108TH CONGRESS

2D SESSION S. 2507

AN ACT

To amend the Richard B. Russell National School Lunch

Act and the Child Nutrition Act of 1966 to provide

children with increased access to food and nutrition assistance, to simplify program operations and improve

program management, to reauthorize child nutrition programs, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

4 (a) SHORT TITLE.—This Act may be cited as the

5 ‘‘Child Nutrition and WIC Reauthorization Act of 2004’’.
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1 (b) TABLE OF CONTENTS.—The table of contents of

2 this Act is as follows:

Sec. 1. Short title; Table of contents.

TITLE I—AMENDMENTS TO RICHARD B. RUSSELL NATIONAL

SCHOOL LUNCH ACT

Sec. 101. Nutrition promotion.

Sec. 102. Nutrition requirements.

Sec. 103. Provision of information.

Sec. 104. Direct certification.

Sec. 105. Household applications.

Sec. 106. Duration of eligibility for free or reduced price meals.

Sec. 107. Runaway, homeless, and migrant youth.

Sec. 108. Certification by local educational agencies.

Sec. 109. Exclusion of military housing allowances.

Sec. 110. Waiver of requirement for weighted averages for nutrient analysis.

Sec. 111. Food safety.

Sec. 112. Purchases of locally produced foods.

Sec. 113. Special assistance.

Sec. 114. Food and nutrition projects integrated with elementary school curricula.

Sec. 115. Procurement training.

Sec. 116. Summer food service program for children.

Sec. 117. Commodity distribution program.

Sec. 118. Notice of irradiated food products.

Sec. 119. Child and adult care food program.

Sec. 120. Fresh fruit and vegetable program.

Sec. 121. Summer food service residential camp eligibility.

Sec. 122. Access to local foods and school gardens.

Sec. 123. Year-round services for eligible entities.

Sec. 124. Free lunch and breakfast eligibility.

Sec. 125. Training, technical assistance, and food service management institute.

Sec. 126. Administrative error reduction.

Sec. 127. Compliance and accountability.

Sec. 128. Information clearinghouse.

Sec. 129. Program evaluation.

TITLE II—AMENDMENTS TO CHILD NUTRITION ACT OF 1966

Sec. 201. Severe need assistance.

Sec. 202. State administrative expenses.

Sec. 203. Special supplemental nutrition program for women, infants, and children.

Sec. 204. Local wellness policy.

Sec. 205. Team nutrition network.

Sec. 206. Review of best practices in the breakfast program.

TITLE III—COMMODITY DISTRIBUTION PROGRAMS

Sec. 301. Commodity distribution programs.

TITLE IV—MISCELLANEOUS
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Sec. 401. Sense of Congress regarding efforts to prevent and reduce childhood

obesity.

TITLE V—IMPLEMENTATION

Sec. 501. Guidance and regulations.

Sec. 502. Effective dates.

1 TITLE I—AMENDMENTS TO

2 RICHARD B. RUSSELL NA3 TIONAL SCHOOL LUNCH ACT

4 SEC. 101. NUTRITION PROMOTION.

5 The Richard B. Russell National School Lunch Act

6 is amended by inserting after section 4 (42 U.S.C. 1753)

7 the following:

8 ‘‘SEC. 5. NUTRITION PROMOTION.

9 ‘‘(a) IN GENERAL.—Subject to the availability of

10 funds made available under subsection (g), the Secretary

11 shall make payments to State agencies for each fiscal year,

12 in accordance with this section, to promote nutrition in

13 food service programs under this Act and the school

14 breakfast program established under the Child Nutrition

15 Act of 1966 (42 U.S.C. 1771 et seq.).

16 ‘‘(b) TOTAL AMOUNT FOR EACH FISCAL YEAR.—The

17 total amount of funds available for a fiscal year for pay18 ments under this section shall equal not more than the

19 product obtained by multiplying—

‘‘(1) 1 20 ⁄2 cent; by

21 ‘‘(2) the number of lunches reimbursed through

22 food service programs under this Act during the sec-
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1 ond preceding fiscal year in schools, institutions, and

2 service institutions that participate in the food serv3 ice programs.

4 ‘‘(c) PAYMENTS TO STATES.—

5 ‘‘(1) ALLOCATION.—Subject to paragraph (2),

6 from the amount of funds available under subsection

7 (g) for a fiscal year, the Secretary shall allocate to

8 each State agency an amount equal to the greater

9 of—

10 ‘‘(A) a uniform base amount established by

11 the Secretary; or

12 ‘‘(B) an amount determined by the Sec13 retary, based on the ratio that—

14 ‘‘(i) the number of lunches reimbursed

15 through food service programs under this

16 Act in schools, institutions, and service in17 stitutions in the State that participate in

18 the food service programs; bears to

19 ‘‘(ii) the number of lunches reim20 bursed through the food service programs

21 in schools, institutions, and service institu22 tions in all States that participate in the

23 food service programs.

24 ‘‘(2) REDUCTIONS.—The Secretary shall reduce

25 allocations to State agencies qualifying for an alloca-
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1 tion under paragraph (1)(B), in a manner deter2 mined by the Secretary, to the extent necessary to

3 ensure that the total amount of funds allocated

4 under paragraph (1) is not greater than the amount

5 appropriated under subsection (g).

6 ‘‘(d) USE OF PAYMENTS.—

7 ‘‘(1) USE BY STATE AGENCIES.—A State agen8 cy may reserve, to support dissemination and use of

9 nutrition messages and material developed by the

10 Secretary, up to—

11 ‘‘(A) 5 percent of the payment received by

12 the State for a fiscal year under subsection (c);

13 or

14 ‘‘(B) in the case of a small State (as deter15 mined by the Secretary), a higher percentage

16 (as determined by the Secretary) of the pay17 ment.

18 ‘‘(2) DISBURSEMENT TO SCHOOLS AND INSTI19 TUTIONS.—Subject to paragraph (3), the State

20 agency shall disburse any remaining amount of the

21 payment to school food authorities and institutions

22 participating in food service programs described in

23 subsection (a) to disseminate and use nutrition mes24 sages and material developed by the Secretary.
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1 ‘‘(3) SUMMER FOOD SERVICE PROGRAM FOR

2 CHILDREN.—In addition to any amounts reserved

3 under paragraph (1), in the case of the summer food

4 service program for children established under sec5 tion 13, the State agency may—

6 ‘‘(A) retain a portion of the funds made

7 available under subsection (c) (as determined

8 by the Secretary); and

9 ‘‘(B) use the funds, in connection with the

10 program, to disseminate and use nutrition mes11 sages and material developed by the Secretary.

12 ‘‘(e) DOCUMENTATION.—A State agency, school food

13 authority, and institution receiving funds under this sec14 tion shall maintain documentation of nutrition promotion

15 activities conducted under this section.

16 ‘‘(f) REALLOCATION.—The Secretary may reallocate,

17 to carry out this section, any amounts made available to

18 carry out this section that are not obligated or expended,

19 as determined by the Secretary.

20 ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There

21 are authorized to be appropriated such sums as are nec22 essary to carry out this section, to remain available until

23 expended.’’.
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1 SEC. 102. NUTRITION REQUIREMENTS.

2 Section 9(a) of the Richard B. Russell National

3 School Lunch Act (42 U.S.C. 1758(a)) is amended by

4 striking paragraph (2) and inserting the following:

5 ‘‘(2) FLUID MILK.—

6 ‘‘(A) IN GENERAL.—Lunches served by

7 schools participating in the school lunch pro8 gram under this Act—

9 ‘‘(i) shall offer students fluid milk in

10 a variety of fat contents;

11 ‘‘(ii) may offer students flavored and

12 unflavored fluid milk and lactose-free fluid

13 milk; and

14 ‘‘(iii) shall provide a substitute for

15 fluid milk for students whose disability re16 stricts their diet, on receipt of a written

17 statement from a licensed physician that

18 identifies the disability that restricts the

19 student’s diet and that specifies the sub20 stitute for fluid milk.

21 ‘‘(B) SUBSTITUTES.—

22 ‘‘(i) STANDARDS FOR SUBSTI23 TUTION.—A school may substitute for the

24 fluid milk provided under subparagraph

25 (A), a nondairy beverage that is nutrition26 ally equivalent to fluid milk and meets nu-
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1 tritional standards established by the Sec2 retary (which shall, among other require3 ments to be determined by the Secretary,

4 include fortification of calcium, protein, vi5 tamin A, and vitamin D to levels found in

6 cow’s milk) for students who cannot con7 sume fluid milk because of a medical or

8 other special dietary need other than a dis9 ability described in subparagraph (A)(iii).

10 ‘‘(ii) NOTICE.—The substitutions may

11 be made if the school notifies the State

12 agency that the school is implementing a

13 variation allowed under this subparagraph,

14 and if the substitution is requested by

15 written statement of a medical authority or

16 by a student’s parent or legal guardian

17 that identifies the medical or other special

18 dietary need that restricts the student’s

19 diet, except that the school shall not be re20 quired to provide beverages other than bev21 erages the school has identified as accept22 able substitutes.

23 ‘‘(iii) EXCESS EXPENSES BORNE BY

24 SCHOOL FOOD AUTHORITY.—Expenses in25 curred in providing substitutions under
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1 this subparagraph that are in excess of ex2 penses covered by reimbursements under

3 this Act shall be paid by the school food

4 authority.

5 ‘‘(C) RESTRICTIONS ON SALE OF MILK

6 PROHIBITED.—A school that participates in the

7 school lunch program under this Act shall not

8 directly or indirectly restrict the sale or mar9 keting of fluid milk products by the school (or

10 by a person approved by the school) at any time

11 or any place—

12 ‘‘(i) on the school premises; or

13 ‘‘(ii) at any school-sponsored event.’’.

14 SEC. 103. PROVISION OF INFORMATION.

15 Section 9(a) of the Richard B. Russell National

16 School Lunch Act (42 U.S.C. 1758(a)) is amended by add17 ing at the end the following:

18 ‘‘(4) PROVISION OF INFORMATION.—

19 ‘‘(A) GUIDANCE.—Prior to the beginning

20 of the school year beginning July 2004, the

21 Secretary shall issue guidance to States and

22 school food authorities to increase the consump23 tion of foods and food ingredients that are rec24 ommended for increased serving consumption in

25 the most recent Dietary Guidelines for Ameri-
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1 cans published under section 301 of the Na2 tional Nutrition Monitoring and Related Re3 search Act of 1990 (7 U.S.C. 5341).

4 ‘‘(B) RULES.—Not later than 2 years after

5 the date of enactment of this paragraph, the

6 Secretary shall promulgate rules, based on the

7 most recent Dietary Guidelines for Americans,

8 that reflect specific recommendations, expressed

9 in serving recommendations, for increased con10 sumption of foods and food ingredients offered

11 in school nutrition programs under this Act and

12 the Child Nutrition Act of 1966 (42 U.S.C.

13 1771 et seq.).’’.

14 SEC. 104. DIRECT CERTIFICATION.

15 (a) IN GENERAL.—Section 9(b) of the Richard B.

16 Russell National School Lunch Act (42 U.S.C. 1758(b))

17 is amended—

18 (1) by redesignating paragraphs (3) through

19 (7) as paragraphs (9) through (13), respectively;

20 and

21 (2) in paragraph (2)—

22 (A) in subparagraph (B)—

23 (i) by striking ‘‘(B) Applications’’ and

24 inserting the following:
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1 ‘‘(B) APPLICATIONS AND DESCRIPTIVE MA2 TERIAL.—

3 ‘‘(i) IN GENERAL.—Applications’’;

4 (ii) in the second sentence, by striking

5 ‘‘Such forms and descriptive material’’ and

6 inserting the following:

7 ‘‘(ii) INCOME ELIGIBILITY GUIDE8 LINES.—Forms and descriptive material

9 distributed in accordance with clause (i)’’;

10 and

11 (iii) by adding at the end the fol12 lowing:

13 ‘‘(iii) CONTENTS OF DESCRIPTIVE MA14 TERIAL.—

15 ‘‘(I) IN GENERAL.—Descriptive

16 material distributed in accordance

17 with clause (i) shall contain a notifica18 tion that—

19 ‘‘(aa) participants in the

20 programs listed in subclause (II)

21 may be eligible for free or re22 duced price meals; and

23 ‘‘(bb) documentation may be

24 requested for verification of eligi-
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1 bility for free or reduced price

2 meals.

3 ‘‘(II) PROGRAMS.—The programs

4 referred to in subclause (I)(aa) are—

5 ‘‘(aa) the special supple6 mental nutrition program for

7 women, infants, and children es8 tablished by section 17 of the

9 Child Nutrition Act of 1966 (42

10 U.S.C. 1786);

11 ‘‘(bb) the food stamp pro12 gram established under the Food

13 Stamp Act of 1977 (7 U.S.C.

14 2011 et seq.);

15 ‘‘(cc) the food distribution

16 program on Indian reservations

17 established under section 4(b) of

18 the Food Stamp Act of 1977 (7

19 U.S.C. 2013(b)); and

20 ‘‘(dd) a State program fund21 ed under the program of block

22 grants to States for temporary

23 assistance for needy families es24 tablished under part A of title IV
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1 of the Social Security Act (42

2 U.S.C. 601 et seq.).’’;

3 (B) by striking ‘‘(C)(i)’’ and inserting

4 ‘‘(3)’’; and

5 (C) by striking clause (ii) of subparagraph

6 (C) (as it existed before the amendment made

7 by subparagraph (B)) and all that follows

8 through the end of subparagraph (D) and in9 serting the following:

10 ‘‘(4) DIRECT CERTIFICATION FOR CHILDREN IN

11 FOOD STAMP HOUSEHOLDS.—

12 ‘‘(A) IN GENERAL.—Subject to subpara13 graph (D), each State agency shall enter into

14 an agreement with the State agency conducting

15 eligibility determinations for the food stamp

16 program established under the Food Stamp Act

17 of 1977 (7 U.S.C. 2011 et seq.).

18 ‘‘(B) PROCEDURES.—Subject to paragraph

19 (6), the agreement shall establish procedures

20 under which a child who is a member of a

21 household receiving assistance under the food

22 stamp program shall be certified as eligible for

23 free lunches under this Act and free breakfasts

24 under the Child Nutrition Act of 1966 (42
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1 U.S.C. 1771 et seq.), without further applica2 tion.

3 ‘‘(C) CERTIFICATION.—Subject to para4 graph (6), under the agreement, the local edu5 cational agency conducting eligibility determina6 tions for a school lunch program under this Act

7 and a school breakfast program under the Child

8 Nutrition Act of 1966 (42 U.S.C. 1771 et seq.)

9 shall certify a child who is a member of a

10 household receiving assistance under the food

11 stamp program as eligible for free lunches

12 under this Act and free breakfasts under the

13 Child Nutrition Act of 1966 (42 U.S.C. 1771 et

14 seq.), without further application.

15 ‘‘(D) APPLICABILITY.—This paragraph ap16 plies to—

17 ‘‘(i) in the case of the school year be18 ginning July 2006, a school district that

19 had an enrollment of 25,000 students or

20 more in the preceding school year;

21 ‘‘(ii) in the case of the school year be22 ginning July 2007, a school district that

23 had an enrollment of 10,000 students or

24 more in the preceding school year; and
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1 ‘‘(iii) in the case of the school year be2 ginning July 2008 and each subsequent

3 school year, each local educational agen4 cy.’’.

5 (b) ADMINISTRATION.—

6 (1) IN GENERAL.—Section 9(b) of the Richard

7 B. Russell National School Lunch Act (42 U.S.C.

8 1758(b)) (as amended by subsection (a)) is amended

9 by inserting after paragraph (4) the following:

10 ‘‘(5) DISCRETIONARY CERTIFICATION.—

11 ‘‘(A) IN GENERAL.—Subject to paragraph

12 (6), any local educational agency may certify

13 any child as eligible for free lunches or break14 fasts, without further application, by directly

15 communicating with the appropriate State or

16 local agency to obtain documentation of the sta17 tus of the child as—

18 ‘‘(i) a member of a family that is re19 ceiving assistance under the temporary as20 sistance for needy families program funded

21 under part A of title IV of the Social Secu22 rity Act (42 U.S.C. 601 et seq.) that the

23 Secretary determines complies with stand24 ards established by the Secretary that en25 sure that the standards under the State
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1 program are comparable to or more re2 strictive than those in effect on June 1,

3 1995;

4 ‘‘(ii) a homeless child or youth (de5 fined as 1 of the individuals described in

6 section 725(2) of the McKinney-Vento

7 Homeless Assistance Act (42 U.S.C.

8 11434a(2));

9 ‘‘(iii) served by the runaway and

10 homeless youth grant program established

11 under the Runaway and Homeless Youth

12 Act (42 U.S.C. 5701 et seq.); or

13 ‘‘(iv) a migratory child (as defined in

14 section 1309 of the Elementary and Sec15 ondary Education Act of 1965 (20 U.S.C.

16 6399)).’’.

17 ‘‘(B) CHILDREN OF HOUSEHOLDS RECEIV18 ING FOOD STAMPS.—Subject to paragraph (6),

19 any local educational agency may certify any

20 child as eligible for free lunches or breakfasts,

21 without further application, by directly commu22 nicating with the appropriate State or local

23 agency to obtain documentation of the status of

24 the child as a member of a household that is re-
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1 ceiving food stamps under the Food Stamp Act

2 of 1977 (7 U.S.C. 2011 et seq.).

3 ‘‘(6) USE OR DISCLOSURE OF INFORMATION.—

4 ‘‘(A) IN GENERAL.—The use or disclosure

5 of any information obtained from an application

6 for free or reduced price meals, or from a State

7 or local agency referred to in paragraph (3)(F),

8 (4), or (5), shall be limited to—

9 ‘‘(i) a person directly connected with

10 the administration or enforcement of this

11 Act or the Child Nutrition Act of 1966 (42

12 U.S.C. 1771 et seq.) (including a regula13 tion promulgated under either Act);

14 ‘‘(ii) a person directly connected with

15 the administration or enforcement of—

16 ‘‘(I) a Federal education pro17 gram;

18 ‘‘(II) a State health or education

19 program administered by the State or

20 local educational agency (other than a

21 program carried out under title XIX

22 or XXI of the Social Security Act (42

23 U.S.C. 1396 et seq.; 42 U.S.C.

24 1397aa et seq.)); or
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1 ‘‘(III) a Federal, State, or local

2 means-tested nutrition program with

3 eligibility standards comparable to the

4 school lunch program under this Act;

5 ‘‘(iii)(I) the Comptroller General of

6 the United States for audit and examina7 tion authorized by any other provision of

8 law; and

9 ‘‘(II) notwithstanding any other provi10 sion of law, a Federal, State, or local law

11 enforcement official for the purpose of in12 vestigating an alleged violation of any pro13 gram covered by this paragraph or para14 graph (3)(F), (4), or (5);

15 ‘‘(iv) a person directly connected with

16 the administration of the State medicaid

17 program under title XIX of the Social Se18 curity Act (42 U.S.C. 1396 et seq.) or the

19 State children’s health insurance program

20 under title XXI of that Act (42 U.S.C.

21 1397aa et seq.) solely for the purposes

22 of—

23 ‘‘(I) identifying children eligible

24 for benefits under, and enrolling chil25 dren in, those programs, except that
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1 this subclause shall apply only to the

2 extent that the State and the local

3 educational agency or school food au4 thority so elect; and

5 ‘‘(II) verifying the eligibility of

6 children for programs under this Act

7 or the Child Nutrition Act of 1966

8 (42 U.S.C. 1771 et seq.); and

9 ‘‘(v) a third party contractor de10 scribed in paragraph (3)(G)(iv).

11 ‘‘(B) LIMITATION ON INFORMATION PRO12 VIDED.—Information provided under clause (ii)

13 or (v) of subparagraph (A) shall be limited to

14 the income eligibility status of the child for

15 whom application for free or reduced price meal

16 benefits is made or for whom eligibility infor17 mation is provided under paragraph (3)(F), (4),

18 or (5), unless the consent of the parent or

19 guardian of the child for whom application for

20 benefits was made is obtained.

21 ‘‘(C) CRIMINAL PENALTY.—A person de22 scribed in subparagraph (A) who publishes, di23 vulges, discloses, or makes known in any man24 ner, or to any extent not authorized by Federal

25 law (including a regulation), any information
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1 obtained under this subsection shall be fined

2 not more than $1,000 or imprisoned not more

3 than 1 year, or both.

4 ‘‘(D) REQUIREMENTS FOR WAIVER OF

5 CONFIDENTIALITY.—A State that elects to exer6 cise the option described in subparagraph

7 (A)(iv)(I) shall ensure that any local edu8 cational agency or school food authority acting

9 in accordance with that option—

10 ‘‘(i) has a written agreement with 1 or

11 more State or local agencies administering

12 health programs for children under titles

13 XIX and XXI of the Social Security Act

14 (42 U.S.C. 1396 et seq. and 1397aa et

15 seq.) that requires the health agencies to

16 use the information obtained under sub17 paragraph (A) to seek to enroll children in

18 those health programs; and

19 ‘‘(ii)(I) notifies each household, the

20 information of which shall be disclosed

21 under subparagraph (A), that the informa22 tion disclosed will be used only to enroll

23 children in health programs referred to in

24 subparagraph (A)(iv); and
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1 ‘‘(II) provides each parent or guard2 ian of a child in the household with an op3 portunity to elect not to have the informa4 tion disclosed.

5 ‘‘(E) USE OF DISCLOSED INFORMATION.—

6 A person to which information is disclosed

7 under subparagraph (A)(iv)(I) shall use or dis8 close the information only as necessary for the

9 purpose of enrolling children in health pro10 grams referred to in subparagraph (A)(iv).

11 ‘‘(7) FREE AND REDUCED PRICE POLICY

12 STATEMENT.—

13 ‘‘(A) IN GENERAL.—After the initial sub14 mission, a local educational agency shall not be

15 required to submit a free and reduced price pol16 icy statement to a State educational agency

17 under this Act unless there is a substantive

18 change in the free and reduced price policy of

19 the local educational agency.

20 ‘‘(B) ROUTINE CHANGE.—A routine

21 change in the policy of a local educational agen22 cy (such as an annual adjustment of the income

23 eligibility guidelines for free and reduced price

24 meals) shall not be sufficient cause for requir-
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1 ing the local educational agency to submit a

2 policy statement.

3 ‘‘(8) COMMUNICATIONS.—

4 ‘‘(A) IN GENERAL.—Any communication

5 with a household under this subsection or sub6 section (d) shall be in an understandable and

7 uniform format and, to the maximum extent

8 practicable, in a language that parents and

9 legal guardians can understand.

