Access to Healthy Food for Young Children Act

To amend the Richard B. Russell National School Lunch Act to improve the child and adult care food program. 1. Short title This Act may be cited as the Access to Healthy Food for Young Children Act 2. Child and adult food care program (a) In general Section 17 of the Richard B. Russell National School Lunch Act ( 42 U.S.C. 1766 (1) in subsection (c)— (A) in paragraph (1), by striking the same as 10 cents more than (B) in paragraph (2), by striking the same as 10 cents more than (C) in paragraph (3)— (i) by striking 30 cents 94 cents (ii) by striking 2.75 cents 17 cents (D) by adding at the end the following: (7) Streamlining program paperwork in high poverty areas (A) Definitions In this paragraph: (i) Eligible child care center The term eligible child care center (ii) Nonpricing program The term nonpricing program (B) Election of special payments (i) In general An eligible child care center may elect to receive special payments under this paragraph in lieu of payments otherwise made available under this section based on applications for free and reduced price meals and supplements if— (I) subject to clause (ii), during the 4 consecutive fiscal years beginning after the date of the election, the eligible child care center elects to operate as a nonpricing program; (II) the eligible child care center pays, from sources other than funds made available to carry out the program under this section, the costs of serving the meals and supplements that are in excess of the value of assistance received under this Act; and (III) during the fiscal year in which the election under this clause is made, the eligible child care center had a percentage of enrolled children that meets or exceeds the threshold described in subparagraph (A)(i). (ii) Election to stop receiving payments An eligible child care center may elect to stop receiving special payments under this paragraph for the following fiscal year by notifying the State agency not later than June 30 of the current fiscal year of the intention to stop receiving the special payments. (C) First year of option (i) In general For each month of the first fiscal year of the 4-year period during which an eligible child care center elects to receive special payments under this paragraph, special payments at the rate for free meals shall be made under this subparagraph for all reimbursable meals served at the eligible child care center. (ii) Calculation Special payments under clause (i) shall be calculated using a blended per-meal rate based on a formula that multiplies national average payment rates by claiming percentages for free, reduced price, and paid meals. (D) Second, third, and fourth years of option (i) In general For each month of the second, third, and fourth fiscal years of the 4-year period during which an eligible child care center elects to receive special payments under this paragraph, special payments at the blended rate established in the first year of the option under subparagraph (C) shall be made under this subparagraph for all reimbursable meals served at the eligible child care center. (ii) Calculation Special payments under clause (i) shall be equal to the product obtained by multiplying— (I) the applicable blended per-meal rate; by (II) the number of meals and snacks served. ; (2) in subsection (f)— (A) in paragraph (2)— (i) by striking (2)(A) Subject to subparagraph (B) of this paragraph (2) Disbursements (A) In general Subject to subparagraph (B) ; (ii) by striking subparagraph (B) and inserting the following: (B) Limitation No reimbursement may be made to any institution under this paragraph, or to family or group day care home sponsoring organizations under paragraph (3), for more than— (i) 2 meals and 1 supplement per day per child; (ii) 1 meal and 2 supplements per day per child; or (iii) 3 meals and 1 supplement per day per child, for each child that is maintained in a child care setting for 8 or more hours per day. ; and (iii) in subparagraph (C), by adding at the end the following: (iii) Carryover funds The Secretary shall develop procedures under which not more than 10 percent of the amount reserved by sponsoring organizations under clause (i) for administrative expenses for a fiscal year may remain available for obligation or expenditure in the succeeding fiscal year. ; and (B) in paragraph (3)— (i) in subparagraph (A)— (I) in clause (ii)— (aa) in subclause (I), by striking 50 percent 40 percent (bb) in subclause (III)— (AA) by striking Except as provided in subclause (IV), (aa) In general Except as provided in item (bb) and subclause (IV), ; and (BB) by adding at the end the following: (bb) Additional reimbursement Effective July 1, 2016, the reimbursement factor for each meal and supplement under this subparagraph shall be increased by 10 cents per child served. ; and (II) in clause (iii)(I)(aa), by striking the reimbursement factors shall be supplements the reimbursement factors shall be $1.05 for meals other than breakfast, 37 cents for breakfasts, and 23 cents for supplements (ii) in subparagraph (B)— (I) in clause (i)— (aa) by redesignating subclauses (I) and (II) as items (aa) and (bb), respectively, and indenting appropriately; (bb) by striking (i) In general (i) Reimbursement amount (I) In general Subject to subclause (II), in addition ; and (cc) by adding at the end the following: (II) Additional reimbursement Effective July 1, 2016, the reimbursement factor for administrative expenses as calculated under subclause (I) shall be increased by $5.00 per month for each family or group day care home of the sponsoring organization. ; and (II) in clause (ii), by inserting before the period at the end , except that no negative adjustments shall be made (3) in subsection (n)— (A) by striking (n) There are hereby (n) Funding (1) In general There are ; and (B) by adding at the end the following: (2) Implementation funding (A) In general Subject to subparagraphs (B) and (C), the Secretary shall make funds available to State agencies administering the child and adult food care program for State and sponsoring organization activities relating to training, technical assistance, and oversight activities for the implementation of the revised child and adult care food program meal pattern pursuant to subsection (g)(2)(B) and activities to increase participation in the child and adult care food program. (B) Provision of funds The Secretary shall provide funds described in subparagraph (A) to State agencies administering the program under this section in a manner proportional to the administrative expense allocation of each State agency during the preceding fiscal year. (C) Distribution Subject to subparagraphs (A) and (B), each State agency administering the program under this section shall distribute not less than 1/2 (D) Funding (i) In general For each of the fiscal year during which the implementing regulations for the revised child and adult care food program meal pattern pursuant to subsection (g)(2)(B) become final regulations, and the subsequent fiscal year, the Secretary shall use $50,000,000 of funds made available under section 3 to make payments to States as described in subparagraph (A). (ii) Reservation In providing funds to States under clause (i), the Secretary may reserve not more than $3,000,000 per fiscal year to support Federal administrative activities to carry out this paragraph. (3) Revised meal pattern funding (A) In general On October 1, 2015, and October 1, 2016, out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary $10,000,000, to remain available until expended— (i) to provide training, technical assistance, and oversight for the implementation of the revised child and adult care food program meal pattern pursuant to subsection (g)(2)(B); (ii) to promote health and wellness through activities conducted pursuant to subsection (u); and (iii) to increase participation in the program under this section. . (b) Study on nutrition and wellness quality of child care settings Section 223(c)(1) of the Healthy, Hunger-Free Kids Act of 2010 ( Public Law 111–296 and October 1, 2016, 2010, (c) Reducing paperwork and improving program administration (1) Definition of program In this subsection, the term program 42 U.S.C. 1766 (2) Establishment The Secretary, in conjunction with States and participating institutions, shall continue to examine the feasibility of reducing unnecessary or duplicative paperwork resulting from regulations and recordkeeping requirements for State agencies, institutions, family and group day care homes, and sponsored centers participating in the program. (3) Duties At a minimum, the examination shall include— (A) review and evaluation of the recommendations, guidance, and regulatory priorities developed and issued to comply with section 336 of the Healthy, Hunger-Free Kids Act of 2010 ( 42 U.S.C. 1766 Public Law 111–296 (B) examination of additional paperwork and administrative requirements that have been established since January 1, 2016; and (C) examination of the additional paperwork and administrative burdens that could be reduced by the effective use of technology. (4) Additional duties The Secretary, in conjunction with States and institutions participating in the program, may also examine any aspect of administration of the program. (5) Report Not later than 4 years after the date of enactment of this Act, the Secretary shall submit to Congress a report that describes the actions that have been taken to carry out this section, including— (A) actions taken to address administrative and paperwork burdens identified; (B) additional steps that the Secretary is taking or plans to take to address any administrative and paperwork burdens identified under paragraph (3), including— (i) new or updated regulations, policy, guidance, or technical assistance; and (ii) a timeframe for the completion of those steps; and (C) recommendations to Congress for modifications to existing statutory authorities needed to address identified administrative and paperwork burdens.

Summary: Access to Healthy Food for Young Children Act This bill amends the Richard B. Russell National School Lunch Act to modify the food program for child and adult care institutions and family or group day care homes. The bill increases the payment rate for program meals relative to the national average payment rate for meals served in schools. However, an eligible child care center operating a free-of-charge program in a high-poverty area may elect to instead receive special payments calculated using a blended per-meal rate. Additionally, the bill: (1) increases the reimbursement factor for meals and supplements served by a family or group day care home; (2) raises the per-child limit on the number of meals and supplements for which such a home may receive reimbursement; and (3) reduces the percentage of area children who must come from low-income households in order for a day care home in that area to be excused from specified documentation requirements. With respect to administrative expenses, the bill increases the reimbursement factor for each day care home and prohibits negative adjustments to reimbursement levels. The Department of Agriculture (USDA) must develop procedures under which up a specified percentage of funds reserved by the sponsoring organization of a day care home for administrative expenses may remain available in the succeeding fiscal year. USDA must also: (1) provide state agencies with funding to implement the revised food program, as specified by the bill; and (2) complete a study on reducing paperwork and improving program administration.