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[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 2551 Introduced in Senate (IS)]

<DOC>

115th CONGRESS
  2d Session
                                S. 2551

To modernize United States international food assistance programs made 
   available through the Food for Peace Act, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             March 14, 2018

 Mr. Corker (for himself and Mr. Coons) introduced the following bill; 
which was read twice and referred to the Committee on Foreign Relations

_______________________________________________________________________

                                 A BILL

 
To modernize United States international food assistance programs made 
   available through the Food for Peace Act, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

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

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. United States policies.
   TITLE I--EMERGENCY AND NONEMERGENCY INTERNATIONAL FOOD ASSISTANCE 
                                PROGRAMS

Sec. 101. Food for Peace Program.
             TITLE II--GENERAL AUTHORITIES AND REQUIREMENTS

Sec. 201. Definitions.
Sec. 202. General provisions.
Sec. 203. Agreements.
Sec. 204. Administrative provisions.
Sec. 205. Expiration date.
Sec. 206. Minimum level of nonemergency food assistance.
Sec. 207. Micronutrient fortification programs.
Sec. 208. John Ogonowski and Doug Bereuter Farmer-to-Farmer Program.

SEC. 3. UNITED STATES POLICIES.

    The Food for Peace Act (7 U.S.C. 1691 et seq.) is amended by 
striking sections 2 and 3 (7 U.S.C. 1691 and 1691a) and inserting the 
following:

``SEC. 2. UNITED STATES POLICIES.

    ``(a) In General.--It is the policy of the United States to advance 
the security, economic, and humanitarian interests of the United States 
overseas by supporting the growth of healthier, more stable societies 
and creating opportunities for expanded United States investment and 
trade through the provision of United States foreign assistance, 
including agricultural commodities, authorized under this Act to--
            ``(1) reduce global poverty, hunger, malnutrition, and 
        their attendant causes;
            ``(2) respond to, mitigate, and prevent famines and food 
        crises arising from natural and man-made disasters;
            ``(3) improve food and nutrition security while building 
        resilience to shocks, particularly among vulnerable groups;
            ``(4) advance democracy and free market principles, 
        facilitate trade, and catalyze inclusive, agriculture-led 
        economic growth in developing countries; and
            ``(5) reduce long-term reliance upon United States foreign 
        assistance.
    ``(b) Efficiency and Effectiveness of United States International 
Food Assistance.--It is the policy of the United States to enhance the 
efficiency and effectiveness of United States international food 
assistance activities by--
            ``(1) coordinating with, and seeking commitments of 
        appropriate levels of food assistance by, donors to meet the 
        legitimate needs of developing countries and countries 
        experiencing food crises;
            ``(2) ensuring that food assistance continues to be 
        provided through appropriate channels, including through--
                    ``(A) intergovernmental and multilateral 
                organizations;
                    ``(B) international, national, and local private 
                voluntary, nongovernmental, faith-based, and civil 
                society organizations; and
                    ``(C) national and local governments and 
                institutions; and
            ``(3) ensuring, to the maximum extent practicable, that 
        options for providing food assistance for emergency and 
        nonemergency purposes, including through the provision of in-
        kind agricultural commodities or other forms of United States 
        foreign assistance, are not subject to limitation, provided 
        that--
                    ``(A) decisions about to whom, when, where, and how 
                to provide assistance are based on thorough assessments 
                of need, timeliness, appropriateness, cost-
                effectiveness, and risk of diversion and waste; and
                    ``(B) such assistance is provided in a manner 
                that--
                            ``(i) avoids disincentives to local 
                        agricultural production and marketing; and
                            ``(ii) minimizes commercial market 
                        disruptions; and
                    ``(C) rigorously monitoring and evaluating food 
                assistance programs and activities, identifying best 
                practices, sharing learning, and adapting such programs 
                and activities as necessary and appropriate.''.

   TITLE I--EMERGENCY AND NONEMERGENCY INTERNATIONAL FOOD ASSISTANCE 
                                PROGRAMS

SEC. 101. FOOD FOR PEACE PROGRAM.

    Title II of the Food for Peace Act (7 U.S.C. 1721 et seq.) is 
amended to read as follows:

 ``TITLE II--EMERGENCY AND NONEMERGENCY INTERNATIONAL FOOD ASSISTANCE 
                                PROGRAMS

``SEC. 201. ESTABLISHMENT OF FOOD FOR PEACE PROGRAM.