10 ‘‘(B) ELECTRONIC AVAILABILITY.—In ad11 dition to the distribution of applications and de12 scriptive material in paper form as provided for

13 in this paragraph, the applications and material

14 may be made available electronically via the

15 Internet.’’.

16 (2) AGREEMENT FOR DIRECT CERTIFICATION

17 AND COOPERATION.—Section 11 of the Food Stamp

18 Act of 1977 (7 U.S.C. 2020) is amended by adding

19 at the end the following:

20 ‘‘(u) AGREEMENT FOR DIRECT CERTIFICATION AND

21 COOPERATION.—

22 ‘‘(1) IN GENERAL.—Each State agency shall

23 enter into an agreement with the State agency ad24 ministering the school lunch program established
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1 under the Richard B. Russell National School Lunch

2 Act (42 U.S.C. 1751 et seq.).

3 ‘‘(2) CONTENTS.—The agreement shall estab4 lish procedures that ensure that—

5 ‘‘(A) any child receiving benefits under this

6 Act shall be certified as eligible for free lunches

7 under the Richard B. Russell National School

8 Lunch Act (42 U.S.C. 1751 et seq.) and free

9 breakfasts under the Child Nutrition Act of

10 1966 (42 U.S.C. 1771 et seq.), without further

11 application; and

12 ‘‘(B) each State agency shall cooperate in

13 carrying out paragraphs (3)(F) and (4) of sec14 tion 9(b) of the Richard B. Russell National

15 School Lunch Act (42 U.S.C. 1758(b)).’’.

16 (c) FUNDING.—

17 (1) IN GENERAL.—On October 1, 2005, out of

18 any funds in the Treasury not otherwise appro19 priated, the Secretary of the Treasury shall transfer

20 to the Secretary of Agriculture to assist States in

21 carrying out the amendments contained in this sec22 tion and the provisions of section 9(b)(3) of the

23 Richard B. Russell National School Lunch Act (as

24 amended by section 105(a)) $9,000,000, to remain

25 available until expended.
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1 (2) RECEIPT AND ACCEPTANCE.—The Sec2 retary shall be entitled to receive, shall accept, and

3 shall use to assist States in carrying out the amend4 ments made by this section and the provisions of

5 section 9(b)(3) of the Richard B. Russell National

6 School Lunch Act (as amended by section 105(a))

7 the funds transferred under paragraph (1), without

8 further appropriation.

9 (d) CONFORMING AMENDMENTS.—

10 (1) Effective July 1, 2008, paragraph (5) of

11 section 9(b) of the Richard B. Russell National

12 School Lunch Act (42 U.S.C. 1758(b)) (as added by

13 subsection (b)(1)) is amended—

14 (A) by striking subparagraph (B);

15 (B) by striking ‘‘CERTIFICATION.—’’ and

16 all that follows through ‘‘IN GENERAL.—’’ and

17 inserting ‘‘CERTIFICATION.—’’; and

18 (C) by redesignating clauses (i) through

19 (iv) as subparagraphs (A) through (D), respec20 tively, and indenting appropriately.

21 (2) Section 9 of the Richard B. Russell Na22 tional School Lunch Act (42 U.S.C. 1758) (as

23 amended by subsection (a)(1)) is amended—
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1 (A) in subsection (b)(12)(B), by striking

2 ‘‘paragraph (2)(C)’’ and inserting ‘‘this sub3 section’’; and

4 (B) in the second sentence of subsection

5 (d)(1), by striking ‘‘subsection (b)(2)(C)’’ and

6 inserting ‘‘subsection (b)(3)(G)’’.

7 (3) Section 11(e) of the Richard B. Russell Na8 tional School Lunch Act (42 U.S.C. 1759a(e)) is

9 amended in the first sentence by striking ‘‘section

10 9(b)(3)’’ and inserting ‘‘section 9(b)(9)’’.

11 SEC. 105. HOUSEHOLD APPLICATIONS.

12 (a) IN GENERAL.—Section 9(b) of the Richard B.

13 Russell National School Lunch Act (42 U.S.C. 1758(b))

14 (as amended by section 104(a)(2)(B)) is amended by

15 striking paragraph (3) and inserting the following:

16 ‘‘(3) HOUSEHOLD APPLICATIONS.—

17 ‘‘(A) DEFINITION OF HOUSEHOLD APPLI18 CATION.—In this paragraph, the term ‘house19 hold application’ means an application for a

20 child of a household to receive free or reduced

21 price school lunches under this Act, or free or

22 reduced price school breakfasts under the Child

23 Nutrition Act of 1966 (42 U.S.C. 1771 et seq.),

24 for which an eligibility determination is made

25 other than under paragraph (4) or (5).
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1 ‘‘(B) ELIGIBILITY DETERMINATION.—

2 ‘‘(i) IN GENERAL.—An eligibility de3 termination shall be made on the basis of

4 a complete household application executed

5 by an adult member of the household or in

6 accordance with guidance issued by the

7 Secretary.

8 ‘‘(ii) ELECTRONIC SIGNATURES AND

9 APPLICATIONS.—A household application

10 may be executed using an electronic signa11 ture if—

12 ‘‘(I) the application is submitted

13 electronically; and

14 ‘‘(II) the electronic application

15 filing system meets confidentiality

16 standards established by the Sec17 retary.

18 ‘‘(C) CHILDREN IN HOUSEHOLD.—

19 ‘‘(i) IN GENERAL.—The household ap20 plication shall identify the names of each

21 child in the household for whom meal ben22 efits are requested.

23 ‘‘(ii) SEPARATE APPLICATIONS.—A

24 State educational agency or local edu25 cational agency may not request a separate
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1 application for each child in the household

2 that attends schools under the same local

3 educational agency.

4 ‘‘(D) VERIFICATION OF SAMPLE.—

5 ‘‘(i) DEFINITIONS.—In this subpara6 graph:

7 ‘‘(I) ERROR PRONE APPLICA8 TION.—The term ‘error prone applica9 tion’ means an approved household

10 application that—

11 ‘‘(aa) indicates monthly in12 come that is within $100, or an

13 annual income that is within

14 $1,200, of the income eligibility

15 limitation for free or reduced

16 price meals; or

17 ‘‘(bb) in lieu of the criteria

18 established under item (aa),

19 meets criteria established by the

20 Secretary.

21 ‘‘(II) NON-RESPONSE RATE.—

22 The term ‘non-response rate’ means

23 (in accordance with guidelines estab24 lished by the Secretary) the percent25 age of approved household applica-
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1 tions for which verification informa2 tion has not been obtained by a local

3 educational agency after attempted

4 verification under subparagraphs (F)

5 and (G).

6 ‘‘(ii) VERIFICATION OF SAMPLE.—

7 Each school year, a local educational agen8 cy shall verify eligibility of the children in

9 a sample of household applications ap10 proved for the school year by the local edu11 cational agency, as determined by the Sec12 retary in accordance with this subsection.

13 ‘‘(iii) SAMPLE SIZE.—Except as other14 wise provided in this paragraph, the sam15 ple for a local educational agency for a

16 school year shall equal the lesser of—

17 ‘‘(I) 3 percent of all applications

18 approved by the local educational

19 agency for the school year, as of Octo20 ber 1 of the school year, selected from

21 error prone applications; or

22 ‘‘(II) 3,000 error prone applica23 tions approved by the local edu24 cational agency for the school year, as

25 of October 1 of the school year.
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1 ‘‘(iv) ALTERNATIVE SAMPLE SIZE.—

2 ‘‘(I) IN GENERAL.—If the condi3 tions described in subclause (IV) are

4 met, the verification sample size for a

5 local educational agency shall be the

6 sample size described in subclause (II)

7 or (III), as determined by the local

8 educational agency.

9 ‘‘(II) 3,000/3 PERCENT OP10 TION.—The sample size described in

11 this subclause shall be the lesser of

12 3,000, or 3 percent of, applications

13 selected at random from applications

14 approved by the local educational

15 agency for the school year, as of Octo16 ber 1 of the school year.

17 ‘‘(III) 1,000/1 PERCENT PLUS

18 OPTION.—

19 ‘‘(aa) IN GENERAL.—The

20 sample size described in this sub21 clause shall be the sum of—

22 ‘‘(AA) the lesser of

23 1,000, or 1 percent of, all

24 applications approved by the

25 local educational agency for
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1 the school year, as of Octo2 ber 1 of the school year, se3 lected from error prone ap4 plications; and

5 ‘‘(BB) the lesser of

500, or 1 6 ⁄2 of 1 percent of,

7 applications approved by the

8 local educational agency for

9 the school year, as of Octo10 ber 1 of the school year,

11 that provide a case number

12 (in lieu of income informa13 tion) showing participation

14 in a program described in

15 item (bb) selected from

16 those approved applications

17 that provide a case number

18 (in lieu of income informa19 tion) verifying the participa20 tion.

21 ‘‘(bb) PROGRAMS.—The pro22 grams described in this item

23 are—

24 ‘‘(AA) the food stamp

25 program established under
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1 the Food Stamp Act of 1977

2 (7 U.S.C. 2011 et seq.);

3 ‘‘(BB) the food dis4 tribution program on Indian

5 reservations established

6 under section 4(b) of the

7 Food Stamp Act of 1977 (7

8 U.S.C. 2013(b)); and

9 ‘‘(CC) a State program

10 funded under the program

11 of block grants to States for

12 temporary assistance for

13 needy families established

14 under part A of title IV of

15 the Social Security Act (42

16 U.S.C. 601 et seq.) that the

17 Secretary determines com18 plies with standards estab19 lished by the Secretary that

20 ensure that the standards

21 under the State program are

22 comparable to or more re23 strictive than those in effect

24 on June 1, 1995.
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1 ‘‘(IV) CONDITIONS.—The condi2 tions referred to in subclause (I) shall

3 be met for a local educational agency

4 for a school year if—

5 ‘‘(aa) the nonresponse rate

6 for the local educational agency

7 for the preceding school year is

8 less than 20 percent; or

9 ‘‘(bb) the local educational

10 agency has more than 20,000

11 children approved by application

12 by the local educational agency

13 as eligible for free or reduced

14 price meals for the school year,

15 as of October 1 of the school

16 year, and—

17 ‘‘(AA) the nonresponse

18 rate for the preceding school

19 year is at least 10 percent

20 below the nonresponse rate

21 for the second preceding

22 school year; or

23 ‘‘(BB) in the case of

24 the school year beginning

25 July 2005, the local edu-
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1 cational agency attempts to

2 verify all approved house3 hold applications selected for

4 verification through use of

5 public agency records from

6 at least 2 of the programs

7 or sources of information de8 scribed in subparagraph

9 (F)(i).

10 ‘‘(v) ADDITIONAL SELECTED APPLICA11 TIONS.—A sample for a local educational

12 agency for a school year under clauses (iii)

13 and (iv)(III)(AA) shall include the number

14 of additional randomly selected approved

15 household applications that are required to

16 comply with the sample size requirements

17 in those clauses.

18 ‘‘(E) PRELIMINARY REVIEW.—

19 ‘‘(i) REVIEW FOR ACCURACY.—

20 ‘‘(I) IN GENERAL.—Prior to con21 ducting any other verification activity

22 for approved household applications

23 selected for verification, the local edu24 cational agency shall ensure that the

25 initial eligibility determination for
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1 each approved household application

2 is reviewed for accuracy by an indi3 vidual other than the individual mak4 ing the initial eligibility determination,

5 unless otherwise determined by the

6 Secretary.

7 ‘‘(II) WAIVER.—The require8 ments of subclause (I) shall be waived

9 for a local educational agency if the

10 local educational agency is using a

11 technology-based solution that dem12 onstrates a high level of accuracy, to

13 the satisfaction of the Secretary, in

14 processing an initial eligibility deter15 mination in accordance with the in16 come eligibility guidelines of the

17 school lunch program.

18 ‘‘(ii) CORRECT ELIGIBILITY DETER19 MINATION.—If the review indicates that

20 the initial eligibility determination is cor21 rect, the local educational agency shall

22 verify the approved household application.

23 ‘‘(iii) INCORRECT ELIGIBILITY DETER24 MINATION.—If the review indicates that

25 the initial eligibility determination is incor-
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1 rect, the local educational agency shall (as

2 determined by the Secretary)—

3 ‘‘(I) correct the eligibility status

4 of the household;

5 ‘‘(II) notify the household of the

6 change;

7 ‘‘(III) in any case in which the

8 review indicates that the household is

9 not eligible for free or reduced-price

10 meals, notify the household of the rea11 son for the ineligibility and that the

12 household may reapply with income

13 documentation for free or reduced14 price meals; and

15 ‘‘(IV) in any case in which the

16 review indicates that the household is

17 eligible for free or reduced-price

18 meals, verify the approved household

19 application.

20 ‘‘(F) DIRECT VERIFICATION.—

21 ‘‘(i) IN GENERAL.—Subject to clauses

22 (ii) and (iii), to verify eligibility for free or

23 reduced price meals for approved house24 hold applications selected for verification,

25 the local educational agency may (in ac-
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1 cordance with criteria established by the

2 Secretary) first obtain and use income and

3 program participation information from a

4 public agency administering—

5 ‘‘(I) the food stamp program es6 tablished under the Food Stamp Act

7 of 1977 (7 U.S.C. 2011 et seq.);

8 ‘‘(II) the food distribution pro9 gram on Indian reservations estab10 lished under section 4(b) of the Food

11 Stamp Act of 1977 (7 U.S.C.

12 2013(b));

13 ‘‘(III) the temporary assistance

14 for needy families program funded

15 under part A of title IV of the Social

16 Security Act (42 U.S.C. 601 et seq.);

17 ‘‘(IV) the State medicaid pro18 gram under title XIX of the Social

19 Security Act (42 U.S.C. 1396 et seq.);

20 or

21 ‘‘(V) a similar income-tested pro22 gram or other source of information,

23 as determined by the Secretary.

24 ‘‘(ii) FREE MEALS.—Public agency

25 records that may be obtained and used
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1 under clause (i) to verify eligibility for free

2 meals for approved household applications

3 selected for verification shall include the

4 most recent available information (other

5 than information reflecting program par6 ticipation or income before the 180-day pe7 riod ending on the date of application for

8 free meals) that is relied on to

9 administer—

10 ‘‘(I) a program or source of in11 formation described in clause (i)

12 (other than clause (i)(IV)); or

13 ‘‘(II) the State plan for medical

14 assistance under title XIX of the So15 cial Security Act (42 U.S.C. 1396 et

16 seq.) in—

17 ‘‘(aa) a State in which the

18 income eligibility limit applied

19 under section 1902(l)(2)(C) of

20 that Act (42 U.S.C.

21 1396a(l)(2)(C)) is not more than

22 133 percent of the official pov23 erty line described in section

24 1902(l)(2)(A) of that Act (42

25 U.S.C. 1396a(l)(2)(A)); or
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1 ‘‘(bb) a State that otherwise

2 identifies households that have

3 income that is not more than 133

4 percent of the official poverty line

5 described in section

6 1902(l)(2)(A) of that Act (42

7 U.S.C. 1396a(l)(2)(A)).

8 ‘‘(iii) REDUCED PRICE MEALS.—Pub9 lic agency records that may be obtained

10 and used under clause (i) to verify eligi11 bility for reduced price meals for approved

12 household applications selected for

13 verification shall include the most recent

14 available information (other than informa15 tion reflecting program participation or in16 come before the 180-day period ending on

17 the date of application for reduced price

18 meals) that is relied on to administer—

19 ‘‘(I) a program or source of in20 formation described in clause (i)

21 (other than clause (i)(IV)); or

22 ‘‘(II) the State plan for medical

23 assistance under title XIX of the So24 cial Security Act (42 U.S.C. 1396 et

25 seq.) in—
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1 ‘‘(aa) a State in which the

2 income eligibility limit applied

3 under section 1902(l)(2)(C) of

4 that Act (42 U.S.C.

5 1396a(l)(2)(C)) is not more than

6 185 percent of the official pov7 erty line described in section

8 1902(l)(2)(A) of that Act (42

9 U.S.C. 1396a(l)(2)(A)); or

10 ‘‘(bb) a State that otherwise

11 identifies households that have

12 income that is not more than 185

13 percent of the official poverty line

14 described in section

15 1902(l)(2)(A) of that Act (42

16 U.S.C. 1396a(l)(2)(A)).

17 ‘‘(iv) EVALUATION.—Not later than 3

18 years after the date of enactment of this

19 subparagraph, the Secretary shall complete

20 an evaluation of—

21 ‘‘(I) the effectiveness of direct

22 verification carried out under this

23 subparagraph in decreasing the por24 tion of the verification sample that

25 must be verified under subparagraph
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1 (G) while ensuring that adequate

2 verification information is obtained;

3 and

4 ‘‘(II) the feasibility of direct

5 verification by State agencies and

6 local educational agencies.

7 ‘‘(v) EXPANDED USE OF DIRECT

8 VERIFICATION.—If the Secretary deter9 mines that direct verification significantly

10 decreases the portion of the verification

11 sample that must be verified under sub12 paragraph (G), while ensuring that ade13 quate verification information is obtained,

14 and can be conducted by most State agen15 cies and local educational agencies, the

16 Secretary may require a State agency or

17 local educational agency to implement di18 rect verification through 1 or more of the

19 programs described in clause (i), as deter20 mined by the Secretary, unless the State

21 agency or local educational agency dem22 onstrates (under criteria established by the

23 Secretary) that the State agency or local

24 educational agency lacks the capacity to
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1 conduct, or is unable to implement, direct

2 verification.

3 ‘‘(G) HOUSEHOLD VERIFICATION.—

4 ‘‘(i) IN GENERAL.—If an approved

5 household application is not verified

6 through the use of public agency records,

7 a local educational agency shall provide to

8 the household written notice that—

9 ‘‘(I) the approved household ap10 plication has been selected for

11 verification; and

12 ‘‘(II) the household is required to

13 submit verification information to con14 firm eligibility for free or reduced

15 price meals.

16 ‘‘(ii) PHONE NUMBER.—The written

17 notice in clause (i) shall include a toll-free

18 phone number that parents and legal

19 guardians in households selected for

20 verification can call for assistance with the

21 verification process.

22 ‘‘(iii) FOLLOWUP ACTIVITIES.—If a

23 household does not respond to a

24 verification request, a local educational

25 agency shall make at least 1 attempt to ob-
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1 tain the necessary verification from the

2 household in accordance with guidelines

3 and regulations promulgated by the Sec4 retary.

5 ‘‘(iv) CONTRACT AUTHORITY FOR

6 SCHOOL FOOD AUTHORITIES.—A local edu7 cational agency may contract (under stand8 ards established by the Secretary) with a

9 third party to assist the local educational

10 agency in carrying out clause (iii).

11 ‘‘(H) VERIFICATION DEADLINE.—

12 ‘‘(i) GENERAL DEADLINE.—

13 ‘‘(I) IN GENERAL.—Subject to

14 subclause (II), not later than Novem15 ber 15 of each school year, a local

16 educational agency shall complete the

17 verification activities required for the

18 school year (including followup activi19 ties).

20 ‘‘(II) EXTENSION.—Under cri21 teria established by the Secretary, a

22 State may extend the deadline estab23 lished under subclause (I) for a school

24 year for a local educational agency to

25 December 15 of the school year.
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1 ‘‘(ii) ELIGIBILITY CHANGES.—Based

2 on the verification activities, the local edu3 cational agency shall make appropriate

4 modifications to the eligibility determina5 tions made for household applications in

6 accordance with criteria established by the

7 Secretary.

8 ‘‘(I) LOCAL CONDITIONS.—In the case of a

9 natural disaster, civil disorder, strike, or other

10 local condition (as determined by the Sec11 retary), the Secretary may substitute alter12 natives for—

13 ‘‘(i) the sample size and sample selec14 tion criteria established under subpara15 graph (D); and

16 ‘‘(ii) the verification deadline estab17 lished under subparagraph (H).

18 ‘‘(J) INDIVIDUAL REVIEW.—In accordance

19 with criteria established by the Secretary, the

20 local educational agency may, on individual

21 review—

22 ‘‘(i) decline to verify no more than 5

23 percent of approved household applications

24 selected under subparagraph (D); and
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1 ‘‘(ii) replace the approved household

2 applications with other approved household

3 applications to be verified.

4 ‘‘(K) FEASIBILITY STUDY.—

5 ‘‘(i) IN GENERAL.—The Secretary

6 shall conduct a study of the feasibility of

7 using computer technology (including data

8 mining) to reduce—

9 ‘‘(I) overcertification errors in

10 the school lunch program under this

11 Act;

12 ‘‘(II) waste, fraud, and abuse in

13 connection with this paragraph; and

14 ‘‘(III) errors, waste, fraud, and

15 abuse in other nutrition programs, as

16 determined to be appropriate by the

17 Secretary.

18 ‘‘(ii) REPORT.—Not later than 180

19 days after the date of enactment of this

20 paragraph, the Secretary shall submit to

21 the Committee on Education and the

22 Workforce of the House of Representatives

23 and the Committee on Agriculture, Nutri24 tion, and Forestry of the Senate a report

25 describing—
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1 ‘‘(I) the results of the feasibility

2 study conducted under this sub3 section;

4 ‘‘(II) how a computer system

5 using technology described in clause

6 (i) could be implemented;

7 ‘‘(III) a plan for implementation;

8 and

9 ‘‘(IV) proposed legislation, if nec10 essary, to implement the system.’’.

11 (b) CONFORMING AMENDMENTS.—Section

12 1902(a)(7) of the Social Security Act (42 U.S.C.

13 1396a(a)(7)) is amended—

14 (1) by striking ‘‘connected with the’’ and insert15 ing ‘‘connected with—

16 ‘‘(A) the’’;

17 (2) by adding ‘‘and’’ after the semicolon; and

18 (3) by adding at the end the following:

19 ‘‘(B) at State option, the exchange of in20 formation necessary to verify the certification of

21 eligibility of children for free or reduced price

22 breakfasts under the Child Nutrition Act of

23 1966 and free or reduced price lunches under

24 the Richard B. Russell National School Lunch

25 Act, in accordance with section 9(b) of that
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1 Act, using data standards and formats estab2 lished by the State agency;’’.

3 (c) EVALUATION FUNDING.—

4 (1) IN GENERAL.—On October 1, 2005, out of

5 any funds in the Treasury not otherwise appro6 priated, the Secretary of the Treasury shall transfer

7 to the Secretary of Agriculture to conduct the eval8 uation required by section 9(b)(3)(F)(iv) of the

9 Richard B. Russell National School Lunch Act (as

10 amended by subsection (a)) $2,000,000, to remain

11 available until expended.

