by adding 
at the end the following: ``Notwithstanding subsection (e)(2) of 
section 421 of the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996 (8 U.S.C. 1631(e)(2)), the administrative 
reporting requirement under that subsection shall be satisfied by the 
submission of an aggregate report on the numbers of exceptions granted 
under that subsection each year.''.

SEC. 6. FOOD STAMP ELIGIBILITY FOR UNEMPLOYED ADULTS.

    Section 6(o)(2) of the Food Stamp Act of 1977 (7 U.S.C. 2015(o)(2)) 
is amended in the matter preceding subparagraph (A)--
            (1) by striking ``36-month'' and replacing it with ``24-
        month''; and
            (2) by striking ``3'' and replacing it with ``6''.

SEC. 7. AVAILABILITY OF COMMODITIES FOR THE EMERGENCY FOOD ASSISTANCE 
              PROGRAM.

    Section 27(a) of the Food Stamp Act of 1977 (7 U.S.C. 2036(a)) is 
amended--
            (1) by striking ``(a) Purchase of Commodities'' and all 
        that follows through ``through 2007'' and inserting the 
        following:
    ``(a) Purchase of Commodities.--
            ``(1) In general.--Subject to paragraph (2), for each of 
        fiscal years 2008 through 2012;'';
            (2) by striking ``$140,000,000 of''; and
            (3) by inserting at the end the following:
            ``(2) Amounts.--The Secretary shall use to carry out this 
        subsection for fiscal year 2008, $180,000,000.''.

Summary: Food Stamp Fairness and Benefit Restoration Act of 2007 - Amends the Food Stamp Act of 1977 with respect to: (1) inflation adjustments for standard deductions and for household resources, (2) retirement account and education account exclusions, (3) eligibility for unemployed adults, (4) dependent care deduction cap elimination, (5) legal immigrant eligibility. And (6) extension of commodity availability for the emergency food assistance program.