    ``The President, working through the Administrator of the United 
States Agency for International Development (referred to in this title 
as the `Administrator') shall establish a program (to be known as the 
`Food for Peace Program') to provide assistance, including agricultural 
commodities, in foreign countries on behalf of the people of the United 
States in furtherance of the policies set forth in section 2.

``SEC. 202. PROVISION OF ASSISTANCE.

    ``(a) Emergency Assistance.--Notwithstanding any other provision of 
law, the Administrator may provide assistance, including agricultural 
commodities, under this title to meet emergency food security needs 
through governments and public or private entities, including 
intergovernmental organizations such as the World Food Program and 
other multilateral organizations, in such manner, including through 
grants, contracts, and other transactions, and on such terms and 
conditions as the Administrator determines appropriate.
    ``(b) Nonemergency Food Assistance.--
            ``(1) In general.--The Administrator may provide 
        assistance, including agricultural commodities, under this 
        title to meet nonemergency food security needs through eligible 
        organizations described in subsection (d) in such manner, 
        including through grants, contracts, and other transactions, 
        and on such terms and conditions as the Administrator 
        determines appropriate.
            ``(2) Program diversity.--The Administrator may--
                    ``(A) encourage eligible organizations to propose 
                and implement program plans to address one or more of 
                the policies set forth in section 2; and
                    ``(B) consider proposals that incorporate a variety 
                of program objectives and strategic plans based on the 
                identification by eligible organizations of appropriate 
                activities, consistent with section 2, to promote 
                economic development in foreign countries.
            ``(3) Coordination.--Nonemergency assistance provided under 
        this title shall be coordinated, to the greatest extent 
        practicable and appropriate, with complementary food and 
        nutrition security assistance made available pursuant to 
        chapter 1 of part I of the Foreign Assistance Act of 1961 (22 
        U.S.C. 2151 et seq.).
    ``(c) Uses of Agricultural Commodities.--Agricultural commodities 
provided under this title may be made available for direct 
distribution, sale, barter, or other appropriate disposition.
    ``(d) Eligible Organizations.--To be eligible to receive assistance 
under subsection (b), an organization shall be--
            ``(1) a private voluntary organization or cooperative that 
        is, to the extent practicable, registered with the 
        Administrator; or
            ``(2) an intergovernmental organization, such as the World 
        Food Program.
    ``(e) Investment Authority.--An eligible organization that receives 
financial assistance under this title may invest such funds pending use 
for project purposes. Any interest earned on such investment shall be 
used for the purposes for which the assistance was provided to the 
eligible organization without further appropriation by Congress.
    ``(f) Effective Use of Assistance.--Organizations and cooperatives 
receiving assistance, including agricultural commodities, under this 
title shall ensure that such assistance is used effectively and in the 
areas of greatest need by--
            ``(1) working with indigenous institutions and employing 
        indigenous workers, to the extent feasible;
            ``(2) assessing and taking into account nutritional and 
        other needs of beneficiary groups;
            ``(3) helping such beneficiary groups to design and carry 
        out mutually acceptable projects;
            ``(4) recommending to the Administrator methods of making 
        assistance available that are the most appropriate for each 
        local setting;
            ``(5) supervising the provision of assistance, including 
        the distribution of agricultural commodities, and the 
        implementation of the projects for which assistance, including 
        agricultural commodities, was provided under this title; and
            ``(6) regularly monitoring and evaluating the effectiveness 
        of projects for which assistance, including agricultural 
        commodities, was provided under this title, including 
        activities related to program integrity.
    ``(g) Labeling.--Assistance, including agricultural commodities 
provided under this title, shall, to the greatest extent practicable, 
be clearly identified with appropriate markings in the language of the 
locality in which such assistance is provided, as being furnished by 
the people of the United States of America.

``SEC. 203. SECURING THE ROLE OF AMERICAN FARMERS IN THE FOOD FOR PEACE 
              PROGRAM.