12 (2) RECEIPT AND ACCEPTANCE.—The Sec13 retary of Agriculture shall be entitled to receive,

14 shall accept, and shall use to carry out this section

15 the funds transferred under paragraph (1), without

16 further appropriation.

17 SEC. 106. DURATION OF ELIGIBILITY FOR FREE OR RE18 DUCED PRICE MEALS.

19 Paragraph (9) of section 9(b) of the Richard B. Rus20 sell National School Lunch Act (42 U.S.C.1758(b)) (as

21 redesignated by section 104(a)(1)) is amended—

22 (1) by striking ‘‘(9) Any’’ and inserting the fol23 lowing:

24 ‘‘(9) ELIGIBILITY FOR FREE AND REDUCED

25 PRICE LUNCHES.—
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1 ‘‘(A) FREE LUNCHES.—Any’’;

2 (2) by striking ‘‘Any’’ in the second sentence

3 and inserting the following:

4 ‘‘(B) REDUCED PRICE LUNCHES.—

5 ‘‘(i) IN GENERAL.—Any’’;

6 (3) by striking ‘‘The’’ in the last sentence and

7 inserting the following:

8 ‘‘(ii) MAXIMUM PRICE.—The’’; and

9 (4) by adding at the end the following:

10 ‘‘(C) DURATION.—Except as otherwise

11 specified in paragraph (3)(E), (3)(H)(ii), and

12 section 11(a), eligibility for free or reduced

13 price meals for any school year shall remain in

14 effect—

15 ‘‘(i) beginning on the date of eligi16 bility approval for the current school year;

17 and

18 ‘‘(ii) ending on a date during the sub19 sequent school year determined by the Sec20 retary.’’.

21 SEC. 107. RUNAWAY, HOMELESS, AND MIGRANT YOUTH.

22 (a) CATEGORICAL ELIGIBILITY FOR FREE LUNCHES

23 AND BREAKFASTS.—Section 9(b)(12)(A) of the Richard

24 B. Russell National School Lunch Act (as redesignated

25 by section 104(a)(1) of this Act) is amended—
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1 (1) in clause (ii), by striking ‘‘or’’ at the end;

2 (2) in clause (iii), by striking the period at the

3 end and inserting a semicolon; and

4 (3) by adding at the end the following:

5 ‘‘(iv) a homeless child or youth (defined as

6 1 of the individuals described in section 725(2)

7 of the McKinney-Vento Homeless Assistance

8 Act (42 U.S.C. 11434a(2));

9 ‘‘(v) served by the runaway and homeless

10 youth grant program established under the

11 Runaway and Homeless Youth Act (42 U.S.C.

12 5701 et seq.); or

13 ‘‘(vi) a migratory child (as defined in sec14 tion 1309 of the Elementary and Secondary

15 Education Act of 1965 (20 U.S.C. 6399)).’’.

16 (b) DOCUMENTATION.—Section 9(d)(2) of the Rich17 ard B. Russell National School Lunch Act (42 U.S.C.

18 1758(d)(2)) is amended—

19 (1) in subparagraph (B), by striking ‘‘or’’;

20 (2) in subparagraph (C), by striking the period

21 at the end and inserting a semicolon; and

22 (3) by inserting after subparagraph (C) the fol23 lowing:

24 ‘‘(D) documentation has been provided to the

25 appropriate local educational agency showing that
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1 the child meets the criteria specified in clauses (iv)

2 or (v) of subsection (b)(12)(A); or

3 ‘‘(E) documentation has been provided to the

4 appropriate local educational agency showing the

5 status of the child as a migratory child (as defined

6 in section 1309 of the Elementary and Secondary

7 Education Act of 1965 (20 U.S.C. 6399)).’’.

8 SEC. 108. CERTIFICATION BY LOCAL EDUCATIONAL AGEN9 CIES.

10 (a) CERTIFICATION BY LOCAL EDUCATIONAL AGEN11 CY.—Section 9 of the Richard B. Russell National School

12 Lunch Act (42 U.S.C. 1758) is amended—

13 (1) in the second sentence of subsection (b)(11)

14 (as redesignated by section 104(a)(1)), by striking

15 ‘‘Local school authorities’’ and inserting ‘‘Local edu16 cational agencies’’; and

17 (2) in subsection (d)(2)—

18 (A) by striking ‘‘local school food author19 ity’’ each place it appears and inserting ‘‘local

20 educational agency’’; and

21 (B) in subparagraph (A), by striking ‘‘such

22 authority’’ and inserting ‘‘the local educational

23 agency’’.
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1 (b) DEFINITION OF LOCAL EDUCATIONAL AGEN2 CY.—Section 12(d) of the Richard B. Russell National

3 School Lunch Act (42 U.S.C. 1760(d)) is amended—

4 (1) by redesignating paragraph (8) as para5 graph (3) and moving the paragraph to appear after

6 paragraph (2);

7 (2) by redesignating paragraphs (3) through

8 (7) (as those paragraphs existed before the amend9 ment made by paragraph (1)) as paragraphs (5)

10 through (9), respectively; and

11 (3) by inserting after paragraph (3) (as redesig12 nated by paragraph (1)) the following:

13 ‘‘(4) LOCAL EDUCATIONAL AGENCY.—

14 ‘‘(A) IN GENERAL.—The term ‘local edu15 cational agency’ has the meaning given the

16 term in section 9101 of the Elementary and

17 Secondary Education Act of 1965 (20 U.S.C.

18 7801).

19 ‘‘(B) INCLUSION.—The term ‘local edu20 cational agency’ includes, in the case of a pri21 vate nonprofit school, an appropriate entity de22 termined by the Secretary.’’.

23 (c) SCHOOL BREAKFAST PROGRAM.—Section

24 4(b)(1)(E)) of the Child Nutrition Act of 1966 (42 U.S.C.

25 1773(b)(1)(E)) is amended by striking ‘‘school food au-
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1 thority’’ each place it appears and inserting ‘‘local edu2 cational agency’’.

3 SEC. 109. EXCLUSION OF MILITARY HOUSING ALLOW4 ANCES.

5 Section 9(b) of the Richard B. Russell National

6 School Lunch Act (42 U.S.C. 1758(b)) (as amended by

7 section 104(a)(1)) is amended in paragraph (13) by strik8 ing ‘‘For each of fiscal years 2002 and 2003 and through

9 June 30, 2004, the’’ and inserting ‘‘The’’.

10 SEC. 110. WAIVER OF REQUIREMENT FOR WEIGHTED AVER11 AGES FOR NUTRIENT ANALYSIS.

12 Section 9(f)(5) of the Richard B. Russell National

13 School Lunch Act (42 U.S.C. 1758(f)(5)) is amended by

14 striking ‘‘September 30, 2003’’ and inserting ‘‘September

15 30, 2009’’.

16 SEC. 111. FOOD SAFETY.

17 Section 9(h) of the Richard B. Russell National

18 School Lunch Act (42 U.S.C. 1758(h)) is amended—

19 (1) in the subsection heading, by striking ‘‘IN20 SPECTIONS’’;

21 (2) in paragraph (1)—

22 (A) by striking ‘‘Except as provided in

23 paragraph (2), a’’ and inserting ‘‘A’’;

24 (B) by striking ‘‘shall, at least once’’ and

25 inserting: ‘‘shall—
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1 ‘‘(A) at least twice’’;

2 (C) by striking the period at the end and

3 inserting a semicolon; and

4 (D) by adding at the end the following:

5 ‘‘(B) post in a publicly visible location a

6 report on the most recent inspection conducted

7 under subparagraph (A); and

8 ‘‘(C) on request, provide a copy of the re9 port to a member of the public.’’; and

10 (3) by striking paragraph (2) and inserting the

11 following:

12 ‘‘(2) STATE AND LOCAL GOVERNMENT INSPEC13 TIONS.—Nothing in paragraph (1) prevents any

14 State or local government from adopting or enforc15 ing any requirement for more frequent food safety

16 inspections of schools.

17 ‘‘(3) AUDITS AND REPORTS BY STATES.—For

18 each of fiscal years 2006 through 2009, each State

19 shall annually—

20 ‘‘(A) audit food safety inspections of

21 schools conducted under paragraphs (1) and

22 (2); and

23 ‘‘(B) submit to the Secretary a report of

24 the results of the audit.
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1 ‘‘(4) AUDIT BY THE SECRETARY.—For each of

2 fiscal years 2006 through 2009, the Secretary shall

3 annually audit State reports of food safety inspec4 tions of schools submitted under paragraph (3).

5 ‘‘(5) SCHOOL FOOD SAFETY PROGRAM.—Each

6 school food authority shall implement a school food

7 safety program, in the preparation and service of

8 each meal served to children, that complies with any

9 hazard analysis and critical control point system es10 tablished by the Secretary.’’.

11 SEC. 112. PURCHASES OF LOCALLY PRODUCED FOODS.

12 Section 9(j)(2)(A) of the Richard B. Russell National

13 School Lunch Act (42 U.S.C. 1758(j)(2)(A)) is amended

14 by striking ‘‘2007’’ and inserting ‘‘2009’’.

15 SEC. 113. SPECIAL ASSISTANCE.

16 Section 11(a)(1) of the Richard B. Russell National

17 School Lunch Act (42 U.S.C. 1759a(a)(1)) is amended by

18 inserting ‘‘or school district’’ after ‘‘school’’ each place it

19 appears in subparagraphs (C) through (E) (other than as

20 part of ‘‘school year’’, ‘‘school years’’, ‘‘school lunch’’,

21 ‘‘school breakfast’’, and ‘‘4-school-year period’’).
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1 SEC. 114. FOOD AND NUTRITION PROJECTS INTEGRATED

2 WITH ELEMENTARY SCHOOL CURRICULA.

3 Section 12 of the Richard B. Russell National School

4 Lunch Act (42 U.S.C. 1760) is amended by striking sub5 section (m).

6 SEC. 115. PROCUREMENT TRAINING.

7 Section 12 of the Richard B. Russell National School

8 Lunch Act (42 U.S.C. 1760) (as amended by section 114)

9 is amended by inserting after subsection (l) the following:

10 ‘‘(m) PROCUREMENT TRAINING.—

11 ‘‘(1) IN GENERAL.—Subject to the availability

12 of funds made available under paragraph (4), the

13 Secretary shall provide technical assistance and

14 training to States, State agencies, schools, and

15 school food authorities in the procurement of goods

16 and services for programs under this Act or the

17 Child Nutrition Act of 1966 (42 U.S.C. 1771 et

18 seq.) (other than section 17 of that Act (42 U.S.C.

19 1786)).

20 ‘‘(2) BUY AMERICAN TRAINING.—Activities car21 ried out under paragraph (1) shall include technical

22 assistance and training to ensure compliance with

23 subsection (n).

24 ‘‘(3) PROCURING SAFE FOODS.—Activities car25 ried out under paragraph (1) shall include technical

26 assistance and training on procuring safe foods, in-
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1 cluding the use of model specifications for procuring

2 safe foods.

3 ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.—

4 There is authorized to be appropriated to carry out

5 this subsection $1,000,000 for each of fiscal years

6 2005 through 2009, to remain available until ex7 pended.’’.

8 SEC. 116. SUMMER FOOD SERVICE PROGRAM FOR CHIL9 DREN.

10 (a) SEAMLESS SUMMER OPTION.—Section 13(a) of

11 the Richard B. Russell National School Lunch Act (42

12 U.S.C. 1761(a)) is amended by adding at the end the fol13 lowing:

14 ‘‘(8) SEAMLESS SUMMER OPTION.—Except as

15 otherwise determined by the Secretary, a service in16 stitution that is a public or private nonprofit school

17 food authority may provide summer or school vaca18 tion food service in accordance with applicable provi19 sions of law governing the school lunch program es20 tablished under this Act or the school breakfast pro21 gram established under the Child Nutrition Act of

22 1966 (42 U.S.C. 1771 et seq.).’’.

23 (b) SEAMLESS SUMMER REIMBURSEMENTS.—Sec24 tion 13(b)(1) of the Richard B. Russell National School
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1 Lunch Act (42 U.S.C. 1761(b)(1)) is amended by adding

2 at the end the following:

3 ‘‘(D) SEAMLESS SUMMER REIMBURSE4 MENTS.—A service institution described in sub5 section (a)(8) shall be reimbursed for meals and

6 meal supplements in accordance with the appli7 cable provisions under this Act (other than sub8 paragraphs (A), (B), and (C) of this paragraph

9 and paragraph (4)) and the Child Nutrition Act

10 of 1966 (42 U.S.C. 1771 et seq.), as deter11 mined by the Secretary.’’.

12 (c) SUMMER FOOD SERVICE ELIGIBILITY CRI13 TERIA.—Section 13(a) of the Richard B. Russell National

14 School Lunch Act (42 U.S.C. 1761(a)) (as amended by

15 subsection (a)) is amended by adding at the end the

16 following—

17 ‘‘(9) EXEMPTION.—

18 ‘‘(A) IN GENERAL.—For each of calendar

19 years 2005 and 2006 in rural areas of the State

20 of Pennsylvania (as determined by the Sec21 retary), the threshold for determining ‘areas in

22 which poor economic conditions exist’ under

23 paragraph (1)(C) shall be 40 percent.

24 ‘‘(B) EVALUATION.—
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1 ‘‘(i) IN GENERAL.—The Secretary,

2 acting through the Administrator of the

3 Food and Nutrition Service, shall evaluate

4 the impact of the eligibility criteria de5 scribed in subparagraph (A) as compared

6 to the eligibility criteria described in para7 graph (1)(C).

8 ‘‘(ii) IMPACT.—The evaluation shall

9 assess the impact of the threshold in sub10 paragraph (A) on—

11 ‘‘(I) the number of sponsors of12 fering meals through the summer food

13 service program;

14 ‘‘(II) the number of sites offering

15 meals through the summer food serv16 ice program;

17 ‘‘(III) the geographic location of

18 the sites;

19 ‘‘(IV) services provided to eligible

20 children; and

21 ‘‘(V) other factors determined by

22 the Secretary.

23 ‘‘(iii) REPORT.—Not later than Janu24 ary 1, 2008, the Secretary shall submit to

25 the Committee on Education and the
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1 Workforce of the House of Representatives

2 and the Committee on Agriculture, Nutri3 tion, and Forestry of the Senate a report

4 describing the results of the evaluation

5 under this subparagraph.

6 ‘‘(iv) FUNDING.—

7 ‘‘(I) IN GENERAL.—On January

8 1, 2005, out of any funds in the

9 Treasury not otherwise appropriated,

10 the Secretary of the Treasury shall

11 transfer to the Secretary of Agri12 culture to carry out this subparagraph

13 $400,000, to remain available until

14 expended.

15 ‘‘(II) RECEIPT AND ACCEPT16 ANCE.—The Secretary shall be enti17 tled to receive, shall accept, and shall

18 use to carry out this subparagraph

19 the funds transferred under subclause

20 (I), without further appropriation.’’.

21 (d) SUMMER FOOD SERVICE RURAL TRANSPOR22 TATION.—Section 13(a) of the Richard B. Russell Na23 tional School Lunch Act (42 U.S.C. 1761(a)) (as amended

24 by subsection (c)) is amended by adding at the end the

25 following:
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1 ‘‘(10) SUMMER FOOD SERVICE RURAL TRANS2 PORTATION.—

3 ‘‘(A) IN GENERAL.—The Secretary shall

4 provide grants, through not more than 5 eligible

5 State agencies selected by the Secretary, to not

6 more than 60 eligible service institutions se7 lected by the Secretary to increase participation

8 at congregate feeding sites in the summer food

9 service program for children authorized by this

10 section through innovative approaches to lim11 ited transportation in rural areas.

12 ‘‘(B) ELIGIBILITY.—To be eligible to re13 ceive a grant under this paragraph—

14 ‘‘(i) a State agency shall submit an

15 application to the Secretary, in such man16 ner as the Secretary shall establish, and

17 meet criteria established by the Secretary;

18 and

19 ‘‘(ii) a service institution shall agree

20 to the terms and conditions of the grant,

21 as established by the Secretary.

22 ‘‘(C) DURATION.—A service institution

23 that receives a grant under this paragraph may

24 use the grant funds during the 3-fiscal year pe25 riod beginning in fiscal year 2005.
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1 ‘‘(D) REPORTS.—The Secretary shall sub2 mit to the Committee on Education and the

3 Workforce of the House of Representatives and

4 the Committee on Agriculture, Nutrition, and

5 Forestry of the Senate—

6 ‘‘(i) not later than January 1, 2007,

7 an interim report that describes—

8 ‘‘(I) the use of funds made avail9 able under this paragraph; and

10 ‘‘(II) any progress made by using

11 funds from each grant provided under

12 this paragraph; and

13 ‘‘(ii) not later than January 1, 2008,

14 a final report that describes—

15 ‘‘(I) the use of funds made avail16 able under this paragraph;

17 ‘‘(II) any progress made by using

18 funds from each grant provided under

19 this paragraph;

20 ‘‘(III) the impact of this para21 graph on participation in the summer

22 food service program for children au23 thorized by this section; and

24 ‘‘(IV) any recommendations by

25 the Secretary concerning the activities
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1 of the service institutions receiving

2 grants under this paragraph.

3 ‘‘(E) FUNDING.—

4 ‘‘(i) IN GENERAL.—Out of any funds

5 in the Treasury not otherwise appro6 priated, the Secretary of the Treasury

7 shall transfer to the Secretary of Agri8 culture to carry out this paragraph—

9 ‘‘(I) on October 1, 2005,

10 $2,000,000; and

11 ‘‘(II) on October 1, 2006, and

12 October 1, 2007, $1,000,000.

13 ‘‘(ii) RECEIPT AND ACCEPTANCE.—

14 The Secretary shall be entitled to receive,

15 shall accept, and shall use to carry out this

16 paragraph the funds transferred under

17 clause (i), without further appropriation.

18 ‘‘(iii) AVAILABILITY OF FUNDS.—

19 Funds transferred under clause (i) shall

20 remain available until expended.

21 ‘‘(iv) REALLOCATION.—The Secretary

22 may reallocate any amounts made available

23 to carry out this paragraph that are not

24 obligated or expended, as determined by

25 the Secretary.’’.
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1 (e) REAUTHORIZATION.—Section 13(q) of the Rich2 ard B. Russell National School Lunch Act (42 U.S.C.

3 1761(q)) is amended by striking ‘‘June 30, 2004’’ and in4 serting ‘‘September 30, 2009’’.

5 (f) SIMPLIFIED SUMMER FOOD PROGRAMS.—

6 (1) DEFINITION OF ELIGIBLE STATE.—Section

7 18(f) of the Richard B. Russell National School

8 Lunch Act (42 U.S.C. 1769(f)) is amended by strik9 ing paragraph (1) and inserting the following:

10 ‘‘(1) DEFINITION OF ELIGIBLE STATE.—In this

11 subsection, the term ‘eligible State’ means—

12 ‘‘(A) a State participating in the program

13 under this subsection as of May 1, 2004; and

14 ‘‘(B) a State in which (based on data

15 available in April 2004)—

16 ‘‘(i) the percentage obtained by

17 dividing—

18 ‘‘(I) the sum of—

19 ‘‘(aa) the average daily num20 ber of children attending the

21 summer food service program in

22 the State in July 2003; and

23 ‘‘(bb) the average daily

24 number of children receiving free

25 or reduced price meals under the
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1 school lunch program in the

2 State in July 2003; by

3 ‘‘(II) the average daily number of

4 children receiving free or reduced

5 price meals under the school lunch

6 program in the State in March 2003;

7 is less than

8 ‘‘(ii) 66.67 percent of the percentage

9 obtained by dividing—

10 ‘‘(I) the sum of—

11 ‘‘(aa) the average daily num12 ber of children attending the

13 summer food service program in

14 all States in July 2003; and

15 ‘‘(bb) the average daily

16 number of children receiving free

17 or reduced price meals under the

18 school lunch program in all

19 States in July 2003; by

20 ‘‘(II) the average daily number of

21 children receiving free or reduced

22 price meals under the school lunch

23 program in all States in March

24 2003.’’.
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1 (2) DURATION.—Section 18(f)(2) of the Rich2 ard B. Russell National School Lunch Act (42

3 U.S.C. 1769(f)(2)) is amended by striking ‘‘During

4 the period beginning October 1, 2000, and ending

5 June 30, 2004, the’’ and inserting ‘‘The’’.

6 (3) PRIVATE NONPROFIT ORGANIZATIONS.—

7 Section 18(f)(3) of the Richard B. Russell National

8 School Lunch Act (42 U.S.C. 1769(f)(3)) is amend9 ed in subparagraphs (A) and (B) by striking ‘‘(other

10 than a service institution described in section

11 13(a)(7))’’ both places it appears.

12 (4) REPORT.—Section 18(f) of the Richard B.

13 Russell National School Lunch Act (42 U.S.C.

14 1769(f)) is amended by striking paragraph (6) and

15 inserting the following:

16 ‘‘(6) REPORT.—Not later than April 30, 2007,

17 the Secretary shall submit to the Committee on

18 Education and the Workforce of the House of Rep19 resentatives and the Committee on Agriculture, Nu20 trition, and Forestry of the Senate a report that

21 includes—

22 ‘‘(A) the evaluations completed by the Sec23 retary under paragraph (5); and

24 ‘‘(B) any recommendations of the Sec25 retary concerning the programs.’’.
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1 (5) CONFORMING AMENDMENTS.—Section 18(f)

2 of the Richard B. Russell National School Lunch

3 Act (42 U.S.C. 1769(f)) is amended—

4 (A) by striking the subsection heading and

5 inserting the following:

6 ‘‘(f) SIMPLIFIED SUMMER FOOD PROGRAMS.—’’;

7 (B) in paragraph (2)—

8 (i) by striking the paragraph heading

9 and inserting the following:

10 ‘‘(2) PROGRAMS.—’’; and

11 (ii) by striking ‘‘pilot project’’ and in12 serting ‘‘program’’;

13 (C) in subparagraph (A) and (B) of para14 graph (3), by striking ‘‘pilot project’’ both

15 places it appears and inserting ‘‘program’’; and

16 (D) in paragraph (5)—

17 (i) in the paragraph heading by strik18 ing ‘‘PILOT PROJECTS’’ and inserting

19 ‘‘PROGRAMS’’; and

20 (ii) by striking ‘‘pilot project’’ each

21 place it appears and inserting ‘‘program’’.

