H. R. 2642—121 
to in paragraph (1) using the provisions of law and regula-
tion applicable to such contracts, agreements, and ease-
ments as in existence on the day before the date of enact-
ment of the Agricultural Act of 2014. 
SEC. 2706. AGRICULTURAL WATER ENHANCEMENT PROGRAM. 
(a) REPEAL.—Except as provided in subsection (b), section 1240I 
of the Food Security Act of 1985 (16 U.S.C. 3839aa–9) is repealed. 
(b) TRANSITIONAL PROVISIONS.— 
(1) EFFECT ON EXISTING CONTRACTS AND AGREEMENTS.— 
The amendment made by this section shall not affect the 
validity or terms of any contract or agreement entered into 
by the Secretary of Agriculture under section 1240I of the 
Food Security Act of 1985 (16 U.S.C. 3839aa–9) before the 
date of enactment of the Agricultural Act of 2014, or any 
payments required to be made in connection with the contract 
or agreement. 
(2) FUNDING.— 
(A) USE OF PRIOR YEAR FUNDS.—Notwithstanding the 
repeal of section 1240I of the Food Security Act of 1985 
(16 U.S.C. 3839aa–9), any funds made available from the 
Commodity Credit Corporation to carry out the agricultural 
water enhancement program under that section for fiscal 
years 2009 through 2013 shall be made available to carry 
out contracts and agreements referred to in paragraph 
(1) that were entered into prior to the date of enactment 
of the Agricultural Act of 2014 (including the provision 
of technical assistance). 
(B) OTHER.—On exhaustion of funds made available 
under subparagraph (A), the Secretary may use funds made 
available to carry out the regional conservation partnership 
program under subtitle I of title XII of the Food Security 
Act of 1985, as added by section 2401, to continue to 
carry out contracts and agreements referred to in para-
graph (1) using the provisions of law and regulation 
applicable to such contracts and agreements as in existence 
on the day before the date of enactment of the Agricultural 
Act of 2014. 
SEC. 2707. WILDLIFE HABITAT INCENTIVE PROGRAM. 
(a) REPEAL.—Except as provided in subsection (b), section 
1240N of the Food Security Act of 1985 (16 U.S.C. 3839bb–1) 
is repealed. 
(b) TRANSITIONAL PROVISIONS.— 
(1) EFFECT ON EXISTING CONTRACTS AND AGREEMENTS.— 
The amendment made by this section shall not affect the 
validity or terms of any contract or agreement entered into 
by the Secretary of Agriculture under section 1240N of the 
Food Security Act of 1985 (16 U.S.C. 3839bb–1) before the 
date of enactment of the Agricultural Act of 2014, or any 
payments required to be made in connection with the contract 
or agreement. 
(2) FUNDING.— 
(A) USE OF PRIOR YEAR FUNDS.—Notwithstanding the 
repeal of section 1240N of the Food Security Act of 1985 
(16 U.S.C. 3839bb–1), any funds made available from the 
Commodity Credit Corporation to carry out the wildlife 
habitat incentive program under that section for fiscal
H. R. 2642—122 
years 2009 through 2013 shall be made available to carry 
out contracts or agreements referred to in paragraph (1) 
which were entered into prior to the date of enactment 
of the Agricultural Act of 2014 (including the provision 
of technical assistance). 
(B) OTHER.—On exhaustion of funds made available 
under subparagraph (A), the Secretary may use funds made 
available to carry out the environmental quality incentives 
program under chapter 4 of subtitle D of title XII of the 
Food Security Act of 1985 (16 U.S.C. 3839aa et seq.) to 
continue to carry out contracts or agreements referred to 
in paragraph (1) using the provisions of law and regulation 
applicable to such contracts or agreements as in existence 
on the day before the date of enactment of the Agricultural 
Act of 2014. 
SEC. 2708. GREAT LAKES BASIN PROGRAM. 
Section 1240P of the Food Security Act of 1985 (16 U.S.C. 
3839bb–3) is repealed. 
SEC. 2709. CHESAPEAKE BAY WATERSHED PROGRAM. 
(a) REPEAL.—Except as provided in subsection (b), section 
1240Q of the Food Security Act of 1985 (16 U.S.C. 3839bb–4) 
is repealed. 
(b) TRANSITIONAL PROVISIONS.— 
(1) EFFECT
ON
EXISTING
CONTRACTS, AGREEMENTS, AND 
EASEMENTS.—The amendment made by this section shall not 
affect the validity or terms of any contract, agreement, or 
easement entered into by the Secretary of Agriculture under 
section 1240Q of the Food Security Act of 1985 (16 U.S.C. 
3839bb–4) before the date of enactment of the Agricultural 
Act of 2014, or any payments required to be made in connection 
with the contract, agreement, or easement. 
(2) FUNDING.— 
(A) USE OF PRIOR YEAR FUNDS.—Notwithstanding the 
repeal of section 1240Q of the Food Security Act of 1985 
(16 U.S.C. 3839bb–4), any funds made available from the 
Commodity Credit Corporation to carry out the Chesapeake 
Bay watershed program under that section for fiscal years 
2009 through 2013 shall be made available to carry out 
contracts, agreements, and easements referred to in para-
graph (1) that were entered into prior to the date of enact-
ment of the Agricultural Act of 2014 (including the provi-
sion of technical assistance). 
(B) OTHER.—The Secretary may use funds made avail-
able to carry out the regional conservation partnership 
program under subtitle I of title XII of the Food Security 
Act of 1985, as added by section 2401, to continue to 
carry out contracts, agreements, and easements referred 
to in paragraph (1) using the provisions of law and regula-
tion applicable to such contracts, agreements, and ease-
ments as in existence on the day before the date of enact-
ment of the Agricultural Act of 2014. 
SEC. 2710. COOPERATIVE CONSERVATION PARTNERSHIP INITIATIVE. 
(a) REPEAL.—Except as provided in subsection (b), section 1243 
of the Food Security Act of 1985 (16 U.S.C. 3843) is repealed. 
(b) TRANSITIONAL PROVISIONS.—
H. R. 2642—123 
(1) EFFECT ON EXISTING CONTRACTS AND AGREEMENTS.— 
The amendment made by this section shall not affect the 
validity or terms of any contract or agreement entered into 
by the Secretary of Agriculture under section 1243 of the Food 
Security Act of 1985 (16 U.S.C. 3843) before the date of enact-
ment of the Agricultural Act of 2014, or any payments required 
to be made in connection with the contract or agreement. 
(2) FUNDING.— 
(A) USE OF PRIOR YEAR FUNDS.—Notwithstanding the 
repeal of section 1243 of the Food Security Act of 1985 
(16 U.S.C. 3843), any funds made available from the Com-
modity Credit Corporation to carry out the cooperative 
conservation partnership initiative under that section for 
fiscal years 2009 through 2013 shall be made available 
to carry out contracts and agreements referred to in para-
graph (1) that were entered into prior to the date of enact-
ment of the Agricultural Act of 2014 (including the provi-
sion of technical assistance). 
(B) OTHER.—On exhaustion of funds made available 
under subparagraph (A), the Secretary may use funds made 
available to carry out the regional conservation partnership 
program under subtitle I of title XII of the Food Security 
Act of 1985, as added by section 2401, to continue to 
carry out contracts and agreements referred to in para-
graph (1) using the provisions of law and regulation 
applicable to such contracts and agreements as in existence 
on the day before the date of enactment of the Agricultural 
Act of 2014. 
SEC. 2711. ENVIRONMENTAL EASEMENT PROGRAM. 
Chapter 3 of subtitle D of title XII of the Food Security Act 
of 1985 (16 U.S.C. 3839 et seq.) is repealed. 
SEC. 2712. TEMPORARY ADMINISTRATION OF CONSERVATION PRO-
GRAMS. 
(a) APPLICABILITY.—This section is applicable to activities 
under— 
(1) the wetlands reserve program, the farmland protection 
program, and the farm viability program being merged into 
the agricultural conservation easement program under the 
amendment made by section 2301; 
(2) the wildlife habitat incentive program being merged 
into the environmental quality incentives program under the 
amendments made by subtitle C; 
(3) the agricultural water enhancement program, the 
Chesapeake Bay watershed program, the cooperative conserva-
tion partnership initiative, and the Great Lakes basin program 
being merged into the regional conservation partnership pro-
gram under the amendment made by section 2401; and 
(4) the grassland reserve program being merged into the 
conservation reserve program under the amendments made 
by subtitle A and into the agricultural conservation easement 
program under the amendment made by section 2301. 
(b) INTERIM ADMINISTRATION.—Subject to subsection (d), with 
respect to the implementation of the agricultural conservation ease-
ment program under subtitle H of title XII of the Food Security 
Act of 1985, as added by section 2301, the amendments to the 
environmental quality incentives program made by subtitle C, the
H. R. 2642—124 
regional conservation partnership program under subtitle I of title 
XII of the Food Security Act of 1985, as added by section 2401, 
and the amendments to the conservation reserve program made 
by subtitle A, the Secretary shall use the regulations in existence 
as of the day before the date of enactment of this Act that are 
applicable to the wetlands reserve program, the grassland reserve 
program, the farmland protection program, the farm viability pro-
gram, the wildlife habitat incentive program, the agricultural water 
enhancement program, the Chesapeake Bay watershed program, 
the cooperative conservation partnership initiative, and the Great 
Lakes basin program repealed by this subtitle, to the extent that 
the terms and conditions of such regulations are consistent with— 
(1) the provisions of the agricultural conservation easement 
program and the regional conservation partnership program; 
and 
(2) the amendments to the environmental quality incentives 
program and the conservation reserve program made by this 
title. 
(c) FUNDING.—The Secretary may only use funds authorized 
in this title or in the amendments made by this title for the 
specific programs listed in subsection (b), including any restrictions 
on the use of those funds, for the purposes identified in paragraphs 
(1) and (2) of subsection (b). 
(d) TERMINATION OF AUTHORITY.—The authority of the Sec-
retary to carry out subsection (b) shall terminate on the date 
that is 270 days after the date of enactment of this Act. 
(e) PERMANENT ADMINISTRATION.—Effective beginning on the 
termination date described in subsection (d), the Secretary shall 
provide technical assistance, financial assistance, and easement 
enrollment in accordance with any final regulations that the Sec-
retary considers necessary to carry out this title and the amend-
ments made by this title. 
SEC. 2713. TECHNICAL AMENDMENTS. 
(a) DEFINITIONS.—Section 1201(a) of the Food Security Act of 
1985 (16 U.S.C. 3801(a)) is amended in the matter preceding para-
graph (1) by striking ‘‘E’’ and inserting ‘‘I’’. 
(b) PROGRAM INELIGIBILITY.—Section 1211(a) of the Food Secu-
rity Act of 1985 (16 U.S.C. 3811(a)) is amended by striking 
‘‘predominate’’ each place it appears and inserting ‘‘predominant’’. 
(c) SPECIALTY CROP PRODUCERS.—Section 1242(i) of the Food 
Security Act of 1985 (16 U.S.C. 3842(i)) is amended in the header 
by striking ‘‘SPECIALITY’’ and inserting ‘‘SPECIALTY’’. 
TITLE III—TRADE 
Subtitle A—Food for Peace Act 
SEC. 3001. GENERAL AUTHORITY. 
Section 201 of the Food for Peace Act (7 U.S.C. 1721) is 
amended— 
(1) in the matter preceding paragraph (1), by inserting 
‘‘(to be implemented by the Administrator)’’ after ‘‘under this 
title’’; and 
(2) by striking paragraph (7) and the second sentence and 
inserting the following new paragraph:
H. R. 2642—125 
‘‘(7) build resilience to mitigate and prevent food crises 
and reduce the future need for emergency aid.’’. 
SEC. 3002. SET-ASIDE FOR SUPPORT FOR ORGANIZATIONS THROUGH 
WHICH NONEMERGENCY ASSISTANCE IS PROVIDED. 
Section 202(e) of the Food for Peace Act (7 U.S.C. 1722(e)) 
is amended— 
(1) in paragraph (1)— 
(A) in the matter preceding subparagraph (A), by 
striking ‘‘13 percent’’ and inserting ‘‘20 percent’’; 
(B) in subparagraph (A), by striking ‘‘new’’ and 
inserting ‘‘and enhancing’’; 
(C) by striking subparagraph (B); 
(D) by redesignating subparagraph (C) as subpara-
graph (D); and 
(E) by inserting after subparagraph (A) the following 
new subparagraphs: 
‘‘(B) meeting specific administrative, management, per-
sonnel, transportation, storage, and distribution costs for 
carrying out programs in foreign countries under this title; 
‘‘(C) 
implementing 
income-generating, 
community 
development, health, nutrition, cooperative development, 
agricultural, and other developmental activities within 1 
or more recipient countries or within 1 or more countries 
in the same region; and’’; and 
(2) by adding at the end the following new paragraph: 
‘‘(4) INVESTMENT AUTHORITY.—An eligible organization that 
receives funds made available under paragraph (1) may invest 
the funds pending the eligible organization’s use of the funds. 
Any interest earned on such investment may be used for the 
purposes for which the assistance was provided to the eligible 
organization without further appropriation by Congress.’’. 
SEC. 3003. FOOD AID QUALITY. 
Section 202(h) of the Food for Peace Act (7 U.S.C. 1722(h)) 
is amended— 
(1) by striking paragraph (1) and inserting the following 
new paragraph: 
‘‘(1) IN GENERAL.—The Administrator shall use funds made 
available for fiscal year 2014 and subsequent fiscal years to 
carry out this title— 
‘‘(A) to assess the types and quality of agricultural 
commodities and products donated for food aid; 
‘‘(B) to adjust products and formulations, including 
potential introduction of new fortificants and products, as 
necessary to cost-effectively meet nutrient needs of target 
populations; 
‘‘(C) to test prototypes; 
‘‘(D) to adopt new specifications or improve existing 
specifications for micronutrient fortified food aid products, 
based on the latest developments in food and nutrition 
science, and in coordination with other international part-
ners; 
‘‘(E) to develop new program guidance to facilitate 
improved matching of products to purposes having nutri-
tional intent, in coordination with other international part-
ners;
H. R. 2642—126 
‘‘(F) to develop improved guidance for implementing 
partners on how to address nutritional deficiencies that 
emerge among recipients for whom food assistance is the 
sole source of diet in emergency programs that extend 
beyond 1 year, in coordination with other international 
partners; and 
‘‘(G) to evaluate, in appropriate settings and as nec-
essary, the performance and cost-effectiveness of new or 
modified specialized food products and program approaches 
designed to meet the nutritional needs of the most vulner-
able groups, such as pregnant and lactating mothers, and 
children under the age of 5.’’; and 
(2) in paragraph (3), by striking ‘‘fiscal years 2009 through 
2011’’ and inserting ‘‘fiscal years 2014 through 2018’’. 
SEC. 3004. MINIMUM LEVELS OF ASSISTANCE. 
Section 204(a) of the Food for Peace Act (7 U.S.C. 1724(a)) 
is amended— 
(1) in paragraph (1), by striking ‘‘2012’’ and inserting 
‘‘2018’’; and 
(2) in paragraph (2), by striking ‘‘2012’’ and inserting 
‘‘2018’’. 
SEC. 3005. FOOD AID CONSULTATIVE GROUP. 
(a) MEMBERSHIP.—Section 205(b) of the Food for Peace Act 
(7 U.S.C. 1725(b)) is amended— 
(1) by striking ‘‘and’’ at the end of paragraph (6); 
(2) by redesignating paragraph (7) as paragraph (8); and 
(3) by inserting after paragraph (6) the following new para-
graph: 
‘‘(7) representatives from the United States agricultural 
processing sector involved in providing agricultural commodities 
for programs under this Act; and’’. 
(b) CONSULTATION.—Section 205(d) of the Food for Peace Act 
(7 U.S.C. 1725(d)) is amended— 
(1) by striking the first sentence and inserting the fol-
lowing: 
‘‘(1) 
CONSULTATION
IN
ADVANCE
OF
ISSUANCE
OF 
IMPLEMENTATION REGULATIONS, HANDBOOKS, AND GUIDELINES.— 
Not later than 45 days before a proposed regulation, handbook, 
or guideline implementing this title, or a proposed significant 
revision to a regulation, handbook, or guideline implementing 
this title, becomes final, the Administrator shall provide the 
proposal to the Group for review and comment.’’; and 
(2) by adding at the end the following new paragraph: 
‘‘(2) 
CONSULTATION
REGARDING
FOOD
AID
QUALITY 
EFFORTS.—The Administrator shall seek input from and consult 
with the Group on the implementation of section 202(h).’’. 
(c) REAUTHORIZATION.—Section 205(f) of the Food for Peace 
Act (7 U.S.C. 1725(f)) is amended by striking ‘‘2012’’ and inserting 
‘‘2018’’. 
SEC. 3006. OVERSIGHT, MONITORING, AND EVALUATION. 
(a) REGULATIONS AND GUIDANCE.—Section 207(c) of the Food 
for Peace Act (7 U.S.C. 1726a(c)) is amended— 
(1) in the subsection heading, by inserting ‘‘AND GUIDANCE’’ 
after ‘‘REGULATIONS’’;
H. R. 2642—127 
(2) in paragraph (1), by adding at the end the following 
new sentence: ‘‘Not later than 270 days after the date of the 
enactment of the Agricultural Act of 2014, the Administrator 
shall issue all regulations and revisions to agency guidance 
necessary to implement the amendments made to this title 
by such Act.’’; and 
(3) in paragraph (2), by inserting ‘‘and guidance’’ after 
‘‘develop regulations’’. 
(b) FUNDING.—Section 207(f) of the Food for Peace Act (7 U.S.C. 
1726a(f)) is amended— 
(1) in paragraph (2)(F), by striking ‘‘upgraded’’ and 
inserting ‘‘maintenance of’’; 
(2) by striking paragraphs (3) and (4); and 
(3) by redesignating paragraphs (5) and (6) as paragraphs 
(3) and (4), respectively; and 
(4) in paragraph (4) (as so redesignated)— 
(A) in subparagraph (A), by striking ‘‘$22,000,000’’ and 
all that follows through the period at the end and inserting 
‘‘$17,000,000 of the funds made available under this title 
for each of fiscal years 2014 through 2018, except for para-
graph (2)(F), for which not more than $500,000 shall be 
made available for each of the fiscal years 2014 through 
2018.’’; and 
(B) in subparagraph (B)(i), by striking ‘‘2012’’ and 
inserting ‘‘2018’’. 
(c) IMPLEMENTATION REPORTS.—Not later than 270 days after 
the date of the enactment of this Act, the Administrator of the 
Agency for International Development shall submit to the Com-
mittee on Agriculture, Nutrition, and Forestry of the Senate and 
the Committees on Agriculture and Foreign Affairs of the House 
of Representatives a report describing— 
(1) the implementation of section 207(c) of the Food for 
Peace Act (7 U.S.C. 1726a(c)); 
(2) the surveys, studies, monitoring, reporting, and audit 
requirements for programs conducted under title II of such 
Act (7 U.S.C. 1721 et seq.) by an eligible organization that 
is a nongovernmental organization (as such term is defined 
in section 402 of such Act (7 U.S.C. 1732)); and 
(3) the surveys, studies, monitoring, reporting, and audit 
requirements for such programs by an eligible organization 
that is an intergovernmental organization, such as the World 
Food Program or other multilateral organization. 
SEC. 3007. ASSISTANCE FOR STOCKPILING AND RAPID TRANSPOR-
TATION, 
DELIVERY, 
AND 
DISTRIBUTION 
OF 
SHELF- 
STABLE PREPACKAGED FOODS. 
Section 208(f) of the Food for Peace Act (7 U.S.C. 1726b(f)) 
is amended by striking ‘‘$8,000,000 for each of fiscal years 2001 
through 2012’’ and inserting ‘‘$10,000,000 for each of fiscal years 
2014 through 2018’’. 
SEC. 3008. IMPACT ON LOCAL FARMERS AND ECONOMY AND REPORT 
ON USE OF FUNDS. 
(a) IMPACT ON LOCAL FARMERS AND ECONOMY.—Section 403(b) 
of the Food for Peace Act (7 U.S.C. 1733(b)) is amended by adding 
at the end the following new sentence: ‘‘The Secretary or the 
Administrator, as appropriate, shall seek information, as part of 
the regular proposal and submission process, from implementing
H. R. 2642—128 
agencies on the potential costs and benefits to the local economy 
of sales of agricultural commodities within the recipient country.’’. 