    ``(a) Findings.--Congress finds the following:
            ``(1) American farmers have played a critical role in the 
        Food for Peace program since Congress established such program 
        in 1954 to reduce hunger and poverty overseas through the 
        donation of surplus government-held agricultural commodities 
        that had accumulated under Department of Agriculture commodity 
        price support programs.
            ``(2) Through the generosity of the American people, and 
        with the help of American farmers--
                    ``(A) more than 4,000,000,000 people have received 
                life-saving food assistance; and
                    ``(B) more than 150 countries have benefited from 
                United States supported food security programs.
            ``(3) Despite the cessation of the commodity price support 
        programs and the drawdown of surplus stocks that occasioned the 
        creation of the Food for Peace program in 1954, American 
        farmers continue to play a critical role in United States 
        international food assistance programs, particularly as a 
        result of their innovation, expertise, and unmatched capacity 
        to produce high quality agricultural commodities that are 
        critical to meeting growing global food needs.
    ``(b) Sense of Congress.--It is the sense of Congress that 
modernizing the Food for Peace program, including through the 
introduction of more flexible approaches to meeting food needs 
overseas, does not negate the need and desire for American farmers to 
continue to play an integral role in United States international food 
assistance and agricultural development programs overseas.

``SEC. 204. MINIMUM LEVELS.

    ``(a) Agricultural Commodities.--Not less than 25 percent of the 
amounts made available to provide assistance, including agricultural 
commodities, under section 202 shall be made available for the purchase 
and distribution of United States agricultural commodities, including 
associated costs for the provision of agricultural commodities, in 
accordance with this title.
    ``(b) Nonemergency Food Assistance.--
            ``(1) In general.--Of the amounts made available to carry 
        out this title, not less than $350,000,000 shall be expended 
        for nonemergency food assistance authorized under section 
        202(b).
            ``(2) Nonduplication.--In order to avoid duplication and 
        ensure the availability of resources to meet emergency needs, 
        funds made available under chapter 1 of part I of the Foreign 
        Assistance Act of 1961 (22 U.S.C. 2151 et seq.) through grants 
        or cooperative agreements to strengthen food security in 
        developing countries that are consistent with the goals of this 
        title may be deemed to be expended on nonemergency food 
        assistance for the purposes of this subsection.
            ``(3) Limitation.--The amount made available pursuant to 
        paragraph (1) may not exceed 30 percent of the total amount 
        made available in any fiscal year to carry out this title.
    ``(c) Use of Value-Added Commodities.--In making agricultural 
commodities available under this title, the Administrator should seek 
to ensure that--
            ``(1) not less than 75 percent of the quantity of such 
        commodities required to be distributed during each fiscal year 
        under subsection (a) be in the form of processed, fortified, or 
        bagged commodities; and
            ``(2) not less than 50 percent of the quantity of the 
        bagged, whole grain commodities be bagged in the United States.

``SEC. 205. GENERATION AND USE OF CURRENCIES BY PRIVATE VOLUNTARY 
              ORGANIZATIONS AND COOPERATIVES.

    ``(a) Local Sale and Barter of Commodities.--An agreement entered 
into between the Administrator and a private voluntary organization or 
cooperative to provide food assistance through such organization or 
cooperative under this title may provide for the sale or barter in one 
or more recipient countries, or one or more countries in the same 
region, of the commodities to be provided under such agreement.
    ``(b) Level of Local Sales.--In carrying out agreements of the type 
referred to in subsection (a), the Administrator may permit private 
voluntary organizations and cooperatives to sell, in one or more 
recipient countries, or one or more countries in the same region, an 
amount of commodities equal to not more than 15 percent of the 
aggregate amounts of all commodities distributed under section 202(b).
    ``(c) Description of Intended Uses.--A private voluntary 
organization or cooperative submitting a proposal to enter into a 
nonemergency food assistance agreement under this title shall include, 
in such proposal, a description of the intended uses of any proceeds 
that may be generated through the sale, in one or more recipient 
countries, or in one or more countries in the same region, of any 
commodities provided under an agreement described in subsection (a).
    ``(d) Use.--Proceeds generated from any partial or full sale or 
barter of commodities by a private voluntary organization or 
cooperative under a nonemergency food assistance agreement under this 
title may--
            ``(1) be used for associated costs;
            ``(2) be used to implement income-generating, community 
        development, health, nutrition, cooperative development, 
        agricultural, and other developmental activities within one or 
        more recipient countries or within one or more countries in the 
        same region; or
            ``(3) be invested, and any interest earned on such 
        investment shall be used for the purposes for which the 
        assistance was provided to that organization without further 
        appropriation by Congress.