22 SEC. 117. COMMODITY DISTRIBUTION PROGRAM.

23 Section 14(a) of the Richard B. Russell National

24 School Lunch Act (42 U.S.C. 1762a(a)) is amended by
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1 striking ‘‘, during the period beginning July 1, 1974, and

2 ending June 30, 2004,’’.

3 SEC. 118. NOTICE OF IRRADIATED FOOD PRODUCTS.

4 Section 14 of the Richard B. Russell National School

5 Lunch Act (42 U.S.C. 1762a) is amended by adding at

6 the end the following:

7 ‘‘(h) NOTICE OF IRRADIATED FOOD PRODUCTS.—

8 ‘‘(1) IN GENERAL.—The Secretary shall develop

9 a policy and establish procedures for the purchase

10 and distribution of irradiated food products in school

11 meals programs under this Act and the Child Nutri12 tion Act of 1966 (42 U.S.C. 1771 et seq.).

13 ‘‘(2) MINIMUM REQUIREMENTS.—The policy

14 and procedures shall ensure, at a minimum, that—

15 ‘‘(A) irradiated food products are made

16 available only at the request of States and

17 school food authorities;

18 ‘‘(B) reimbursements to schools for irradi19 ated food products are equal to reimbursements

20 to schools for food products that are not irradi21 ated;

22 ‘‘(C) States and school food authorities are

23 provided factual information on the science and

24 evidence regarding irradiation technology,

25 including—
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1 ‘‘(i) notice that irradiation is not a

2 substitute for safe food handling tech3 niques; and

4 ‘‘(ii) any other similar information de5 termined by the Secretary to be necessary

6 to promote food safety in school meals pro7 grams;

8 ‘‘(D) States and school food authorities are

9 provided model procedures for providing to

10 school food authorities, parents, and students—

11 ‘‘(i) factual information on the science

12 and evidence regarding irradiation tech13 nology; and

14 ‘‘(ii) any other similar information de15 termined by the Secretary to be necessary

16 to promote food safety in school meals;

17 ‘‘(E) irradiated food products distributed

18 to the Federal school meals program under this

19 Act and the Child Nutrition Act of 1966 (42

20 U.S.C. 1771 et seq.) are labeled with a symbol

21 or other printed notice that—

22 ‘‘(i) indicates that the product was ir23 radiated; and
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1 ‘‘(ii) is prominently displayed in a

2 clear and understandable format on the

3 container;

4 ‘‘(F) irradiated food products are not com5 mingled in containers with food products that

6 are not irradiated; and

7 ‘‘(G) schools that offer irradiated food

8 products are encouraged to offer alternatives to

9 irradiated food products as part of the meal

10 plan used by the schools.’’.

11 SEC. 119. CHILD AND ADULT CARE FOOD PROGRAM.

12 (a) DEFINITION OF INSTITUTION.—

13 (1) IN GENERAL.—Section 17(a)(2)(B)(i) of the

14 Richard B. Russell National School Lunch Act (42

15 U.S.C. 1766(a)(2)(B)(i)) is amended by striking

16 ‘‘during’’ and all that follows through ‘‘2004,’’.

17 (2) CONFORMING AMENDMENT.—Section 17 of

18 the Richard B. Russell National School Lunch Act

19 (42 U.S.C. 1766) is amended by striking subsection

20 (p).

21 (b) DURATION OF DETERMINATION AS TIER I FAM22 ILY OR GROUP DAY CARE HOME.—Section

23 17(f)(3)(E)(iii) of the Richard B. Russell National School

24 Lunch Act (42 U.S.C. 1766(f)(3)(E)(iii)) is amended by

25 striking ‘‘3 years’’ and inserting ‘‘5 years’’.
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1 (c) AUDITS.—Section 17(i) of the Richard B. Russell

2 National School Lunch Act (42 U.S.C. 1766(i)) is amend3 ed by striking ‘‘(i) The’’ and inserting the following:

4 ‘‘(i) AUDITS.—

5 ‘‘(1) DISREGARDS.—

6 ‘‘(A) IN GENERAL.—Subject to subpara7 graph (B), in conducting management evalua8 tions, reviews, or audits under this section, the

9 Secretary or a State agency may disregard any

10 overpayment to an institution for a fiscal year

11 if the total overpayment to the institution for

12 the fiscal year does not exceed an amount that

13 is consistent with the disregards allowed in

14 other programs under this Act and recognizes

15 the cost of collecting small claims, as deter16 mined by the Secretary.

17 ‘‘(B) CRIMINAL OR FRAUD VIOLATIONS.—

18 In carrying out this paragraph, the Secretary

19 and a State agency shall not disregard any

20 overpayment for which there is evidence of a

21 violation of a criminal law or civil fraud law.

22 ‘‘(2) FUNDING.—The’’.

23 (d) DURATION OF AGREEMENTS.—Section 17(j) of

24 the Richard B. Russell National School Lunch Act (42

25 U.S.C. 1766(j)) is amended—
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1 (1) by striking ‘‘(j) The’’ and inserting the fol2 lowing:

3 ‘‘(j) AGREEMENTS.—

4 ‘‘(1) IN GENERAL.—The’’; and

5 (2) by adding at the end the following:

6 ‘‘(2) DURATION.—An agreement under para7 graph (1) shall remain in effect until terminated by

8 either party to the agreement.’’.

9 (e) RURAL AREA ELIGIBILITY DETERMINATION FOR

10 DAY CARE HOMES.—Section 17 of the Richard B. Russell

11 National School Lunch Act (42 U.S.C. 1766) (as amended

12 by subsection (a)(2)) is amended by inserting after sub13 section (o) the following:

14 ‘‘(p) RURAL AREA ELIGIBILITY DETERMINATION

15 FOR DAY CARE HOMES.—

16 ‘‘(1) DEFINITION OF SELECTED TIER I FAMILY

17 OR GROUP DAY CARE HOME.—In this subsection, the

18 term ‘selected tier I family or group day care home’

19 means a family or group day home that meets the

20 definition of tier I family or group day care home

21 under subclause (I) of subsection (f)(3)(A)(ii) except

22 that items (aa) and (bb) of that subclause shall be

23 applied by substituting ‘40 percent’ for ‘50 percent’.

24 ‘‘(2) ELIGIBILITY.—For each of fiscal years

25 2006 and 2007, in rural areas of the State of Ne-
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1 braska (as determined by the Secretary), the Sec2 retary shall provide reimbursement to selected tier I

3 family or group day care homes (as defined in para4 graph (1)) under subsection (f)(3) in the same man5 ner as tier I family or group day care homes (as de6 fined in subsection (f)(3)(A)(ii)(I)).

7 ‘‘(3) EVALUATION.—

8 ‘‘(A) IN GENERAL.—The Secretary, acting

9 through the Administrator of the Food and Nu10 trition Service, shall evaluate the impact of the

11 eligibility criteria described in paragraph (2) as

12 compared to the eligibility criteria described in

13 subsection (f)(3)(A)(ii)(I).

14 ‘‘(B) IMPACT.—The evaluation shall assess

15 the impact of the change in eligibility require16 ments on—

17 ‘‘(i) the number of family or group

18 day care homes offering meals under this

19 section;

20 ‘‘(ii) the number of family or group

21 day care homes offering meals under this

22 section that are defined as tier I family or

23 group day care homes as a result of para24 graph (1) that otherwise would be defined
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1 as tier II family or group day care homes

2 under subsection (f)(3)(A)(iii);

3 ‘‘(iii) the geographic location of the

4 family or group day care homes;

5 ‘‘(iv) services provided to eligible chil6 dren; and

7 ‘‘(v) other factors determined by the

8 Secretary.

9 ‘‘(C) REPORT.—Not later than March 31,

10 2008, the Secretary shall submit to the Com11 mittee on Education and the Workforce of the

12 House of Representatives and the Committee

13 on Agriculture, Nutrition, and Forestry of the

14 Senate a report describing the results of the

15 evaluation under this subsection.

16 ‘‘(D) FUNDING.—

17 ‘‘(i) IN GENERAL.—On October 1,

18 2005, out of any funds in the Treasury not

19 otherwise appropriated, the Secretary of

20 the Treasury shall transfer to the Sec21 retary of Agriculture to carry out this

22 paragraph $400,000, to remain available

23 until expended.

24 ‘‘(ii) RECEIPT AND ACCEPTANCE.—

25 The Secretary shall be entitled to receive,
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1 shall accept, and shall use to carry out this

2 paragraph the funds transferred under

3 clause (i), without further appropriation.’’.

4 (f) MANAGEMENT SUPPORT.—Section 17(q)(3) of the

5 Richard B. Russell National School Lunch Act (42 U.S.C.

6 1766(q)(3)) is amended by striking ‘‘1999 through 2003’’

7 and inserting ‘‘2005 and 2006’’.

8 (g) AGE LIMITS.—Section 17(t)(5)(A)(i) of the Rich9 ard B. Russell National School Lunch Act (42 U.S.C.

10 1766(t)(5)(A)(i) is amended—

11 (1) in subclause (I)—

12 (A) by striking ‘‘12’’ and inserting ‘‘18’’;

13 and

14 (B) by inserting ‘‘or’’ after the semicolon;

15 (2) by striking subclause (II); and

16 (3) by redesignating subclause (III) as sub17 clause (II).

18 (h) TECHNICAL AMENDMENTS.—Section 17 of the

19 Richard B. Russell National School Lunch Act (42 U.S.C.

20 1766) is amended—

21 (1) in subsection (a)(6)(B), by inserting ‘‘and

22 adult’’ after ‘‘child’’; and

23 (2) in subsection (t)(3), by striking ‘‘subsection

24 (a)(1)’’ and inserting ‘‘subsection (a)(5)’’.
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1 (i) PAPERWORK REDUCTION.—The Secretary of Ag2 riculture, in conjunction with States and participating in3 stitutions, shall examine the feasibility of reducing paper4 work resulting from regulations and recordkeeping re5 quirements for State agencies, family child care homes,

6 child care centers, and sponsoring organizations partici7 pating in the child and adult care food program estab8 lished under section 17 of the Richard B. Russell National

9 School Lunch Act (42 U.S.C. 1766).

10 (j) EARLY CHILD NUTRITION EDUCATION.—

11 (1) IN GENERAL.—Subject to the availability of

12 funds made available under paragraph (6), for a pe13 riod of 4 successive years, the Secretary of Agri14 culture shall award to 1 or more entities with exper15 tise in designing and implementing health education

16 programs for limited-English-proficient individuals 1

17 or more grants to enhance obesity prevention activi18 ties for child care centers and sponsoring organiza19 tions providing services to limited-English-proficient

20 individuals through the child and adult care food

21 program under section 17 of the Richard B. Russell

22 National School Lunch Act (42 U.S.C. 1766) in

23 each of 4 States selected by the Secretary in accord24 ance with paragraph (2).
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1 (2) STATES.—The Secretary shall provide

2 grants under this subsection in States that have ex3 perienced a growth in the limited-English-proficient

4 population of the States of at least 100 percent be5 tween the years 1990 and 2000, as measured by the

6 census.

7 (3) REQUIRED ACTIVITIES.—Activities carried

8 out under paragraph (1) shall include—

9 (A) developing an interactive and com10 prehensive tool kit for use by lay health edu11 cators and training activities;

12 (B) conducting training and providing on13 going technical assistance for lay health edu14 cators; and

15 (C) establishing collaborations with child

16 care centers and sponsoring organizations par17 ticipating in the child and adult care food pro18 gram under section 17 of the Richard B. Rus19 sell National School Lunch Act (42 U.S.C.

20 1766) to—

21 (i) identify limited-English-proficient

22 children and families; and

23 (ii) enhance the capacity of the child

24 care centers and sponsoring organizations
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1 to use appropriate obesity prevention strat2 egies.

3 (4) EVALUATION.—Each grant recipient shall

4 identify an institution of higher education to conduct

5 an independent evaluation of the effectiveness of the

6 grant.

7 (5) REPORT.—The Secretary shall submit to

8 the Committee on Education and the Workforce of

9 the House of Representatives, and the Committee on

10 Agriculture, Nutrition, and Forestry and the Com11 mittee on Health, Education, Labor, and Pensions,

12 of the Senate a report that includes—

13 (A) the evaluation completed by the insti14 tution of higher education under paragraph (4);

15 (B) the effectiveness of lay health edu16 cators in reducing childhood obesity; and

17 (C) any recommendations of the Secretary

18 concerning the grants.

19 (6) AUTHORIZATION OF APPROPRIATIONS.—

20 There are authorized to be appropriated to carry out

21 this subsection $250,000 for each of fiscal years

22 2005 through 2009.
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1 SEC. 120. FRESH FRUIT AND VEGETABLE PROGRAM.

2 Section 18 of the Richard B. Russell National School

3 Lunch Act (42 U.S.C. 1769) is amended by striking sub4 section (g) and inserting the following:

5 ‘‘(g) FRESH FRUIT AND VEGETABLE PROGRAM.—

6 ‘‘(1) IN GENERAL.—For the school year begin7 ning July 2004 and each subsequent school year, the

8 Secretary shall carry out a program to make free

9 fresh fruits and vegetables available, to the max10 imum extent practicable, to—

11 ‘‘(A) 25 elementary or secondary schools in

12 each of the 4 States authorized to participate in

13 the program under this subsection on May 1,

14 2004;

15 ‘‘(B) 25 elementary or secondary schools

16 (as selected by the Secretary in accordance with

17 paragraph (3)) in each of 4 States (including a

18 State for which funds were allocated under the

19 program described in paragraph (3)(B)(ii)) that

20 are not participating in the program under this

21 subsection on May 1, 2004; and

22 ‘‘(C) 25 elementary or secondary schools

23 operated on 3 Indian reservations (including the

24 reservation authorized to participate in the pro25 gram under this subsection on May 1, 2004), as

26 selected by the Secretary.
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1 ‘‘(2) PROGRAM.—A school participating in the

2 program shall make free fresh fruits and vegetables

3 available to students throughout the school day in 1

4 or more areas designated by the school.

5 ‘‘(3) SELECTION OF SCHOOLS.—

6 ‘‘(A) IN GENERAL.—Except as provided in

7 subparagraph (B), in selecting additional

8 schools to participate in the program under

9 paragraph (1)(B), the Secretary shall—

10 ‘‘(i) to the maximum extent prac11 ticable, ensure that the majority of schools

12 selected are those in which not less than

13 50 percent of students are eligible for free

14 or reduced price meals under this Act;

15 ‘‘(ii) solicit applications from inter16 ested schools that include—

17 ‘‘(I) information pertaining to

18 the percentage of students enrolled in

19 the school submitting the application

20 who are eligible for free or reduced

21 price school lunches under this Act;

22 ‘‘(II) a certification of support

23 for participation in the program

24 signed by the school food manager,

25 the school principal, and the district
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1 superintendent (or equivalent posi2 tions, as determined by the school);

3 and

4 ‘‘(III) such other information as

5 may be requested by the Secretary;

6 ‘‘(iii) for each application received, de7 termine whether the application is from a

8 school in which not less than 50 percent of

9 students are eligible for free or reduced

10 price meals under this Act; and

11 ‘‘(iv) give priority to schools that sub12 mit a plan for implementation of the pro13 gram that includes a partnership with 1 or

14 more entities that provide non-Federal re15 sources (including entities representing the

16 fruit and vegetable industry) for—

17 ‘‘(I) the acquisition, handling,

18 promotion, or distribution of fresh

19 and dried fruits and fresh vegetables;

20 or

21 ‘‘(II) other support that contrib22 utes to the purposes of the program.

23 ‘‘(B) NONAPPLICABILITY TO EXISTING

24 PARTICIPANTS.—Subparagraph (A) shall not
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1 apply to a school, State, or Indian reservation

2 authorized—

3 ‘‘(i) to participate in the program on

4 May 1, 2004; or

5 ‘‘(ii) to receive funding for free fruits

6 and vegetables under funds provided for

7 public health improvement under the head8 ing ‘DISEASE CONTROL, RESEARCH, AND

9 TRAINING’ under the heading ‘CENTERS

10 FOR DISEASE CONTROL AND PREVENTION’

11 in title II of the Departments of Labor,

12 Health and Human Services, and Edu13 cation, and Related Agencies Appropria14 tions Act, 2004 (Division E of Public Law

15 108–199; 118 Stat. 238).

16 ‘‘(4) NOTICE OF AVAILABILITY.—To be eligible

17 to participate in the program under this subsection,

18 a school shall widely publicize within the school the

19 availability of free fresh fruits and vegetables under

20 the program.

21 ‘‘(5) REPORTS.—

22 ‘‘(A) INTERIM REPORTS.—Not later than

23 September 30 of each of fiscal years 2005

24 through 2008, the Secretary, acting through

25 the Administrator of the Food and Nutrition
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1 Service, shall submit to the Committee on Edu2 cation and the Workforce of the House of Rep3 resentatives and the Committee on Agriculture,

4 Nutrition, and Forestry of the Senate an in5 terim report that describes the activities carried

6 out under this subsection during the fiscal year

7 covered by the report.

8 ‘‘(B) FINAL REPORT.—Not later than De9 cember 31, 2008, the Secretary, acting through

10 the Administrator of the Food and Nutrition

11 Service, shall submit to the Committee on Edu12 cation and the Workforce of the House of Rep13 resentatives and the Committee on Agriculture,

14 Nutrition, and Forestry of the Senate a final

15 report that describes the results of the program

16 under this subsection.

17 ‘‘(6) FUNDING.—

18 ‘‘(A) EXISTING FUNDS.—The Secretary

19 shall use to carry out this subsection any funds

20 that remain under this subsection on the day

21 before the date of enactment of this subpara22 graph.

23 ‘‘(B) MANDATORY FUNDS.—

24 ‘‘(i) IN GENERAL.—On October 1,

25 2004, and on each October 1 thereafter,
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1 out of any funds in the Treasury not oth2 erwise appropriated, the Secretary of the

3 Treasury shall transfer to the Secretary of

4 Agriculture to carry out this subsection

5 $9,000,000, to remain available until ex6 pended.

7 ‘‘(ii) RECEIPT AND ACCEPTANCE.—

8 The Secretary shall be entitled to receive,

9 shall accept, and shall use to carry out this

10 subsection the funds made available under

11 this subparagraph, without further appro12 priation.

13 ‘‘(C) AUTHORIZATION OF APPROPRIA14 TIONS.—In addition to any amounts made

15 available under subparagraphs (A) and (B),

16 there are authorized to be appropriated such

17 sums as are necessary to expand the program

18 carried out under this subsection.

19 ‘‘(D) REALLOCATION.—The Secretary may

20 reallocate any amounts made available to carry

21 out this subsection that are not obligated or ex22 pended, as determined by the Secretary.’’.
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1 SEC. 121. SUMMER FOOD SERVICE RESIDENTIAL CAMP ELI2 GIBILITY.

3 Section 18 of the Richard B. Russell National School

4 Lunch Act (42 U.S.C. 1769) is amended by adding at the

5 end the following:

6 ‘‘(h) SUMMER FOOD SERVICE RESIDENTIAL CAMP

7 ELIGIBILITY.—

8 ‘‘(1) IN GENERAL.—During the month after the

9 date of enactment of this subsection through Sep10 tember, 2004, and the months of May through Sep11 tember, 2005, the Secretary shall modify eligibility

12 criteria, at not more than 1 private nonprofit resi13 dential camp in each of not more than 2 States, as

14 determined by the Secretary, for the purpose of

15 identifying and evaluating alternative methods of de16 termining the eligibility of residential private non17 profit camps to participate in the summer food serv18 ice program for children established under section

19 13.

20 ‘‘(2) ELIGIBILITY.—To be eligible for the cri21 teria modified under paragraph (1), a residential

22 camp—

23 ‘‘(A) shall be a service institution (as de24 fined in section 13(a)(1));

25 ‘‘(B) may not charge a fee to any child in

26 residence at the camp; and
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1 ‘‘(C) shall serve children who reside in an

2 area in which poor economic conditions exist (as

3 defined in section 13(a)(1)).

4 ‘‘(3) PAYMENTS.—

5 ‘‘(A) IN GENERAL.—Under this subsection,

6 the Secretary shall provide reimbursement for

7 meals served to all children at a residential

8 camp at the payment rates specified in section

9 13(b)(1).

10 ‘‘(B) REIMBURSABLE MEALS.—A residen11 tial camp selected by the Secretary may receive

12 reimbursement for not more than 3 meals, or 2

13 meals and 1 supplement, during each day of op14 eration.

15 ‘‘(4) EVALUATION.—

16 ‘‘(A) INFORMATION FROM RESIDENTIAL

17 CAMPS.—Not later than December 31, 2005, a

18 residential camp selected under paragraph (1)

19 shall report to the Secretary such information

20 as is required by the Secretary concerning the

21 requirements of this subsection.

22 ‘‘(B) REPORT TO CONGRESS.—Not later

23 than March 31, 2006, the Secretary shall sub24 mit to the Committee on Education and the

25 Workforce of the House of Representatives and
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1 the Committee on Agriculture, Nutrition, and

2 Forestry of the Senate a report that evaluates

3 the effect of this subsection on program partici4 pation and other factors, as determined by the

5 Secretary.’’.

6 SEC. 122. ACCESS TO LOCAL FOODS AND SCHOOL GAR7 DENS.

8 Section 18 of the Richard B. Russell National School

9 Lunch Act (42 U.S.C. 1769) (as amended by section 121)

10 is amended by adding at the end the following:

11 ‘‘(i) ACCESS TO LOCAL FOODS AND SCHOOL GAR12 DENS.—

13 ‘‘(1) IN GENERAL.—The Secretary may provide

14 assistance, through competitive matching grants and

15 technical assistance, to schools and nonprofit entities

16 for projects that—

17 ‘‘(A) improve access to local foods in

18 schools and institutions participating in pro19 grams under this Act and section 4 of the Child

20 Nutrition Act of 1966 (42 U.S.C. 1773)

21 through farm-to-cafeteria activities, including

22 school gardens, that may include the acquisition

23 of food and appropriate equipment and the pro24 vision of training and education;

25 ‘‘(B) are, at a minimum, designed to—
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1 ‘‘(i) procure local foods from small2 and medium-sized farms for school meals;

3 and

4 ‘‘(ii) support school garden programs;

5 ‘‘(C) support nutrition education activities

6 or curriculum planning that incorporates the

7 participation of school children in farm-based

8 agricultural education activities, that may in9 clude school gardens;

10 ‘‘(D) develop a sustained commitment to

11 farm-to-cafeteria projects in the community by

12 linking schools, State departments of agri13 culture, agricultural producers, parents, and

14 other community stakeholders;

15 ‘‘(E) require $100,000 or less in Federal

16 contributions;

17 ‘‘(F) require a Federal share of costs not

18 to exceed 75 percent;

19 ‘‘(G) provide matching support in the form

20 of cash or in-kind contributions (including fa21 cilities, equipment, or services provided by State

22 and local governments and private sources); and

23 ‘‘(H) cooperate in an evaluation carried

24 out by the Secretary.
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1 ‘‘(2) AUTHORIZATION OF APPROPRIATIONS.—

2 There are authorized to be appropriated such sums

3 as are necessary to carry out this subsection for

4 each of fiscal years 2004 through 2009.’’.