(b) REPORT ON USE OF FUNDS.—Section 403 of the Food for 
Peace Act (7 U.S.C. 1733) is amended by adding at the end the 
following new subsection: 
‘‘(m) REPORT ON USE OF FUNDS.— 
‘‘(1) REPORT REQUIRED.—Not later than 180 days after the 
date of the enactment of the Agricultural Act of 2014, and 
annually thereafter, the Administrator shall submit to Congress 
a report that— 
‘‘(A) specifies the amount of funds (including funds 
for administrative costs, indirect cost recovery, internal 
transportation, storage, and handling, and associated dis-
tribution costs) provided to each eligible organization that 
received assistance under this Act in the previous fiscal 
year; 
‘‘(B) describes how those funds were used by the eligible 
organization; 
‘‘(C) describes the actual rate of return for each com-
modity made available under this Act, including— 
‘‘(i) factors that influenced the rate of return; and 
‘‘(ii) for the commodity, the costs of bagging or 
further 
processing, 
ocean 
transportation, 
inland 
transportation in the recipient country, storage costs, 
and any other information that the Administrator 
determines to be necessary; and 
‘‘(D) for each instance in which a commodity was made 
available under this Act at a rate of return less than 
70 percent, describes the reasons for the rate of return 
realized. 
‘‘(2) RATE OF RETURN DESCRIBED.—For purposes of applying 
paragraph (1)(C), the rate of return for a commodity shall 
be equal to the proportion that— 
‘‘(A) the proceeds the implementing partners generate 
through monetization; bears to 
‘‘(B) the cost to the Federal Government to procure 
and ship the commodity to a recipient country for monetiza-
tion.’’. 
SEC. 3009. PREPOSITIONING OF AGRICULTURAL COMMODITIES. 
Section 407(c)(4) of the Food for Peace Act (7 U.S.C. 1736a(c)(4)) 
is amended— 
(1) in subparagraph (A)— 
(A) by striking ‘‘2012’’ and inserting ‘‘2018’’; and 
(B) by striking ‘‘for each such fiscal year not more 
than $10,000,000 of such funds’’ and inserting ‘‘for each 
of fiscal years 2001 through 2013 not more than 
$10,000,000 of such funds and for each of fiscal years 
2014 through 2018 not more than $15,000,000 of such 
funds’’; and 
(2) by striking subparagraph (B) and inserting the following 
new subparagraph: 
‘‘(B) ADDITIONAL PREPOSITIONING SITES.—The Adminis-
trator may establish additional sites for prepositioning in 
foreign countries or change the location of current sites 
for prepositioning in foreign countries after conducting,
H. R. 2642—129 
and based on the results of, assessments of need, the avail-
ability of appropriate technology for long-term storage, fea-
sibility, and cost.’’. 
SEC. 3010. ANNUAL REPORT REGARDING FOOD AID PROGRAMS AND 
ACTIVITIES. 
Section 407(f)(1) of the Food for Peace Act (7 U.S.C. 1736a(f)(1)) 
is amended— 
(1) in the paragraph heading, by striking ‘‘AGRICULTURAL 
TRADE’’ and inserting ‘‘FOOD AID’’; 
(2) in subparagraph (B)(ii), by inserting before the semi-
colon at the end the following: ‘‘and the total number of bene-
ficiaries of the project and the activities carried out through 
such project’’; and 
(3) in subparagraph (B)(iii)— 
(A) in the matter preceding subclause (I), by inserting 
‘‘, and the total number of beneficiaries in,’’ after ‘‘commod-
ities made available to’’; 
(B) by striking ‘‘and’’ at the end of subclause (I); 
(C) by inserting ‘‘and’’ at the end of subclause (II); 
and 
(D) by inserting after subclause (II) the following new 
subclause: 
‘‘(III) the McGovern-Dole International Food 
for Education and Child Nutrition Program estab-
lished by section 3107 of the Farm Security and 
Rural Investment Act of 2002 (7 U.S.C. 1736o– 
1);’’. 
SEC. 3011. DEADLINE FOR AGREEMENTS TO FINANCE SALES OR TO 
PROVIDE OTHER ASSISTANCE. 
Section 408 of the Food for Peace Act (7 U.S.C. 1736b) is 
amended by striking ‘‘2012’’ and inserting ‘‘2018’’. 
SEC. 3012. MINIMUM LEVEL OF NONEMERGENCY FOOD ASSISTANCE. 
Subsection (e) of section 412 of the Food for Peace Act (7 
U.S.C. 1736f) is amended to read as follows: 
‘‘(e) MINIMUM LEVEL OF NONEMERGENCY FOOD ASSISTANCE.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), of the amounts 
made available to carry out emergency and nonemergency food 
assistance programs under title II, not less than 20 nor more 
than 30 percent for each of fiscal years 2014 through 2018 
shall be expended for nonemergency food assistance programs 
under title II. 
‘‘(2) MINIMUM LEVEL.—The amount made available to carry 
out nonemergency food assistance programs under title II shall 
not be less than $350,000,000 for any fiscal year.’’. 
SEC. 3013. MICRONUTRIENT FORTIFICATION PROGRAMS. 
(a) ELIMINATION OF OBSOLETE REFERENCE TO STUDY.—Section 
415(a)(2)(B) of the Food for Peace Act (7 U.S.C. 1736g–2(a)(2)(B)) 
is amended by striking ‘‘, using recommendations’’ and all that 
follows through ‘‘quality enhancements’’. 
(b) EXTENSION.—Section 415(c) of the Food for Peace Act (7 
U.S.C. 1736g–2(c)) is amended by striking ‘‘2012’’ and inserting 
‘‘2018’’.
H. R. 2642—130 
SEC. 3014. JOHN OGONOWSKI AND DOUG BEREUTER FARMER-TO- 
FARMER PROGRAM. 
(a) FUNDING AND REAUTHORIZATION OF PROGRAM.—Section 501 
of the Food for Peace Act (7 U.S.C. 1737) is amended— 
(1) in subsection (d), in the matter preceding paragraph 
(1), by striking ‘‘2012’’ and inserting ‘‘2013, and not less than 
the greater of $15,000,000 or 0.6 percent of the amounts made 
available for each of fiscal years 2014 through 2018,’’; and 
(2) in subsection (e)(1), by striking ‘‘2012’’ and inserting 
‘‘2018’’. 
(b) COMPTROLLER GENERAL REPORT.—Not later than 270 days 
after the date of enactment of this Act, the Comptroller General 
of the United States shall submit to Congress a report that con-
tains— 
(1) a review of the John Ogonowski and Doug Bereuter 
Farmer-to-Farmer Program authorized by section 501 of the 
Food for Peace Act (7 U.S.C. 1737); and 
(2) recommendations relating to actions that the Comp-
troller General determines to be necessary to improve the moni-
toring and evaluation of assistance provided under such pro-
gram. 
SEC. 3015. COORDINATION OF FOREIGN ASSISTANCE PROGRAMS 
REPORT. 
Section 413 of the Food for Peace Act (7 U.S.C. 1736g) is 
amended— 
(1) by striking ‘‘(a) IN GENERAL.—To the maximum’’ and 
inserting ‘‘To the maximum’’; and 
(2) by striking subsection (b). 
Subtitle B—Agricultural Trade Act of 1978 
SEC. 3101. EXPORT CREDIT GUARANTEE PROGRAM. 
(a) SHORT-TERM CREDIT GUARANTEES.—Section 202 of the Agri-
cultural Trade Act of 1978 (7 U.S.C. 5622) is amended— 
(1) in subsection (a), by striking ‘‘3-year’’ and inserting 
‘‘24-month’’; 
(2) in subsection (d), by striking ‘‘country’’ and inserting 
‘‘obligor’’; 
(3) by striking subsection (i); 
(4) by redesignating subsections (j) and (k) as subsections 
(i) and (j), respectfully; and 
(5) in subsection (j)(2) (as so redesignated)— 
(A) by striking subparagraphs (A) and (B); 
(B) by redesignating subparagraphs (C) through (E) 
as subparagraphs (A) through (C), respectfully; 
(C) in subparagraph (B) (as so redesignated), by 
striking ‘‘and’’ at the end; 
(D) in subparagraph (C) (as so redesignated)— 
(i) by striking ‘‘, but do not exceed,’’; and 
(ii) by striking the period at the end and inserting 
‘‘; and’’; and 
(E) by adding at the end the following new subpara-
graph: 
‘‘(D) notwithstanding any other provision of this sec-
tion, administer and carry out (only after consulting with
H. R. 2642—131 
the Committee on Agriculture of the House of Representa-
tives and the Committee on Agriculture, Nutrition and 
Forestry of the Senate) the program pursuant to such terms 
as may be agreed between the parties to address the World 
Trade Organization dispute WTO/DS267 to the extent not 
superseded by any applicable international undertakings 
on officially supported export credits to which the United 
States is a party.’’. 
(b) FUNDING.—Subsection (b) of section 211 of the Agricultural 
Trade Act of 1978 (7 U.S.C. 5641) is amended to read as follows: 
‘‘(b) EXPORT CREDIT GUARANTEE PROGRAM.—The Commodity 
Credit Corporation shall make available for each fiscal year 
$5,500,000,000 of credit guarantees under section 202(a).’’. 
SEC. 3102. FUNDING FOR MARKET ACCESS PROGRAM. 
Section 211(c)(1)(A) of the Agricultural Trade Act of 1978 (7 
U.S.C. 5641(c)(1)(A)) is amended by striking ‘‘2012’’ and inserting 
‘‘2018’’. 
SEC. 3103. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM. 
Section 703(a) of the Agricultural Trade Act of 1978 (7 U.S.C. 
5723(a)) is amended by striking ‘‘2012’’ and inserting ‘‘2018’’. 
Subtitle C—Other Agricultural Trade Laws 
SEC. 3201. FOOD FOR PROGRESS ACT OF 1985. 
(a) EXTENSION.—The Food for Progress Act of 1985 (7 U.S.C. 
1736o) is amended— 
(1) in subsection (f)(3), by striking ‘‘2012’’ and inserting 
‘‘2018’’; 
(2) in subsection (g), by striking ‘‘2012’’ and inserting 
‘‘2018’’; 
(3) in subsection (k), by striking ‘‘2012’’ and inserting 
‘‘2018’’; and 
(4) in subsection (l)(1), by striking ‘‘2012’’ and inserting 
‘‘2018’’. 
(b) REPEAL OF COMPLETED PROJECT.—Subsection (f) of the Food 
for Progress Act of 1985 (7 U.S.C. 1736o) is amended by striking 
paragraph (6). 
SEC. 3202. BILL EMERSON HUMANITARIAN TRUST ACT. 
Section 302 of the Bill Emerson Humanitarian Trust Act (7 
U.S.C. 1736f–1) is amended— 
(1) in subsection (b)(2)(B)(i), by striking ‘‘2012’’ both places 
it appears and inserting ‘‘2018’’; and 
(2) in subsection (h), by striking ‘‘2012’’ both places it 
appears and inserting ‘‘2018’’. 
SEC. 3203. PROMOTION OF AGRICULTURAL EXPORTS TO EMERGING 
MARKETS. 
(a) DIRECT CREDITS OR EXPORT CREDIT GUARANTEES.—Section 
1542(a) of the Food, Agriculture, Conservation, and Trade Act of 
1990 (Public Law 101–624; 7 U.S.C. 5622 note) is amended by 
striking ‘‘2012’’ and inserting ‘‘2018’’. 
(b) 
DEVELOPMENT
OF
AGRICULTURAL
SYSTEMS.—Section 
1542(d)(1)(A)(i) of the Food, Agriculture, Conservation, and Trade
H. R. 2642—132 
Act of 1990 (Public Law 101–624; 7 U.S.C. 5622 note) is amended 
by striking ‘‘2012’’ and inserting ‘‘2018’’. 
SEC. 3204. MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION 
AND CHILD NUTRITION PROGRAM. 
(a) REAUTHORIZATION.—Section 3107(l)(2) of the Farm Security 
and Rural Investment Act of 2002 (7 U.S.C. 1736o–1(l)(2)) is 
amended by striking ‘‘2012’’ and inserting ‘‘2018’’. 
(b) TECHNICAL CORRECTION.—Section 3107(d) of the Farm Secu-
rity and Rural Investment Act of 2002 (7 U.S.C. 1736o–1(d)) is 
amended by striking ‘‘to’’ in the matter preceding paragraph (1). 
SEC. 3205. TECHNICAL ASSISTANCE FOR SPECIALTY CROPS. 
(a) PURPOSE.—Section 3205(b) of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 5680(b)) is amended by striking 
‘‘related barriers to trade’’ and inserting ‘‘technical barriers to 
trade’’. 
(b) FUNDING.—Section 3205(e)(2) of the Farm Security and 
Rural Investment Act of 2002 (7 U.S.C. 5680(e)(2)) is amended— 
(1) by inserting ‘‘and’’ at the end of subparagraph (C); 
and 
(2) by striking subparagraphs (D) and (E) and inserting 
the following new subparagraph: 
‘‘(D) $9,000,000 for each of fiscal years 2011 through 
2018.’’. 
(c) U.S. ATLANTIC SPINY DOGFISH STUDY.—Not later than 90 
days after the date of the enactment of this Act, the Secretary 
shall conduct an economic study on the existing market in the 
United States for U.S. Atlantic Spiny Dogfish. 
SEC. 3206. GLOBAL CROP DIVERSITY TRUST. 
Section 3202(c) of the Food, Conservation, and Energy Act 
of 2008 (Public Law 110–246; 22 U.S.C. 2220a note) is amended 
by striking ‘‘2008 through 2012’’ and inserting ‘‘2014 through 2018’’. 
SEC. 
3207. 
LOCAL 
AND 
REGIONAL 
FOOD 
AID 
PROCUREMENT 
PROJECTS. 
Section 3206 of the Food, Conservation, and Energy Act of 
2008 (7 U.S.C. 1726c) is amended— 
(1) in subsection (b)— 
(A) by striking ‘‘(b) STUDY; FIELD-BASED PROJECTS.— 
’’ and all that follows through ‘‘(2) FIELD-BASED PROJECTS.— 
’’ and inserting the following: 
‘‘(b) FIELD-BASED PROJECTS.—’’; 
(B) by redesignating subparagraphs (A) and (B) as 
paragraphs (1) and (2), respectively, and indenting appro-
priately; 
(C) in paragraph (1) (as so redesignated), by striking 
‘‘subparagraph (B)’’ and inserting ‘‘paragraph (2)’’; and 
(D) in paragraph (2) (as so redesignated), by striking 
‘‘subparagraph (A)’’ and inserting ‘‘paragraph (1)’’; 
(2) in subsection (c)(1), by striking ‘‘subsection (b)(2)’’ and 
inserting ‘‘subsection (b)’’; 
(3) by striking subsections (d), (f), and (g); 
(4) by redesignating subsection (e) as subsection (d); 
(5) in subsection (d) (as so redesignated)— 
(A) in paragraph (2)— 
(i) by striking subparagraph (B); and
H. R. 2642—133 
(ii) in subparagraph (A)— 
(I) by striking ‘‘(A) APPLICATION.—’’ and all 
that follows through ‘‘To be eligible’’ in clause (i) 
and inserting the following: 
‘‘(A) IN GENERAL.—To be eligible’’; 
(II) by redesignating clause (ii) as subpara-
graph (B) and indenting appropriately; and 
(III) in subparagraph (B) (as so redesignated), 
by striking ‘‘clause (i)’’ and inserting ‘‘subpara-
graph (A)’’; and 
(B) by striking paragraph (4); and 
(6) by adding at the end the following new subsection: 
‘‘(e) FUNDING.— 
‘‘(1) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to carry out this section $80,000,000 
for each of fiscal years 2014 through 2018. 
‘‘(2) PREFERENCE.—In carrying out this section, the Sec-
retary may give a preference to eligible organizations that 
have, or are working toward, projects under the McGovern- 
Dole International Food for Education and Child Nutrition 
Program established under section 3107 of the Farm Security 
and Rural Investment Act of 2002 (7 U.S.C. 1736o–1). 
‘‘(3) REPORTING.—Each year, the Secretary shall submit 
to the appropriate committees of Congress a report that 
describes the use of funds under this section, including— 
‘‘(A) the impact of procurements and projects on— 
‘‘(i) local and regional agricultural producers; and 
‘‘(ii) markets and consumers, including low-income 
consumers; and 
‘‘(B) implementation time frames and costs.’’. 
SEC. 3208. UNDER SECRETARY OF AGRICULTURE FOR TRADE AND 
FOREIGN AGRICULTURAL AFFAIRS. 
(a) DEFINITION OF AGRICULTURE COMMITTEES AND SUBCOMMIT-
TEES.—In this section, the term ‘‘agriculture committees and sub-
committees’’ means— 
(1) the Committee on Agriculture of the House of Rep-
resentatives; 
(2) the Committee on Agriculture, Nutrition, and Forestry 
of the Senate; and 
(3) the subcommittees on agriculture, rural development, 
food and drug administration, and related agencies of the 
Committees on Appropriations of the House of Representatives 
and the Senate. 
(b) PROPOSAL.— 
(1) IN GENERAL.—The Secretary, in consultation with the 
agriculture committees and subcommittees, shall propose a 
reorganization of international trade functions for imports and 
exports of the Department of Agriculture. 
(2) CONSIDERATIONS.—In producing the proposal under this 
section, the Secretary shall— 
(A) in recognition of the importance of agricultural 
exports to the farm economy and the economy as a whole, 
include a plan for the establishment of an Under Secretary 
of Agriculture for Trade and Foreign Agricultural Affairs;
H. R. 2642—134 
(B) take into consideration how the Under Secretary 
described in subparagraph (A) would serve as a multi-
agency coordinator of sanitary and phytosanitary issues 
and nontariff trade barriers in agriculture with respect 
to imports and exports of agricultural products; and 
(C) take into consideration all implications of a reorga-
nization described in paragraph (1) on domestic programs 
and operations of the Department of Agriculture. 
(3) REPORT.—Not later than 180 days after the date of 
enactment of this Act and before the reorganization described 
in paragraph (1) can take effect, the Secretary shall submit 
to the agriculture committees and subcommittees a report 
that— 
(A) includes the results of the proposal under this 
section; and 
(B) provides a notice of the reorganization plan. 
(4) IMPLEMENTATION.—Not later than 1 year after the date 
of the submission of the report under paragraph (3), the Sec-
retary shall implement a reorganization of international trade 
functions for imports and exports of the Department of Agri-
culture, including the establishment of an Under Secretary 
of Agriculture for Trade and Foreign Agricultural Affairs. 
(c) CONFIRMATION REQUIRED.—The position of Under Secretary 
of Agriculture for Trade and Foreign Agricultural Affairs established 
under subsection (b)(2)(A) shall be appointed by the President, 
by and with the advice and consent of the Senate. 
TITLE IV—NUTRITION 
Subtitle A—Supplemental Nutrition 
Assistance Program 
SEC. 4001. PREVENTING PAYMENT OF CASH TO RECIPIENTS OF 
SUPPLEMENTAL NUTRITION ASSISTANCE BENEFITS FOR 
THE RETURN OF EMPTY BOTTLES AND CANS USED TO 
CONTAIN FOOD PURCHASED WITH BENEFITS PROVIDED 
UNDER THE PROGRAM. 
Section 3(k)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2012(k)(1)) is amended— 
(1) by striking ‘‘and hot foods’’ and inserting ‘‘hot foods’’; 
and 
(2) by adding at the end the following: ‘‘and any deposit 
fee in excess of the amount of the State fee reimbursement 
(if any) required to purchase any food or food product contained 
in a returnable bottle or can, regardless of whether the fee 
is included in the shelf price posted for the food or food 
product,’’. 
SEC. 4002. RETAIL FOOD STORES. 
(a) DEFINITION OF RETAIL FOOD STORE.—Section 3(p)(1)(A) of 
the Food and Nutrition Act of 2008 (7 U.S.C. 2012(p)(1)(A)) is 
amended— 
(1) by inserting ‘‘at least 7’’ after ‘‘a variety of’’; and 
(2) by striking ‘‘at least 2’’ and inserting ‘‘at least 3’’.
H. R. 2642—135 
(b) ALTERNATIVE BENEFIT DELIVERY.—Section 7(f) of the Food 
and Nutrition Act of 2008 (7 U.S.C. 2016(f)) is amended— 
(1) by striking paragraph (2) and inserting the following: 
‘‘(2) IMPOSITION OF COSTS.— 
‘‘(A) IN GENERAL.—Except as provided in subparagraph 
(B), the Secretary shall require participating retail food 
stores (including restaurants participating in a State option 
restaurant program intended to serve the elderly, disabled, 
and homeless) to pay 100 percent of the costs of acquiring, 
and arrange for the implementation of, electronic benefit 
transfer point-of-sale equipment and supplies, including 
related services. 