``SEC. 206. FOOD ASSISTANCE CONSULTATIVE GROUP.

    ``(a) Establishment.--There is established a Food Assistance 
Consultative Group (referred to in this section as the `Group'), that 
shall meet regularly to review and address issues concerning the 
effectiveness of the regulations and procedures that govern food 
assistance programs established and implemented under this title and 
the implementation of other provisions of this title that may involve 
eligible organizations described in section 202(d)(1).
    ``(b) Membership.--The Group shall be composed of--
            ``(1) the Administrator;
            ``(2) the Under Secretary of Agriculture for Farm and 
        Foreign Agricultural Services;
            ``(3) the Inspector General of the United States Agency for 
        International Development;
            ``(4) a representative of each private voluntary 
        organization and cooperative participating in a program under 
        this title, or receiving planning assistance funds from the 
        United States Agency for International Development to establish 
        programs under this title;
            ``(5) representatives from African, Asian, and Latin 
        American indigenous nongovernmental organizations determined 
        appropriate by the Administrator;
            ``(6) representatives from agricultural producer groups in 
        the United States;
            ``(7) representatives from the United States agricultural 
        processing sector involved in providing agricultural 
        commodities for programs under this Act; and
            ``(8) representatives from the maritime transportation 
        sector involved in transporting agricultural commodities 
        overseas for programs under this Act.
    ``(c) Chairperson.--The Administrator shall be the chairperson of 
the Group.
    ``(d) Consultations.--
            ``(1) Consultation in advance of issuance of implementation 
        regulations, handbooks, and guidelines.--Not later than 30 days 
        before a proposed regulation, handbook, or guideline 
        implementing a provision of this title, or a proposed 
        significant revision to a regulation, handbook, or guideline 
        implementing a provision of this title, becomes final, the 
        Administrator shall submit the proposal to the Group for review 
        and comment. The Administrator shall consult with and, not less 
        frequently than twice per year, meet with the Group regarding 
        such proposed regulations, handbooks, guidelines, or revisions 
        before they are issued in final form.
            ``(2) Consultation regarding food aid quality efforts.--The 
        Administrator shall seek input from, and consult with, the 
        Group on the implementation of section 207(d)(4).
    ``(e) Federal Advisory Committee Act.--The Federal Advisory 
Committee Act (5 U.S.C. App.) shall not apply to the Group.
    ``(f) Termination.--The Group shall terminate on December 31, 2023.

``SEC. 207. ADMINISTRATION.