5 SEC. 123. YEAR-ROUND SERVICES FOR ELIGIBLE ENTITIES.

6 Section 18 of the Richard B. Russell National School

7 Lunch Act (42 U.S.C. 1769) (as amended by section 122)

8 is amended by adding at the end the following:

9 ‘‘(j) YEAR-ROUND SERVICES FOR ELIGIBLE ENTI10 TIES.—

11 ‘‘(1) IN GENERAL.—A service institution that is

12 described in section 13(a)(6) (excluding a public

13 school), or a private nonprofit organization described

14 in section 13(a)(7), and that is located in the State

15 of California may be reimbursed—

16 ‘‘(A) for up to 2 meals during each day of

17 operation served—

18 ‘‘(i) during the months of May

19 through September;

20 ‘‘(ii) in the case of a service institu21 tion that operates a food service program

22 for children on school vacation, at anytime

23 under a continuous school calendar; and

24 ‘‘(iii) in the case of a service institu25 tion that provides meal service at a non-
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1 school site to children who are not in

2 school for a period during the school year

3 due to a natural disaster, building repair,

4 court order, or similar case, at anytime

5 during such a period; and

6 ‘‘(B) for a snack served during each day of

7 operation after school hours, weekends, and

8 school holidays during the regular school cal9 endar.

10 ‘‘(2) PAYMENTS.—The service institution shall

11 be reimbursed consistent with section 13(b)(1).

12 ‘‘(3) ADMINISTRATION.—To receive reimburse13 ment under this subsection, a service institution

14 shall comply with section 13, other than subsections

15 (b)(2) and (c)(1) of that section.

16 ‘‘(4) EVALUATION.—Not later than September

17 30, 2007, the State agency shall submit to the Sec18 retary a report on the effect of this subsection on

19 participation in the summer food service program

20 for children established under section 13.

21 ‘‘(5) FUNDING.—The Secretary shall provide to

22 the State of California such sums as are necessary

23 to carry out this subsection for each of fiscal years

24 2005 through 2009.’’.
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1 SEC. 124. FREE LUNCH AND BREAKFAST ELIGIBILITY.

2 Section 18 of the Richard B. Russell National School

3 Lunch Act (42 U.S.C. 1769) (as amended by section 123)

4 is amended by adding at the end the following:

5 ‘‘(k) FREE LUNCH AND BREAKFAST ELIGIBILITY.—

6 ‘‘(1) IN GENERAL.—Subject to the availability

7 of funds under paragraph (4), the Secretary shall

8 expand the service of free lunches and breakfasts

9 provided at schools participating in the school lunch

10 program under this Act or the school breakfast pro11 gram under section 4 of the Child Nutrition Act of

12 1966 (42 U.S.C. 1773) in all or part of 5 States se13 lected by the Secretary (of which at least 1 shall be

14 a largely rural State with a significant Native Amer15 ican population).

16 ‘‘(2) INCOME ELIGIBILITY.—The income guide17 lines for determining eligibility for free lunches or

18 breakfasts under this subsection shall be 185 per19 cent of the applicable family size income levels con20 tained in the nonfarm income poverty guidelines pre21 scribed by the Office of Management and Budget, as

22 adjusted annually in accordance with section

23 9(b)(1)(B).

24 ‘‘(3) EVALUATION.—

25 ‘‘(A) IN GENERAL.—Not later than 3 years

26 after the implementation of this subsection, the
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1 Secretary shall conduct an evaluation to assess

2 the impact of the changed income eligibility

3 guidelines by comparing the school food au4 thorities operating under this subsection to

5 school food authorities not operating under this

6 subsection.

7 ‘‘(B) IMPACT ASSESSMENT.—

8 ‘‘(i) CHILDREN.—The evaluation shall

9 assess the impact of this subsection sepa10 rately on—

11 ‘‘(I) children in households with

12 incomes less than 130 percent of the

13 applicable family income levels con14 tained in the nonfarm poverty income

15 guidelines prescribed by the Office of

16 Management and Budget, as adjusted

17 annually in accordance with section

18 9(b)(1)(B); and

19 ‘‘(II) children in households with

20 incomes greater than 130 percent and

21 not greater than 185 percent of the

22 applicable family income levels con23 tained in the nonfarm poverty income

24 guidelines prescribed by the Office of

25 Management and Budget, as adjusted
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1 annually in accordance with section

2 9(b)(1)(B).

3 ‘‘(ii) FACTORS.—The evaluation shall

4 assess the impact of this subsection on—

5 ‘‘(I) certification and participa6 tion rates in the school lunch and

7 breakfast programs;

8 ‘‘(II) rates of lunch- and break9 fast-skipping;

10 ‘‘(III) academic achievement;

11 ‘‘(IV) the allocation of funds au12 thorized in title I of the Elementary

13 and Secondary Education Act (20

14 U.S.C. 6301) to local educational

15 agencies and public schools; and

16 ‘‘(V) other factors determined by

17 the Secretary.

18 ‘‘(C) COST ASSESSMENT.—The evaluation

19 shall assess the increased costs associated with

20 providing additional free, reduced price, or paid

21 meals in the school food authorities operating

22 under this subsection.

23 ‘‘(D) REPORT.—On completion of the eval24 uation, the Secretary shall submit to the Com25 mittee on Education and the Workforce of the
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1 House of Representatives and the Committee

2 on Agriculture, Nutrition, and Forestry of the

3 Senate a report describing the results of the

4 evaluation under this paragraph.

5 ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.—

6 There are authorized to be appropriated such sums

7 as are necessary to carry out this subsection, to re8 main available until expended.’’.

9 SEC. 125. TRAINING, TECHNICAL ASSISTANCE, AND FOOD

10 SERVICE MANAGEMENT INSTITUTE.

11 (a) IN GENERAL.—Section 21(a)(1) of the Richard

12 B. Russell National School Lunch Act (42 U.S.C. 1769b–

13 1(a)(1)) is amended by striking ‘‘activities and’’ and all

14 that follows and inserting ‘‘activities and provide—

15 ‘‘(A) training and technical assistance to

16 improve the skills of individuals employed in—

17 ‘‘(i) food service programs carried out

18 with assistance under this Act and, to the

19 maximum extent practicable, using individ20 uals who administer exemplary local food

21 service programs in the State;

22 ‘‘(ii) school breakfast programs car23 ried out with assistance under section 4 of

24 the Child Nutrition Act of 1966 (42

25 U.S.C. 1773); and
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1 ‘‘(iii) as appropriate, other federally

2 assisted feeding programs; and

3 ‘‘(B) assistance, on a competitive basis, to

4 State agencies for the purpose of aiding schools

5 and school food authorities with at least 50 per6 cent of enrolled children certified to receive free

7 or reduced price meals (and, if there are any re8 maining funds, other schools and school food

9 authorities) in meeting the cost of acquiring or

10 upgrading technology and information manage11 ment systems for use in food service programs

12 carried out under this Act and section 4 of the

13 Child Nutrition Act of 1966 (42 U.S.C. 1773),

14 if the school or school food authority submits to

15 the State agency an infrastructure development

16 plan that—

17 ‘‘(i) addresses the cost savings and

18 improvements in program integrity and op19 erations that would result from the use of

20 new or upgraded technology;

21 ‘‘(ii) ensures that there is not any

22 overt identification of any child by special

23 tokens or tickets, announced or published

24 list of names, or by any other means;
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1 ‘‘(iii) provides for processing and

2 verifying applications for free and reduced

3 price school meals;

4 ‘‘(iv) integrates menu planning, pro5 duction, and serving data to monitor com6 pliance with section 9(f)(1); and

7 ‘‘(v) establishes compatibility with

8 statewide reporting systems;

9 ‘‘(C) assistance, on a competitive basis, to

10 State agencies with low proportions of schools

11 or students that—

12 ‘‘(i) participate in the school breakfast

13 program under section 4 of the Child Nu14 trition Act of 1966 (42 U.S.C. 1773); and

15 ‘‘(ii) demonstrate the greatest need,

16 for the purpose of aiding schools in meet17 ing costs associated with initiating or ex18 panding a school breakfast program under

19 section 4 of the Child Nutrition Act of

20 1966 (42 U.S.C. 1773), including outreach

21 and informational activities; and’’.

22 (b) DUTIES OF FOOD SERVICE MANAGEMENT INSTI23 TUTE.—Section 21(c)(2)(B) of the Richard B. Russell Na24 tional School Lunch Act (42 U.S.C. 1769b–1(c)(2)(B)) is

25 amended—
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1 (1) by striking clauses (vi) and (vii) and insert2 ing the following:

3 ‘‘(vi) safety, including food handling,

4 hazard analysis and critical control point

5 plan implementation, emergency readiness,

6 responding to a food recall, and food bio7 security training;’’; and

8 (2) by redesignating clauses (viii) through (x)

9 as clauses (vii) through (ix), respectively.

10 (c) AUTHORIZATION OF APPROPRIATIONS.—

11 (1) TRAINING ACTIVITIES AND TECHNICAL AS12 SISTANCE.—Section 21(e)(1) of the Richard B. Rus13 sell National School Lunch Act (42 U.S.C. 1769b–

14 1(e)(1)) is amended by striking ‘‘2003’’ and insert15 ing ‘‘2009’’.

16 (2) FOOD SERVICE MANAGEMENT INSTITUTE.—

17 Section 21(e)(2)(A) of the Richard B. Russell Na18 tional School Lunch Act (42 U.S.C. 1769b–

19 1(e)(2)(A) is amended in the first sentence—

20 (A) by striking ‘‘provide to the Secretary’’

21 and all that follows through ‘‘1998, and’’ and

22 inserting ‘‘provide to the Secretary’’; and

23 (B) by striking ‘‘1999 and’’ and inserting

24 ‘‘2004 and $4,000,000 for fiscal year 2005’’.
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1 SEC. 126. ADMINISTRATIVE ERROR REDUCTION.

2 (a) FEDERAL SUPPORT FOR TRAINING AND TECH3 NICAL ASSISTANCE.—Section 21 of the Richard B. Russell

4 National School Lunch Act (42 U.S.C. 1769b–1) is

5 amended by adding at the end the following:

6 ‘‘(f) ADMINISTRATIVE TRAINING AND TECHNICAL

7 ASSISTANCE MATERIAL.—In collaboration with State edu8 cational agencies, local educational agencies, and school

9 food authorities of varying sizes, the Secretary shall de10 velop and distribute training and technical assistance ma11 terial relating to the administration of school meals pro12 grams that are representative of the best management and

13 administrative practices.

14 ‘‘(g) FEDERAL ADMINISTRATIVE SUPPORT.—

15 ‘‘(1) FUNDING.—

16 ‘‘(A) IN GENERAL.—Out of any funds in

17 the Treasury not otherwise appropriated, the

18 Secretary of the Treasury shall transfer to the

19 Secretary of Agriculture to carry out this

20 subsection—

21 ‘‘(i) on October 1, 2004, and October

22 1, 2005, $3,000,000; and

23 ‘‘(ii) on October 1, 2006, October 1,

24 2007, and October 1, 2008, $2,000,000.

25 ‘‘(B) RECEIPT AND ACCEPTANCE.—The

26 Secretary shall be entitled to receive, shall ac-
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1 cept, and shall use to carry out this subsection

2 the funds transferred under subparagraph (A),

3 without further appropriation.

4 ‘‘(C) AVAILABILITY OF FUNDS.—Funds

5 transferred under subparagraph (A) shall re6 main available until expended.

7 ‘‘(2) USE OF FUNDS.—The Secretary may use

8 funds provided under this subsection—

9 ‘‘(A) to provide training and technical as10 sistance and material related to improving pro11 gram integrity and administrative accuracy in

12 school meals programs; and

13 ‘‘(B) to assist State educational agencies

14 in reviewing the administrative practices of

15 local educational agencies, to the extent deter16 mined by the Secretary.’’.

17 (b) SELECTED ADMINISTRATIVE REVIEWS.—

18 (1) IN GENERAL.—Section 22(b) of the Richard

19 B. Russell National School Lunch Act (42 U.S.C.

20 1769c(b)) is amended by adding at the end the fol21 lowing:

22 ‘‘(3) ADDITIONAL REVIEW REQUIREMENT FOR

23 SELECTED LOCAL EDUCATIONAL AGENCIES.—

24 ‘‘(A) DEFINITION OF SELECTED LOCAL

25 EDUCATIONAL AGENCIES.—In this paragraph,
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1 the term ‘selected local educational agency’

2 means a local educational agency that has a

3 demonstrated high level of, or a high risk for,

4 administrative error, as determined by the Sec5 retary.

6 ‘‘(B) ADDITIONAL ADMINISTRATIVE RE7 VIEW.—In addition to any review required by

8 subsection (a) or paragraph (1), each State

9 educational agency shall conduct an administra10 tive review of each selected local educational

11 agency during the review cycle established

12 under subsection (a).

13 ‘‘(C) SCOPE OF REVIEW.—In carrying out

14 a review under subparagraph (B), a State edu15 cational agency shall only review the adminis16 trative processes of a selected local educational

17 agency, including application, certification,

18 verification, meal counting, and meal claiming

19 procedures.

20 ‘‘(D) RESULTS OF REVIEW.—If the State

21 educational agency determines (on the basis of

22 a review conducted under subparagraph (B))

23 that a selected local educational agency fails to

24 meet performance criteria established by the

25 Secretary, the State educational agency shall—
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1 ‘‘(i) require the selected local edu2 cational agency to develop and carry out

3 an approved plan of corrective action;

4 ‘‘(ii) except to the extent technical as5 sistance is provided directly by the Sec6 retary, provide technical assistance to as7 sist the selected local educational agency in

8 carrying out the corrective action plan; and

9 ‘‘(iii) conduct a followup review of the

10 selected local educational agency under

11 standards established by the Secretary.

12 ‘‘(4) RETAINING FUNDS AFTER ADMINISTRA13 TIVE REVIEWS.—

14 ‘‘(A) IN GENERAL.—Subject to subpara15 graphs (B) and (C), if the local educational

16 agency fails to meet administrative performance

17 criteria established by the Secretary in both an

18 initial review and a followup review under para19 graph (1) or (3) or subsection (a), the Sec20 retary may require the State educational agency

21 to retain funds that would otherwise be paid to

22 the local educational agency for school meals

23 programs under procedures prescribed by the

24 Secretary.
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1 ‘‘(B) AMOUNT.—The amount of funds re2 tained under subparagraph (A) shall equal the

3 value of any overpayment made to the local

4 educational agency or school food authority as

5 a result of an erroneous claim during the time

6 period described in subparagraph (C).

7 ‘‘(C) TIME PERIOD.—The period for deter8 mining the value of any overpayment under

9 subparagraph (B) shall be the period—

10 ‘‘(i) beginning on the date the erro11 neous claim was made; and

12 ‘‘(ii) ending on the earlier of the date

13 the erroneous claim is corrected or—

14 ‘‘(I) in the case of the first fol15 lowup review conducted by the State

16 educational agency of the local edu17 cational agency under this section

18 after July 1, 2005, the date that is 60

19 days after the beginning of the period

20 under clause (i); or

21 ‘‘(II) in the case of any subse22 quent followup review conducted by

23 the State educational agency of the

24 local educational agency under this

25 section, the date that is 90 days after
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1 the beginning of the period under

2 clause (i).

3 ‘‘(5) USE OF RETAINED FUNDS.—

4 ‘‘(A) IN GENERAL.—Subject to subpara5 graph (B), funds retained under paragraph (4)

6 shall—

7 ‘‘(i) be returned to the Secretary, and

8 may be used—

9 ‘‘(I) to provide training and tech10 nical assistance related to administra11 tive practices designed to improve pro12 gram integrity and administrative ac13 curacy in school meals programs to

14 State educational agencies and, to the

15 extent determined by the Secretary, to

16 local educational agencies and school

17 food authorities;

18 ‘‘(II) to assist State educational

19 agencies in reviewing the administra20 tive practices of local educational

21 agencies in carrying out school meals

22 programs; and

23 ‘‘(III) to carry out section 21(f);

24 or
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1 ‘‘(ii) be credited to the child nutrition

2 programs appropriation account.

3 ‘‘(B) STATE SHARE.—A State educational

4 agency may retain not more than 25 percent of

5 an amount recovered under paragraph (4), to

6 carry out school meals program integrity initia7 tives to assist local educational agencies and

8 school food authorities that have repeatedly

9 failed, as determined by the Secretary, to meet

10 administrative performance criteria.

11 ‘‘(C) REQUIREMENT.—To be eligible to re12 tain funds under subparagraph (B), a State

13 educational agency shall—

14 ‘‘(i) submit to the Secretary a plan

15 describing how the State educational agen16 cy will use the funds to improve school

17 meals program integrity, including meas18 ures to give priority to local educational

19 agencies from which funds were retained

20 under paragraph (4);

21 ‘‘(ii) consider using individuals who

22 administer exemplary local food service

23 programs in the provision of training and

24 technical assistance; and
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1 ‘‘(iii) obtain the approval of the Sec2 retary for the plan.’’.

3 (2) INTERPRETATION.—Nothing in the amend4 ment made by paragraph (1) affects the require5 ments for fiscal actions as described in the regula6 tions issued pursuant to section 22(a) of the Richard

7 B. Russell National School Lunch Act (42 U.S.C.

8 1769c(a)).

9 (c) TRAINING AND TECHNICAL ASSISTANCE.—Sec10 tion 7 of the Child Nutrition Act of 1966 (42 U.S.C.

11 1776) is amended—

12 (1) in subsection (e)—

13 (A) by striking ‘‘(e) Each’’ and inserting

14 the following:

15 ‘‘(e) PLANS FOR USE OF ADMINISTRATIVE EXPENSE

16 FUNDS.—

17 ‘‘(1) IN GENERAL.—Each’’; and

18 (B) by striking ‘‘After submitting’’ and all

19 that follows through ‘‘change in the plan.’’ and

20 inserting the following:

21 ‘‘(2) UPDATES AND INFORMATION MANAGE22 MENT SYSTEMS.—

23 ‘‘(A) IN GENERAL.—After submitting the

24 initial plan, a State shall be required to submit
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1 to the Secretary for approval only a substantive

2 change in the plan.

3 ‘‘(B) PLAN CONTENTS.—Each State plan

4 shall, at a minimum, include a description of

5 how technology and information management

6 systems will be used to improve program integ7 rity by—

8 ‘‘(i) monitoring the nutrient content

9 of meals served;

10 ‘‘(ii) training local educational agen11 cies, school food authorities, and schools in

12 how to use technology and information

13 management systems (including verifying

14 eligibility for free or reduced price meals

15 using program participation or income

16 data gathered by State or local agencies);

17 and

18 ‘‘(iii) using electronic data to establish

19 benchmarks to compare and monitor pro20 gram integrity, program participation, and

21 financial data.

22 ‘‘(3) TRAINING AND TECHNICAL ASSISTANCE.—

23 Each State shall submit to the Secretary for ap24 proval a plan describing the manner in which the

25 State intends to implement subsection (g) and sec-
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1 tion 22(b)(3) of the Richard B. Russell National

2 School Lunch Act.’’;

3 (2) by redesignating subsection (g) as sub4 section (j); and

5 (3) by inserting after subsection (f) the fol6 lowing:

7 ‘‘(g) STATE TRAINING.—

8 ‘‘(1) IN GENERAL.—At least annually, each

9 State shall provide training in administrative prac10 tices (including training in application, certification,

11 verification, meal counting, and meal claiming proce12 dures) to local educational agency and school food

13 authority administrative personnel and other appro14 priate personnel, with emphasis on the requirements

15 established by the Child Nutrition and WIC Reau16 thorization Act of 2004 and the amendments made

17 by that Act.

18 ‘‘(2) FEDERAL ROLE.—The Secretary shall—

19 ‘‘(A) provide training and technical assist20 ance to a State; or

21 ‘‘(B) at the option of the Secretary, di22 rectly provide training and technical assistance

23 described in paragraph (1).

24 ‘‘(3) REQUIRED PARTICIPATION.—In accord25 ance with procedures established by the Secretary,
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1 each local educational agency or school food author2 ity shall ensure that an individual conducting or

3 overseeing administrative procedures described in

4 paragraph (1) receives training at least annually,

5 unless determined otherwise by the Secretary.

6 ‘‘(h) FUNDING FOR TRAINING AND ADMINISTRATIVE

7 REVIEWS.—

8 ‘‘(1) FUNDING.—

9 ‘‘(A) IN GENERAL.—On October 1, 2004,

10 and on each October 1 thereafter, out of any

11 funds in the Treasury not otherwise appro12 priated, the Secretary of the Treasury shall

13 transfer to the Secretary of Agriculture to carry

14 out this subsection $4,000,000, to remain avail15 able until expended.

16 ‘‘(B) RECEIPT AND ACCEPTANCE.—The

17 Secretary shall be entitled to receive, shall ac18 cept, and shall use to carry out this subsection

19 the funds transferred under subparagraph (A),

20 without further appropriation.

21 ‘‘(2) USE OF FUNDS.—

22 ‘‘(A) IN GENERAL.—Except as provided in

23 subparagraph (B), the Secretary shall use

24 funds provided under this subsection to assist

25 States in carrying out subsection (g) and ad-
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1 ministrative reviews of selected local educational

2 agencies carried out under section 22 of the

3 Richard B. Russell National School Lunch Act

4 (42 U.S.C. 1769c).

5 ‘‘(B) EXCEPTION.—The Secretary may re6 tain a portion of the amount provided to cover

7 costs of activities carried out by the Secretary

8 in lieu of the State.

9 ‘‘(3) ALLOCATION.—The Secretary shall allo10 cate funds provided under this subsection to States

11 based on the number of local educational agencies

12 that have demonstrated a high level of, or a high

13 risk for, administrative error, as determined by the

14 Secretary, taking into account the requirements es15 tablished by the Child Nutrition and WIC Reauthor16 ization Act of 2004 and the amendments made by

17 that Act.