‘‘(B) EXEMPTIONS.—The Secretary may exempt from 
subparagraph (A)— 
‘‘(i) farmers’ markets and other direct-to-consumer 
markets, military commissaries, nonprofit food buying 
cooperatives, and establishments, organizations, pro-
grams, or group living arrangements described in para-
graphs (5), (7), and (8) of section 3(k); and 
‘‘(ii) establishments described in paragraphs (3), 
(4), and (9) of section 3(k), other than restaurants 
participating in a State option restaurant program. 
‘‘(C) INTERCHANGE FEES.—Nothing in this paragraph 
permits the charging of fees relating to the redemption 
of supplemental nutrition assistance program benefits, in 
accordance with subsection (h)(13).’’; and 
(2) by adding at the end the following: 
‘‘(4) TERMINATION OF MANUAL VOUCHERS.— 
‘‘(A) IN GENERAL.—Effective beginning on the date of 
enactment of this paragraph, except as provided in 
subparagraph (B), no State shall issue manual vouchers 
to a household that receives supplemental nutrition assist-
ance under this Act or allow retail food stores to accept 
manual vouchers as payment, unless the Secretary deter-
mines that the manual vouchers are necessary, such as 
in the event of an electronic benefit transfer system failure 
or a disaster situation. 
‘‘(B) EXEMPTIONS.—The Secretary may exempt cat-
egories of retail food stores or individual retail food stores 
from subparagraph (A) based on criteria established by 
the Secretary. 
‘‘(5) UNIQUE IDENTIFICATION NUMBER REQUIRED.— 
‘‘(A) IN GENERAL.—To enhance the anti-fraud protec-
tions of the program, the Secretary shall require all parties 
providing electronic benefit transfer services to provide for 
and maintain unique terminal identification number 
information through the supplemental nutrition assistance 
program electronic benefit transfer transaction routing 
system. 
‘‘(B) REGULATIONS.— 
‘‘(i) IN GENERAL.—Not earlier than 2 years after 
the date of enactment of this paragraph, the Secretary 
shall issue proposed regulations to carry out this para-
graph. 
‘‘(ii) COMMERCIAL PRACTICES.—In issuing regula-
tions to carry out this paragraph, the Secretary shall
H. R. 2642—136 
consider existing commercial practices for other point- 
of-sale debit transactions.’’. 
(c) ELECTRONIC
BENEFIT
TRANSFER
AUDITABILITY.—Section 
7(h)(2)(C) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2016(h)(2)(C)) is amended by striking clause (ii) and inserting the 
following: 
‘‘(ii) unless determined by the Secretary to be 
located in an area with significantly limited access 
to food, measures that require an electronic benefit 
transfer system— 
‘‘(I) to set and enforce sales restrictions based 
on benefit transfer payment eligibility by using 
scanning or product lookup entry; and 
‘‘(II) to deny benefit tenders for manually 
entered sales of ineligible items.’’. 
(d) ELECTRONIC BENEFIT TRANSFERS.—Section 7(h)(3)(B) of the 
Food and Nutrition Act of 2008 (7 U.S.C. 2016(h)(3)(B)) is amended 
by striking ‘‘is operational—’’ and all that follows through ‘‘(ii) 
in the case of other participating stores,’’ and inserting ‘‘is oper-
ational’’. 
(e) APPROVAL OF RETAIL FOOD STORES AND WHOLESALE FOOD 
CONCERNS.—Section 9 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2018) is amended— 
(1) in subsection (a)(1), in the second sentence, by striking 
‘‘; and (C)’’ and inserting ‘‘; (C) whether the applicant is located 
in an area with significantly limited access to food; and (D)’’; 
(2) in subsection (c), in the first sentence, by inserting 
‘‘purchase invoices, or program-related records,’’ after ‘‘relevant 
income and sales tax filing documents,’’; and 
(3) by adding at the end the following: 
‘‘(g) EBT SERVICE REQUIREMENT.—An approved retail food store 
shall provide adequate EBT service as described in section 
7(h)(3)(B).’’. 
SEC. 4003. ENHANCING SERVICES TO ELDERLY AND DISABLED 
SUPPLEMENTAL 
NUTRITION 
ASSISTANCE 
PROGRAM 
PARTICIPANTS. 
(a) ENHANCING SERVICES TO ELDERLY AND DISABLED PROGRAM 
PARTICIPANTS.—Section 3(p) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2012(p)) is amended— 
(1) in paragraph (3), by striking ‘‘and’’ at the end; 
(2) in paragraph (4), by striking the period at the end 
and inserting ‘‘; and’’; and 
(3) by inserting after paragraph (4) the following: 
‘‘(5) a governmental or private nonprofit food purchasing 
and delivery service that— 
‘‘(A) purchases food for, and delivers the food to, 
individuals who are— 
‘‘(i) unable to shop for food; and 
‘‘(ii)(I) not less than 60 years of age; or 
‘‘(II) physically or mentally handicapped or other-
wise disabled; 
‘‘(B) clearly notifies the participating household at the 
time the household places a food order— 
‘‘(i) of any delivery fee associated with the food 
purchase and delivery provided to the household by 
the service; and
H. R. 2642—137 
‘‘(ii) that a delivery fee cannot be paid with benefits 
provided under supplemental nutrition assistance pro-
gram; and 
‘‘(C) sells food purchased for the household at the price 
paid by the service for the food and without any additional 
cost markup.’’. 
(b) IMPLEMENTATION.— 
(1) ISSUANCE OF RULES.—The Secretary shall issue regula-
tions that— 
(A) establish criteria to identify a food purchasing and 
delivery service referred to in section 3(p)(5) of the Food 
and Nutrition Act of 2008 (7 U.S.C. 2012(p)(5)); and 
(B) establish procedures to ensure that the service— 
(i) does not charge more for a food item than 
the price paid by the service for the food item; 
(ii) offers food delivery service at no or low cost 
to households under that Act; 
(iii) ensures that benefits provided under the 
supplemental nutrition assistance program are used 
only to purchase food (as defined in section 3 of that 
Act (7 U.S.C. 2012)); 
(iv) limits the purchase of food, and the delivery 
of the food, to households eligible to receive services 
described in section 3(p)(5) of that Act (7 U.S.C. 
2012(p)(5)); 
(v) has established adequate safeguards against 
fraudulent activities, including unauthorized use of 
electronic benefit cards issued under that Act; and 
(vi) meets such other requirements as the Sec-
retary determines to be appropriate. 
(2) LIMITATION.—Before the issuance of rules under para-
graph (1), the Secretary may not approve more than 20 food 
purchasing and delivery services referred to in section 3(p)(5) 
of the Food and Nutrition Act of 2008 (7 U.S.C. 2012(p)(5)) 
to participate as retail food stores under the supplemental 
nutrition assistance program. 
SEC. 4004. FOOD DISTRIBUTION PROGRAM ON INDIAN RESERVATIONS. 
(a) IN GENERAL.—Section 4(b)(6)(F) of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2013(b)(6)(F)) is amended by striking ‘‘2012’’ 
and inserting ‘‘2018’’. 
(b) FEASIBILITY STUDY, REPORT, AND DEMONSTRATION PROJECT 
FOR INDIAN TRIBES.— 
(1) DEFINITIONS.—In this subsection: 
(A) INDIAN; INDIAN
TRIBE.—The terms ‘‘Indian’’ and 
‘‘Indian tribe’’ have the meaning given the terms in section 
4 of the Indian Self-Determination and Education Assist-
ance Act (25 U.S.C. 450b). 
(B) TRIBAL ORGANIZATION.—The term ‘‘tribal organiza-
tion’’ has the meaning given the term in section 4 of the 
Indian Self-Determination and Education Assistance Act 
(25 U.S.C. 450b). 
(2) STUDY.—The Secretary shall conduct a study to deter-
mine the feasibility of tribal administration of Federal food 
assistance programs, services, functions, and activities (or por-
tions thereof), in lieu of State agencies or other administrating 
entities.
H. R. 2642—138 
(3) REPORT.—Not later than 18 months after the date of 
enactment of this Act, the Secretary shall submit to the Com-
mittee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of the 
Senate a report that— 
(A) contains a list of programs, services, functions, 
and activities with respect to which it would be feasible 
to be administered by a tribal organization; 
(B) a description of whether that administration would 
necessitate a statutory or regulatory change; and 
(C) such other issues that may be determined by the 
Secretary and developed through consultation pursuant to 
paragraph (4). 
(4) CONSULTATION WITH INDIAN TRIBES.—In developing the 
report required by paragraph (3), the Secretary shall consult 
with tribal organizations. 
(5) FUNDING.—Out of any funds made available under sec-
tion 18 for fiscal year 2014, the Secretary shall make available 
to carry out the study and report described in paragraphs 
(2) and (3) $1,000,000, to remain available until expended. 
(6) 
TRADITIONAL
AND
LOCAL
FOODS
DEMONSTRATION 
PROJECT.— 
(A) IN GENERAL.—Subject to the availability of appro-
priations, the Secretary shall pilot a demonstration project 
by awarding a grant to 1 or more tribal organizations 
authorized to administer the food distribution program on 
Indian reservations under section 4(b) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2013(b)) for the purpose 
of purchasing nutritious and traditional foods, and when 
practicable, foods produced locally by Indian producers, 
for distribution to recipients of foods distributed under 
that program. 
(B) ADMINISTRATION.—The Secretary may award a 
grant on a noncompetitive basis to 1 or more tribal 
organizations that have the administrative and financial 
capability to conduct a demonstration project, as deter-
mined by the Secretary. 
(C) 
CONSULTATION, 
TECHNICAL
ASSISTANCE, 
AND 
TRAINING.—During the implementation phase of the dem-
onstration project, the Secretary shall consult with Indian 
tribes and provide outreach to Indian farmers, ranchers, 
and producers regarding the training and capacity to 
participate in the demonstration project. 
(D) FUNDING.— 
(i) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to carry out this section 
$2,000,000 for each of fiscal years 2014 through 2018. 
(ii) RELATIONSHIP
TO
OTHER
AUTHORITIES.—The 
funds and authorities provided under this subpara-
graph are in addition to any other funds or authorities 
the Secretary may have to carry out activities described 
in this paragraph. 
SEC. 4005. EXCLUSION OF MEDICAL MARIJUANA FROM EXCESS MED-
ICAL EXPENSE DEDUCTION. 
Section 5(e)(5) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014(e)(5)) is amended by adding at the end the following:
H. R. 2642—139 
‘‘(C) EXCLUSION
OF
MEDICAL
MARIJUANA.—The Sec-
retary shall promulgate rules to ensure that medical mari-
juana is not treated as a medical expense for purposes 
of this paragraph.’’. 
SEC. 4006. STANDARD UTILITY ALLOWANCES BASED ON THE RECEIPT 
OF ENERGY ASSISTANCE PAYMENTS. 
(a) STANDARD UTILITY ALLOWANCES
IN
THE SUPPLEMENTAL 
NUTRITION ASSISTANCE PROGRAM.—Section 5(e)(6)(C) of the Food 
and Nutrition Act of 2008 (7 U.S.C. 2014(e)(6)(C)) is amended— 
(1) in clause (i), by inserting ‘‘, subject to clause (iv)’’ 
after ‘‘Secretary’’; and 
(2) in clause (iv), by striking subclause (I) and inserting 
the following: 
‘‘(I) IN
GENERAL.—Subject to subclause (II), 
if a State agency elects to use a standard utility 
allowance that reflects heating and cooling costs, 
the standard utility allowance shall be made avail-
able to households that received a payment, or 
on behalf of which a payment was made, under 
the Low-Income Home Energy Assistance Act of 
1981 (42 U.S.C. 8621 et seq.) or other similar 
energy assistance program, if in the current month 
or in the immediately preceding 12 months, the 
household either received such a payment, or such 
a payment was made on behalf of the household, 
that was greater than $20 annually, as determined 
by the Secretary.’’. 
(b) CONFORMING AMENDMENT.—Section 2605(f)(2)(A) of the 
Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 
8624(f)(2)(A)) is amended by inserting before the semicolon the 
following: ‘‘, except that, for purposes of the supplemental nutrition 
assistance program established under the Food and Nutrition Act 
of 2008 (7 U.S.C. 2011 et seq.), such payments or allowances were 
greater than $20 annually, consistent with section 5(e)(6)(C)(iv)(I) 
of that Act (7 U.S.C. 2014(e)(6)(C)(iv)(I)), as determined by the 
Secretary of Agriculture’’. 
(c) APPLICATION AND IMPLEMENTATION.— 
(1) IN GENERAL.—Except as provided in paragraph (2), this 
section and the amendments made by this section shall— 
(A) take effect 30 days after the date of enactment 
of this Act; and 
(B) apply with respect to certification periods that 
begin after that date. 
(2) STATE OPTION TO DELAY IMPLEMENTATION FOR CURRENT 
RECIPIENTS.—A State may, at the option of the State, implement 
a policy that eliminates or reduces the effect of the amendments 
made by this section on households that received a standard 
utility allowance as of the date of enactment of this Act, for 
not more than a 5-month period beginning on the date on 
which the amendments would otherwise apply to the respective 
household. 
SEC. 4007. ELIGIBILITY DISQUALIFICATIONS. 
Section 6(e)(3)(B) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2015(e)(3)(B)) is amended by striking ‘‘section;’’ and inserting 
the following:
H. R. 2642—140 
‘‘section, subject to the condition that the course or 
program of study— 
‘‘(i) is part of a program of career and technical 
education (as defined in section 3 of the Carl D. Perkins 
Career and Technical Education Act of 2006 (20 U.S.C. 
2302)) that may be completed in not more than 4 
years at an institution of higher education (as defined 
in section 102 of the Higher Education Act of 1965 
(20 U.S.C. 1002)); or 
‘‘(ii) is limited to remedial courses, basic adult 
education, literacy, or English as a second language;’’. 
SEC. 4008. ELIGIBILITY DISQUALIFICATIONS FOR CERTAIN CONVICTED 
FELONS. 
(a) IN GENERAL.—Section 6 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2015) is amended by adding at the end the 
following: 
‘‘(r) DISQUALIFICATION FOR CERTAIN CONVICTED FELONS.— 
‘‘(1) IN GENERAL.—An individual shall not be eligible for 
benefits under this Act if— 
‘‘(A) the individual is convicted of— 
‘‘(i) aggravated sexual abuse under section 2241 
of title 18, United States Code; 
‘‘(ii) murder under section 1111 of title 18, United 
States Code; 
‘‘(iii) an offense under chapter 110 of title 18, 
United States Code; 
‘‘(iv) a Federal or State offense involving sexual 
assault, as defined in 40002(a) of the Violence Against 
Women Act of 1994 (42 U.S.C. 13925(a)); or 
‘‘(v) an offense under State law determined by 
the Attorney General to be substantially similar to 
an offense described in clause (i), (ii), or (iii); and 
‘‘(B) the individual is not in compliance with the terms 
of the sentence of the individual or the restrictions under 
subsection (k). 
‘‘(2) EFFECTS ON ASSISTANCE AND BENEFITS FOR OTHERS.— 
The amount of benefits otherwise required to be provided to 
an eligible household under this Act shall be determined by 
considering the individual to whom paragraph (1) applies not 
to be a member of the household, except that the income 
and resources of the individual shall be considered to be income 
and resources of the household. 
‘‘(3) ENFORCEMENT.—Each State shall require each indi-
vidual applying for benefits under this Act to attest to whether 
the individual, or any member of the household of the indi-
vidual, has been convicted of a crime described in paragraph 
(1).’’. 
(b) CONFORMING AMENDMENT.—Section 5(a) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2014(a)) is amended in the second 
sentence by striking ‘‘sections 6(b), 6(d)(2), and 6(g)’’ and inserting 
‘‘subsections (b), (d)(2), (g), and (r) of section 6’’. 
(c) INAPPLICABILITY TO CONVICTIONS OCCURRING ON OR BEFORE 
ENACTMENT.—The amendments made by this section shall not apply 
to a conviction if the conviction is for conduct occurring on or 
before the date of enactment of this Act.
H. R. 2642—141 
SEC. 4009. ENDING SUPPLEMENTAL NUTRITION ASSISTANCE PRO-
GRAM BENEFITS FOR LOTTERY OR GAMBLING WINNERS. 
(a) IN GENERAL.—Section 6 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2015) (as amended by section 4008) is amended 
by adding at the end the following: 
‘‘(s) INELIGIBILITY FOR BENEFITS DUE TO RECEIPT OF SUBSTAN-
TIAL LOTTERY OR GAMBLING WINNINGS.— 
‘‘(1) IN
GENERAL.—Any household in which a member 
receives substantial lottery or gambling winnings, as deter-
mined by the Secretary, shall lose eligibility for benefits imme-
diately upon receipt of the winnings. 
‘‘(2) DURATION OF INELIGIBILITY.—A household described 
in paragraph (1) shall remain ineligible for participation until 
the household meets the allowable financial resources and 
income eligibility requirements under subsections (c), (d), (e), 
(f), (g), (i), (k), (l), (m), and (n) of section 5. 
‘‘(3) AGREEMENTS.—As determined by the Secretary, each 
State agency, to the maximum extent practicable, shall estab-
lish agreements with entities responsible for the regulation 
or sponsorship of gaming in the State to determine whether 
individuals participating in the supplemental nutrition assist-
ance program have received substantial lottery or gambling 
winnings.’’. 
SEC. 4010. IMPROVING SECURITY OF FOOD ASSISTANCE. 
Section 7(h)(8) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2016(h)(8)) is amended— 
(1) in the paragraph heading, by striking ‘‘CARD FEE’’ and 
inserting ‘‘OF CARDS’’; 
(2) by striking ‘‘A State’’ and inserting the following: 
‘‘(A) FEES.—A State’’; and 
(3) by adding after subparagraph (A) (as so designated) 
the following: 
‘‘(B) PURPOSEFUL LOSS OF CARDS.— 
‘‘(i) IN GENERAL.—Subject to terms and conditions 
established by the Secretary in accordance with clause 
(ii), if a household makes excessive requests for replace-
ment of the electronic benefit transfer card of the 
household, the Secretary may require a State agency 
to decline to issue a replacement card to the household 
unless the household, upon request of the State agency, 
provides an explanation for the loss of the card. 
‘‘(ii) REQUIREMENTS.—The terms and conditions 
established by the Secretary shall provide that— 
‘‘(I) the household be given the opportunity 
to provide the requested explanation and meet 
the requirements under this paragraph promptly; 
‘‘(II) after an excessive number of lost cards, 
the head of the household shall be required to 
review program rights and responsibilities with 
State agency personnel authorized to make deter-
minations under section 5(a); and 
‘‘(III) any action taken, including actions 
required under section 6(b)(2), other than the with-
holding of the electronic benefit transfer card until 
an explanation described in subclause (I) is pro-
vided, shall be consistent with the due process
H. R. 2642—142 
protections under section 6(b) or 11(e)(10), as 
appropriate. 
‘‘(C) PROTECTING
VULNERABLE
PERSONS.—In imple-
menting this paragraph, a State agency shall act to protect 
homeless persons, persons with disabilities, victims of 
crimes, and other vulnerable persons who lose electronic 
benefit transfer cards but are not intentionally committing 
fraud. 
‘‘(D) EFFECT
ON
ELIGIBILITY.—While a State may 
decline to issue an electronic benefits transfer card until 
a household satisfies the requirements under this para-
graph, nothing in this paragraph shall be considered a 
denial of, or limitation on, the eligibility for benefits under 
section 5.’’. 
SEC. 4011. TECHNOLOGY MODERNIZATION FOR RETAIL FOOD STORES. 
(a) MOBILE TECHNOLOGIES.—Section 7(h) of the Food and Nutri-
tion Act of 2008 (7 U.S.C. 2016(h)) (as amended by section 4030(e)) 
is amended by adding at the end the following: 
‘‘(14) MOBILE TECHNOLOGIES.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), the 
Secretary shall approve retail food stores to redeem benefits 
through electronic means other than wired point of sale 
devices for electronic benefit transfer transactions, if the 
retail food stores— 
‘‘(i) establish recipient protections regarding pri-
vacy, ease of use, access, and support similar to the 
protections provided for transactions made in retail 
food stores; 
‘‘(ii) bear the costs of obtaining, installing, and 
maintaining mobile technologies, including mecha-
nisms needed to process EBT cards and transaction 
fees; 
‘‘(iii) demonstrate the foods purchased with bene-
fits issued under this section through mobile tech-
nologies are purchased at a price not higher than the 
price of the same food purchased by other methods 
used by the retail food store, as determined by the 
Secretary; 
‘‘(iv) provide adequate documentation for each 
authorized transaction, as determined by the Sec-
retary; and 
‘‘(v) meet other criteria as established by the Sec-
retary. 