    ``(a) Regulations and Guidance.--
            ``(1) In general.--The Administrator shall promptly issue 
        all necessary regulations and make revisions to agency 
        guidelines with respect to changes in the operation or 
        implementation of the programs established under this title. 
        Not later than 270 days after the date of the enactment of the 
        Food for Peace Modernization Act, the Administrator shall issue 
        all regulations and revisions to agency guidance necessary to 
        implement the amendments made to this title by such Act.
            ``(2) Requirements.--The Administrator shall develop the 
        regulations and guidance with the intent of--
                    ``(A) simplifying procedures for participation in 
                the programs established under this title;
                    ``(B) reducing paperwork requirements under such 
                programs; and
                    ``(C) establishing reasonable and realistic 
                accountability standards to be applied to eligible 
                organizations participating in the programs established 
                under this title, taking into consideration the 
                problems associated with carrying out programs in 
                developing countries.
    ``(b) Timely Provision of United States Agricultural Commodities.--
The Administrator, in consultation with the Secretary, shall develop 
procedures that ensure the expedited processing of agricultural 
commodity call forwards to provide agricultural commodities overseas in 
a timely manner and to the extent feasible, according to planned 
delivery schedules.
    ``(c) Timely Approval.--The Administrator is encouraged to finalize 
program agreements and resource requests for programs under this title 
before the beginning of each fiscal year.
    ``(d) Program Oversight, Monitoring, and Evaluation.--
            ``(1) Duties of administrator.--The Administrator, in 
        consultation with the Secretary, shall establish systems and 
        carry out activities--
                    ``(A) to determine the need for assistance provided 
                under this title; and
                    ``(B) to monitor, evaluate, and improve the 
                efficiency, effectiveness, and impact of the assistance 
                provided under this title.
            ``(2) Requirements of systems and activities.--The systems 
        and activities described in paragraph (1) shall include--
                    ``(A) program monitors in countries that receive 
                assistance under this title;
                    ``(B) country and regional food assistance impact 
                evaluations;
                    ``(C) the identification and implementation of best 
                practices for food assistance programs;
                    ``(D) the evaluation of monetization programs;
                    ``(E) early warning assessments and systems to help 
                prevent famines; and
                    ``(F) maintenance of information technology 
                systems.
            ``(3) Contract authority.--
                    ``(A) In general.--Subject to subparagraphs (B) and 
                (C), in carrying out administrative and management 
                activities relating to each activity under paragraph 
                (1), the Administrator may enter into contracts with 
                one or more individuals for personal service to be 
                performed in recipient countries or neighboring 
                countries.
                    ``(B) Prohibition.--An individual who enters into a 
                contract with the Administrator under subparagraph (A) 
                shall not be considered to be an employee of the 
                Federal Government for the purpose of any law 
                (including regulations) administered by the Office of 
                Personnel Management.
                    ``(C) Personal service.--Subparagraph (A) does not 
                limit the ability of the Administrator to enter into a 
                contract with any individual for personal service under 
                section 202(a).
            ``(4) Food assistance quality.--
                    ``(A) In general.--The Administrator shall use 
                amounts made available to carry out this title--
                            ``(i) to assess the types and quality of 
                        agricultural commodities and products for food 
                        assistance;
                            ``(ii) to adjust products and formulations, 
                        including potential introduction of new 
                        fortificants and products, as necessary, to 
                        cost effectively meet nutrient needs of target 
                        populations;
                            ``(iii) to test prototypes;
                            ``(iv) to adopt new specifications or 
                        improve existing specifications for 
                        micronutrient fortified food assistance 
                        products, based on the latest developments in 
                        food and nutrition science, and in coordination 
                        with other international partners;
                            ``(v) to develop new program guidance to 
                        facilitate improved matching of products to 
                        purposes having nutritional intent, in 
                        coordination with other international partners;
                            ``(vi) to develop improved guidance for 
                        implementing partners on how to address 
                        nutritional deficiencies that emerge among 
                        recipients for whom food assistance is the sole 
                        source of diet in emergency programs that 
                        extend beyond 1 year, in coordination with 
                        other international partners; and
                            ``(vii) to evaluate, in appropriate 
                        settings and as necessary, the performance and 
                        cost-effectiveness of new or modified 
                        specialized food products and program 
                        approaches designed to meet the nutritional 
                        needs of the most vulnerable groups, such as 
                        pregnant and lactating mothers, and children 
                        under the age of five.
                    ``(B) Administration.--The Administrator--
                            ``(i) shall carry out this paragraph in 
                        consultation with independent entities with 
                        proven expertise in food assistance commodity 
                        quality enhancements;
                            ``(ii) may enter into contracts or grants 
                        to obtain the expertise of such entities; and
                            ``(iii) shall consult with the Food 
                        Assistance Consultative Group on how to carry 
                        out this paragraph.
                    ``(C) Funding limitation.--Of the amounts made 
                available under paragraph (5), for fiscal years 2019 
                through 2023, not more than $4,500,000 may be used to 
                carry out this paragraph.
            ``(5) Funding.--
                    ``(A) In general.--Subject to paragraph (4)(C), in 
                addition to other funds made available to the 
                Administrator to carry out the monitoring of emergency 
                food assistance, the Administrator may use up to 5 
                percent of the amounts made available under this Act 
                for each of the fiscal years 2019 through 2023 to 
                implement this subsection.
                    ``(B) Limitations.--
                            ``(i) In general.--Subject to clause (ii), 
                        of the amounts made available under 
                        subparagraph (A), for each of the fiscal years 
                        2019 through 2023, not more than $8,000,000 may 
                        be used by the Administrator to carry out 
                        paragraph (2)(E).
                            ``(ii) Condition.--No funds shall be made 
                        available for a fiscal year under subparagraph 
                        (A), in accordance with clause (i), unless not 
                        less than an equal value is made available 
                        under the Foreign Assistance Act of 1961 (22 
                        U.S.C. 2151 et seq.) for such purposes for such 
                        fiscal year.
    ``(e) Project Reporting.--
            ``(1) In general.--In submitting project reports to the 
        Administrator, a private voluntary organization or cooperative 
        shall provide a copy of the reports in such form as is 
        necessary for the reports to be displayed for public use on the 
        website of the United States Agency for International 
        Development.
            ``(2) Confidential information.--An organization or 
        cooperative described in paragraph (1) may omit any 
        confidential information from the copy of the report submitted 
        for public display under that paragraph.