18 ‘‘(4) REALLOCATION.—The Secretary may re19 allocate, to carry out this section, any amounts made

20 available to carry out this subsection that are not

21 obligated or expended, as determined by the Sec22 retary.’’.

23 SEC. 127. COMPLIANCE AND ACCOUNTABILITY.

24 Section 22(d) of the Richard B. Russell National

25 School Lunch Act (42 U.S.C. 1769c(d)) is amended by
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1 striking ‘‘$3,000,000 for each of the fiscal years 1994

2 through 2003’’ and inserting ‘‘$6,000,000 for each of fis3 cal years 2004 through 2009’’.

4 SEC. 128. INFORMATION CLEARINGHOUSE.

5 Section 26(d) of the Richard B. Russell National

6 School Lunch Act (42 U.S.C. 1769g(d)) is amended in

7 the first sentence—

8 (1) by striking ‘‘1998, and’’ and inserting

9 ‘‘1998,’’; and

10 (2) by striking ‘‘through 2003’’ and inserting

11 ‘‘through 2004, and $250,000 for each of fiscal

12 years 2005 through 2009’’.

13 SEC. 129. PROGRAM EVALUATION.

14 The Richard B. Russell National School Lunch Act

15 (42 U.S.C. 1751 et seq.) is amended by adding at the end

16 the following:

17 ‘‘SEC. 28. PROGRAM EVALUATION.

18 ‘‘(a) PERFORMANCE ASSESSMENTS.—

19 ‘‘(1) IN GENERAL.—Subject to the availability

20 of funds made available under paragraph (3), the

21 Secretary, acting through the Administrator of the

22 Food and Nutrition Service, may conduct annual na23 tional performance assessments of the meal pro24 grams under this Act and the Child Nutrition Act

25 of 1966 (42 U.S.C. 1771 et seq.).
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1 ‘‘(2) COMPONENTS.—In conducting an assess2 ment, the Secretary may assess—

3 ‘‘(A) the cost of producing meals and meal

4 supplements under the programs described in

5 paragraph (1); and

6 ‘‘(B) the nutrient profile of meals, and sta7 tus of menu planning practices, under the pro8 grams.

9 ‘‘(3) AUTHORIZATION OF APPROPRIATIONS.—

10 There is authorized to be appropriated to carry out

11 this subsection $5,000,000 for fiscal year 2004 and

12 each subsequent fiscal year.

13 ‘‘(b) CERTIFICATION IMPROVEMENTS.—

14 ‘‘(1) IN GENERAL.—Subject to the availability

15 of funds made available under paragraph (5), the

16 Secretary, acting through the Administrator of the

17 Food and Nutrition Service, shall conduct a study of

18 the feasibility of improving the certification process

19 used for the school lunch program established under

20 this Act.

21 ‘‘(2) PILOT PROJECTS.—In carrying out this

22 subsection, the Secretary may conduct pilot projects

23 to improve the certification process used for the

24 school lunch program.
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1 ‘‘(3) COMPONENTS.—In carrying out this sub2 section, the Secretary shall examine the use of—

3 ‘‘(A) other income reporting systems;

4 ‘‘(B) an integrated benefit eligibility deter5 mination process managed by a single agency;

6 ‘‘(C) income or program participation data

7 gathered by State or local agencies; and

8 ‘‘(D) other options determined by the Sec9 retary.

10 ‘‘(4) WAIVERS.—

11 ‘‘(A) IN GENERAL.—Subject to subpara12 graph (B), the Secretary may waive such provi13 sions of this Act and the Child Nutrition Act of

14 1966 (42 U.S.C. 1771 et seq.) as are necessary

15 to carry out this subsection.

16 ‘‘(B) PROVISIONS.—The protections of sec17 tion 9(b)(6) shall apply to any study or pilot

18 project carried out under this subsection.

19 ‘‘(5) AUTHORIZATION OF APPROPRIATIONS.—

20 There is authorized to be appropriated to carry out

21 this subsection such sums as are necessary.’’.
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1 TITLE II—AMENDMENTS TO

2 CHILD NUTRITION ACT OF 1966

3 SEC. 201. SEVERE NEED ASSISTANCE.

4 Section 4 of the Child Nutrition Act of 1966 (42

5 U.S.C. 1773) is amended by striking subsection (d) and

6 inserting the following:

7 ‘‘(d) SEVERE NEED ASSISTANCE.—

8 ‘‘(1) IN GENERAL.—Each State educational

9 agency shall provide additional assistance to schools

10 in severe need, which shall include only those schools

11 (having a breakfast program or desiring to initiate

12 a breakfast program) in which—

13 ‘‘(A) during the most recent second pre14 ceding school year for which lunches were

15 served, 40 percent or more of the lunches

16 served to students at the school were served

17 free or at a reduced price; or

18 ‘‘(B) in the case of a school in which

19 lunches were not served during the most recent

20 second preceding school year, the Secretary oth21 erwise determines that the requirements of sub22 paragraph (A) would have been met.

23 ‘‘(2) ADDITIONAL ASSISTANCE.—A school, on

24 the submission of appropriate documentation about

25 the need circumstances in that school and the eligi-
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1 bility of the school for additional assistance, shall be

2 entitled to receive the meal reimbursement rate spec3 ified in subsection (b)(2).’’.

4 SEC. 202. STATE ADMINISTRATIVE EXPENSES.

5 (a) MINIMUM STATE ADMINISTRATIVE EXPENSE

6 GRANTS.—Section 7 of the Child Nutrition Act of 1966

7 (42 U.S.C. 1776) is amended—

8 (1) by striking the section heading and all that

9 follows through ‘‘(a)(1) Each’’ and inserting the fol10 lowing:

11 ‘‘SEC. 7. STATE ADMINISTRATIVE EXPENSES.

12 ‘‘(a) AMOUNT AND ALLOCATION OF FUNDS.—

13 ‘‘(1) AMOUNT AVAILABLE.—

14 ‘‘(A) IN GENERAL.—Except as provided in

15 subparagraph (B), each’’;

16 (2) in subsection (a)—

17 (A) in paragraph (1)—

18 (i) by inserting after the first sentence

19 the following:

20 ‘‘(B) MINIMUM AMOUNT.—In the case of

21 each of fiscal years 2005 through 2007, the

22 Secretary shall make available to each State for

23 administrative costs not less than the initial al24 location made to the State under this sub25 section for fiscal year 2004.’’;
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1 (ii) by striking ‘‘The Secretary’’ and

2 inserting the following:

3 ‘‘(C) ALLOCATION.—The Secretary’’; and

4 (iii) by striking the last sentence; and

5 (B) in paragraph (2)—

6 (i) by striking ‘‘(2) The’’ and insert7 ing the following:

8 ‘‘(2) EXPENSE GRANTS.—

9 ‘‘(A) IN GENERAL.—Subject to subpara10 graph (B), the’’;

11 (ii) in the second sentence—

12 (I) by striking ‘‘In no case’’ and

13 inserting the following:

14 ‘‘(B) MINIMUM AMOUNT.—

15 ‘‘(i) IN GENERAL.—In no case’’;

16 (II) by striking ‘‘this subsection’’

17 and inserting ‘‘this paragraph’’; and

18 (III) by striking ‘‘$100,000’’ and

19 inserting ‘‘$200,000 (as adjusted

20 under clause (ii)’’; and

21 (iii) by adding at the end the fol22 lowing:

23 ‘‘(ii) ADJUSTMENT.—On October 1,

24 2008, and each October 1 thereafter, the

25 minimum dollar amount for a fiscal year
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1 specified in clause (i) shall be adjusted to

2 reflect the percentage change between—

3 ‘‘(I) the value of the index for

4 State and local government purchases,

5 as published by the Bureau of Eco6 nomic Analysis of the Department of

7 Commerce, for the 12-month period

8 ending June 30 of the second pre9 ceding fiscal year; and

10 ‘‘(II) the value of that index for

11 the 12-month period ending June 30

12 of the preceding fiscal year.’’.

13 (b) TECHNOLOGY INFRASTRUCTURE IMPROVE14 MENT.—Section 7 of the Child Nutrition Act of 1966 (42

15 U.S.C. 1776) is amended by inserting after subsection (h)

16 (as added by section 126(c)(3)) the following:

17 ‘‘(i) TECHNOLOGY INFRASTRUCTURE IMPROVE18 MENT.—

19 ‘‘(1) IN GENERAL.—Each State shall submit to

20 the Secretary, for approval by the Secretary, an

21 amendment to the plan required by subsection (e)

22 that describes the manner in which funds provided

23 under this section will be used for technology and in24 formation management systems.
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1 ‘‘(2) REQUIREMENTS.—The amendment shall,

2 at a minimum, describe the manner in which the

3 State will improve program integrity by—

4 ‘‘(A) monitoring the nutrient content of

5 meals served;

6 ‘‘(B) providing training to local edu7 cational agencies, school food authorities, and

8 schools on the use of technology and informa9 tion management systems for activities

10 including—

11 ‘‘(i) menu planning;

12 ‘‘(ii) collection of point-of-sale data;

13 and

14 ‘‘(iii) the processing of applications

15 for free and reduced price meals; and

16 ‘‘(C) using electronic data to establish

17 benchmarks to compare and monitor program

18 integrity, program participation, and financial

19 data across schools and school food authorities.

20 ‘‘(3) TECHNOLOGY INFRASTRUCTURE

21 GRANTS.—

22 ‘‘(A) IN GENERAL.—Subject to the avail23 ability of funds made available under paragraph

24 (4) to carry out this paragraph, the Secretary

25 shall, on a competitive basis, provide funds to
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1 States to be used to provide grants to local edu2 cational agencies, school food authorities, and

3 schools to defray the cost of purchasing or up4 grading technology and information manage5 ment systems for use in programs authorized

6 by this Act (other than section 17) and the

7 Richard B. Russell National School Lunch Act

8 (42 U.S.C. 1751 et seq.).

9 ‘‘(B) INFRASTRUCTURE DEVELOPMENT

10 PLAN.—To be eligible to receive a grant under

11 this paragraph, a school or school food author12 ity shall submit to the State a plan to purchase

13 or upgrade technology and information manage14 ment systems that addresses potential cost sav15 ings and methods to improve program integrity,

16 including—

17 ‘‘(i) processing and verification of ap18 plications for free and reduced price meals;

19 ‘‘(ii) integration of menu planning,

20 production, and serving data to monitor

21 compliance with section 9(f)(1) of the

22 Richard B. Russell National School Lunch

23 Act (42 U.S.C. 1758(f)(1)); and

24 ‘‘(iii) compatibility with statewide re25 porting systems.
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1 ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.—

2 There are authorized to be appropriated to carry out

3 this subsection such sums as are necessary for each

4 of fiscal years 2005 through 2009, to remain avail5 able until expended.’’.

6 (c) REAUTHORIZATION.—Subsection (j) of section 7

7 of the Child Nutrition Act of 1966 (42 U.S.C. 1776) (as

8 redesignated by section 126(c)(2)) is amended by striking

9 ‘‘2003’’ and inserting ‘‘2009’’.

10 SEC. 203. SPECIAL SUPPLEMENTAL NUTRITION PROGRAM

11 FOR WOMEN, INFANTS, AND CHILDREN.

12 (a) DEFINITIONS.—

13 (1) NUTRITION EDUCATION.—Section 17(b) of

14 the Child Nutrition Act of 1966 (42 U.S.C. 1786(b))

15 is amended by striking paragraph (7) and inserting

16 the following:

17 ‘‘(7) NUTRITION EDUCATION.—The term ‘nutri18 tion education’ means individual and group sessions

19 and the provision of material that are designed to

20 improve health status and achieve positive change in

21 dietary and physical activity habits, and that empha22 size the relationship between nutrition, physical ac23 tivity, and health, all in keeping with the personal

24 and cultural preferences of the individual.’’.
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1 (2) SUPPLEMENTAL FOODS.—Section 17(b)(14)

2 of the Child Nutrition Act of 1966 (42 U.S.C.

3 1786(b)(14)) is amended in the first sentence by in4 serting after ‘‘children’’ the following: ‘‘and foods

5 that promote the health of the population served by

6 the program authorized by this section, as indicated

7 by relevant nutrition science, public health concerns,

8 and cultural eating patterns’’.

9 (3) OTHER TERMS.—Section 17(b) of the Child

10 Nutrition Act of 1966 (42 U.S.C. 1786(b)) is

11 amended by adding at the end the following:

12 ‘‘(22) PRIMARY CONTRACT INFANT FORMULA.—

13 The term ‘primary contract infant formula’ means

14 the specific infant formula for which manufacturers

15 submit a bid to a State agency in response to a re16 bate solicitation under this section and for which a

17 contract is awarded by the State agency as a result

18 of that bid.

19 ‘‘(23) STATE ALLIANCE.—The term ‘State alli20 ance’ means 2 or more State agencies that join to21 gether for the purpose of procuring infant formula

22 under the program by soliciting competitive bids for

23 infant formula.’’.

24 (b) ELIGIBILITY.—
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1 (1) CERTIFICATION PERIOD.—Section 17(d)(3)

2 of the Child Nutrition Act of 1966 (42 U.S.C.

3 1786(d)(3)) is amended—

4 (A) by striking ‘‘(3)(A) Persons’’ and in5 serting the following:

6 ‘‘(3) CERTIFICATION.—

7 ‘‘(A) PROCEDURES.—

8 ‘‘(i) IN GENERAL.—Subject to clause

9 (ii), a person’’; and

10 (B) by adding at the end of subparagraph

11 (A) the following:

12 ‘‘(ii) BREASTFEEDING WOMEN.—A

13 State may elect to certify a breastfeeding

14 woman for a period of 1 year postpartum

15 or until a woman discontinues

16 breastfeeding, whichever is earlier.’’.

17 (2) PHYSICAL PRESENCE.—Section

18 17(d)(3)(C)(ii) of the Child Nutrition Act of 1966

19 (42 U.S.C. 1786(d)(3)(C)(ii)) is amended—

20 (A) in subclause (I)(bb), by striking ‘‘from

21 a provider other than the local agency; or’’ and

22 inserting a semicolon;

23 (B) in subclause (II), by striking the pe24 riod at the end and inserting ‘‘; and’’; and

25 (C) by adding at the end the following:
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1 ‘‘(III) an infant under 8 weeks of

2 age—

3 ‘‘(aa) who cannot be present

4 at certification for a reason de5 termined appropriate by the local

6 agency; and

7 ‘‘(bb) for whom all necessary

8 certification information is pro9 vided.’’.

10 (c) ADMINISTRATION.—

11 (1) PROCESSING VENDOR APPLICATIONS; PAR12 TICIPANT ACCESS.—Section 17(f)(1)(C) of the Child

13 Nutrition Act of 1966 (42 U.S.C. 1786(f)(1)(C)) is

14 amended—

15 (A) in clause (i) by inserting ‘‘at any of

16 the authorized retail stores under the program’’

17 after ‘‘the program’’;

18 (B) by redesignating clauses (ii) through

19 (x) as clauses (iii) through (xi), respectively;

20 and

21 (C) by inserting after clause (i) the fol22 lowing:

23 ‘‘(ii) procedures for accepting and processing

24 vendor applications outside of the established time25 frames if the State agency determines there will be
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1 inadequate access to the program, including in a

2 case in which a previously authorized vendor sells a

3 store under circumstances that do not permit timely

4 notification to the State agency of the change in

5 ownership;’’.

6 (2) ALLOWABLE USE OF FUNDS.—

7 (A) IN GENERAL.—Section 17(f)(11) of

8 the Child Nutrition Act of 1966 (42 U.S.C.

9 1786(f)(11) is amended—

10 (i) by striking ‘‘(11) The Secretary’’

11 and inserting the following:

12 ‘‘(11) SUPPLEMENTAL FOODS.—

13 ‘‘(A) IN GENERAL.—The Secretary’’;

14 (ii) in the second sentence, by striking

15 ‘‘To the degree’’ and inserting the fol16 lowing:

17 ‘‘(B) APPROPRIATE CONTENT.—To the de18 gree’’; and

19 (iii) by adding at the end the fol20 lowing:

21 ‘‘(C) ALLOWABLE USE OF FUNDS.—Sub22 ject to the availability of funds, the Secretary

23 shall award grants to not more than 10 local

24 sites determined by the Secretary to be geo25 graphically and culturally representative of
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1 State, local, and Indian agencies, to evaluate

2 the feasibility of including fresh, frozen, or

3 canned fruits and vegetables (to be made avail4 able through private funds) as an addition to

5 the supplemental foods prescribed under this

6 section.

7 ‘‘(D) REVIEW OF AVAILABLE SUPPLE8 MENTAL FOODS.—As frequently as determined

9 by the Secretary to be necessary to reflect the

10 most recent scientific knowledge, the Secretary

11 shall—

12 ‘‘(i) conduct a scientific review of the

13 supplemental foods available under the

14 program; and

15 ‘‘(ii) amend the supplemental foods

16 available, as necessary, to reflect nutrition

17 science, public health concerns, and cul18 tural eating patterns.’’.

19 (B) RULEMAKING.—Not later than 18

20 months after the date of receiving the review

21 initiated by the National Academy of Sciences,

22 Institute of Medicine in September 2003 of the

23 supplemental foods available for the special sup24 plemental nutrition program for women, in25 fants, and children authorized under section 17
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1 of the Child Nutrition Act of 1966 (42 U.S.C.

2 1786), the Secretary shall promulgate a final

3 rule updating the prescribed supplemental foods

4 available through the program.

5 (3) USE OF CLAIMS FROM LOCAL AGENCIES.—

6 Section 17(f)(21) of the Child Nutrition Act of 1966

7 (42 U.S.C. 1786(f)(21)) is amended—

8 (A) in the paragraph heading, by striking

9 ‘‘VENDORS’’ and inserting ‘‘LOCAL AGENCIES,

10 VENDORS,’’; and

11 (B) by striking ‘‘vendors’’ and inserting

12 ‘‘local agencies, vendors,’’.

13 (4) INFANT FORMULA BENEFITS.—

14 (A) IN GENERAL.—Section 17(f) of the

15 Child Nutrition Act of 1966 (42 U.S.C.

16 1786(f)) is amended by adding at the end the

17 following:

18 ‘‘(25) INFANT FORMULA BENEFITS.—A State

19 agency may round up to the next whole can of infant

20 formula to allow all participants under the program

21 to receive the full-authorized nutritional benefit

22 specified by regulation.’’.

23 (B) APPLICABILITY.—The amendment

24 made by subparagraph (A) applies to infant

25 formula provided under a contract resulting
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1 from a bid solicitation issued on or after Octo2 ber 1, 2004.

3 (5) NOTIFICATION OF VIOLATIONS.—Section

4 17(f) of the Child Nutrition Act of 1966 (42 U.S.C.

5 1786(f)) (as amended by paragraph (4)) is amended

6 by adding at the end the following:

7 ‘‘(26) NOTIFICATION OF VIOLATIONS.—If a

8 State agency finds that a vendor has committed a

9 violation that requires a pattern of occurrences in

10 order to impose a penalty or sanction, the State

11 agency shall notify the vendor of the initial violation

12 in writing prior to documentation of another viola13 tion, unless the State agency determines that noti14 fying the vendor would compromise an investiga15 tion.’’.

16 (d) REAUTHORIZATION OF WIC PROGRAM.—Section

17 17(g) of the Child Nutrition Act of 1966 (42 U.S.C.

18 1786(g)) is amended by striking ‘‘(g)(1)’’ and all that fol19 lows through ‘‘As authorized’’ in paragraph (1) and insert20 ing the following:

21 ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—

22 ‘‘(1) IN GENERAL.—

23 ‘‘(A) AUTHORIZATION.—There are author24 ized to be appropriated to carry out this section
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1 such sums as are necessary for each of fiscal

2 years 2004 through 2009.

3 ‘‘(B) ADVANCE APPROPRIATIONS; AVAIL4 ABILITY.—As authorized’’.

5 (e) NUTRITION SERVICES AND ADMINISTRATION

6 FUNDS; COMPETITIVE BIDDING; RETAILERS.—

7 (1) IN GENERAL.—Section 17(h)(2)(A) of the

8 Child Nutrition Act of 1966 (42 U.S.C.

9 1786(h)(2)(A)) is amended by striking ‘‘For each of

10 the fiscal years 1995 through 2003, the’’ and insert11 ing ‘‘The’’.

12 (2) HEALTHY PEOPLE 2010 INITIATIVE.—Sec13 tion 17(h)(4) of the Child Nutrition Act of 1966 (42

14 U.S.C. 1786(h)(4)) is amended—

15 (A) in subparagraph (D), by striking ‘‘;

16 and’’ and inserting a semicolon;

17 (B) in subparagraph (E), by striking the

18 period at the end and inserting ‘‘; and’’; and

19 (C) by adding at the end the following:

20 ‘‘(F) partner with communities, State and

21 local agencies, employers, health care profes22 sionals, and other entities in the private sector

23 to build a supportive breastfeeding environment

24 for women participating in the program under
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1 this section to support the breastfeeding goals

2 of the Healthy People 2010 initiative.’’.

3 (3) SIZE OF STATE ALLIANCES.—Section

4 17(h)(8)(A) of the Child Nutrition Act of 1966 (42

5 U.S.C. 1786(h)(8)(A)) is amended by adding at the

6 end the following:

7 ‘‘(iv) SIZE OF STATE ALLIANCES.—

8 ‘‘(I) IN GENERAL.—Except as

9 provided in subclauses (II) through

10 (IV), no State alliance may exist

11 among States if the total number of

12 infants served by States participating

13 in the alliance as of October 1, 2003,

14 or such subsequent date determined

15 by the Secretary for which data is

16 available, would exceed 100,000.

17 ‘‘(II) ADDITION OF INFANT PAR18 TICIPANTS.—In the case of a State al19 liance that exists on the date of enact20 ment of this clause, the alliance may

21 continue and may expand to serve

22 more than 100,000 infants but, except

23 as provided in subclause (III), may

24 not expand to include any additional

25 State agency.
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1 ‘‘(III) ADDITION OF SMALL

2 STATE AGENCIES AND INDIAN STATE

3 AGENCIES.—Any State alliance may

4 expand to include any State agency

5 that served less than 5,000 infant

6 participants as of October 1, 2003, or

7 such subsequent date determined by

8 the Secretary for which data is avail9 able, or any Indian State agency, if

10 the State agency or Indian State

11 agency requests to join the State alli12 ance.

