School Food Modernization Act

To direct the Secretary of Agriculture to issue loan guarantees for purposes of financing improvements to school lunch facilities, training school food service personnel, and for other purposes. 1. Short title This Act may be cited as the School Food Modernization Act 2. Definitions In this Act: (1) Durable equipment The term durable equipment (2) Eligible entity The term eligible entity (A) a local educational agency operating a school lunch program; (B) a tribal organization; or (C) a consortium that includes a local educational agency described in subparagraph (A), a tribal organization, or both. (3) Infrastructure The term infrastructure (4) Local educational agency The term local educational agency 20 U.S.C. 7801 (5) School lunch program The term school lunch program 42 U.S.C. 1751 et seq. (6) Tribal organization The term tribal organization 25 U.S.C. 450b (7) Secretary The term Secretary 3. Loan guarantee for assistance to schools for infrastructure improvements and durable equipment necessary to provide healthy meals through school food programs (a) Authority To guarantee loans The Secretary of Agriculture shall issue a loan guarantee to an eligible entity for purposes of financing the construction, remodeling, or expansion of infrastructure or the purchase of durable equipment that the Secretary determines will assist such entity in providing healthy meals through the school food programs. (b) Competitive basis Subject to subsection (c), the Secretary shall select eligible entities to receive a loan guarantee under this section on a competitive basis. (c) Preferences In issuing a loan guarantee under this section, the Secretary shall give a preference to an eligible entity that, compared with other eligible entities seeking a loan guarantee under this section, the Secretary determines demonstrates substantial or disproportionate need for— (1) infrastructure improvement; or (2) durable equipment need or impairment. (d) Oversight The Secretary shall establish procedures to enable the Secretary to oversee the construction, remodeling, or expansion of infrastructure or the purchase of durable equipment for which a loan guarantee is issued under this section. (e) Guarantee amount A loan guarantee issued under this section may not guarantee more than 90 percent of the principal amount of the loan. (f) Use of Commodity Credit Corporation The Secretary shall use the funds, facilities, and authorities of the Commodity Credit Corporation to carry out this section. 4. Equipment grant program Section 7 of the Child Nutrition Act of 1966 ( 42 U.S.C. 1776 (1) by redesignating subsection (j) as subsection (k); and (2) by inserting after subsection (i), the following: (j) Equipment grants (1) In general Beginning fiscal year 2015 and subject to the availability of appropriations, the Secretary shall make grants, on a competitive basis, to eligible entities to assist such entities in purchasing the durable equipment and infrastructure needed to serve healthier meals and improve food safety. (2) Priority In awarding grants under this subsection, the Secretary shall give priority to eligible entities serving a high percentage of students eligible for free or reduced price under the Richard B. Russell National School Lunch Act. (3) Definitions For purposes of this subsection: (A) Durable equipment The term durable equipment (B) Eligible entity The term eligible entity (i) a local educational agency operating a school lunch program; (ii) a tribal organization; or (iii) a consortium that includes a local educational agency described in clause (i), a tribal organization, or both. (C) Infrastructure The term infrastructure . 5. Training and technical assistance for school food service personnel (a) In general The Secretary shall carry out a grant program under which the Secretary shall award grants, on a competitive basis, to provide support to eligible third-party training institutions described in subsection (b) to develop and administer training and technical assistance for school foodservice personnel to meet updated nutrition standards under section 4(b)(3) of the Richard B. Russell National School Lunch Act ( 42 U.S.C. 1753(b)(3) (b) Criteria for eligible third-Party institutions The Secretary shall establish specific criteria that eligible third-party training institutions shall meet to receive grants under this section, which shall include— (1) a demonstrated capacity to administer effective training and technical assistance programming to school foodservice personnel; (2) prior, successful experience in providing or engaging in training and technical assistance programming or applied research activities involving eligible entities, school food service administrators, or directors; (3) prior, successful experience in developing relevant educational training tools or course materials or curricula on topics addressing child and school nutrition or the updated nutrition standards under section 4(b)(3) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1753(b)(3)); and (4) the ability to deliver effective and cost-efficient training and technical assistance programming to school foodservice personnel at training sites that are located within a proximate geographic distance to schools, central kitchens, or other worksites. (c) Program assistance The Secretary shall assist the institutions receiving grants under this section in publicizing and disseminating training and other project materials and online tools wherever possible. (d) Federal Share (1) In general The Federal share of costs for training and technical assistance funded through a grant awarded under this section shall not exceed 90 percent of the total cost of such training and technical assistance. (2) Matching As a condition of receiving a grant under this section, the eligible third-party training institution shall provide matching support in the form of cash or in-kind contributions. (e) Oversight The Secretary shall establish procedures to enable the Secretary to— (1) oversee the administration and operation of training and technical assistance funded through grants awarded under this section; and (2) ensure that such training and assistance is operated consistent with the goals and requirements of this Act. 6. Report to Congress Not later than one year after funds are made available to carry out this Act, and annually thereafter, the Secretary shall submit to Congress a report on the Secretary’s progress in implementing the provisions of this Act. 7. Authorization of appropriations There are authorized to be appropriated such sums as may be necessary to carry out this Act for fiscal year 2014 and each succeeding fiscal year.

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