``SEC. 208. INTERNATIONAL FOOD RELIEF PARTNERSHIP.

    ``(a) In General.--The Administrator may provide grants to--
            ``(1) United States nonprofit organizations (as described 
        in subsection (c)(3) of section 501 of the Internal Revenue 
        Code of 1986 and exempt from tax under subsection (a) of such 
        section) for the preparation of shelf-stable, prepackaged foods 
        requested by eligible organizations and the establishment and 
        maintenance of stockpiles of the foods in the United States; 
        and
            ``(2) private voluntary organizations and international 
        organizations for the rapid transportation, delivery, and 
        distribution of shelf-stable, prepackaged foods described in 
        paragraph (1) to needy individuals in foreign countries.
    ``(b) Grants for Establishment of Stockpiles.--
            ``(1) In general.--Not more than 70 percent of the amount 
        made available to carry out this section may be used to provide 
        grants under subsection (a)(1).
            ``(2) Priority.--In providing grants under subsection 
        (a)(1), the Administrator shall provide a preference to any 
        United States nonprofit organization that agrees to dedicate, 
        for the preparation of shelf-stable prepackaged foods and the 
        establishment and maintenance of stockpiles of such foods in 
        the United States in accordance with subsection (a)(1)--
                    ``(A) non-Federal funds equal to 50 percent of the 
                amount of grant funds received under subsection (a)(1);
                    ``(B) in-kind contributions valued at 50 percent of 
                the amount of grant funds received under subsection 
                (a)(1); or
                    ``(C) a combination of such funds and in-kind 
                contributions with a combined value of 50 percent of 
                the amount of grant funds received under subsection 
                (a)(1).
    ``(c) Grants for Rapid Transportation, Delivery, and 
Distribution.--Not less than 20 percent of the amount made available to 
carry out this section shall be used to provide grants under subsection 
(a)(2).
    ``(d) Administrative Costs.--Not more than 10 percent of the amount 
made available to carry out this section may be used by the 
Administrator for the administration of grants under subsection (a).
    ``(e) Regulations or Guidelines.--Not later than 180 days after the 
date of the enactment of the Food for Peace Modernization Act, the 
Administrator shall issue such regulations or guidelines as the 
Administrator determines to be necessary to carry out this section, 
including regulations or guidelines that provide to United States 
nonprofit organizations eligible to receive grants under subsection 
(a)(1) guidance with respect to the requirements for qualified, shelf-
stable prepackaged foods and the quantity of the foods to be stockpiled 
by the organizations.
    ``(f) Authorization of Appropriations.--There is authorized to be 
appropriated to the Administrator to carry out this section, in 
addition to amounts otherwise available to carry out this section, 
$10,000,000 for each of the fiscal years 2019 through 2023, to remain 
available until expended.''.

             TITLE II--GENERAL AUTHORITIES AND REQUIREMENTS

SEC. 201. DEFINITIONS.