13 ‘‘(IV) SECRETARIAL WAIVER.—

14 The Secretary may waive the require15 ments of this clause not earlier than

16 30 days after submitting to the Com17 mittee on Education and the Work18 force of the House of Representatives

19 and the Committee on Agriculture,

20 Nutrition, and Forestry of the Senate

21 a written report that describes the

22 cost-containment and competitive ben23 efits of the proposed waiver.’’.

24 (4) PRIMARY CONTRACT INFANT FORMULA.—
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1 (A) IN GENERAL.—Section 17(h)(8)(A) of

2 the Child Nutrition Act of 1966 (42 U.S.C.

3 1786(8)(A)) (as amended by paragraph (3)) is

4 amended—

5 (i) in clause (ii)(I), by striking ‘‘con6 tract brand of’’ and inserting ‘‘primary

7 contract’’;

8 (ii) in clause (iii), by inserting ‘‘for a

9 specific infant formula for which manufac10 turers submit a bid’’ after ‘‘lowest net

11 price’’; and

12 (iii) by adding at the end the fol13 lowing:

14 ‘‘(v) FIRST CHOICE OF ISSUANCE.—

15 The State agency shall use the primary

16 contract infant formula as the first choice

17 of issuance (by formula type), with all

18 other infant formulas issued as an alter19 native to the primary contract infant for20 mula.’’.

21 (B) APPLICABILITY.—The amendments

22 made by subparagraph (A) apply to a contract

23 resulting from a bid solicitation issued on or

24 after October 1, 2004.
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1 (5) REBATE INVOICES.—Section 17(h)(8)(A) of

2 the Child Nutrition Act of 1966 (42 U.S.C.

3 1786(h)(8)(A)) (as amended by paragraph

4 (4)(A)(iii)) is amended by adding at the end the fol5 lowing:

6 ‘‘(vi) REBATE INVOICES.—Each State

7 agency shall have a system to ensure that

8 infant formula rebate invoices, under com9 petitive bidding, provide a reasonable esti10 mate or an actual count of the number of

11 units sold to participants in the program

12 under this section.’’.

13 (6) UNCOUPLING MILK AND SOY BIDS.—

14 (A) IN GENERAL.—Section 17(h)(8)(A) of

15 the Child Nutrition Act of 1966 (42 U.S.C.

16 1786(h)(8)(A)) (as amended by paragraph (5))

17 is amended by adding at the end the following:

18 ‘‘(vii) SEPARATE SOLICITATIONS.—In

19 soliciting bids for infant formula under a

20 competitive bidding system, any State

21 agency, or State alliance, that served under

22 the program a monthly average of more

23 than 100,000 infants during the preceding

24 12-month period shall solicit bids from in25 fant formula manufacturers under proce-
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1 dures that require that bids for rebates or

2 discounts are solicited for milk-based and

3 soy-based infant formula separately.’’.

4 (B) APPLICABILITY.—The amendment

5 made by this paragraph applies to a bid solici6 tation issued on or after October 1, 2004.

7 (7) CENT-FOR-CENT ADJUSTMENTS.—

8 (A) IN GENERAL.—Section 17(h)(8)(A) of

9 the Child Nutrition Act of 1966 (42 U.S.C.

10 1786(h)(8)(A)) (as amended by paragraph

11 (6)(A)) is amended by adding at the end the

12 following:

13 ‘‘(viii) CENT-FOR-CENT ADJUST14 MENTS.—A bid solicitation for infant for15 mula under the program shall require the

16 manufacturer to adjust for price changes

17 subsequent to the opening of the bidding

18 process in a manner that requires—

19 ‘‘(I) a cent-for-cent increase in

20 the rebate amounts if there is an in21 crease in the lowest national wholesale

22 price for a full truckload of the par23 ticular infant formula; and

24 ‘‘(II) a cent-for-cent decrease in

25 the rebate amounts if there is a de-
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1 crease in the lowest national wholesale

2 price for a full truckload of the par3 ticular infant formula.’’.

4 (B) CONFORMING AMENDMENT.—Section

5 17(h)(8)(A)(ii) of the Child Nutrition Act of

6 1966 (42 U.S.C. 1786(h)(8)(A)(ii)) is amended

7 by striking ‘‘rise’’ and inserting ‘‘change’’.

8 (C) APPLICABILITY.—The amendments

9 made by this paragraph apply to a bid solicita10 tion issued on or after October 1, 2004.

11 (8) LIST OF INFANT FORMULA WHOLESALERS,

12 DISTRIBUTORS, RETAILERS, AND MANUFACTUR13 ERS.—Section 17(h)(8)(A) of the Child Nutrition

14 Act of 1966 (42 U.S.C. 1786(h)(8)(A)) (as amended

15 by paragraph (7)(A)) is amended by adding at the

16 end the following:

17 ‘‘(ix) LIST OF INFANT FORMULA

18 WHOLESALERS, DISTRIBUTORS, RETAIL19 ERS, AND MANUFACTURERS.—The State

20 agency shall maintain a list of—

21 ‘‘(I) infant formula wholesalers,

22 distributors, and retailers licensed in

23 the State in accordance with State

24 law (including regulations); and
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1 ‘‘(II) infant formula manufactur2 ers registered with the Food and

3 Drug Administration that provide in4 fant formula.

5 ‘‘(x) PURCHASE REQUIREMENT.—A

6 vendor authorized to participate in the pro7 gram under this section shall only pur8 chase infant formula from the list de9 scribed in clause (ix).’’.

10 (9) FUNDS FOR INFRASTRUCTURE, MANAGE11 MENT INFORMATION SYSTEMS, AND SPECIAL NUTRI12 TION EDUCATION.—Section 17(h) of the Child Nu13 trition Act of 1966 (42 U.S.C. 1786(h)) is amended

14 by striking paragraph (10) and inserting the fol15 lowing:

16 ‘‘(10) FUNDS FOR INFRASTRUCTURE, MANAGE17 MENT INFORMATION SYSTEMS, AND SPECIAL NUTRI18 TION EDUCATION.—

19 ‘‘(A) IN GENERAL.—For each of fiscal

20 years 2006 through 2009, the Secretary shall

21 use for the purposes specified in subparagraph

22 (B), $64,000,000 or the amount of nutrition

23 services and administration funds and supple24 mental food funds for the prior fiscal year that

25 have not been obligated, whichever is less.
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1 ‘‘(B) PURPOSES.—Of the amount made

2 available under subparagraph (A) for a fiscal

3 year, not more than—

4 ‘‘(i) $14,000,000 shall be used for—

5 ‘‘(I) infrastructure for the pro6 gram under this section;

7 ‘‘(II) special projects to promote

8 breastfeeding, including projects to

9 assess the effectiveness of particular

10 breastfeeding promotion strategies;

11 and

12 ‘‘(III) special State projects of

13 regional or national significance to

14 improve the services of the program;

15 ‘‘(ii) $30,000,000 shall be used to es16 tablish, improve, or administer manage17 ment information systems for the program,

18 including changes necessary to meet new

19 legislative or regulatory requirements of

20 the program; and

21 ‘‘(iii) $20,000,000 shall be used for

22 special nutrition education such as breast

23 feeding peer counselors and other related

24 activities.
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1 ‘‘(C) PROPORTIONAL DISTRIBUTION.—In a

2 case in which less than $64,000,000 is available

3 to carry out this paragraph, the Secretary shall

4 make a proportional distribution of funds allo5 cated under subparagraph (B).’’.

6 (10) VENDOR COST CONTAINMENT.—

7 (A) Section 17(h) of the Child Nutrition

8 Act of 1966 (42 U.S.C. 1786(h)) is amended by

9 striking paragraph (11) and inserting the fol10 lowing:

11 ‘‘(11) VENDOR COST CONTAINMENT.—

12 ‘‘(A) PEER GROUPS.—

13 ‘‘(i) IN GENERAL.—The State agency

14 shall—

15 ‘‘(I) establish a vendor peer

16 group system;

17 ‘‘(II) in accordance with subpara18 graphs (B) and (C), establish com19 petitive price criteria and allowable re20 imbursement levels for each vendor

21 peer group; and

22 ‘‘(III) if the State agency elects

23 to authorize any types of vendors de24 scribed in subparagraph (D)(ii)(I)—
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1 ‘‘(aa) distinguish between

2 vendors described in subpara3 graph (D)(ii)(I) and other ven4 dors by establishing—

5 ‘‘(AA) separate peer

6 groups for vendors described

7 in subparagraph

8 (D)(ii)(I);or

9 ‘‘(BB) distinct competi10 tive price criteria and allow11 able reimbursement levels

12 for vendors described in sub13 paragraph (D)(ii)(I) within

14 a peer group that contains

15 both vendors described in

16 subparagraph (D)(ii)(I) and

17 other vendors; and

18 ‘‘(bb) establish competitive

19 price criteria and allowable reim20 bursement levels that comply

21 with subparagraphs (B) and (C),

22 respectively, and that do not re23 sult in higher food costs if pro24 gram participants redeem supple25 mental food vouchers at vendors
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1 described in subparagraph

2 (D)(ii)(I) rather than at vendors

3 other than vendors described in

4 subparagraph (D)(ii)(I).

5 Nothing in this paragraph shall be construed to

6 compel a State agency to achieve lower food costs if

7 program participants redeem supplemental food

8 vouchers at vendors described in subparagraph

9 (D)(ii)(I) rather than at vendors other than vendors

10 described in subparagraph (D)(ii)(I).

11 ‘‘(ii) EXEMPTIONS.—The Secretary

12 may exempt from the requirements of

13 clause (i)—

14 ‘‘(I) a State agency that elects

15 not to authorize any types of vendors

16 described in subparagraph (D)(ii)(I)

17 and that demonstrates to the Sec18 retary that—

19 ‘‘(aa) compliance with clause

20 (i) would be inconsistent with ef21 ficient and effective operation of

22 the program administered by the

23 State under this section; or

24 ‘‘(bb) an alternative cost25 containment system would be as
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1 effective as a vendor peer group

2 system; or

3 ‘‘(II) a State agency—

4 ‘‘(aa) in which the sale of

5 supplemental foods that are ob6 tained with food instruments

7 from vendors described in sub8 paragraph (D)(ii)(I) constituted

9 less than 5 percent of total sales

10 of supplemental foods that were

11 obtained with food instruments in

12 the State in the year preceding a

13 year in which the exemption is

14 effective; and

15 ‘‘(bb) that demonstrates to

16 the Secretary that an alternative

17 cost-containment system would

18 be as effective as the vendor peer

19 group system and would not re20 sult in higher food costs if pro21 gram participants redeem supple22 mental food vouchers at vendors

23 described in subparagraph

24 (D)(ii)(I) rather than at vendors
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1 other than vendors described in

2 subparagraph (D)(ii)(I).

3 ‘‘(B) COMPETITIVE PRICING.—

4 ‘‘(i) IN GENERAL.—The State agency

5 shall establish competitive price criteria for

6 each peer group for the selection of ven7 dors for participation in the program

8 that—

9 ‘‘(I) ensure that the retail prices

10 charged by vendor applicants for the

11 program are competitive with the

12 prices charged by other vendors; and

13 ‘‘(II) consider—

14 ‘‘(aa) the shelf prices of the

15 vendor for all buyers; or

16 ‘‘(bb) the prices that the

17 vendor bid for supplemental

18 foods, which shall not exceed the

19 shelf prices of the vendor for all

20 buyers.

21 ‘‘(ii) PARTICIPANT ACCESS.—In estab22 lishing competitive price criteria, the State

23 agency shall consider participant access by

24 geographic area.
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1 ‘‘(iii) SUBSEQUENT PRICE IN2 CREASES.—The State agency shall estab3 lish procedures to ensure that a retail store

4 selected for participation in the program

5 does not, subsequent to selection, increase

6 prices to levels that would make the store

7 ineligible for selection to participate in the

8 program.

9 ‘‘(C) ALLOWABLE REIMBURSEMENT LEV10 ELS.—

11 ‘‘(i) IN GENERAL.—The State agency

12 shall establish allowable reimbursement

13 levels for supplemental foods for each ven14 dor peer group that ensure—

15 ‘‘(I) that payments to vendors in

16 the vendor peer group reflect competi17 tive retail prices; and

18 ‘‘(II) that the State agency does

19 not reimburse a vendor for supple20 mental foods at a level that would

21 make the vendor ineligible for author22 ization under the criteria established

23 under subparagraph (B).

24 ‘‘(ii) PRICE FLUCTUATIONS.—The al25 lowable reimbursement levels may include
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1 a factor to reflect fluctuations in wholesale

2 prices.

3 ‘‘(iii) PARTICIPANT ACCESS.—In es4 tablishing allowable reimbursement levels,

5 the State agency shall consider participant

6 access in a geographic area.

7 ‘‘(D) EXEMPTIONS.—The State agency

8 may exempt from competitive price criteria and

9 allowable reimbursement levels established

10 under this paragraph—

11 ‘‘(i) pharmacy vendors that supply

12 only exempt infant formula or medical

13 foods that are eligible under the program;

14 and

15 ‘‘(ii) vendors—

16 ‘‘(I)(aa) for which more than 50

17 percent of the annual revenue of the

18 vendor from the sale of food items

19 consists of revenue from the sale of

20 supplemental foods that are obtained

21 with food instruments; or

22 ‘‘(bb) who are new applicants

23 likely to meet the criteria of item (aa)

24 under criteria approved by the Sec25 retary; and
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1 ‘‘(II) that are nonprofit.

2 ‘‘(E) COST CONTAINMENT.—If a State

3 agency elects to authorize any types of vendors

4 described in subparagraph (D)(ii)(I), the State

5 agency shall demonstrate to the Secretary, and

6 the Secretary shall certify, that the competitive

7 price criteria and allowable reimbursement lev8 els established under this paragraph for vendors

9 described in subparagraph (D)(ii)(I) do not re10 sult in average payments per voucher to ven11 dors described in subparagraph (D)(ii)(I) that

12 are higher than average payments per voucher

13 to comparable vendors other than vendors de14 scribed in subparagraph (D)(ii)(I).

15 ‘‘(F) LIMITATION ON PRIVATE RIGHTS OF

16 ACTION.—Nothing in this paragraph may be

17 construed as creating a private right of action.

18 ‘‘(G) IMPLEMENTATION.—A State agency

19 shall comply with this paragraph not later than

20 18 months after the date of enactment of this

21 paragraph.’’.

22 (B) CONFORMING AMENDMENT.—Section

23 17(f)(1)(C)(i) of the Child Nutrition Act of

24 1966 (42 U.S.C. 1786(f)(1)(C)(i)) is amended

25 by inserting before the semicolon the following:
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1 ‘‘, including a description of the State agency’s

2 vendor peer group system, competitive price cri3 teria, and allowable reimbursement levels that

4 demonstrate that the State is in compliance

5 with the cost-containment provisions in sub6 section (h)(11).’’.

7 (11) IMPOSITION OF COSTS ON RETAIL

8 STORES.—Section 17(h) of the Child Nutrition Act

9 of 1966 (42 U.S.C. 1786(h)) is amended by striking

10 paragraph (12) and inserting the following:

11 ‘‘(12) IMPOSITION OF COSTS ON RETAIL

12 STORES.—The Secretary may not impose, or allow a

13 State agency to impose, the costs of any equipment,

14 system, or processing required for electronic benefit

15 transfers on any retail store authorized to transact

16 food instruments, as a condition for authorization or

17 participation in the program.’’.

18 (12) UNIVERSAL PRODUCT CODES DATABASE.—

19 Section 17(h) of the Child Nutrition Act of 1966 (42

20 U.S.C. 1786(h)) (as amended by paragraph (11)) is

21 amended by adding at the end the following:

22 ‘‘(13) UNIVERSAL PRODUCT CODES DATA23 BASE.—The Secretary shall—
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1 ‘‘(A) establish a national universal product

2 code database for use by all State agencies in

3 carrying out the program; and

4 ‘‘(B) make available from appropriated

5 funds such sums as are required for hosting,

6 hardware and software configuration, and sup7 port of the database.’’.

8 (13) INCENTIVE ITEMS.—Section 17(h) of the

9 Child Nutrition Act of 1966 (42 U.S.C. 1786(h)) (as

10 amended by paragraph (12)) is amended by adding

11 at the end the following:

12 ‘‘(14) INCENTIVE ITEMS.—A State agency shall

13 not authorize or make payments to a vendor de14 scribed in paragraph (11)(D)(ii)(I) that provides in15 centive items or other free merchandise, except food

16 or merchandise of nominal value (as determined by

17 the Secretary), to program participants unless the

18 vendor provides to the State agency proof that the

19 vendor obtained the incentive items or merchandise

20 at no cost.’’.

21 (f) SPEND FORWARD AUTHORITY.—Section

22 17(i)(3)(A)(ii)(I) of the Child Nutrition Act of 1966 (42

23 U.S.C. 1786(i)(3)(A)(ii)(I)) is amended by striking ‘‘1

24 percent’’ and inserting ‘‘3 percent’’.
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1 (g) MIGRANT AND COMMUNITY HEALTH CENTERS

2 INITIATIVE.—Section 17(j) of the Child Nutrition Act of

3 1966 (42 U.S.C. 1786(j)) is amended—

4 (1) by striking paragraph (4); and

5 (2) by redesignating paragraph (5) as para6 graph (4).

7 (h) FARMERS’ MARKET NUTRITION PROGRAM.—

8 (1) ROADSIDE STANDS.—Section 17(m)(1) of

9 the Child Nutrition Act of 1966 (42 U.S.C.

10 1786(m)(1)) is amended by inserting ‘‘and (at the

11 option of a State) roadside stands’’ after ‘‘farmers’

12 markets’’.

13 (2) MATCHING FUNDS.—Section 17(m)(3) of

14 the Child Nutrition Act of 1966 (42 U.S.C.

15 1786(m)(3)) is amended by striking ‘‘total’’ both

16 places it appears and inserting ‘‘administrative’’.

17 (3) BENEFIT VALUE.—Section 17(m)(5)(C)(ii)

18 of the Child Nutrition Act of 1966 (42 U.S.C.

19 1786(m)(5)(C)(ii)) is amended by striking ‘‘$20’’

20 and inserting ‘‘$30’’.

21 (4) REAUTHORIZATION.—Section 17(m)(9)(A)

22 of the Child Nutrition Act of 1966 (42 U.S.C.

23 1786(m)(9)(A)) is amended by striking clause (i)

24 and inserting the following:
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1 ‘‘(i) AUTHORIZATION OF APPROPRIA2 TIONS.—There are authorized to be appro3 priated to carry out this subsection such

4 sums as are necessary for each of fiscal

5 years 2004 through 2009.’’.

6 (i) DEMONSTRATION PROJECT RELATING TO USE OF

7 WIC PROGRAM FOR IDENTIFICATION AND ENROLLMENT

8 OF CHILDREN IN CERTAIN HEALTH PROGRAMS.—

9 (1) IN GENERAL.—Section 17 of the Child Nu10 trition Act of 1966 (42 U.S.C. 1786) is amended by

11 striking subsection (r).

12 (2) CONFORMING AMENDMENT.—Section 12 of

13 the Richard B. Russell National School Lunch Act

14 (42 U.S.C. 1760) is amended by striking subsection

15 (p).

16 SEC. 204. LOCAL WELLNESS POLICY.

17 (a) IN GENERAL.—Not later than the first day of the

18 school year beginning after June 30, 2006, each local edu19 cational agency participating in a program authorized by

20 the Richard B. Russell National School Lunch Act (42

21 U.S.C. 1751 et seq.) or the Child Nutrition Act of 1966

22 (42 U.S.C. 1771 et seq.) shall establish a local school

23 wellness policy for schools under the local educational

24 agency that, at a minimum—
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1 (1) includes goals for nutrition education, phys2 ical activity, and other school-based activities that

3 are designed to promote student wellness in a man4 ner that the local educational agency determines is

5 appropriate;

6 (2) includes nutrition guidelines selected by the

7 local educational agency for all foods available on

8 each school campus under the local educational

9 agency during the school day with the objectives of

10 promoting student health and reducing childhood

11 obesity;

12 (3) provides an assurance that guidelines for re13 imbursable school meals shall not be less restrictive

14 than regulations and guidance issued by the Sec15 retary of Agriculture pursuant to subsections (a)

16 and (b) of section 10 of the Child Nutrition Act (42

17 U.S.C. 1779) and sections 9(f)(1) and 17(a) of the

18 Richard B. Russell National School Lunch Act (42

19 U.S.C. 1758(f)(1), 1766(a)), as those regulations

20 and guidance apply to schools;

21 (4) establishes a plan for measuring implemen22 tation of the local wellness policy, including designa23 tion of 1 or more persons within the local edu24 cational agency or at each school, as appropriate,
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1 charged with operational responsibility for ensuring

2 that the school meets the local wellness policy; and

3 (5) involves parents, students, representatives

4 of the school food authority, the school board, school

5 administrators, and the public in the development of

6 the school wellness policy.

7 (b) TECHNICAL ASSISTANCE AND BEST PRAC8 TICES.—

9 (1) IN GENERAL.—The Secretary, in coordina10 tion with the Secretary of Education and in con11 sultation with the Secretary of Health and Human

12 Services, acting through the Centers for Disease

13 Control and Prevention, shall make available to local

14 educational agencies, school food authorities, and

15 State educational agencies, on request, information

16 and technical assistance for use in—

17 (A) establishing healthy school nutrition

18 environments;

19 (B) reducing childhood obesity; and

20 (C) preventing diet-related chronic dis21 eases.

22 (2) CONTENT.—Technical assistance provided

23 by the Secretary under this subsection shall—

24 (A) include relevant and applicable exam25 ples of schools and local educational agencies
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1 that have taken steps to offer healthy options

2 for foods sold or served in schools;

3 (B) include such other technical assistance

4 as is required to carry out the goals of pro5 moting sound nutrition and establishing healthy

6 school nutrition environments that are con7 sistent with this section;

8 (C) be provided in such a manner as to be

9 consistent with the specific needs and require10 ments of local educational agencies; and

11 (D) be for guidance purposes only and not

12 be construed as binding or as a mandate to

13 schools, local educational agencies, school food

14 authorities, or State educational agencies.

15 (3) FUNDING.—

16 (A) IN GENERAL.—On July 1, 2006, out

17 of any funds in the Treasury not otherwise ap18 propriated, the Secretary of the Treasury shall

19 transfer to the Secretary of Agriculture to carry

20 out this subsection $4,000,000, to remain avail21 able until September 30, 2009.

22 (B) RECEIPT AND ACCEPTANCE.—The

23 Secretary shall be entitled to receive, shall ac24 cept, and shall use to carry out this subsection
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1 the funds transferred under subparagraph (A),

2 without further appropriation.