‘‘(B) DEMONSTRATION
PROJECT
ON
ACCEPTANCE
OF 
BENEFITS OF MOBILE TRANSACTIONS.— 
‘‘(i) IN GENERAL.—Before authorizing implementa-
tion of subparagraph (A) in all States, the Secretary 
shall pilot the use of mobile technologies determined 
by the Secretary to be appropriate to test the feasibility 
and implications for program integrity, by allowing 
retail food stores to accept benefits from recipients 
of supplemental nutrition assistance through mobile 
transactions. 
‘‘(ii) DEMONSTRATION PROJECTS.—To be eligible to 
participate in a demonstration project under clause
H. R. 2642—143 
(i), a retail food store shall submit to the Secretary 
for approval a plan that includes— 
‘‘(I) a description of the technology; 
‘‘(II) the manner by which the retail food store 
will provide proof of the transaction to households; 
‘‘(III) the provision of data to the Secretary, 
consistent with requirements established by the 
Secretary, in a manner that allows the Secretary 
to evaluate the impact of the demonstration on 
participant access, ease of use, and program integ-
rity; and 
‘‘(IV) such other criteria as the Secretary may 
require. 
‘‘(iii) DATE
OF
COMPLETION.—The demonstration 
projects under this subparagraph shall be completed 
and final reports submitted to the Secretary by not 
later than July 1, 2016. 
‘‘(C) REPORT TO CONGRESS.—The Secretary shall— 
‘‘(i) by not later than January 1, 2017, authorize 
implementation of subparagraph (A) in all States, 
unless the Secretary makes a finding, based on the 
data 
provided 
under 
subparagraph 
(B), 
that 
implementation in all States is not in the best interest 
of the supplemental nutrition assistance program; and 
‘‘(ii) if the determination made in clause (i) is 
not to implement subparagraph (A) in all States, 
submit a report to the Committee on Agriculture of 
the House of Representatives and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate that 
includes the basis of the finding.’’. 
(b) ACCEPTANCE
OF
BENEFITS
THROUGH
ON-LINE
TRANS-
ACTIONS.— 
(1) IN GENERAL.—Section 7 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2016) is amended by adding at the end 
the following: 
‘‘(k) OPTION TO ACCEPT PROGRAM BENEFITS THROUGH ON-LINE 
TRANSACTIONS.— 
‘‘(1) IN GENERAL.—Subject to paragraph (4), the Secretary 
shall approve retail food stores to accept benefits from recipients 
of supplemental nutrition assistance through on-line trans-
actions. 
‘‘(2) REQUIREMENTS
TO
ACCEPT
BENEFITS.—A retail food 
store seeking to accept benefits from recipients of supplemental 
nutrition assistance through on-line transactions shall— 
‘‘(A) establish recipient protections regarding privacy, 
ease of use, access, and support similar to the protections 
provided for transactions made in retail food stores; 
‘‘(B) ensure benefits are not used to pay delivery, 
ordering, convenience, or other fees or charges; 
‘‘(C) clearly notify participating households at the time 
a food order is placed— 
‘‘(i) of any delivery, ordering, convenience, or other 
fee or charge associated with the food purchase; and 
‘‘(ii) that any such fee cannot be paid with benefits 
provided under this Act; 
‘‘(D) ensure the security of on-line transactions by using 
the most effective technology available that the Secretary
H. R. 2642—144 
considers appropriate and cost-effective and that is com-
parable to the security of transactions at retail food stores; 
and 
‘‘(E) meet other criteria as established by the Secretary. 
‘‘(3) STATE
AGENCY
ACTION.—Each State agency shall 
ensure that recipients of supplemental nutrition assistance can 
use benefits on-line as described in this subsection as appro-
priate. 
‘‘(4) DEMONSTRATION PROJECT ON ACCEPTANCE OF BENEFITS 
THROUGH ON-LINE TRANSACTIONS.— 
‘‘(A) IN
GENERAL.—Before the Secretary authorizes 
implementation of paragraph (1) in all States, the Secretary 
shall carry out a number of demonstration projects as 
determined by the Secretary to test the feasibility of 
allowing retail food stores to accept benefits through on- 
line transactions. 
‘‘(B) DEMONSTRATION
PROJECTS.—To be eligible to 
participate in a demonstration project under subparagraph 
(A), a retail food store shall submit to the Secretary for 
approval a plan that includes— 
‘‘(i) a method of ensuring that benefits may be 
used to purchase only eligible items under this Act; 
‘‘(ii) a description of the method of educating 
participant households about the availability and oper-
ation of on-line purchasing; 
‘‘(iii) adequate testing of the on-line purchasing 
option prior to implementation; 
‘‘(iv) the provision of data as requested by the 
Secretary for purposes of analyzing the impact of the 
project on participant access, ease of use, and program 
integrity; 
‘‘(v) reports on progress, challenges, and results, 
as determined by the Secretary; and 
‘‘(vi) such other criteria, including security criteria, 
as established by the Secretary. 
‘‘(C) 
DATE
OF
COMPLETION.—The 
demonstration 
projects under this paragraph shall be completed and final 
reports submitted to the Secretary by not later than July 
1, 2016. 
‘‘(5) REPORT TO CONGRESS.—The Secretary shall— 
‘‘(A) by not later than January 1, 2017, authorize 
implementation of paragraph (1) in all States, unless the 
Secretary makes a finding, based on the data provided 
under paragraph (4), that implementation in all States 
is not in the best interest of the supplemental nutrition 
assistance program; and 
‘‘(B) if the determination made in subparagraph (A) 
is not to implement in all States, submit a report to the 
Committee on Agriculture of the House of Representatives 
and the Committee on Agriculture, Nutrition, and Forestry 
of the Senate that includes the basis of the finding.’’. 
(2) CONFORMING AMENDMENTS.— 
(A) Section 7(b) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2016(b)) is amended by striking ‘‘purchase food 
in retail food stores’’ and inserting ‘‘purchase food from 
retail food stores’’.
H. R. 2642—145 
(B) Section 10 of the Food and Nutrition Act of 2008 
(7 U.S.C. 2019) is amended in the first sentence by 
inserting ‘‘retail food stores authorized to accept and 
redeem benefits through on-line transactions shall be 
authorized to accept benefits prior to the delivery of food 
if the delivery occurs within a reasonable time of the pur-
chase, as determined by the Secretary,’’ after ‘‘food so pur-
chased,’’. 
(c) SAVINGS CLAUSE.—Nothing in this section or an amendment 
made by this section alters any requirements of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) unless specifically 
authorized in this section or an amendment made by this section. 
SEC. 4012. USE OF BENEFITS FOR PURCHASE OF COMMUNITY-SUP-
PORTED AGRICULTURE SHARE. 
Subsection (o)(4) of section 3 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2012) (as redesignated by section 4030(a)(4)) 
is amended by inserting ‘‘, or agricultural producers who market 
agricultural products directly to consumers’’ after ‘‘such food’’. 
SEC. 4013. IMPROVED WAGE VERIFICATION USING THE NATIONAL 
DIRECTORY OF NEW HIRES. 
Section 11(e) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020(e)) is amended— 
(1) in paragraph (3), by inserting ‘‘and after compliance 
with the requirement specified in paragraph (24)’’ after ‘‘section 
16(e) of this Act’’; 
(2) in paragraph (22), by striking ‘‘and’’ at the end; 
(3) in paragraph (23)(C), by striking the period at the 
end and inserting ‘‘; and’’; and 
(4) by adding at the end the following: 
‘‘(24) that the State agency shall request wage data directly 
from the National Directory of New Hires established under 
section 453(i) of the Social Security Act (42 U.S.C. 653(i)) rel-
evant to determining eligibility to receive supplemental nutri-
tion assistance program benefits and determining the correct 
amount of those benefits at the time of certification.’’. 
SEC. 4014. RESTAURANT MEALS PROGRAM. 
(a) IN GENERAL.—Section 11(e) of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2020(e)) (as amended by section 4013) is 
amended— 
(1) in paragraph (23)(C), by striking ‘‘and’’ at the end; 
(2) in paragraph (24), by striking the period at the end 
and inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(25) if the State elects to carry out a program to contract 
with private establishments to offer meals at concessional 
prices, as described in paragraphs (3), (4), and (9) of section 
3(k)— 
‘‘(A) the plans of the State agency for operating the 
program, including— 
‘‘(i) documentation of a need that eligible homeless, 
elderly, and disabled clients are underserved in a par-
ticular geographic area; 
‘‘(ii) the manner by which the State agency will 
limit participation to only those private establishments
H. R. 2642—146 
that the State determines necessary to meet the need 
identified in clause (i); and 
‘‘(iii) any other conditions the Secretary may pre-
scribe, such as the level of security necessary to ensure 
that only eligible recipients participate in the program; 
and 
‘‘(B) a report by the State agency to the Secretary 
annually, the schedule of which shall be established by 
the Secretary, that includes— 
‘‘(i) the number of households and individual recipi-
ents authorized to participate in the program, including 
any information on whether the individual recipient 
is elderly, disabled, or homeless; and 
‘‘(ii) an assessment of whether the program is 
meeting an established need, as documented under 
subparagraph (A)(i).’’. 
(b) APPROVAL OF RETAIL FOOD STORES AND WHOLESALE FOOD 
CONCERNS.—Section 9 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2018) (as amended by section 4002(d)(2)) is amended by 
adding at the end the following: 
‘‘(h) PRIVATE ESTABLISHMENTS.— 
‘‘(1) IN
GENERAL.—Subject to paragraph (2), no private 
establishment that contracts with a State agency to offer meals 
at concessional prices as described in paragraphs (3), (4), and 
(9) of section 3(k) may be authorized to accept and redeem 
benefits unless the Secretary determines that the participation 
of the private establishment is required to meet a documented 
need in accordance with section 11(e)(25). 
‘‘(2) EXISTING CONTRACTS.— 
‘‘(A) IN GENERAL.—If, on the day before the date of 
enactment of this subsection, a State has entered into 
a contract with a private establishment described in para-
graph (1) and the Secretary has not determined that the 
participation of the private establishment is necessary to 
meet a documented need in accordance with section 
11(e)(25), the Secretary shall allow the operation of the 
private establishment to continue without that determina-
tion of need for a period not to exceed 180 days from 
the date on which the Secretary establishes determination 
criteria, by regulation, under section 11(e)(25). 
‘‘(B) JUSTIFICATION.—If the Secretary determines to 
terminate a contract with a private establishment that 
is in effect on the date of enactment of this subsection, 
the Secretary shall provide justification to the State in 
which the private establishment is located for that termi-
nation. 
‘‘(3) REPORT TO CONGRESS.—Not later than 90 days after 
September 30, 2014, and 90 days after the last day of each 
fiscal year thereafter, the Secretary shall submit to the Com-
mittee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of the 
Senate a report on the effectiveness of a program under this 
subsection using any information received from States under 
section 11(e)(25) as well as any other information the Secretary 
may have relating to the manner in which benefits are used.’’. 
(c) CONFORMING AMENDMENTS.—Section 3(k) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2012(k)) is amended by inserting
H. R. 2642—147 
‘‘subject to section 9(h)’’ after ‘‘concessional prices’’ each place it 
appears. 
SEC. 4015. MANDATING STATE IMMIGRATION VERIFICATION. 
Section 11 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020) is amended by striking subsection (p) and inserting the fol-
lowing: 
‘‘(p) STATE VERIFICATION OPTION.—In carrying out the supple-
mental nutrition assistance program, a State agency shall be 
required to use an immigration status verification system estab-
lished under section 1137 of the Social Security Act (42 U.S.C. 
1320b–7), and an income and eligibility verification system, in 
accordance with standards set by the Secretary.’’. 
SEC. 4016. DATA EXCHANGE STANDARDIZATION FOR IMPROVED INTER-
OPERABILITY. 
(a) DATA EXCHANGE STANDARDIZATION.—Section 11 of the Food 
and Nutrition Act of 2008 (7 U.S.C. 2020) is amended by adding 
at the end the following: 
‘‘(v) DATA EXCHANGE STANDARDS FOR IMPROVED INTEROPER-
ABILITY.— 
‘‘(1) DESIGNATION.—The Secretary shall, in consultation 
with an interagency work group established by the Office of 
Management and Budget, and considering State government 
perspectives, designate data exchange standards to govern, 
under this Act— 
‘‘(A) necessary categories of information that State 
agencies operating related programs are required under 
applicable law to electronically exchange with another 
State agency; and 
‘‘(B) Federal reporting and data exchange required 
under applicable law. 
‘‘(2) 
REQUIREMENTS.—The 
data 
exchange 
standards 
required by paragraph (1) shall, to the maximum extent prac-
ticable— 
‘‘(A) incorporate a widely accepted, nonproprietary, 
searchable, computer-readable format, such as the eXten-
sible Markup Language; 
‘‘(B) contain interoperable standards developed and 
maintained by intergovernmental partnerships, such as the 
National Information Exchange Model; 
‘‘(C) incorporate interoperable standards developed and 
maintained by Federal entities with authority over con-
tracting and financial assistance; 
‘‘(D) be consistent with and implement applicable 
accounting principles; 
‘‘(E) be implemented in a manner that is cost-effective 
and improves program efficiency and effectiveness; and 
‘‘(F) be capable of being continually upgraded as nec-
essary. 
‘‘(3) RULES OF CONSTRUCTION.—Nothing in this subsection 
requires a change to existing data exchange standards for Fed-
eral reporting found to be effective and efficient.’’. 
(b) APPLICATION DATE.— 
(1) IN GENERAL.—Not later than 2 years after the date 
of enactment of this Act, the Secretary shall issue a proposed 
rule to carry out the amendments made by this section. 
(2) REQUIREMENTS.—The rule shall—
H. R. 2642—148 
(A) identify federally required data exchanges; 
(B) include specification and timing of exchanges to 
be standardized; 
(C) address the factors used in determining whether 
and when to standardize data exchanges; 
(D) specify State implementation options; and 
(E) describe future milestones. 
SEC. 4017. PILOT PROJECTS TO IMPROVE FEDERAL-STATE COOPERA-
TION IN IDENTIFYING AND REDUCING FRAUD IN THE 
SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM. 
Section 12 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2021) is amended by adding at the end the following: 
‘‘(i) PILOT PROJECTS TO IMPROVE FEDERAL-STATE COOPERATION 
IN IDENTIFYING AND REDUCING FRAUD IN THE SUPPLEMENTAL NUTRI-
TION ASSISTANCE PROGRAM.— 
‘‘(1) PILOT PROJECTS REQUIRED.— 
‘‘(A) IN GENERAL.—The Secretary shall carry out, under 
such terms and conditions as are determined by the Sec-
retary, pilot projects to test innovative Federal-State part-
nerships to identify, investigate, and reduce fraud by retail 
food stores and wholesale food concerns in the supplemental 
nutrition assistance program, including allowing States to 
operate programs to investigate that fraud. 
‘‘(B) REQUIREMENT.—At least 1 pilot project described 
in subparagraph (A) shall be carried out in an urban area 
that is among the 10 largest urban areas in the United 
States (based on population), if— 
‘‘(i) the supplemental nutrition assistance program 
is separately administered in the area; and 
‘‘(ii) if the administration of the supplemental 
nutrition assistance program in the area complies with 
the other applicable requirements of the program. 
‘‘(2) SELECTION CRITERIA.—Pilot projects shall be selected 
based on criteria the Secretary establishes, which shall 
include— 
‘‘(A) enhancing existing efforts by the Secretary to 
reduce fraud described in paragraph (1)(A); 
‘‘(B) requiring participant States to maintain the 
overall level of effort of the States at addressing recipient 
fraud, as determined by the Secretary, prior to participation 
in the pilot project; 
‘‘(C) collaborating with other law enforcement authori-
ties as necessary to carry out an effective pilot project; 
‘‘(D) commitment of the participant State agency to 
follow Federal rules and procedures with respect to inves-
tigations described in paragraph (1)(A); and 
‘‘(E) the extent to which a State has committed 
resources to recipient fraud and the relative success of 
those efforts. 
‘‘(3) EVALUATION.— 
‘‘(A) IN GENERAL.—The Secretary shall evaluate the 
pilot projects selected under this subsection to measure 
the impact of the pilot projects. 
‘‘(B) REQUIREMENTS.—The evaluation shall include—
H. R. 2642—149 
‘‘(i) the impact of each pilot project on increasing 
the capacity of the Secretary to address fraud described 
in paragraph (1)(A); 
‘‘(ii) the effectiveness of the pilot projects in identi-
fying, preventing and reducing fraud described in para-
graph (1)(A); and 
‘‘(iii) the cost effectiveness of the pilot projects. 
‘‘(4) REPORT TO CONGRESS.—Not later than September 30, 
2017, the Secretary shall submit to the Committee on Agri-
culture of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate, a report 
that includes a description of the results of each pilot project, 
including— 
‘‘(A) an evaluation of the impact of the pilot project 
on fraud described in paragraph (1)(A); and 
‘‘(B) the costs associated with the pilot project. 
‘‘(5) FUNDING.—Any costs incurred by a State to operate 
pilot projects under this subsection that are in excess of the 
amount expended under this Act to identify, investigate, and 
reduce fraud described in paragraph (1)(A) in the respective 
State in the previous fiscal year shall not be eligible for Federal 
reimbursement under this Act.’’. 
SEC. 4018. PROHIBITING GOVERNMENT-SPONSORED RECRUITMENT 
ACTIVITIES. 
(a) ADMINISTRATIVE COST-SHARING AND QUALITY CONTROL.— 
Section 16(a)(4) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2025(a)(4)) is amended by inserting after ‘‘recruitment activities’’ 
the following: ‘‘designed to persuade an individual to apply for 
program benefits or that promote the program through television, 
radio, or billboard advertisements’’. 
(b) LIMITATION ON USE OF FUNDS AUTHORIZED TO BE APPRO-
PRIATED UNDER ACT.—Section 18 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2027) is amended by adding at the end the 
following: 
‘‘(g) BAN ON RECRUITMENT AND PROMOTION ACTIVITIES.— 
‘‘(1) IN GENERAL.—Except as provided in paragraph (2), 
no funds authorized to be appropriated under this Act shall 
be used by the Secretary for— 
‘‘(A) recruitment activities designed to persuade an 
individual to apply for supplemental nutrition assistance 
program benefits; 
‘‘(B) television, radio, or billboard advertisements that 
are designed to promote supplemental nutrition assistance 
program benefits and enrollment; or 
‘‘(C) 
any 
agreements 
with 
foreign 
governments 
designed to promote supplemental nutrition assistance pro-
gram benefits and enrollment. 
‘‘(2) LIMITATION.—Paragraph (1)(B) shall not apply to pro-
grammatic activities undertaken with respect to benefits made 
under section 5(h).’’. 
(c) BAN ON RECRUITMENT ACTIVITIES BY ENTITIES THAT RECEIVE 
FUNDS.—Section 18 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2027) (as amended by subsection (b)) is amended by adding at 
the end the following: 
‘‘(h) BAN ON RECRUITMENT BY ENTITIES THAT RECEIVE FUNDS.— 
The Secretary shall issue regulations that prohibit entities that
H. R. 2642—150 
receive funds under this Act to compensate any person for con-
ducting outreach activities relating to participation in, or for 
recruiting individuals to apply to receive benefits under, the supple-
mental nutrition assistance program, if the amount of the compensa-
tion would be based on the number of individuals who apply to 
receive the benefits.’’. 
SEC. 4019. TOLERANCE LEVEL FOR EXCLUDING SMALL ERRORS. 
Section 16(c)(1)(A) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2025(c)(1)(A)) is amended— 
(1) by striking ‘‘In carrying’’ and inserting the following: 
‘‘(i) IN GENERAL.—In carrying’’; and 
(2) by adding at the end the following: 
‘‘(ii) TOLERANCE
LEVEL
FOR
EXCLUDING
SMALL 
ERRORS.—The Secretary shall set the tolerance level 
for excluding small errors for the purposes of this 
subsection— 
‘‘(I) for fiscal year 2014, at an amount not 
greater than $37; and 
‘‘(II) for each fiscal year thereafter, the amount 
specified in subclause (I) adjusted by the percent-
age by which the thrifty food plan is adjusted 
under section 3(u)(4) between June 30, 2013, and 
June 30 of the immediately preceding fiscal year.’’. 
SEC. 4020. QUALITY CONTROL STANDARDS. 
(a) IN GENERAL.—Section 16(c)(1)(D)(i) of the Food and Nutri-
tion Act of 2008 (7 U.S.C. 2025(c)(1)(D)(i)) is amended by striking 
subclause (I). 
(b) CONFORMING AMENDMENTS.— 
(1) Section 13(a)(1) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2022(a)(1)) is amended in the first sentence by striking 
‘‘section 
16(c)(1)(D)(i)(III)’’ 
and 
inserting 
‘‘section 
16(c)(1)(D)(i)(II)’’. 