    Section 402 of the Food for Peace Act (7 U.S.C. 1732) is amended--
            (1) by amending paragraph (3) to read as follows:
            ``(3) Appropriate committees of congress.--The term 
        `appropriate committee of Congress' means--
                    ``(A) the Committee on Agriculture, Nutrition, and 
                Forestry of the Senate;
                    ``(B) the Committee on Appropriations of the 
                Senate;
                    ``(C) the Committee on Foreign Relations of the 
                Senate;
                    ``(D) the Committee on Agriculture of the House of 
                Representatives;
                    ``(E) the Committee on Appropriations of the House 
                of Representatives; and
                    ``(F) the Committee on Foreign Affairs of the House 
                of Representatives.'';
            (2) by redesignating paragraphs (4), (5), (6), (7), (8), 
        and (9) as paragraphs (5), (6), (7), (8), (9), and (10), 
        respectively; and
            (3) by inserting after paragraph (3) the following:
            ``(4) Associated costs.--The term `associated costs' means 
        funds made available under this Act to eligible organizations 
        described in section 202(d)--
                    ``(A) to establish programs under this Act;
                    ``(B) to meet specific administrative, management, 
                personnel, transportation, storage, distribution, and 
                implementation costs for carrying out programs and 
                providing commodities in foreign countries under this 
                Act;
                    ``(C) in the case of commodities for urgent and 
                extraordinary relief requirements (including 
                prepositioned commodities), to meet the transportation 
                costs incurred in moving such commodities from 
                designated points of entry or ports of entry abroad to 
                storage and distribution sites and associated storage 
                and distribution costs; and
                    ``(D) to improve and implement methodologies for 
                food assistance programs, including needs assessments 
                (upon the request of the Administrator), monitoring, 
                and evaluation.''.

SEC. 202. GENERAL PROVISIONS.

    Section 403 of the Food for Peace Act (7 U.S.C. 1733) is amended--
            (1) in subsection (a)--
                    (A) in paragraphs (1) and (2), by inserting 
                ``agricultural'' before ``commodity'' each place such 
                term appears; and
                    (B) in paragraph (2) by striking ``that country'' 
                and inserting ``the recipient country'';
            (2) in subsection (c), by striking ``donated or purchased'' 
        and inserting ``provided'';
            (3) in subsection (e)(1), by striking ``assure'' and 
        inserting ``ensure'';
            (4) in subsection (i)--
                    (A) in paragraph (1), by striking ``as 
                appropriate,'' and inserting ``as appropriate and in 
                consultation with the Secretary of State,'';
                    (B) in paragraph (2)(B), by striking ``as 
                appropriate,'' and inserting ``as appropriate and in 
                consultation with the Secretary of State,''; and
                    (C) in paragraph (3), by striking ``as 
                appropriate,'' and inserting ``as appropriate and in 
                consultation with the Secretary of State,''; and
            (5) by amending subsection (m) to read as follows:
    ``(m) Monitoring Requirement.--Funds made available under this Act 
may only be used to provide assistance to recipients if adequate 
monitoring and controls, as determined by the Administrator, are in 
place to ensure that emergency food assistance is received by the 
intended beneficiaries in areas affected by food shortages and not 
diverted for unauthorized or inappropriate purposes.''.

SEC. 203. AGREEMENTS.

    Section 404 of the Food for Peace Act (7 U.S.C. 1734) is amended--
     (a) in subsection (c)--
            (1) in paragraph (1), by striking ``to recipient 
        countries'' and inserting ``in recipient countries''; and
            (2) in paragraph (2)(B), by striking ``aid'' and inserting 
        ``assistance''; and
    (b) by amending subsection (d) to read as follows:
    ``(d) Review of Agreements.--The Administrator may terminate, or 
refuse to enter into, a multi-year agreement with an eligible 
organization in a country if the Secretary or the Administrator 
determines that such country is not fulfilling the objectives or 
requirements under this Act, after considering the extent to which the 
country is--
            ``(1) making significant economic development reforms;
            ``(2) promoting free and open markets for food and 
        agricultural producers; and
            ``(3) fostering increased food security.''.

SEC. 204. ADMINISTRATIVE PROVISIONS.