3 SEC. 205. TEAM NUTRITION NETWORK.

4 (a) TEAM NUTRITION NETWORK.—Section 19 of the

5 Child Nutrition Act of 1966 (42 U.S.C. 1788) is amended

6 to read as follows:

7 ‘‘SEC. 19. TEAM NUTRITION NETWORK.

8 ‘‘(a) PURPOSES.—The purposes of the team nutrition

9 network are—

10 ‘‘(1) to establish State systems to promote the

11 nutritional health of school children of the United

12 States through nutrition education and the use of

13 team nutrition messages and material developed by

14 the Secretary, and to encourage regular physical ac15 tivity and other activities that support healthy life16 styles for children, including those based on the

17 most recent Dietary Guidelines for Americans pub18 lished under section 301 of the National Nutrition

19 Monitoring and Related Research Act of 1990 (7

20 U.S.C. 5341);

21 ‘‘(2) to provide assistance to States for the de22 velopment of comprehensive and integrated nutrition

23 education and active living programs in schools and

24 facilities that participate in child nutrition programs;
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1 ‘‘(3) to provide training and technical assist2 ance and disseminate team nutrition messages to

3 States, school and community nutrition programs,

4 and child nutrition food service professionals;

5 ‘‘(4) to coordinate and collaborate with other

6 nutrition education and active living programs that

7 share similar goals and purposes; and

8 ‘‘(5) to identify and share innovative programs

9 with demonstrated effectiveness in helping children

10 to maintain a healthy weight by enhancing student

11 understanding of healthful eating patterns and the

12 importance of regular physical activity.

13 ‘‘(b) DEFINITION OF TEAM NUTRITION NETWORK.—

14 In this section, the term ‘team nutrition network’ means

15 a statewide multidisciplinary program for children to pro16 mote healthy eating and physical activity based on sci17 entifically valid information and sound educational, social,

18 and marketing principles.

19 ‘‘(c) GRANTS.—

20 ‘‘(1) IN GENERAL.—Subject to the availability

21 of funds for use in carrying out this section, in addi22 tion to any other funds made available to the Sec23 retary for team nutrition purposes, the Secretary, in

24 consultation with the Secretary of Education, may

25 make grants to State agencies for each fiscal year,
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1 in accordance with this section, to establish team

2 nutrition networks to promote nutrition education

3 through—

4 ‘‘(A) the use of team nutrition network

5 messages and other scientifically based informa6 tion; and

7 ‘‘(B) the promotion of active lifestyles.

8 ‘‘(2) FORM.—A portion of the grants provided

9 under this subsection may be in the form of competi10 tive grants.

11 ‘‘(3) FUNDS FROM NONGOVERNMENTAL

12 SOURCES.—In carrying out this subsection, the Sec13 retary may accept cash contributions from non14 governmental organizations made expressly to fur15 ther the purposes of this section, to be managed by

16 the Food and Nutrition Service, for use by the Sec17 retary and the States in carrying out this section.

18 ‘‘(d) ALLOCATION.—Subject to the availability of

19 funds for use in carrying out this section, the total amount

20 of funds made available for a fiscal year for grants under

21 this section shall equal not more than the sum of—

‘‘(1) the product obtained by multiplying 1 22 ⁄2

23 cent by the number of lunches reimbursed through

24 food service programs under the Richard B. Russell

25 National School Lunch Act (42 U.S.C. 1751 et seq.)
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1 during the second preceding fiscal year in schools,

2 institutions, and service institutions that participate

3 in the food service programs; and

4 ‘‘(2) the total value of funds received by the

5 Secretary in support of this section from nongovern6 mental sources.

7 ‘‘(e) REQUIREMENTS FOR STATE PARTICIPATION.—

8 To be eligible to receive a grant under this section, a State

9 agency shall submit to the Secretary a plan that—

10 ‘‘(1) is subject to approval by the Secretary;

11 and

12 ‘‘(2) is submitted at such time and in such

13 manner, and that contains such information, as the

14 Secretary may require, including—

15 ‘‘(A) a description of the goals and pro16 posed State plan for addressing the health and

17 other consequences of children who are at risk

18 of becoming overweight or obese;

19 ‘‘(B) an analysis of the means by which

20 the State agency will use and disseminate the

21 team nutrition messages and material developed

22 by the Secretary;

23 ‘‘(C) an explanation of the ways in which

24 the State agency will use the funds from the

25 grant to work toward the goals required under
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1 subparagraph (A), and to promote healthy eat2 ing and physical activity and fitness in schools

3 throughout the State;

4 ‘‘(D) a description of the ways in which

5 the State team nutrition network messages and

6 activities will be coordinated at the State level

7 with other health promotion and education ac8 tivities;

9 ‘‘(E) a description of the consultative proc10 ess that the State agency employed in the devel11 opment of the model nutrition and physical ac12 tivity programs, including consultations with in13 dividuals and organizations with expertise in

14 promoting public health, nutrition, or physical

15 activity;

16 ‘‘(F) a description of how the State agency

17 will evaluate the effectiveness of each program

18 developed by the State agency;

19 ‘‘(G) an annual summary of the team nu20 trition network activities;

21 ‘‘(H) a description of the ways in which

22 the total school environment will support

23 healthy eating and physical activity; and

24 ‘‘(I) a description of how all communica25 tions to parents and legal guardians of students
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1 who are members of a household receiving or

2 applying for assistance under the program shall

3 be in an understandable and uniform format

4 and, to the maximum extent practicable, in a

5 language that parents and legal guardians can

6 understand.

7 ‘‘(f) STATE COORDINATOR.—Each State that receives

8 a grant under this section shall appoint a team nutrition

9 network coordinator who shall—

10 ‘‘(1) administer and coordinate the team nutri11 tion network within and across schools, school food

12 authorities, and other child nutrition program pro13 viders in the State; and

14 ‘‘(2) coordinate activities of the Secretary, act15 ing through the Food and Nutrition Service, and

16 State agencies responsible for other children’s

17 health, education, and wellness programs to imple18 ment a comprehensive, coordinated team nutrition

19 network program.

20 ‘‘(g) AUTHORIZED ACTIVITIES.—A State agency that

21 receives a grant under this section may use funds from

22 the grant—

23 ‘‘(1)(A) to collect, analyze, and disseminate

24 data regarding the extent to which children and

25 youths in the State are overweight, physically inac-
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1 tive, or otherwise suffering from nutrition-related de2 ficiencies or disease conditions; and

3 ‘‘(B) to identify the programs and services

4 available to meet those needs;

5 ‘‘(2) to implement model elementary and sec6 ondary education curricula using team nutrition net7 work messages and material developed by the Sec8 retary to create a comprehensive, coordinated nutri9 tion and physical fitness awareness and obesity pre10 vention program;

11 ‘‘(3) to implement pilot projects in schools to

12 promote physical activity and to enhance the nutri13 tional status of students;

14 ‘‘(4) to improve access to local foods through

15 farm-to-cafeteria activities that may include the ac16 quisition of food and the provision of training and

17 education;

18 ‘‘(5) to implement State guidelines in health

19 (including nutrition education and physical edu20 cation guidelines) and to emphasize regular physical

21 activity during school hours;

22 ‘‘(6) to establish healthy eating and lifestyle

23 policies in schools;
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1 ‘‘(7) to provide training and technical assist2 ance to teachers and school food service profes3 sionals consistent with the purposes of this section;

4 ‘‘(8) to collaborate with public and private orga5 nizations, including community-based organizations,

6 State medical associations, and public health groups,

7 to develop and implement nutrition and physical

8 education programs targeting lower income children,

9 ethnic minorities, and youth at a greater risk for

10 obesity.

11 ‘‘(h) LOCAL NUTRITION AND PHYSICAL ACTIVITY

12 GRANTS.—

13 ‘‘(1) IN GENERAL.—Subject to the availability

14 of funds to carry out this subsection, the Secretary,

15 in consultation with the Secretary of Education,

16 shall provide assistance to selected local educational

17 agencies to create healthy school nutrition environ18 ments, promote healthy eating habits, and increase

19 physical activity, consistent with the Dietary Guide20 lines for Americans published under section 301 of

21 the National Nutrition Monitoring and Related Re22 search Act of 1990 (7 U.S.C. 5341), among elemen23 tary and secondary education students.
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1 ‘‘(2) SELECTION OF SCHOOLS.—In selecting

2 local educational agencies for grants under this sub3 section, the Secretary shall—

4 ‘‘(A) provide for the equitable distribution

5 of grants among—

6 ‘‘(i) urban, suburban, and rural

7 schools; and

8 ‘‘(ii) schools with varying family in9 come levels;

10 ‘‘(B) consider factors that affect need, in11 cluding local educational agencies with signifi12 cant minority or low-income student popu13 lations; and

14 ‘‘(C) establish a process that allows the

15 Secretary to conduct an evaluation of how

16 funds were used.

17 ‘‘(3) REQUIREMENT FOR PARTICIPATION.—To

18 be eligible to receive assistance under this sub19 section, a local educational agency shall, in consulta20 tion with individuals who possess education or expe21 rience appropriate for representing the general field

22 of public health, including nutrition and fitness pro23 fessionals, submit to the Secretary an application

24 that shall include—
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1 ‘‘(A) a description of the need of the local

2 educational agency for a nutrition and physical

3 activity program, including an assessment of

4 the nutritional environment of the school;

5 ‘‘(B) a description of how the proposed

6 project will improve health and nutrition

7 through education and increased access to phys8 ical activity;

9 ‘‘(C) a description of how the proposed

10 project will be aligned with the local wellness

11 policy required under section 204 of the Child

12 Nutrition and WIC Reauthorization Act of

13 2004;

14 ‘‘(D) a description of how funds under this

15 subsection will be coordinated with other pro16 grams under this Act, the Richard B. Russell

17 National School Lunch Act (42 U.S.C. 1751 et

18 seq.), or other Acts, as appropriate, to improve

19 student health and nutrition;

20 ‘‘(E) a statement of the measurable goals

21 of the local educational agency for nutrition and

22 physical education programs and promotion;

23 ‘‘(F) a description of the procedures the

24 agency will use to assess and publicly report

25 progress toward meeting those goals; and
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1 ‘‘(G) a description of how communications

2 to parents and guardians of participating stu3 dents regarding the activities under this sub4 section shall be in an understandable and uni5 form format, and, to the extent maximum prac6 ticable, in a language that parents can under7 stand.

8 ‘‘(4) DURATION.—Subject to the availability of

9 funds made available to carry out this subsection, a

10 local educational agency receiving assistance under

11 this subsection shall conduct the project during a pe12 riod of 3 successive school years beginning with the

13 initial fiscal year for which the local educational

14 agency receives funds.

15 ‘‘(5) AUTHORIZED ACTIVITIES.—An eligible ap16 plicant that receives assistance under this

17 subsection—

18 ‘‘(A) shall use funds provided to—

19 ‘‘(i) promote healthy eating through

20 the development and implementation of nu21 trition education programs and curricula

22 based on the Dietary Guidelines for Ameri23 cans published under section 301 of the

24 National Nutrition Monitoring and Related
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1 Research Act of 1990 (7 U.S.C. 5341);

2 and

3 ‘‘(ii) increase opportunities for phys4 ical activity through after school programs,

5 athletics, intramural activities, and recess;

6 and

7 ‘‘(B) may use funds provided to—

8 ‘‘(i) educate parents and students

9 about the relationship of a poor diet and

10 inactivity to obesity and other health prob11 lems;

12 ‘‘(ii) develop and implement physical

13 education programs that promote fitness

14 and lifelong activity;

15 ‘‘(iii) provide training and technical

16 assistance to food service professionals to

17 develop more appealing, nutritious menus

18 and recipes;

19 ‘‘(iv) incorporate nutrition education

20 into physical education, health education,

21 and after school programs, including ath22 letics;

23 ‘‘(v) involve parents, nutrition profes24 sionals, food service staff, educators, com25 munity leaders, and other interested par-
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1 ties in assessing the food options in the

2 school environment and developing and im3 plementing an action plan to promote a

4 balanced and healthy diet;

5 ‘‘(vi) provide nutrient content or nu6 trition information on meals served

7 through the school lunch program estab8 lished under the Richard B. Russell Na9 tional School Lunch Act (42 U.S.C. 1751

10 et seq.) and the school breakfast program

11 established by section 4 of this Act and

12 items sold a la carte during meal times;

13 ‘‘(vii) encourage the increased con14 sumption of a variety of healthy foods, in15 cluding fruits, vegetables, whole grains,

16 and low-fat dairy products, through new

17 initiatives to creatively market healthful

18 foods, such as salad bars and fruit bars;

19 ‘‘(viii) offer healthy food choices out20 side program meals, including by making

21 low-fat and nutrient dense options avail22 able in vending machines, school stores,

23 and other venues; and

24 ‘‘(ix) provide nutrition education, in25 cluding sports nutrition education, for
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1 teachers, coaches, food service staff, ath2 letic trainers, and school nurses.

3 ‘‘(6) REPORT.—Not later than 18 months after

4 completion of the projects and evaluations under this

5 subsection, the Secretary shall—

6 ‘‘(A) submit to the Committee on Edu7 cation and the Workforce of the House of Rep8 resentatives and the Committee on Health,

9 Education, Labor, and Pensions and the Com10 mittee on Agriculture, Nutrition and Forestry

11 of the Senate a report describing the results of

12 the evaluation under this subsection; and

13 ‘‘(B) make the report available to the pub14 lic, including through the Internet.

15 ‘‘(i) NUTRITION EDUCATION SUPPORT.—In carrying

16 out the purpose of this section to support nutrition edu17 cation, the Secretary may provide for technical assistance

18 and grants to improve the quality of school meals and ac19 cess to local foods in schools and institutions.

20 ‘‘(j) LIMITATION.—Material prepared under this sec21 tion regarding agricultural commodities, food, or bev22 erages, must be factual and without bias.

23 ‘‘(k) TEAM NUTRITION NETWORK INDEPENDENT

24 EVALUATION.—
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1 ‘‘(1) IN GENERAL.—Subject to the availability

2 of funds to carry out this subsection, the Secretary

3 shall offer to enter into an agreement with an inde4 pendent, nonpartisan, science-based research

5 organization—

6 ‘‘(A) to conduct a comprehensive inde7 pendent evaluation of the effectiveness of the

8 team nutrition initiative and the team nutrition

9 network under this section; and

10 ‘‘(B) to identify best practices by schools

11 in—

12 ‘‘(i) improving student understanding

13 of healthful eating patterns;

14 ‘‘(ii) engaging students in regular

15 physical activity and improving physical

16 fitness;

17 ‘‘(iii) reducing diabetes and obesity

18 rates in school children;

19 ‘‘(iv) improving student nutrition be20 haviors on the school campus, including by

21 increasing healthier meal choices by stu22 dents, as evidenced by greater inclusion of

23 fruits, vegetables, whole grains, and lean

24 dairy and protein in meal and snack selec25 tions;
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1 ‘‘(v) providing training and technical

2 assistance for food service professionals re3 sulting in the availability of healthy meals

4 that appeal to ethnic and cultural taste

5 preferences;

6 ‘‘(vi) linking meals programs to nutri7 tion education activities;

8 ‘‘(vii) successfully involving parents,

9 school administrators, the private sector,

10 public health agencies, nonprofit organiza11 tions, and other community partners;

12 ‘‘(viii) ensuring the adequacy of time

13 to eat during school meal periods; and

14 ‘‘(ix) successfully generating revenue

15 through the sale of food items, while pro16 viding healthy options to students through

17 vending, student stores, and other venues.

18 ‘‘(2) REPORT.—Not later than 3 years after

19 funds are made available to carry out this sub20 section, the Secretary shall submit to the Committee

21 on Education and the Workforce of the House of

22 Representatives, the Committee on Health, Edu23 cation, Labor, and Pensions and the Committee on

24 Agriculture, Nutrition, and Forestry of the Senate a
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1 report describing the findings of the independent

2 evaluation.

3 ‘‘(l) AUTHORIZATION OF APPROPRIATIONS.—There

4 are authorized to be appropriated such sums as are nec5 essary to carry out this section.’’.

6 (b) CONFORMING AMENDMENT.—Section

7 21(c)(2)(E) of the Richard B. Russell National School

8 Lunch Act (42 U.S.C. 1769b–1(c)(2)(E)) is amended by

9 striking ‘‘, including’’ and all that follows through ‘‘1966’’.

10 SEC. 206. REVIEW OF BEST PRACTICES IN THE BREAKFAST

11 PROGRAM.

12 (a) REVIEW.—

13 (1) IN GENERAL.—Subject to the availability of

14 funds under subsection (c), the Secretary of Agri15 culture shall enter into an agreement with a re16 search organization to collect and disseminate a re17 view of best practices to assist school food authori18 ties in addressing existing impediments at the State

19 and local level that hinder the growth of the school

20 breakfast program under section 4 of the Child Nu21 trition Act of 1966 (42 U.S.C. 1773).

22 (2) RECOMMENDATIONS.—The review shall de23 scribe model breakfast programs and offer rec24 ommendations for schools to overcome obstacles,

25 including—
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1 (A) the length of the school day;

2 (B) bus schedules; and

3 (C) potential increases in costs at the

4 State and local level.

5 (b) DISSEMINATION.—Not later than 1 year after the

6 date of enactment of this Act, the Secretary shall—

7 (1) make the review required under subsection

8 (a) available to school food authorities via the Inter9 net, including recommendations to improve partici10 pation in the school breakfast program; and

11 (2) transmit to Committee on Education and

12 the Workforce of the House of Representatives and

13 the Committee on Agriculture, Nutrition, and For14 estry of the Senate a copy of the review.

15 (c) AUTHORIZATION OF APPROPRIATIONS.—There

16 are authorized to be appropriated such sums as are nec17 essary to carry out this section.

18 TITLE III—COMMODITY

19 DISTRIBUTION PROGRAMS

20 SEC. 301. COMMODITY DISTRIBUTION PROGRAMS.

21 Section 15 of the Commodity Distribution Reform

22 Act and WIC Amendments of 1987 (7 U.S.C. 612c note;

23 Public Law 100–237) is amended by striking subsection

24 (e).
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1 TITLE IV—MISCELLANEOUS

2 SEC. 401. SENSE OF CONGRESS REGARDING EFFORTS TO

3 PREVENT AND REDUCE CHILDHOOD OBE4 SITY.

5 (a) FINDINGS.—Congress finds that—

6 (1) childhood obesity in the United States has

7 reached critical proportions;

8 (2) childhood obesity is associated with numer9 ous health risks and the incidence of chronic disease

10 later in life;

11 (3) the prevention of obesity among children

12 yields significant benefits in terms of preventing dis13 ease and the health care costs associated with such

14 diseases;

15 (4) further scientific and medical data on the

16 prevalence of childhood obesity is necessary in order

17 to inform efforts to fight childhood obesity; and

18 (5) the State of Arkansas—

19 (A) is the first State in the United States

20 to have a comprehensive statewide initiative to

21 combat and prevent childhood obesity by—

22 (i) annually measuring the body mass

23 index of public school children in the State

24 from kindergarten through 12th grade;

25 and
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1 (ii) providing that information to the

2 parents of each child with associated infor3 mation about the health implications of the

4 body mass index of the child;

5 (B) maintains, analyzes, and reports on

6 annual and longitudinal body mass index data

7 for the public school children in the State; and

8 (C) develops and implements appropriate

9 interventions at the community and school level

10 to address obesity, the risk of obesity, and the

11 condition of being overweight, including efforts

12 to encourage healthy eating habits and in13 creased physical activity.

14 (b) SENSE OF CONGRESS.—It is the sense of Con15 gress that—

16 (1) the State of Arkansas, in partnership with

17 the University of Arkansas for Medical Sciences and

18 the Arkansas Center for Health Improvement,

19 should be commended for its leadership in combating

20 childhood obesity; and

21 (2) the efforts of the State of Arkansas to im22 plement a statewide initiative to combat and prevent

23 childhood obesity are exemplary and could serve as

24 a model for States across the United States.
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1 TITLE V—IMPLEMENTATION

2 SEC. 501. GUIDANCE AND REGULATIONS.

3 (a) GUIDANCE.—As soon as practicable after the date

4 of enactment of this Act, the Secretary of Agriculture shall

5 issue guidance to implement the amendments made by sec6 tions 102, 103, 104, 105, 106, 107, 111, 116, 119(c),

7 119(g), 120, 126(b), 126(c), 201, 203(a)(3), 203(b),

8 203(c)(5), 203(e)(3), 203(e)(4), 203(e)(5), 203(e)(6),

9 203(e)(7), 203(e)(10), and 203(h)(1).

10 (b) INTERIM FINAL REGULATIONS.—The Secretary

11 may promulgate interim final regulations to implement the

12 amendments described in subsection (a).

13 (c) REGULATIONS.—Not later than 2 years after the

14 date of enactment of this Act, the Secretary shall promul15 gate final regulations to implement the amendments de16 scribed in subsection (a).

17 SEC. 502. EFFECTIVE DATES.

18 (a) IN GENERAL.—Except as otherwise provided in

19 this Act, this Act and the amendments made by this Act

20 take effect on the date of enactment of this Act.

21 (b) SPECIAL EFFECTIVE DATES.—

22 (1) JULY 1, 2004.—The amendments made by

23 sections 106, 107, 126(c), and 201 take effect on

24 July 1, 2004.
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1 (2) OCTOBER 1, 2004.—The amendments made

2 by sections 119(c), 119(g), 202(a), 203(a), 203(b),

3 203(c)(1), 203(c)(5), 203(e)(5), 203(e)(8),

4 203(e)(10), 203(e)(13), 203(f), 203(h)(1), and

5 203(h)(2) take effect on October 1, 2004.

6 (3) JANUARY 1, 2005.—The amendments made

7 by sections 116(f)(1) and 116(f)(3) take effect on

8 January 1, 2005.

9 (4) JULY 1, 2005.—The amendments made by

10 sections 102, 104, 105, 111, and 126(b) take effect

11 on July 1, 2005.

12 (5) OCTOBER 1, 2005.—The amendments made

13 by sections 116(d) and 203(e)(9) take effect on Oc14 tober 1, 2005.

Passed the Senate June 23, 2004.

Attest:

Secretary.
108TH CONGRESS

2D SESSION S. 2507

AN ACT

To amend the Richard B. Russell National School

other purposes.reauthorize child nutrition programs, and forerations and improve program management, toand nutrition assistance, to simplify program opto provide children with increased access to foodLunch Act and the Child Nutrition Act of 1966