(2) Section 16(c)(1) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2025(c)(1)) is amended— 
(A) in subparagraph (D)— 
(i) in clause (i)— 
(I) by redesignating subclauses (II) through 
(IV) as subclauses (I) through (III), respectively; 
and 
(II) in subclause (III) (as so redesignated), by 
striking ‘‘through (III)’’ and inserting ‘‘and (II)’’; 
and 
(ii) in clause (ii), by striking ‘‘waiver amount or’’; 
(B) in subparagraph (E)(i), by striking ‘‘(D)(i)(III)’’ and 
inserting ‘‘(D)(i)(II)’’; and 
(C) in subparagraph (F), by striking ‘‘(D)(i)(II)’’ each 
place it appears and inserting ‘‘(D)(i)(I)’’. 
SEC. 4021. PERFORMANCE BONUS PAYMENTS. 
Section 16(d) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2025(d)) is amended by adding at the end the following: 
‘‘(5) USE
OF
PERFORMANCE
BONUS
PAYMENTS.—A State 
agency may use a performance bonus payment received under 
this subsection only to carry out the program established under 
this Act, including investments in— 
‘‘(A) technology;
H. R. 2642—151 
‘‘(B) improvements in administration and distribution; 
and 
‘‘(C) actions to prevent fraud, waste, and abuse.’’. 
SEC. 4022. PILOT PROJECTS TO REDUCE DEPENDENCY AND INCREASE 
WORK 
REQUIREMENTS 
AND 
WORK 
EFFORT 
UNDER 
SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM. 
(a) IN GENERAL.—Section 16(h) of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2025(h)) is amended— 
(1) in paragraph (1)— 
(A) in subparagraph (A)— 
(i) by striking ‘‘15 months’’ and inserting ‘‘24 
months’’; and 
(ii) by striking ‘‘, except that for fiscal year 2013 
and fiscal year 2014, the amount shall be $79,000,000’’; 
(B) in subparagraph (C)— 
(i) by striking ‘‘If a State’’ and inserting the fol-
lowing: 
‘‘(i) IN GENERAL.—If a State’’; and 
(ii) by adding at the end the following: 
‘‘(ii) TIMING.—The Secretary shall collect such 
information as the Secretary determines to be nec-
essary about the expenditures and anticipated expendi-
tures by the State agencies of the funds initially allo-
cated to the State agencies under subparagraph (A) 
to make reallocations of unexpended funds under 
clause (i) within a timeframe that allows each State 
agency to which funds are reallocated at least 270 
days to expend the reallocated funds. 
‘‘(iii) OPPORTUNITY.—The Secretary shall ensure 
that all State agencies have an opportunity to obtain 
reallocated funds.’’; and 
(C) by adding at the end the following: 
‘‘(F) PILOT
PROJECTS
TO
REDUCE
DEPENDENCY
AND 
INCREASE WORK REQUIREMENTS AND WORK EFFORT UNDER 
SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM.— 
‘‘(i) PILOT PROJECTS REQUIRED.— 
‘‘(I) IN GENERAL.—The Secretary shall carry 
out pilot projects under which State agencies shall 
enter into cooperative agreements with the Sec-
retary to develop and test methods, including oper-
ating work programs with certain features com-
parable to the program of block grants to States 
for temporary assistance for needy families estab-
lished under part A of title IV of the Social Security 
Act (42 U.S.C. 601 et seq.), for employment and 
training programs and services to raise the number 
of work registrants under section 6(d) of this Act 
who obtain unsubsidized employment, increase the 
earned income of the registrants, and reduce the 
reliance of the registrants on public assistance, 
so as to reduce the need for supplemental nutrition 
assistance benefits. 
‘‘(II) REQUIREMENTS.—Pilot projects shall— 
‘‘(aa) meet such terms and conditions as 
the Secretary considers to be appropriate; and
H. R. 2642—152 
‘‘(bb) except as otherwise provided in this 
subparagraph, be in accordance with the 
requirements of sections 6(d) and 20. 
‘‘(ii) SELECTION CRITERIA.— 
‘‘(I) IN GENERAL.—The Secretary shall select 
pilot projects under this subparagraph in accord-
ance with the criteria established under this clause 
and additional criteria established by the Sec-
retary. 
‘‘(II) QUALIFYING CRITERIA.—To be eligible to 
participate in a pilot project, a State agency shall— 
‘‘(aa) agree to participate in the evaluation 
described in clause (vii), including providing 
evidence that the State has a robust data 
collection system for program administration 
and cooperating to make available State data 
on the employment activities and post-partici-
pation employment, earnings, and public ben-
efit receipt of participants to ensure proper 
and timely evaluation; 
‘‘(bb) commit to collaborate with the State 
workforce board and other job training pro-
grams in the State and local area; and 
‘‘(cc) commit to maintain at least the 
amount of State funding for employment and 
training programs and services under para-
graphs (2) and (3) and under section 20 as 
the State expended for fiscal year 2013. 
‘‘(III) SELECTION CRITERIA.—In selecting pilot 
projects, the Secretary shall— 
‘‘(aa) consider the degree to which the pilot 
project would enhance existing employment 
and training programs in the State; 
‘‘(bb) consider the degree to which the pilot 
project would enhance the employment and 
earnings of program participants; 
‘‘(cc) consider whether there is evidence 
that the pilot project could be replicated easily 
by other States or political subdivisions; 
‘‘(dd) consider whether the State agency 
has a demonstrated capacity to operate high 
quality employment and training programs; 
and 
‘‘(ee) ensure the pilot projects, when 
considered as a group, test a range of strate-
gies, including strategies that— 
‘‘(AA) target individuals with low 
skills or limited work experience, individ-
uals subject to the requirements under 
section 6(o), and individuals who are 
working; 
‘‘(BB) are located in a range of 
geographic areas and States, including 
rural and urban areas; 
‘‘(CC) 
emphasize 
education 
and 
training, 
rehabilitative 
services 
for 
individuals with barriers to employment,
H. R. 2642—153 
rapid attachment to employment, and 
mixed strategies; and 
‘‘(DD) test programs that assign work 
registrants to mandatory and voluntary 
participation in employment and training 
activities. 
‘‘(iii) ACCOUNTABILITY .— 
‘‘(I) IN GENERAL.—The Secretary shall estab-
lish and implement a process to terminate a pilot 
project for which the State has failed to meet 
the criteria described in clause (ii) or other criteria 
established by the Secretary. 
‘‘(II) TIMING.—The process shall include a 
reasonable time period, not to exceed 180 days, 
for State agencies found noncompliant to correct 
the noncompliance. 
‘‘(iv) EMPLOYMENT
AND
TRAINING
ACTIVITIES.— 
Allowable programs and services carried out under 
this subparagraph shall include those programs and 
services authorized under this Act and employment 
and training activities authorized under the program 
of block grants to States for temporary assistance for 
needy families established under part A of title IV 
of the Social Security Act (42 U.S.C. 601 et seq.), 
including: 
‘‘(I) Employment in the public or private sector 
that is not subsidized by any public program. 
‘‘(II) Employment in the private sector for 
which the employer receives a subsidy from public 
funds to offset all or a part of the wages and 
costs of employing an adult. 
‘‘(III) Employment in the public sector for 
which the employer receives a subsidy from public 
funds to offset all or a part of the wages and 
costs of employing an adult. 
‘‘(IV) A work activity that— 
‘‘(aa) is performed in return for public 
benefits; 
‘‘(bb) provides an adult with an oppor-
tunity to acquire the general skills, knowledge, 
and work habits necessary to obtain employ-
ment; 
‘‘(cc) is designed to improve the employ-
ability of those who cannot find unsubsidized 
employment; and 
‘‘(dd) is supervised by an employer, work 
site sponsor, or other responsible party on an 
ongoing basis. 
‘‘(V) Training in the public or private sector 
that— 
‘‘(aa) is given to a paid employee while 
the employee is engaged in productive work; 
and 
‘‘(bb) provides knowledge and skills essen-
tial to the full and adequate performance of 
the job.
H. R. 2642—154 
‘‘(VI) Job search, obtaining employment, or 
preparation 
to 
seek 
or 
obtain 
employment, 
including— 
‘‘(aa) life skills training; 
‘‘(bb) substance abuse treatment or mental 
health treatment, determined to be necessary 
and documented by a qualified medical, sub-
stance abuse, or mental health professional; 
and 
‘‘(cc) rehabilitation activities, supervised 
by a public agency or other responsible party 
on an ongoing basis. 
‘‘(VII) Structured programs and embedded 
activities— 
‘‘(aa) in which adults perform work for 
the direct benefit of the community under the 
auspices of public or nonprofit organizations; 
‘‘(bb) that are limited to projects that serve 
useful community purposes in fields such as 
health, social service, environmental protec-
tion, education, urban and rural redevelop-
ment, welfare, recreation, public facilities, 
public safety, and child care; 
‘‘(cc) that are designed to improve the 
employability of adults not otherwise able to 
obtain unsubsidized employment; 
‘‘(dd) that are supervised on an ongoing 
basis; and 
‘‘(ee) with respect to which a State agency 
takes into account, to the maximum extent 
practicable, the prior training, experience, and 
skills of a recipient in making appropriate 
community service assignments. 
‘‘(VIII) Career and technical training programs 
that are— 
‘‘(aa) directly related to the preparation 
of adults for employment in current or 
emerging occupations; and 
‘‘(bb) supervised on an ongoing basis. 
‘‘(IX) Training or education for job skills that 
are— 
‘‘(aa) required by an employer to provide 
an adult with the ability to obtain employment 
or to advance or adapt to the changing 
demands of the workplace; and 
‘‘(bb) supervised on an ongoing basis. 
‘‘(X) Education that is— 
‘‘(aa) related to a specific occupation, job, 
or job offer; and 
‘‘(bb) supervised on an ongoing basis. 
‘‘(XI) In the case of an adult who has not 
completed secondary school or received a certificate 
of general equivalence, regular attendance that 
is— 
‘‘(aa) in accordance with the requirements 
of the secondary school or course of study, 
at a secondary school or in a course of study
H. R. 2642—155 
leading to a certificate of general equivalence; 
and 
‘‘(bb) supervised on an ongoing basis. 
‘‘(XII) Providing child care to enable another 
recipient of public benefits to participate in a 
community service program that— 
‘‘(aa) does not provide compensation for 
the community service; 
‘‘(bb) is a structured program designed to 
improve the employability of adults who 
participate in the program; and 
‘‘(cc) is supervised on an ongoing basis. 
‘‘(v) SANCTIONS.—Subject to clause (vi), no work 
registrant shall be eligible to participate in the supple-
mental nutrition assistance program if the individual 
refuses without good cause to participate in an employ-
ment and training program under this subparagraph, 
to the extent required by the State agency. 
‘‘(vi) STANDARDS.— 
‘‘(I) IN GENERAL.—Employment and training 
activities under this subparagraph shall be consid-
ered to be carried out under section 6(d), including 
for the purpose of satisfying any conditions of 
participation and duration of ineligibility. 
‘‘(II) STANDARDS
FOR
CERTAIN
EMPLOYMENT 
ACTIVITIES.—The Secretary shall establish stand-
ards for employment activities described in sub-
clauses (I), (II), and (III) of clause (iv) that ensure 
that failure to work for reasons beyond the control 
of an individual, such as involuntary reduction 
in hours of employment, shall not result in ineligi-
bility. 
‘‘(III) PARTICIPATION
IN
OTHER
PROGRAMS.— 
Before assigning a work registrant to mandatory 
employment and training activities, a State agency 
shall— 
‘‘(aa) assess whether the work registrant 
is participating in substantial employment and 
training activities outside of the pilot project 
that are expected to result in the work reg-
istrant gaining increased skills, training, 
work, or experience consistent with the objec-
tives of the pilot project; and 
‘‘(bb) if determined to be acceptable, count 
hours engaged in the activities toward any 
minimum participation requirement. 
‘‘(vii) EVALUATION AND REPORTING.— 
‘‘(I) INDEPENDENT EVALUATION.— 
‘‘(aa) IN GENERAL.—The Secretary shall, 
under such terms and conditions as the Sec-
retary determines to be appropriate, conduct 
for each State agency that enters into a 
cooperative agreement under clause (i) an 
independent longitudinal evaluation of each 
pilot project of the State agency under this 
subparagraph, with results reported not less
H. R. 2642—156 
frequently than in consecutive 12-month incre-
ments. 
‘‘(bb) PURPOSE.—The purpose of the inde-
pendent evaluation shall be to measure the 
impact of employment and training programs 
and services provided by each State agency 
under the pilot projects on the ability of adults 
in each pilot project target population to find 
and retain employment that leads to increased 
household income and reduced reliance on 
public assistance, as well as other measures 
of household well-being, compared to what 
would have occurred in the absence of the 
pilot project. 
‘‘(cc) METHODOLOGY.—The independent 
evaluation shall use valid statistical methods 
that can determine, for each pilot project, the 
difference, if any, between supplemental nutri-
tion assistance and other public benefit receipt 
expenditures, employment, earnings and other 
impacts as determined by the Secretary— 
‘‘(AA) as a result of the employment 
and training programs and services pro-
vided by the State agency under the pilot 
project; as compared to 
‘‘(BB) a control group that is not sub-
ject to the employment and training pro-
grams and services provided by the State 
agency under the pilot project. 
‘‘(II) REPORTING.—Not later than December 31, 
2015, and each December 31 thereafter until the 
completion of the last evaluation under subclause 
(I), the Secretary shall submit to the Committee 
on Agriculture of the House of Representatives 
and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate and share broadly, including 
by posting on the Internet website of the Depart-
ment of Agriculture, a report that includes a 
description of— 
‘‘(aa) the status of each pilot project car-
ried out under this subparagraph; 
‘‘(bb) the results of the evaluation com-
pleted during the previous fiscal year; 
‘‘(cc) to the maximum extent practicable, 
baseline information relevant to the stated 
goals and desired outcomes of the pilot project; 
‘‘(dd) the employment and training pro-
grams and services each State tested under 
the pilot, including— 
‘‘(AA) the system of the State for 
assessing the ability of work registrants 
to participate in and meet the require-
ments of employment and training activi-
ties and assigning work registrants to 
appropriate activities; and
H. R. 2642—157 
‘‘(BB) the employment and training 
activities and services provided under the 
pilot; 
‘‘(ee) the impact of the employment and 
training programs and services on appropriate 
employment, 
income, 
and 
public 
benefit 
receipt as well as other outcomes among 
households participating in the pilot project, 
relative to households not participating; and 
‘‘(ff) the steps and funding necessary to 
incorporate 
into 
State 
employment 
and 
training programs and services the compo-
nents of the pilot projects that demonstrate 
increased employment and earnings. 
‘‘(viii) FUNDING.— 
‘‘(I) IN
GENERAL.—Subject to subclause (II), 
from amounts made available under section 
18(a)(1), the Secretary shall use to carry out this 
subparagraph— 
‘‘(aa) for fiscal year 2014, $10,000,000; and 
‘‘(bb) for fiscal year 2015, $190,000,000. 
‘‘(II) LIMITATIONS.— 
‘‘(aa) IN
GENERAL.—The Secretary shall 
not fund more than 10 pilot projects under 
this subparagraph. 
‘‘(bb) DURATION.—Each pilot project shall 
be in effect for not more than 3 years. 
‘‘(III) AVAILABILITY OF FUNDS.—Funds made 
available under subclause (I) shall remain avail-
able through September 30, 2018. 
‘‘(ix) USE OF FUNDS.— 
‘‘(I) IN GENERAL.—Funds made available under 
this subparagraph for pilot projects shall be used 
only for— 
‘‘(aa) pilot projects that comply with this 
Act; 
‘‘(bb) the program and administrative 
costs of carrying out the pilot projects; 
‘‘(cc) the costs incurred in developing sys-
tems and providing information and data for 
the independent evaluations under clause (vii); 
and 
‘‘(dd) the costs of the evaluations under 
clause (vii). 
‘‘(II) MAINTENANCE OF EFFORT.—Funds made 
available under this subparagraph shall be used 
only to supplement, not to supplant, non-Federal 
funds used for existing employment and training 
activities or services. 
‘‘(III) OTHER
FUNDS.—In carrying out pilot 
projects, States may contribute additional funds 
obtained from other sources, including Federal, 
State, or private funds, on the condition that the 
use of the contributions is permissible under Fed-
eral law.’’; and 
(2) by striking paragraph (5) and inserting the following: 
‘‘(5) MONITORING.—
H. R. 2642—158 
‘‘(A) IN
GENERAL.—The Secretary shall monitor the 
employment and training programs carried out by State 
agencies under section 6(d)(4) and assess the effectiveness 
of the programs in— 
‘‘(i) preparing members of households participating 
in the supplemental nutrition assistance program for 
employment, including the acquisition of basic skills 
necessary for employment; and 
‘‘(ii) increasing the number of household members 
who obtain and retain employment subsequent to 
participation in the employment and training pro-
grams. 
‘‘(B) REPORTING MEASURES.— 
‘‘(i) IN GENERAL.—The Secretary, in consultation 
with the Secretary of Labor, shall develop State 
reporting measures that identify improvements in the 
skills, training, education, or work experience of mem-
bers of households participating in the supplemental 
nutrition assistance program. 
‘‘(ii) REQUIREMENTS.—Measures shall— 
‘‘(I) be based on common measures of perform-
ance for Federal workforce training programs; and 
‘‘(II) include additional indicators that reflect 
the challenges facing the types of members of 
households participating in the supplemental 
nutrition assistance program who participate in 
a specific employment and training component. 
‘‘(iii) STATE REQUIREMENTS.—The Secretary shall 
require that each State employment and training plan 
submitted under section 11(e)(19) identifies appro-
priate reporting measures for each proposed component 
that serves a threshold number of participants deter-
mined by the Secretary of at least 100 people a year. 
‘‘(iv) INCLUSIONS.—Reporting measures described 
in clause (iii) may include— 
‘‘(I) the percentage and number of program 
participants 
who 
received 
employment 
and 
training services and are in unsubsidized employ-
ment subsequent to the receipt of those services; 
‘‘(II) the percentage and number of program 
participants who obtain a recognized credential, 
including a registered apprenticeship, or a regular 
secondary school diploma or its recognized equiva-
lent, while participating in, or within 1 year after 
receiving, employment and training services; 
‘‘(III) the percentage and number of program 
participants who are in an education or training 
program that is intended to lead to a recognized 
credential, including a registered apprenticeship 
or on-the-job training program, a regular sec-
ondary school diploma or its recognized equivalent, 
or unsubsidized employment; 
‘‘(IV) subject to terms and conditions estab-
lished by the Secretary, measures developed by 
each State agency to assess the skills acquisition 
of employment and training program participants 
that reflect the goals of the specific employment
H. R. 2642—159 
and training program components of the State 
agency, which may include, at a minimum— 
‘‘(aa) the percentage and number of pro-
gram participants who are meeting program 
requirements in each component of the edu-
cation and training program of the State 
agency; 
‘‘(bb) the percentage and number of pro-
gram participants who are gaining skills likely 
to lead to employment as measured through 
testing, quantitative or qualitative assess-
ment, or other method; and 
‘‘(cc) the percentage and number of pro-
gram participants who do not comply with 
employment and training requirements and 
who are ineligible under section 6(b); and 
‘‘(V) other indicators approved by the Sec-
retary. 
‘‘(C) OVERSIGHT OF STATE EMPLOYMENT AND TRAINING 
ACTIVITIES.—The Secretary shall assess State employment 
and training programs on a periodic basis to ensure— 
‘‘(i) compliance with Federal employment and 
training program rules and regulations; 
‘‘(ii) that program activities are appropriate to 
meet the needs of the individuals referred by the State 
agency to an employment and training program compo-
nent; 
‘‘(iii) that reporting measures are appropriate to 
identify improvements in skills, training, work and 
experience for participants in an employment and 
training program component; and 
‘‘(iv) for States receiving additional allocations 
under paragraph (1)(E), any information the Secretary 
may require to evaluate the compliance of the State 
agency with paragraph (1), which may include— 
‘‘(I) a report for each fiscal year of the number 
of individuals in the State who meet the conditions 
of paragraph (1)(E)(ii), the number of individuals 
the State agency offers a position in a program 
described in subparagraph (B) or (C) of section 
6(o)(2), and the number who participate in such 
a program; 
‘‘(II) a description of the types of employment 
and training programs the State agency uses to 
comply with paragraph (1)(E) and the availability 
of those programs throughout the State; and 
‘‘(III) any additional information the Secretary 
determines to be appropriate. 