    Section 407 of the Food for Peace Act (7 U.S.C. 1736a) is amended--
            (1) in subsection (c)(4)(A), by striking ``2018'' both 
        places such term appears and inserting ``2023''; and
            (2) by amending subsection (f) to read as follows:
    ``(f) Annual Report.--
            ``(1) In general.--Not later than April 1 of each fiscal 
        year, the Administrator and the Secretary shall jointly prepare 
        and submit to the appropriate committees of Congress a report 
        regarding each program and activity carried out under this Act 
        during the prior fiscal year.
            ``(2) Contents.--An annual report described in paragraph 
        (1) shall include, with respect to the prior fiscal year--
                    ``(A) a list that contains a description of each 
                country and organization that receives food and other 
                assistance under this Act (including the quantity of 
                food and assistance provided to each country and 
                organization);
                    ``(B) a general description of each project and 
                activity implemented under this Act (including each 
                activity funded through the use of local currencies) 
                and the total number of beneficiaries of the project 
                and the activities carried out through such project;
                    ``(C) a statement describing the quantity of 
                agricultural commodities made available to, and the 
                total number of beneficiaries in, each country pursuant 
                to--
                            ``(i) section 416(b) of the Agricultural 
                        Act of 1949 (7 U.S.C. 1431(b));
                            ``(ii) the Food for Progress Act of 1985 (7 
                        U.S.C. 1736o); and
                            ``(iii) the McGovern-Dole International 
                        Food for Education and Child Nutrition Program 
                        established by section 3107 of the Farm 
                        Security and Rural Investment Act of 2002 (7 
                        U.S.C. 1736o-1);
                    ``(D) an assessment of the progress made through 
                programs under this Act towards reducing food 
                insecurity in the populations receiving food assistance 
                from the United States;
                    ``(E) a description of efforts undertaken by the 
                Food Assistance Consultative Group under section 206 to 
                achieve an integrated and effective food assistance 
                program;
                    ``(F) an assessment of--
                            ``(i) each program oversight, monitoring, 
                        and evaluation system implemented under section 
                        207(d); and
                            ``(ii) the impact of each program 
                        oversight, monitoring, and evaluation system on 
                        the effectiveness and efficiency of assistance 
                        provided under this title;
                    ``(G) an assessment of the progress made by the 
                Administrator in addressing issues relating to quality 
                with respect to the provision of food assistance;
                    ``(H) the amount of funds (including funds for 
                administrative costs, indirect cost recovery, internal 
                transportation, storage and handling, and associated 
                distribution costs) provided to each eligible 
                organization that received assistance under this Act in 
                the applicable fiscal year;
                    ``(I) a description of how the funds described in 
                subparagraph (H) were used by the eligible 
                organization;
                    ``(J) a description of the actual rate of return 
                for each agricultural commodity made available under 
                this Act, including--
                            ``(i) factors that influenced the rate of 
                        return; and
                            ``(ii) for each agricultural commodity, the 
                        cost of bagging or further processing, ocean 
                        transportation, inland transportation in the 
                        recipient country, storage costs, and any other 
                        information that the Administrator determines 
                        to be necessary;
                    ``(K) for each instance in which an agricultural 
                commodity was made available under this Act at a rate 
                of return less than 70 percent, a description of the 
                reasons for the rate of return realized; and
                    ``(L) a description of how funds provided under 
                section 207 were utilized.
            ``(3) Rate of return described.--For the purposes of 
        paragraph (2)(J), the rate of return for an agricultural 
        commodity shall be equal to the proportion that--
                    ``(A) the proceeds the implementing partners 
                generate through monetization; bears to
                    ``(B) the cost to the Federal Government to procure 
                and ship the agricultural commodity to a recipient 
                country for monetization.''.

SEC. 205. EXPIRATION DATE.

    Section 408 of the Food for Peace Act (7 U.S.C. 1736b) is amended 
by striking ``2018'' and inserting ``2023''.

SEC. 206. MINIMUM LEVEL OF NONEMERGENCY FOOD ASSISTANCE.

    Section 412 of the Food for Peace Act (7 U.S.C. 1736f) is amended 
by striking subsection (e).

SEC. 207. MICRONUTRIENT FORTIFICATION PROGRAMS.

    Section 415(c) of the Food for Peace Act (7 U.S.C. 1736g-2(c)) is 
amended by striking ``September 30, 2018'' and inserting ``December 31, 
2023''.

SEC. 208. JOHN OGONOWSKI AND DOUG BEREUTER FARMER-TO-FARMER PROGRAM.

    Section 501 of the Food for Peace Act (7 U.S.C. 1737) is amended--
            (1) in subsection (d), in the matter preceding paragraph 
        (1), by striking ``2018, to carry out this Act'' and inserting 
        ``2023, to carry out section 202(b)''; and
            (2) in subsection (e)(1), by striking ``2018'' and 
        inserting ``2023''.
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