‘‘(D) STATE REPORT.—Each State agency shall annually 
prepare and submit to the Secretary a report on the State 
employment and training program that includes, using 
measures identified under subparagraph (B), the numbers 
of supplemental nutrition assistance program participants 
who have gained skills, training, work, or experience that 
will increase the ability of the participants to obtain regular 
employment.
H. R. 2642—160 
‘‘(E) MODIFICATIONS TO THE STATE EMPLOYMENT AND 
TRAINING PLAN.—Subject to terms and conditions estab-
lished by the Secretary, if the Secretary determines that 
the performance of a State agency with respect to employ-
ment and training outcomes is inadequate, the Secretary 
may require the State agency to make modifications to 
the State employment and training plan to improve the 
outcomes. 
‘‘(F) PERIODIC
EVALUATION.—Subject to terms and 
conditions established by the Secretary, not later than 
October 1, 2016, and not less frequently than once every 
5 years thereafter, the Secretary shall conduct a study 
to review existing practice and research to identify employ-
ment and training program components and practices 
that— 
‘‘(i) effectively assist members of households 
participating in the supplemental nutrition assistance 
program in gaining skills, training, work, or experience 
that will increase the ability of the participants to 
obtain regular employment; and 
‘‘(ii) are best integrated with statewide workforce 
development systems.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 5 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2014) is amended— 
(A) in subsection (d)(14), by inserting ‘‘or a pilot project 
under section 16(h)(1)(F)’’ after ‘‘6(d)(4)(I)’’; 
(B) in subsection (e)(3)(B)(iii), by inserting ‘‘or a pilot 
project under section 16(h)(1)(F)’’ after ‘‘6(d)(4)’’; and 
(C) in subsection (g)(3), in the first sentence, by 
inserting ‘‘or a pilot project under section 16(h)(1)(F)’’ after 
‘‘6(d)’’. 
(2) Section 16(h) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2025(h)) is amended— 
(A) in paragraph (3), by inserting ‘‘or a pilot project 
under paragraph (1)(F)’’ after ‘‘6(d)(4)’’; and 
(B) in paragraph (4), by inserting ‘‘or a pilot project 
under paragraph (1)(F)’’ after ‘‘6(d)(4)’’. 
(3) Section 17(b)(1)(B)(iv)(III)(hh) of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2026(b)(1)(B)(iv)(III)(hh)) is amended by 
inserting ‘‘(h)(1)(F),’’ after ‘‘(g),’’. 
(c) APPLICATION DATE.— 
(1) IN GENERAL.—The amendments made by this section 
(other than the amendments made by subsection (a)(2)) shall 
apply beginning on the date of enactment of this Act. 
(2) PROCESS FOR SELECTING PILOT PROGRAMS.— 
(A) IN GENERAL.—Not later than 180 days after the 
date of enactment of this Act, the Secretary shall— 
(i) develop and publish the process for selecting 
pilot projects under section 16(h)(1)(F) of the Food 
and Nutrition Act of 2008 (as added by subsection 
(a)(1)(C)); and 
(ii) issue such request for proposals for the inde-
pendent evaluation as is determined appropriate by 
the Secretary. 
(B) APPLICATION.—The Secretary shall begin consid-
ering proposals not earlier than 90 days after the date
H. R. 2642—161 
on which the Secretary completes the actions described 
in subparagraph (A). 
(C) SELECTION.—Not later than 180 days after the 
date on which the Secretary completes the actions described 
in subparagraph (A), the Secretary shall select pilot projects 
from the applications submitted in response to the request 
for proposals issued under subparagraph (A). 
(3) MONITORING
OF
EMPLOYMENT
AND
TRAINING
PRO-
GRAMS.— 
(A) IN GENERAL.—Not later than 18 months after the 
date of enactment of this Act, the Secretary shall issue 
interim final regulations implementing the amendments 
made by subsection (a)(2). 
(B) STATE
ACTION.—States shall include reporting 
measures required under section 16(h)(5) of the Food and 
Nutrition Act of 2008 (as amended by subsection (a)(2)) 
in the employment and training plans of the States for 
the first full fiscal year that begins not earlier than 180 
days after the date that the regulations described in 
subparagraph (A) are published. 
SEC. 4023. COOPERATION WITH PROGRAM RESEARCH AND EVALUA-
TION. 
Section 17 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2026) is amended by adding at the end the following: 
‘‘(l) COOPERATION WITH PROGRAM RESEARCH
AND EVALUA-
TION.—Subject to the requirements of this Act, including protections 
under section 11(e)(8), States, State agencies, local agencies, institu-
tions, facilities such as data consortiums, and contractors partici-
pating in programs authorized under this Act shall— 
‘‘(1) cooperate with officials and contractors acting on behalf 
of the Secretary in the conduct of evaluations and studies 
under this Act; and 
‘‘(2) submit information at such time and in such manner 
as the Secretary may require.’’. 
SEC. 4024. AUTHORIZATION OF APPROPRIATIONS. 
Section 18(a)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2027(a)(1)) is amended in the first sentence by striking ‘‘2012’’ 
and inserting ‘‘2018’’. 
SEC. 4025. REVIEW, REPORT, AND REGULATION OF CASH NUTRITION 
ASSISTANCE PROGRAM BENEFITS PROVIDED IN PUERTO 
RICO. 
Section 19 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2028) is amended by adding at the end the following: 
‘‘(e) REVIEW, REPORT, AND REGULATION OF CASH NUTRITION 
ASSISTANCE PROGRAM BENEFITS PROVIDED IN PUERTO RICO.— 
‘‘(1) REVIEW.—The Secretary, in consultation with the Sec-
retary of Health and Human Services, shall carry out a review 
of the provision of nutrition assistance in Puerto Rico in the 
form of cash benefits under this section that shall include— 
‘‘(A) an examination of the history of and purpose 
for distribution of a portion of monthly benefits in the 
form of cash; 
‘‘(B) an examination of current barriers to the redemp-
tion of non-cash benefits by current program participants 
and retailers;
H. R. 2642—162 
‘‘(C) an examination of current usage of cash benefits 
for the purchase of non-food and other prohibited items; 
‘‘(D) an identification and assessment of potential 
adverse effects of the discontinuation of a portion of benefits 
in the form of cash for program participants and retailers; 
and 
‘‘(E) an examination of such other factors as the Sec-
retary determines to be relevant. 
‘‘(2) REPORT.—Not later than 18 months after the date 
of enactment of this Act, the Secretary shall submit to the 
Committee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of the 
Senate, a report that describes the results of the review con-
ducted under this subsection. 
‘‘(3) REGULATION.— 
‘‘(A) IN GENERAL.—Except as provided in subparagraph 
(B), and notwithstanding the second sentence of subsection 
(b)(1)(B)(i), the Secretary shall disapprove any plan sub-
mitted pursuant to subsection (b)(1)(A)— 
‘‘(i) for fiscal year 2017 that provides for the dis-
tribution of more than 20 percent of the nutrition 
assistance benefit of a participant in the form of cash; 
‘‘(ii) for fiscal year 2018 that provides for the dis-
tribution of more than 15 percent of the nutrition 
assistance benefit of a participant in the form of cash; 
‘‘(iii) for fiscal year 2019 that provides for the 
distribution of more than 10 percent of the nutrition 
assistance benefit of a participant in the form of cash; 
‘‘(iv) for fiscal year 2020 that provides for the dis-
tribution of more than 5 percent of the nutrition assist-
ance benefit of a participant in the form of cash; and 
‘‘(v) for fiscal year 2021 that provides for the dis-
tribution of any portion of the nutrition assistance 
benefit of a participant in the form of cash. 
‘‘(B) EXCEPTION.—Notwithstanding subparagraph (A), 
the Secretary, informed by the report required under para-
graph (2), may approve a plan that exempts participants 
or categories of participants if the Secretary determines 
that discontinuation of benefits in the form of cash is 
likely to have significant adverse effects. 
‘‘(4) FUNDING.—Out of any funds made available under 
section 18 for fiscal year 2014, the Secretary shall make avail-
able to carry out the review and report described in paragraphs 
(1) and (2) $1,000,000, to remain available until expended.’’. 
SEC. 4026. ASSISTANCE FOR COMMUNITY FOOD PROJECTS. 
Section 25 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2034) is amended— 
(1) in subsection (a)— 
(A) in paragraph (1)(B)— 
(i) in clause (i)— 
(I) in subclause (I), by inserting after ‘‘individ-
uals’’ the following: ‘‘through food distribution, 
community outreach to assist in participation in 
Federally 
assisted 
nutrition 
programs, 
or 
improving access to food as part of a comprehen-
sive service;’’; and
H. R. 2642—163 
(II) in subclause (III), by inserting ‘‘food 
access,’’ after ‘‘food,’’; and 
(ii) in clause (ii), by striking subclause (I) and 
inserting the following: 
‘‘(I) equipment necessary for the efficient oper-
ation of a project;’’; and 
(B) by striking paragraphs (2) and (3) and inserting 
the following: 
‘‘(2) GLEANER.—The term ‘gleaner’ means an entity that— 
‘‘(A) collects edible, surplus food that would be thrown 
away and distributes the food to agencies or nonprofit 
organizations that feed the hungry; or 
‘‘(B) harvests for free distribution to the needy, or 
for donation to agencies or nonprofit organizations for ulti-
mate distribution to the needy, an agricultural crop that 
has been donated by the owner of the crop. 
‘‘(3) HUNGER-FREE COMMUNITIES GOAL.—The term ‘hunger- 
free communities goal’ means any of the 14 goals described 
in House Concurrent Resolution 302, 102nd Congress, agreed 
to October 5, 1992.’’; 
(2) in subsection (b)(2)— 
(A) in subparagraph (A), by striking ‘‘and’’ at the end; 
(B) in subparagraph (B), by striking ‘‘fiscal year 2008 
and each fiscal year thereafter.’’ and inserting the following: 
‘‘each of fiscal years 2008 through 2014; and 
‘‘(C) $9,000,000 for fiscal year 2015 and each fiscal 
year thereafter.’’; 
(3) in subsection (c)— 
(A) in the matter preceding paragraph (1), by striking 
‘‘private nonprofit entity’’ and inserting ‘‘public food pro-
gram service provider, a tribal organization, or a private 
nonprofit entity, including gleaners,’’; 
(B) in paragraph (1)— 
(i) in subparagraph (A), by striking ‘‘or’’ after the 
semicolon at the end; 
(ii) in subparagraph (B), by inserting ‘‘or’’ after 
the semicolon at the end; and 
(iii) by adding at the end the following: 
‘‘(C) efforts to reduce food insecurity in the community, 
including food distribution, improving access to services, 
or coordinating services and programs;’’; 
(C) in paragraph (2), by striking ‘‘and’’ after the semi-
colon at the end; 
(D) in paragraph (3), by striking the period at the 
end and inserting ‘‘; and’’; and 
(E) by adding at the end the following: 
‘‘(4) collaborate with 1 or more local partner organizations 
to achieve at least 1 hunger-free communities goal.’’; 
(4) in subsection (d)— 
(A) in paragraph (3), by striking ‘‘or’’ after the semi-
colon at the end; 
(B) in paragraph (4), by striking the period at the 
end and inserting ‘‘; or’’; and 
(C) by adding at the end the following: 
‘‘(5) develop new resources and strategies to help reduce 
food insecurity in the community and prevent food insecurity 
in the future by—
H. R. 2642—164 
‘‘(A) developing creative food resources; 
‘‘(B) coordinating food services with park and recreation 
programs and other community-based outlets to reduce 
barriers to access; or 
‘‘(C) creating nutrition education programs for at- risk 
populations to enhance food-purchasing and food- prepara-
tion skills and to heighten awareness of the connection 
between diet and health.’’; 
(5) in subsection (f)(2), by striking ‘‘3 years’’ and inserting 
‘‘5 years’’; and 
(6) by striking subsections (h) and (i) and inserting the 
following: 
‘‘(h) REPORTS
TO CONGRESS.—Not later than September 30, 
2014, and each year thereafter, the Secretary shall submit to Con-
gress a report that describes each grant made under this section, 
including— 
‘‘(1) a description of any activity funded; 
‘‘(2) the degree of success of each activity funded in 
achieving hunger-free community goals; and 
‘‘(3) the degree of success in improving the long-term 
capacity of a community to address food and agriculture prob-
lems related to hunger or access to healthy food.’’. 
SEC. 4027. EMERGENCY FOOD ASSISTANCE. 
(a) PURCHASE OF COMMODITIES.—Section 27(a) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2036(a)) is amended— 
(1) in paragraph (1), by striking ‘‘2008 through 2012’’ and 
inserting ‘‘2014 through 2018’’; 
(2) in paragraph (2)— 
(A) in subparagraph (B), by striking ‘‘and’’ at the end; 
(B) in subparagraph (C)— 
(i) by striking ‘‘2012’’ and inserting ‘‘2018’’; and 
(ii) by striking the period at the end and inserting 
a semicolon; and 
(C) by adding at the end the following: 
‘‘(D) for each of fiscal years 2015 through 2018, the 
sum obtained by adding the total dollar amount of commod-
ities specified in subparagraph (C) and— 
‘‘(i) for fiscal year 2015, $50,000,000; 
‘‘(ii) for fiscal year 2016, $40,000,000; 
‘‘(iii) for fiscal year 2017, $20,000,000; and 
‘‘(iv) for fiscal year 2018, $15,000,000; and 
‘‘(E) for fiscal year 2019 and each subsequent fiscal 
year, the total dollar amount of commodities specified in 
subparagraph (D)(iv) adjusted by the percentage by which 
the thrifty food plan has been adjusted under section 3(u)(4) 
to reflect changes between June 30, 2017, and June 30 
of the immediately preceding fiscal year.’’; and 
(3) by adding at the end the following: 
‘‘(3) FUNDS
AVAILABILITY.—For purposes of the funds 
described in this subsection, the Secretary shall— 
‘‘(A) make the funds available for 2 fiscal years; and 
‘‘(B) allow States to carry over unexpended balances 
to the next fiscal year pursuant to such terms and condi-
tions as are determined by the Secretary.’’. 
(b) EMERGENCY FOOD PROGRAM INFRASTRUCTURE GRANTS.— 
Section 209(d) of the Emergency Food Assistance Act of 1983 (7
H. R. 2642—165 
U.S.C. 7511a(d)) is amended by striking ‘‘2012’’ and inserting 
‘‘2018’’. 
SEC. 4028. NUTRITION EDUCATION. 
Section 28(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2036a(b)) is amended by inserting ‘‘and physical activity’’ after 
‘‘healthy food choices’’. 
SEC. 4029. RETAIL FOOD STORE AND RECIPIENT TRAFFICKING. 
The Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) 
is amended by adding at the end the following: 
‘‘SEC. 29. RETAIL FOOD STORE AND RECIPIENT TRAFFICKING. 
‘‘(a) PURPOSE.—The purpose of this section is to provide the 
Department of Agriculture with additional resources to prevent 
trafficking in violation of this Act by strengthening recipient and 
retail food store program integrity. 
‘‘(b) USE OF FUNDS.— 
‘‘(1) IN GENERAL.—Additional funds are provided under this 
section to supplement the retail food store and recipient integ-
rity activities of the Department. 
‘‘(2) INFORMATION TECHNOLOGIES.—The Secretary shall use 
an appropriate amount of the funds provided under this section 
to employ information technologies known as data mining and 
data warehousing and other available information technologies 
to administer the supplemental nutrition assistance program 
and enforce regulations promulgated under section 4(c). 
‘‘(c) FUNDING.— 
‘‘(1) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to carry out this section $5,000,000 
for each of fiscal years 2014 through 2018. 
‘‘(2) MANDATORY FUNDING.— 
‘‘(A) IN GENERAL.—Out of any funds in the Treasury 
not otherwise appropriated, the Secretary of the Treasury 
shall transfer to the Secretary to carry out this section 
not less than $15,000,000 for fiscal year 2014, to remain 
available until expended. 
‘‘(B) RECEIPT AND ACCEPTANCE.—The Secretary shall 
be entitled to receive, shall accept, and shall use to carry 
out this section the funds transferred under subparagraph 
(A), without further appropriation. 
‘‘(C) MAINTENANCE OF FUNDING.—The funding provided 
under subparagraph (A) shall supplement (and not sup-
plant) other Federal funding for programs carried out under 
this Act.’’. 
SEC. 4030. TECHNICAL AND CONFORMING AMENDMENTS. 
(a) Section 3 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2012) is amended— 
(1) in subsection (g), by striking ‘‘coupon,’’ the last place 
it appears and inserting ‘‘coupon’’; 
(2) in subsection (k)(7), by striking ‘‘or are’’ and inserting 
‘‘and’’; 
(3) by striking subsection (l); 
(4) by redesignating subsections (m) through (t) as sub-
sections (l) through (s), respectively; and 
(5) by inserting after subsection (s) (as so redesignated) 
the following:
H. R. 2642—166 
‘‘(t) ‘Supplemental nutrition assistance program’ means the pro-
gram operated pursuant to this Act.’’. 
(b) Section 4(a) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2013(a)) is amended in the last sentence by striking ‘‘bene-
fits’’ and inserting ‘‘Benefits’’. 
(c) Section 5 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014) is amended— 
(1) in the last sentence of subsection (i)(2)(D), by striking 
‘‘section 13(b)(2)’’ and inserting ‘‘section 13(b)’’; and 
(2) in subsection (k)(4)(A), by striking ‘‘paragraph (2)(H)’’ 
and inserting ‘‘paragraph (2)(G)’’. 
(d) Section 6(d)(4) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2015(d)(4)) is amended in subparagraphs (B)(vii) and (F)(iii) 
by indenting both clauses appropriately. 
(e) Section 7(h) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2016(h)) is amended by redesignating the second paragraph 
(12) (relating to interchange fees) as paragraph (13). 
(f) Section 9(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2018(a)) is amended by indenting paragraph (3) appropriately. 
(g) Section 12 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2021) is amended— 
(1) in subsection (b)(3)(C), by striking ‘‘civil money pen-
alties’’ and inserting ‘‘civil penalties’’; and 
(2) in subsection (g)(1), by striking ‘‘(7 U.S.C. 1786)’’ and 
inserting ‘‘(42 U.S.C. 1786)’’. 
(h) Section 15(b)(1) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2024(b)(1)) is amended in the first sentence by striking 
‘‘an benefit’’ both places it appears and inserting ‘‘a benefit’’. 
(i) Section 16(a) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2025(a)) is amended in the proviso following paragraph 
(8) by striking ‘‘as amended.’’. 
(j) Section 18(e) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2027(e)) is amended in the first sentence by striking ‘‘sections 
7(f)’’ and inserting ‘‘section 7(f)’’. 
(k) Section 22(b)(10)(B)(i) of the Food and Nutrition Act of 
2008 (7 U.S.C. 2031(b)(10)(B)(i)) is amended in the last sentence 
by striking ‘‘Food benefits’’ and inserting ‘‘Benefits’’. 
(l) Section 26(f)(3)(C) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2035(f)(3)(C)) is amended by striking ‘‘subsection’’ and 
inserting ‘‘subsections’’. 
(m) Section 27(a)(1) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2036(a)(1)) is amended by striking ‘‘(Public Law 98– 
8; 7 U.S.C. 612c note)’’ and inserting ‘‘(7 U.S.C. 7515)’’. 
(n) Section 115 of the Personal Responsibility and Work Oppor-
tunity Reconciliation Act of 1996 (21 U.S.C. 862a) is amended— 
(1) in subsection (a)(2), by striking ‘‘food stamp program 
(as defined in section 3(l) of the Food Stamp Act of 1977) 
or any State program carried out under the Food Stamp Act 
of 1977’’ and inserting ‘‘supplemental nutrition assistance pro-
gram (as defined in section 3 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2012)) or any State program carried out 
under that Act’’; 
(2) in subsection (b)(2)— 
(A) in the paragraph heading, by striking ‘‘THE FOOD 
STAMP ACT OF 1977’’ and inserting ‘‘THE FOOD AND NUTRITION 
ACT OF 2008’’; and
H. R. 2642—167 
(B) by striking ‘‘food stamp program (as defined in 
section 3(l) of the Food Stamp Act of 1977), or any State 
program carried out under the Food Stamp Act of 1977’’ 
and inserting ‘‘supplemental nutrition assistance program 
(as defined in section 3 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2012)), or any State program carried 
out under that Act’’; and 
(3) in subsection (e)(2), by striking ‘‘section 3(s) of the 
Food Stamp Act of 1977, when referring to the food stamp 
program (as defined in section 3(l) of the Food Stamp Act 
of 1977) or any State program carried out under the Food 
Stamp Act of 1977’’ and inserting ‘‘section 3 of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2012), when referring to the 
supplemental nutrition assistance program (as defined in that 
section) or any State program carried out under that Act’’. 
(o) Section 3803(c)(2)(C)(vii) of title 31 of the United States 
Code is amended by striking ‘‘section 3(l)’’ and inserting ‘‘section 
3’’. 
(p) Section 453(j)(10) of the Social Security Act (42 U.S.C. 
653(j)(10)) is amended in the paragraph heading by striking ‘‘FOOD 
STAMP PROGRAMS’’ and inserting ‘‘SUPPLEMENTAL NUTRITION ASSIST-
ANCE PROGRAM BENEFITS’’. 
(q) Section 1137 of the Social Security Act (42 U.S.C. 1320b– 
7)— 
(1) in subsection (a)(5)(B), by striking ‘‘food stamp’’ and 
inserting ‘‘supplemental nutrition assistance’’; and 
(2) in subsection (b)(4), by striking ‘‘food stamp program 
under the Food Stamp Act of 1977’’ and inserting ‘‘supplemental 
nutrition assistance program established under the Food and 
Nutrition Act of 2008 (7 U.S.C. 2011 et seq.)’’. 
(r) Section 1631(n) of the Social Security Act (42 U.S.C. 1383) 
is amended in the subsection heading by striking ‘‘FOOD STAMP’’ 
and inserting ‘‘SUPPLEMENTAL NUTRITION ASSISTANCE’’. 
(s) Section 509 of the Older Americans Act of 1965 (42 U.S.C. 
3056g) is amended in the section heading by striking ‘‘FOOD STAMP 
PROGRAMS’’ and inserting ‘‘SUPPLEMENTAL NUTRITION ASSISTANCE 
PROGRAMS’’. 
(t) Section 4(a) of the Agriculture and Consumer Protection 
Act of 1973 (7 U.S.C. 612c note; Public Law 93–86) is amended 
by striking ‘‘Food Stamp Act of 1977’’ and inserting ‘‘Food and 
Nutrition Act of 2008’’. 
(u) Section 5 of the Agriculture and Consumer Protection Act 
of 1973 (7 U.S.C. 612c note; Public Law 93–86) is amended— 
(1) in subsection (h)(1), by striking ‘‘food stamps’’ and 
inserting ‘‘the supplemental nutrition assistance program’’; 
(2) in subsection (i)(1), by striking ‘‘food stamps provided 
under the Food Stamp Act of 1977’’ and inserting ‘‘supplemental 
nutrition assistance benefits provided under the Food and 
Nutrition Act of 2008’’; and 
(3) in subsection (l)(2)(B), by striking ‘‘Food Stamp Act 
of 1977’’ and inserting ‘‘Food and Nutrition Act of 2008’’. 
(v) Section 4115(c)(2)(H) of the Food, Conservation, and Energy 
Act of 2008 (Public Law 110–246; 122 Stat. 1871) is amended 
by striking ‘‘531’’ and inserting ‘‘454’’.
H. R. 2642—168 
SEC. 4031. COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS 
PILOT PROGRAM. 
(a) STUDY.— 
(1) IN GENERAL.—Prior to establishing the pilot program 
under subsection (b), the Secretary shall conduct a study to 
be completed not later than 2 years after the date of enactment 
of this Act to assess— 
(A) the capabilities of the Commonwealth of the 
Northern Mariana Islands to operate the supplemental 
nutrition assistance program established under the Food 
and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) in a 
similar manner as the program is operated in the States 
(as defined in section 3 of that Act (7 U.S.C. 2012)); and 
(B) alternative models of the supplemental nutrition 
assistance program operation and benefit delivery that best 
meet the nutrition assistance needs of the Commonwealth 
of the Northern Mariana Islands. 
(2) SCOPE.—The study conducted under paragraph (1)(A) 
shall assess the capability of the Commonwealth of the 
Northern Mariana Islands to fulfill the responsibilities of a 
State agency (as defined in section 3 of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2012)), including— 
(A) extending and limiting participation to eligible 
households, as required by sections 5 and 6 of that Act 
(7 U.S.C. 2014, 2015); 
(B) issuing benefits through EBT cards, as required 
by section 7 of that Act (7 U.S.C. 2016); 
(C) maintaining the integrity of the program, including 
operation of a quality control system, as required by section 
16(c) of that Act (7 U.S.C. 2025(c)); 
(D) implementing work requirements, including oper-
ating an employment and training program, as required 
by section 6(d) of that Act (7 U.S.C. 2015(d)); and 
(E) paying a share of administrative costs with non- 
Federal funds, as required by section 16(a) of that Act 
(7 U.S.C. 2016(a)). 
(b) ESTABLISHMENT.—If the Secretary determines that a pilot 
program is feasible, the Secretary shall establish a pilot program 
for the Commonwealth of the Northern Mariana Islands to operate 
the supplemental nutrition assistance program in the same manner 
in which the program is operated in the States. 
(c) SCOPE.—The Secretary shall use the information obtained 
from the study conducted under subsection (a) to establish the 
scope of the pilot program established under subsection (b). 
(d) REPORT.—Not later than June 30, 2019, the Secretary shall 
submit to the Committee on Agriculture of the House of Representa-
tives and the Committee on Agriculture, Nutrition, and Forestry 
of the Senate a report on the pilot program carried out under 
this section, including an analysis of the feasibility of operating 
the supplemental nutrition assistance program in the Common-
wealth of the Northern Mariana Islands in the same manner in 
which the program is operated in the States. 
(e) FUNDING.— 
(1) STUDY.—Of the funds made available under section 
18(a)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2027(a)(1)), the Secretary may use to conduct the study
H. R. 2642—169 
described in subsection (a) not more than $1,000,000 for each 
of fiscal years 2014 and 2015. 
(2) PILOT PROGRAM.— 
(A) IN GENERAL.—Except as provided in subparagraph 
(B), of the funds made available under section 18(a)(1) 
of the Food and Nutrition Act of 2008 (7 U.S.C. 2027(a)(1)), 
the Secretary may use to establish and carry out the pilot 
program under subsection (b), including the Federal costs 
for providing technical assistance to the Commonwealth 
of the Northern Mariana Islands, authorizing and moni-
toring retail food stores, and assessing pilot operations, 
not more than— 
(i) $13,500,000 for fiscal year 2016; and 
(ii) $8,500,000 for each of fiscal years 2017 and 
2018. 
(B) EXCEPTION.—If the Secretary determines that a 
pilot program described in subsection (b) is not feasible, 
the Secretary shall provide to the Commonwealth of the 
Northern Mariana Islands any unspent funds described 
in subparagraph (A), which shall— 
(i) be made available for obligation under the 
Commonwealth of the Northern Mariana Islands nutri-
tion assistance program block grant in addition to any 
other funds made available for that grant; and 
(ii) remain available until expended. 
SEC. 4032. ANNUAL STATE REPORT ON VERIFICATION OF SNAP 
PARTICIPATION. 
(a) ANNUAL REPORT.—Not later than 1 year after the date 
specified by the Secretary during the 180-day period beginning 
on the date of enactment of this Act, and annually thereafter, 
each State agency that carries out the supplemental nutrition assist-
ance program established under the Food and Nutrition Act of 
2008 (7 U.S.C. 2011 et seq.) shall submit to the Secretary a report 
containing sufficient information for the Secretary to determine 
whether the State agency has, for the most recently concluded 
fiscal year preceding that annual date, verified that the State 
agency in that fiscal year— 
(1) did not issue benefits to a deceased individual; and 
(2) did not issue benefits to an individual who had been 
permanently disqualified from receiving benefits. 
(b) PENALTY
FOR NONCOMPLIANCE.—For any fiscal year for 
which a State agency fails to comply with subsection (a), the Sec-
retary shall impose a penalty that includes a reduction of up to 
50 percent of the amount that would be otherwise payable to 
the State agency under section 16(a) of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2025(a)) with respect to that fiscal year. 
(c) REPORT OF PILOT PROGRAM TO TEST PREVENTION OF DUPLI-
CATE PARTICIPATION.—Not later than 90 days after the completion 
in multiple States of a temporary pilot program to test the detection 
and prevention of duplicate participation by beneficiaries of the 
supplemental nutrition assistance program established under the 
Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.), the Secretary 
shall submit to the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate a report assessing the feasibility, effective-
ness, and cost for the expansion of the pilot program nationwide.
H. R. 2642—170 
SEC. 4033. SERVICE OF TRADITIONAL FOODS IN PUBLIC FACILITIES. 
(a) PURPOSES.—The purposes of this section are— 
(1) to provide access to traditional foods in food service 
programs; 
(2) to encourage increased consumption of traditional foods 
to decrease health disparities among Indians, particularly 
Alaska Natives; and 
(3) to provide alternative food options for food service pro-
grams. 
(b) DEFINITIONS.—In this section: 
(1) ALASKA NATIVE.—The term ‘‘Alaska Native’’ means a 
person who is a member of any Native village, Village Corpora-
tion, or Regional Corporation (as those terms are defined in 
section 3 of the Alaska Native Claims Settlement Act (43 U.S.C. 
1602)). 
(2) COMMISSIONER.—The term ‘‘Commissioner’’ means the 
Commissioner of Food and Drugs. 
(3) FOOD SERVICE PROGRAM.—The term ‘‘food service pro-
gram’’ includes— 
(A) food service at residential child care facilities that 
have a license from an appropriate State agency; 
(B) any child nutrition program (as that term is defined 
in section 25(b) of the Richard B. Russell National School 
Lunch Act (42 U.S.C. 1769f(b)); 
(C) food service at hospitals, clinics, and long-term 
care facilities; and 
(D) senior meal programs. 
(4) INDIAN; INDIAN TRIBE.—The terms ‘‘Indian’’ and ‘‘Indian 
tribe’’ have the meanings given those terms in section 4 of 
the Indian Self-Determination and Education Assistance Act 
(25 U.S.C. 450b). 
(5) TRADITIONAL FOOD.— 
(A) IN GENERAL.—The term ‘‘traditional food’’ means 
food that has traditionally been prepared and consumed 
by an Indian tribe. 
(B) 
INCLUSIONS.—The 
term 
‘‘traditional 
food’’ 
includes— 
(i) wild game meat; 
(ii) fish; 
(iii) seafood; 
(iv) marine mammals; 
(v) plants; and 
(vi) berries. 
(6) TRIBAL ORGANIZATION.—The term ‘‘tribal organization’’ 
has the meaning given the term in section 4 of the Indian 
Self-Determination and Education Assistance Act (25 U.S.C. 
450b). 
(c) PROGRAM.—The Secretary and the Commissioner shall allow 
the donation to and serving of traditional food through food service 
programs at public facilities and nonprofit facilities, including facili-
ties operated by Indian tribes and facilities operated by tribal 
organizations, that primarily serve Indians if the operator of the 
food service program— 
(1) ensures that the food is received whole, gutted, gilled, 
as quarters, or as a roast, without further processing; 
(2) makes a reasonable determination that— 
(A) the animal was not diseased;
H. R. 2642—171 
(B) the food was butchered, dressed, transported, and 
stored to prevent contamination, undesirable microbial 
growth, or deterioration; and 
(C) the food will not cause a significant health hazard 
or potential for human illness; 
(3) carries out any further preparation or processing of 
the food at a different time or in a different space from the 
preparation or processing of other food for the applicable pro-
gram to prevent cross-contamination; 
(4) cleans and sanitizes food-contact surfaces of equipment 
and utensils after processing the traditional food; 
(5) labels donated traditional food with the name of the 
food; 
(6) stores the traditional food separately from other food 
for the applicable program, including through storage in a 
separate freezer or refrigerator or in a separate compartment 
or shelf in the freezer or refrigerator; 
(7) follows Federal, State, local, county, tribal, or other 
non-Federal law regarding the safe preparation and service 
of food in public or nonprofit facilities; and 
(8) follows other such criteria as established by the Sec-
retary and Commissioner. 
(d) LIABILITY.— 
(1) IN GENERAL.—The United States, an Indian tribe, and 
a tribal organization shall not be liable in any civil action 
for any damage, injury, or death caused to any person by 
the donation to or serving of traditional foods through food 
service programs. 
(2) RULE
OF
CONSTRUCTION.—Nothing in paragraph (1) 
alters any liability or other obligation of the United States 
under the Indian Self-Determination and Education Assistance 
Act (25 U.S.C. 1450 et seq.). 
Subtitle B—Commodity Distribution 
Programs 
SEC. 4101. COMMODITY DISTRIBUTION PROGRAM. 
Section 4(a) of the Agriculture and Consumer Protection Act 
of 1973 (7 U.S.C. 612c note; Public Law 93–86) is amended in 
the first sentence by striking ‘‘2012’’ and inserting ‘‘2018’’. 
SEC. 4102. COMMODITY SUPPLEMENTAL FOOD PROGRAM. 
Section 5 of the Agriculture and Consumer Protection Act of 
1973 (7 U.S.C. 612c note; Public Law 93–86) is amended— 
(1) in paragraphs (1) and (2)(B) of subsection (a), by striking 
‘‘2012’’ each place it appears and inserting ‘‘2018’’; 
(2) in the first sentence of subsection (d)(2), by striking 
‘‘2012’’ and inserting ‘‘2018’’; 
(3) by striking subsection (g) and inserting the following: 
‘‘(g) ELIGIBILITY.—Except as provided in subsection (m), the 
States shall only provide assistance under the commodity supple-
mental food program to low-income persons aged 60 and older.’’; 
and 
(4) by adding at the end the following:
H. R. 2642—172 
‘‘(m) PHASE-OUT.—Notwithstanding any other provision of law, 
an individual who receives assistance under the commodity supple-
mental food program on the day before the date of enactment 
of this subsection shall continue to receive that assistance until 
the date on which the individual is no longer eligible for assistance 
under the eligibility requirements for the program in effect on 
the day before the date of enactment of this subsection.’’. 
SEC. 4103. DISTRIBUTION OF SURPLUS COMMODITIES TO SPECIAL 
NUTRITION PROJECTS. 
Section 1114(a)(2)(A) of the Agriculture and Food Act of 1981 
(7 U.S.C. 1431e(2)(A)) is amended in the first sentence by striking 
‘‘2012’’ and inserting ‘‘2018’’. 
SEC. 4104. PROCESSING OF COMMODITIES. 
(a) IN GENERAL.—Section 17 of the Commodity Distribution 
Reform Act and WIC Amendments of 1987 (7 U.S.C. 612c note; 
Public Law 100–237) is amended— 
(1) in the section heading, by inserting ‘‘AND PROCESSING’’ 
after ‘‘DONATIONS’’; and 
(2) by adding at the end the following: 
‘‘(c) PROCESSING.— 
‘‘(1) IN GENERAL.—For any program included under sub-
section (b), the Secretary may, notwithstanding any other provi-
sion of Federal or State law relating to the procurement of 
goods and services— 
‘‘(A) retain title to commodities delivered to a processor, 
on behalf of a State (including a State distributing agency 
and a recipient agency), until such time as end products 
containing the commodities, or similar commodities as 
approved by the Secretary, are delivered to a State distrib-
uting agency or to a recipient agency; and 
‘‘(B) promulgate regulations to ensure accountability 
for commodities provided to a processor for processing into 
end products, and to facilitate processing of commodities 
into end products for use by recipient agencies. 
‘‘(2) REGULATIONS.—The regulations described in paragraph 
(1)(B) may provide that— 
‘‘(A) a processor that receives commodities for proc-
essing into end products, or provides a service with respect 
to the commodities or end products, in accordance with 
the agreement of the processor with a State distributing 
agency or a recipient agency, provide to the Secretary a 
bond or other means of financial assurance to protect the 
value of the commodities; and 
‘‘(B) in the event a processor fails to deliver to a State 
distributing agency or a recipient agency an end product 
in conformance with the processing agreement entered into 
under this Act, the Secretary— 
‘‘(i) take action with respect to the bond or other 
means of financial assurance pursuant to regulations 
promulgated under this subsection; and 
‘‘(ii) distribute any proceeds obtained by the Sec-
retary to 1 or more State distributing agencies and 
recipient agencies, as determined appropriate by the 
Secretary.’’. 
(b) DEFINITIONS.—Section 18 of the Commodity Distribution 
Reform Act and WIC Amendments of 1987 (7 U.S.C. 612c note;
H. R. 2642—173 
Public Law 100–237) is amended by striking paragraphs (1) and 
(2) and inserting the following: 
‘‘(1) COMMODITIES.—The term ‘commodities’ means agricul-
tural commodities and their products that are donated by the 
Secretary for use by recipient agencies. 
‘‘(2) END PRODUCT.—The term ‘end product’ means a food 
product that contains processed commodities.’’. 
(c) TECHNICAL AND CONFORMING AMENDMENTS.—Section 3 of 
the Commodity Distribution Reform Act and WIC Amendments 
of 1987 (7 U.S.C. 612c note; Public Law 100–237) is amended— 
(1) in subsection (a)— 
(A) in paragraph (2), by striking subparagraph (B) 
and inserting the following: 
‘‘(B) the program established under section 4(b) of the 
Food and Nutrition Act of 2008 (7 U.S.C. 2013(b));’’; and 
(B) in paragraph (3)(D), by striking ‘‘the Committee 
on Education and Labor’’ and inserting ‘‘the Committee 
on Education and the Workforce’’; 
(2) in subsection (b)(1)(A)(ii), by striking ‘‘section 32 of 
the Agricultural Adjustment Act (7 U.S.C. 601 et seq.)’’ and 
inserting ‘‘section 32 of the Act of August 24, 1935 (7 U.S.C. 
612c)’’; 
(3) in subsection (e)(1)(D)(iii), by striking subclause (II) 
and inserting the following: 
‘‘(II) the program established under section 
4(b) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2013(b));’’; and 
(4) in subsection (k), by striking ‘‘the Committee on Edu-
cation and Labor’’ and inserting ‘‘the Committee on Education 
and the Workforce’’. 
Subtitle C—Miscellaneous 
SEC. 4201. PURCHASE OF FRESH FRUITS AND VEGETABLES FOR DIS-
TRIBUTION TO SCHOOLS AND SERVICE INSTITUTIONS. 
Section 10603(b) of the Farm Security and Rural Investment 
Act of 2002 (7 U.S.C. 612c–4(b)) is amended by striking ‘‘2012’’ 
and inserting ‘‘2018’’. 
SEC. 4202. PILOT PROJECT FOR PROCUREMENT OF UNPROCESSED 
FRUITS AND VEGETABLES. 
Section 6 of the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1755) is amended by adding at the end the following: 
‘‘(f) PILOT PROJECT FOR PROCUREMENT OF UNPROCESSED FRUITS 
AND VEGETABLES.— 
‘‘(1) IN
GENERAL.—The Secretary shall conduct a pilot 
project under which the Secretary shall facilitate the procure-
ment of unprocessed fruits and vegetables in not more than 
8 States receiving funds under this Act. 
‘‘(2) PURPOSE.—The purpose of the pilot project required 
by this subsection is to provide selected States flexibility for 
the procurement of unprocessed fruits and vegetables by permit-
ting each State— 
‘‘(A) to utilize multiple suppliers and products estab-
lished and qualified by the Secretary; and
H. R. 2642—174 
‘‘(B) to allow geographic preference, if desired, in the 
procurement of the products under the pilot project. 
‘‘(3) SELECTION AND PARTICIPATION.— 
‘‘(A) IN GENERAL.—The Secretary shall select States 
for participation in the pilot project in accordance with 
criteria established by the Secretary and terms and condi-
tions established for participation. 
‘‘(B) REQUIREMENT.—The Secretary shall ensure that 
at least 1 project is located in a State in each of— 
‘‘(i) the Pacific Northwest Region; 
‘‘(ii) the Northeast Region; 
‘‘(iii) the Western Region; 
‘‘(iv) the Midwest Region; and 
‘‘(v) the Southern Region. 
‘‘(4) PRIORITY.—In selecting States for participation in the 
pilot project, the Secretary shall prioritize applications based 
on— 
‘‘(A) the quantity and variety of growers of local fruits 
and vegetables in the States on a per capita basis; 
‘‘(B) the demonstrated commitment of the States to 
farm-to-school efforts, as evidenced by prior efforts to 
increase and promote farm-to-school programs in the 
States; and 
‘‘(C) whether the States contain a sufficient quantity 
of local educational agencies, various population sizes, and 
geographical locations. 
‘‘(5) RECORDKEEPING AND REPORTING REQUIREMENTS.— 
‘‘(A) RECORDKEEPING REQUIREMENT.—States selected to 
participate in the pilot project, and participating school 
food authorities within those States, shall keep records 
of the fruits and vegetables received under the pilot project 
in such manner and form as requested by the Secretary. 
‘‘(B) REPORTING
REQUIREMENT.—Each participating 
State shall submit to the Secretary a report on the success 
of the pilot project in the State, including information 
on— 
‘‘(i) the quantity and cost of each type of fruit 
and vegetable received by the State under the pilot 
project; and 
‘‘(ii) the benefit provided by those procurements 
in conducting school food service in the State, including 
meeting school meal requirements.’’. 
SEC. 4203. SENIORS FARMERS’ MARKET NUTRITION PROGRAM. 
(a) IN GENERAL.—Section 4402(a) of the Farm Security and 
Rural Investment Act of 2002 (7 U.S.C. 3007(a)) is amended by 
striking ‘‘2012’’ and inserting ‘‘2018’’. 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 
takes effect on October 1, 2013. 
SEC. 4204. DIETARY GUIDELINES FOR AMERICANS. 
Section 301(a) of the National Nutrition Monitoring and Related 
Research Act of 1990 (7 U.S.C. 5341(a)) is amended by adding 
at the end the following: 
‘‘(3) PREGNANT WOMEN AND YOUNG CHILDREN.—Not later 
than the 2020 report and in each report thereafter, the Secre-
taries shall include national nutritional and dietary information
H. R. 2642—175 
and guidelines for pregnant women and children from birth 
until the age of 2.’’. 
SEC. 4205. MULTIAGENCY TASK FORCE. 
Subtitle D of title II of the Department of Agriculture Reorga-
nization Act of 1994 (7 U.S.C. 6951 et seq.) is amended by adding 
at the end the following: 
‘‘SEC. 242. MULTIAGENCY TASK FORCE. 
‘‘(a) IN GENERAL.—The Secretary shall establish, in the office 
of the Under Secretary for Food, Nutrition, and Consumer Services, 
a multiagency task force for the purpose of providing coordination 
and direction for commodity programs. 
‘‘(b) COMPOSITION.—The Task Force shall be composed of at 
least 4 members, including— 
‘‘(1) a representative from the Food Distribution Division 
of the Food and Nutrition Service, who shall— 
‘‘(A) be appointed by the Under Secretary for Food, 
Nutrition, and Consumer Services; and 
‘‘(B) serve as Chairperson of the Task Force; 
‘‘(2) at least 1 representative from the Agricultural Mar-
keting Service, who shall be appointed by the Under Secretary 
for Marketing and Regulatory Programs; 
‘‘(3) at least 1 representative from the Farm Services 
Agency, who shall be appointed by the Under Secretary for 
Farm and Foreign Agricultural Services; and 
‘‘(4) at least 1 representative from the Food Safety and 
Inspection Service, who shall be appointed by the Under Sec-
retary for Food Safety. 
‘‘(c) DUTIES.— 
‘‘(1) IN
GENERAL.—The Task Force shall be responsible 
for evaluation and monitoring of the commodity programs to 
ensure that the commodity programs meet the mission of the 
Department— 
‘‘(A) to support the United States farm sector; and 
‘‘(B) to contribute to the health and well-being of 
individuals in the United States through the distribution 
of domestic agricultural products through commodity pro-
grams. 
‘‘(2) SPECIFIC DUTIES.—In carrying out paragraph (1), the 
Task Force shall— 
‘‘(A) review and make recommendations regarding the 
specifications used for the procurement of food commodities; 
‘‘(B) review and make recommendations regarding the 
efficient and effective distribution of food commodities; and 
‘‘(C) review and make recommendations regarding the 
degree to which the quantity, quality, and specifications 
of procured food commodities align the needs of producers 
and the preferences of recipient agencies. 
‘‘(d) REPORTS.—Not later than 1 year after the date of enact-
ment of this section, and annually thereafter, the Secretary shall 
submit to Congress a report that describes, for the period covered 
by the report— 
‘‘(1) the findings and recommendations of the Task Force; 
and 
‘‘(2) policies implemented for the improvement of com-
modity procurement programs.’’.
H. R. 2642—176 
SEC. 4206. HEALTHY FOOD FINANCING INITIATIVE. 
Subtitle D of title II of the Department of Agriculture Reorga-
nization Act of 1994 (7 U.S.C. 6951 et seq.) (as amended by section 
4205) is amended by adding at the end the following: 
‘‘SEC. 243. HEALTHY FOOD FINANCING INITIATIVE. 
‘‘(a) PURPOSE.—The purpose of this section is to enhance the 
authorities of the Secretary to support efforts to provide access 
to healthy food by establishing an initiative to improve access 
to healthy foods in underserved areas, to create and preserve quality 
jobs, and to revitalize low-income communities by providing loans 
and grants to eligible fresh, healthy food retailers to overcome 
the higher costs and initial barriers to entry in underserved areas. 
‘‘(b) DEFINITIONS.—In this section: 
‘‘(1) COMMUNITY DEVELOPMENT FINANCIAL INSTITUTION.— 
The term ‘community development financial institution’ has 
the meaning given the term in section 103 of the Community 
Development Banking and Financial Institutions Act of 1994 
(12 U.S.C. 4702). 
‘‘(2) INITIATIVE.—The term ‘Initiative’ means the Healthy 
Food Financing Initiative established under subsection (c)(1). 
‘‘(3) NATIONAL FUND MANAGER.—The term ‘national fund 
manager’ means a community development financial institution 
that is— 
‘‘(A) in existence on the date of enactment of this 
section; and 
‘‘(B) certified by the Community Development Financial 
Institution Fund of the Department of Treasury to manage 
the Initiative for purposes of— 
‘‘(i) raising private capital; 
‘‘(ii) providing financial and technical assistance 
to partnerships; and 
‘‘(iii) funding eligible projects to attract fresh, 
healthy food retailers to underserved areas, in accord-
ance with this section. 
‘‘(4) PARTNERSHIP.—The term ‘partnership’ means a 
regional, State, or local public-private partnership that— 
‘‘(A) is organized to improve access to fresh, healthy 
foods; 
‘‘(B) provides financial and technical assistance to 
eligible projects; and 
‘‘(C) meets such other criteria as the Secretary may 
establish. 
‘‘(5) PERISHABLE FOOD.—The term ‘perishable food’ means 
a staple food that is fresh, refrigerated, or frozen. 
‘‘(6) QUALITY JOB.—The term ‘quality job’ means a job that 
provides wages and other benefits comparable to, or better 
than, similar positions in existing businesses of similar size 
in similar local economies. 
‘‘(7) STAPLE FOOD.— 
‘‘(A) IN GENERAL.—The term ‘staple food’ means food 
that is a basic dietary item. 
‘‘(B) INCLUSIONS.—The term ‘staple food’ includes— 
‘‘(i) bread or cereal; 
‘‘(ii) flour; 
‘‘(iii) fruits; 
‘‘(iv) vegetables;
H. R. 2642—177 
‘‘(v) meat; and 
‘‘(vi) dairy products. 
‘‘(c) INITIATIVE.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall establish an ini-
tiative to achieve the purpose described in subsection (a) in 
accordance with this subsection. 
‘‘(2) IMPLEMENTATION.— 
‘‘(A) IN GENERAL.— 
‘‘(i) IN GENERAL.—In carrying out the Initiative, 
the Secretary shall provide funding to entities with 
eligible projects, as described in subparagraph (B), sub-
ject to the priorities described in subparagraph (C). 
‘‘(ii) USE OF FUNDS.—Funds provided to an entity 
pursuant to clause (i) shall be used— 
‘‘(I) to create revolving loan pools of capital 
or other products to provide loans to finance 
eligible projects or partnerships; 
‘‘(II) to provide grants for eligible projects or 
partnerships; 
‘‘(III) to provide technical assistance to funded 
projects and entities seeking Initiative funding; 
and 
‘‘(IV) to cover administrative expenses of the 
national fund manager in an amount not to exceed 
10 percent of the Federal funds provided. 
‘‘(B) ELIGIBLE PROJECTS.—Subject to the approval of 
the Secretary, the national fund manager shall establish 
eligibility criteria for projects under the Initiative, which 
shall include the existence or planned execution of agree-
ments— 
‘‘(i) to expand or preserve the availability of staple 
foods in underserved areas with moderate- and low- 
income populations by maintaining or increasing the 
number of retail outlets that offer an assortment of 
perishable food and staple food items, as determined 
by the Secretary, in those areas; and 
‘‘(ii) to accept benefits under the supplemental 
nutrition assistance program established under the 
Food and Nutrition Act of 2008 (7 U.S.C. 2011 et 
seq.). 
‘‘(C) PRIORITIES.—In carrying out the Initiative, priority 
shall be given to projects that— 
‘‘(i) are located in severely distressed low-income 
communities, as defined by the Community Develop-
ment Financial Institutions Fund of the Department 
of Treasury; and 
‘‘(ii) include 1 or more of the following characteris-
tics: 
‘‘(I) The project will create or retain quality 
jobs for low-income residents in the community. 
‘‘(II) The project supports regional food sys-
tems and locally grown foods, to the maximum 
extent practicable. 
‘‘(III) In areas served by public transit, the 
project is accessible by public transit. 
‘‘(IV) The project involves women- or minority- 
owned businesses.
H. R. 2642—178 
‘‘(V) The project receives funding from other 
sources, including other Federal agencies. 
‘‘(VI) The project otherwise advances the pur-
pose of this section, as determined by the Sec-
retary. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to the Secretary to carry out this section 
$125,000,000, to remain available until expended.’’. 
SEC. 4207. PURCHASE OF HALAL AND KOSHER FOOD FOR EMERGENCY 
FOOD ASSISTANCE PROGRAM. 
Section 202 of the Emergency Food Assistance Act of 1983 
(7 U.S.C. 7502) is amended by adding at the end the following: 
‘‘(h) KOSHER AND HALAL FOOD.—As soon as practicable after 
the date of enactment of this subsection, the Secretary shall finalize 
and implement a plan— 
‘‘(1) to increase the purchase of Kosher and Halal food 
from food manufacturers with a Kosher or Halal certification 
to carry out the program established under this Act if the 
Kosher and Halal food purchased is cost neutral as compared 
to food that is not from food manufacturers with a Kosher 
or Halal certification; and 
‘‘(2) to modify the labeling of the commodities list used 
to carry out the program in a manner that enables Kosher 
and Halal distribution entities to identify which commodities 
to obtain from local food banks.’’. 
SEC. 4208. FOOD INSECURITY NUTRITION INCENTIVE. 
Section 4405 of the Food, Conservation, and Energy Act of 
2008 (7 U.S.C. 7517) is amended to read as follows: 
‘‘SEC. 4405. FOOD INSECURITY NUTRITION INCENTIVE. 
‘‘(a) IN GENERAL.—In this section: 
‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible entity’ means— 
‘‘(A) a nonprofit organization (including an emergency 
feeding organization); 
‘‘(B) an agricultural cooperative; 
‘‘(C) a producer network or association; 
‘‘(D) a community health organization; 
‘‘(E) a public benefit corporation; 
‘‘(F) an economic development corporation; 
‘‘(G) a farmers’ market; 
‘‘(H) a community-supported agriculture program; 
‘‘(I) a buying club; 
‘‘(J) a retail food store participating in the supple-
mental nutrition assistance program; 
‘‘(K) a State, local, or tribal agency; and 
‘‘(L) any other entity the Secretary designates. 
‘‘(2) EMERGENCY FEEDING ORGANIZATION.—The term ‘emer-
gency feeding organization’ has the meaning given the term 
in section 201A of the Emergency Food Assistance Act of 1983 
(7 U.S.C. 7501). 
‘‘(3) SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM.—The 
term ‘supplemental nutrition assistance program’ means the 
supplemental nutrition assistance program established under 
the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.). 
‘‘(b) FOOD INSECURITY NUTRITION INCENTIVE GRANTS.— 
‘‘(1) AUTHORIZATION.—
H. R. 2642—179 
‘‘(A) IN GENERAL.—In each of the years specified in 
subsection (c), the Secretary shall make grants to eligible 
entities in accordance with paragraph (2). 
‘‘(B) FEDERAL SHARE.—The Federal share of the cost 
of carrying out an activity under this subsection shall not 
exceed 50 percent of the total cost of the activity. 
‘‘(C) NON-FEDERAL SHARE.— 
‘‘(i) IN GENERAL.—The non-Federal share of the 
cost of an activity under this subsection may be pro-
vided— 
‘‘(I) in cash or in-kind contributions as deter-
mined by the Secretary, including facilities, equip-
ment, or services; and 
‘‘(II) by a State or local government or a pri-
vate source. 
‘‘(ii) LIMITATION.—In the case of a for-profit entity, 
the non-Federal share described in clause (i) shall not 
include services of an employee, including salaries paid 
or expenses covered by the employer. 
‘‘(2) CRITERIA.— 
‘‘(A) IN GENERAL.—For purposes of this subsection, an 
eligible entity is a governmental agency or nonprofit 
organization that— 
‘‘(i) meets the application criteria set forth by the 
Secretary; and 
‘‘(ii) proposes a project that, at a minimum— 
‘‘(I) has the support of the State agency; 
‘‘(II) would increase the purchase of fruits and 
vegetables by low-income consumers participating 
in the supplemental nutrition assistance program 
by providing incentives at the point of purchase; 
‘‘(III) agrees to participate in the evaluation 
described in paragraph (4); 
‘‘(IV) ensures that the same terms and condi-
tions apply to purchases made by individuals with 
benefits issued under this Act and incentives pro-
vided for in this subsection as apply to purchases 
made by individuals who are not members of 
households receiving benefits, such as provided for 
in section 278.2(b) of title 7, Code of Federal Regu-
lations (or a successor regulation); and 
‘‘(V) includes effective and efficient tech-
nologies for benefit redemption systems that may 
be replicated in other States and communities. 
‘‘(B) PRIORITY.—In awarding grants under this section, 
the Secretary shall give priority to projects that— 
‘‘(i) maximize the share of funds used for direct 
incentives to participants; 
‘‘(ii) use direct-to-consumer sales marketing; 
‘‘(iii) demonstrate a track record of designing and 
implementing successful nutrition incentive programs 
that connect low-income consumers and agricultural 
producers; 
‘‘(iv) provide locally or regionally produced fruits 
and vegetables; 
‘‘(v) are located in underserved communities; or
H. R. 2642—180 
‘‘(vi) address other criteria as established by the 
Secretary. 
‘‘(3) APPLICABILITY.— 
‘‘(A) IN GENERAL.—The value of any benefit provided 
to a participant in any activity funded under this subsection 
shall be treated as supplemental nutrition benefits under 
section 8(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2017(b)). 
‘‘(B) PROHIBITION ON COLLECTION OF SALES TAXES.— 
Each State shall ensure that no State or local tax is col-
lected on a purchase of food under this subsection. 
‘‘(C) NO LIMITATION ON BENEFITS.—A grant made avail-
able under this subsection shall not be used to carry out 
any project that limits the use of benefits under the Food 
and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) or any 
other Federal nutrition law. 
‘‘(D) HOUSEHOLD
ALLOTMENT.—Assistance provided 
under this subsection to households receiving benefits 
under the supplemental nutrition assistance program shall 
not— 
‘‘(i) be considered part of the supplemental nutri-
tion assistance program benefits of the household; or 
‘‘(ii) be used in the collection or disposition of 
claims under section 13 of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2022). 
‘‘(4) EVALUATION.— 
‘‘(A) INDEPENDENT EVALUATION.—The Secretary shall 
provide for an independent evaluation of projects selected 
under this subsection that measures the impact of each 
project on— 
‘‘(i) improving the nutrition and health status of 
participating households receiving incentives under 
this subsection; and 
‘‘(ii) increasing fruit and vegetable purchases in 
participating households. 
‘‘(B) 
REQUIREMENT.—The 
independent 
evaluation 
under subparagraph (A) shall use rigorous methodologies 
capable of producing scientifically valid information 
regarding the effectiveness of a project. 
‘‘(C) COSTS.—The Secretary may use funds not to 
exceed 10 percent of the funding provided to carry out 
this section to pay costs associated with administering, 
monitoring, and evaluating each project. 
‘‘(c) FUNDING.— 
‘‘(1) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to carry out subsection (b) $5,000,000 
for each of fiscal years 2014 through 2018. 
‘‘(2) MANDATORY FUNDING.—Of the funds of the Commodity 
Credit Corporation, the Secretary shall use to carry out sub-
section (b)— 
‘‘(A) $35,000,000 for the period of fiscal years 2014 
and 2015; 
‘‘(B) $20,000,000 for each of fiscal years 2016 and 2017; 
and 
‘‘(C) $25,000,000 for fiscal year 2018.’’.
H. R. 2642—181 
SEC. 4209. FOOD AND AGRICULTURE SERVICE LEARNING PROGRAM. 
Title IV of the Agricultural Research, Extension, and Education 
Reform Act of 1998 (7 U.S.C. 7630 et seq.) is amended by adding 
at the end the following: 
‘‘SEC. 413. FOOD AND AGRICULTURE SERVICE LEARNING PROGRAM. 
‘‘(a) IN GENERAL.—Subject to the availability of appropriations 
under subsection (e), the Secretary, acting through the Director 
of the National Institute of Food and Agriculture, and working 
in consultation with other appropriate Federal agencies that oversee 
national service programs, shall administer a competitively awarded 
food and agriculture service learning grant program (referred to 
in this section as the ‘Program’) to increase knowledge of agriculture 
and improve the nutritional health of children. 
‘‘(b) PURPOSES.—The purposes of the Program are— 
‘‘(1) to increase capacity for food, garden, and nutrition 
education within host organizations or entities and school cafe-
terias and in the classroom; 
‘‘(2) to complement and build on the efforts of the farm 
to school programs implemented under section 18(g) of the 
Richard B. Russell National School Lunch Act (42 U.S.C. 
1769(g)); 
‘‘(3) to complement efforts by the Department and school 
food authorities to implement the school lunch program estab-
lished under the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1751 et seq.) and the school breakfast program 
established by section 4 of the Child Nutrition Act of 1966 
(42 U.S.C. 1773); 
‘‘(4) to carry out activities that advance the nutritional 
health of children and nutrition education in elementary schools 
and secondary schools (as those terms are defined in section 
9101 of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 7801)); and 
‘‘(5) to foster higher levels of community engagement and 
support the expansion of national service and volunteer 
opportunities. 
‘‘(c) GRANTS.— 
‘‘(1) IN
GENERAL.—In carrying out the Program, the 
Director of the National Institute of Food and Agriculture shall 
make competitive grants to eligible entities that carry out the 
purposes described in paragraphs (1) through (5) of subsection 
(b). 
‘‘(2) PRIORITIES.—In making grants under this section, the 
Secretary may consider projects that are carried out by entities 
that— 
‘‘(A) have a proven track record in carrying out the 
purposes described in subsection (b); 
‘‘(B) work in underserved rural and urban commu-
nities; 
‘‘(C) teach and engage children in experiential learning 
about agriculture, gardening, nutrition, cooking, and where 
food comes from; and 
‘‘(D) facilitate a connection between elementary schools 
and secondary schools and agricultural producers in the 
local and regional area. 
‘‘(d) ACCOUNTABILITY.—
H. R. 2642—182 
‘‘(1) IN GENERAL.—The Secretary may require a partner 
organization or other qualified entity to collect and report any 
data on the activities carried out under the Program, as deter-
mined by the Secretary. 
‘‘(2) EVALUATION.—The Secretary shall— 
‘‘(A) conduct regular evaluations of the activities car-
ried out under the Program; and 
‘‘(B) submit to the Committee on Agriculture of the 
House of Representatives and the Committee on Agri-
culture, Nutrition, and Forestry of the Senate a report 
that includes a description of the results of each evaluation 
conducted under subparagraph (A). 
‘‘(e) FUNDING.— 
‘‘(1) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to carry out the Program $25,000,000, 
to remain available until expended. 
‘‘(2) ADMINISTRATION.—Paragraphs (4), (7), (8), and (11)(B) 
of subsection (b) of the Competitive, Special, and Facilities 
Research Grant Act (7 U.S.C. 450i(b)) shall apply with respect 
to the making of a competitive grant under this section. 
‘‘(3) MAINTENANCE
OF
EFFORT.—Funds made available 
under paragraph (1) shall be used only to supplement, not 
to supplant, the amount of Federal funding otherwise expended 
for nutrition, research, and extension programs of the Depart-
ment.’’. 
SEC. 4210. NUTRITION INFORMATION AND AWARENESS PILOT PRO-
GRAM. 
Section 4403 of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 3171 note; Public Law 107–171) is repealed. 
SEC. 4211. TERMINATION OF EXISTING AGREEMENT. 
Effective beginning on the date of the enactment of this Act, 
the memorandum of understanding entered into on July 22, 2004, 
by the Secretary of Agriculture of the United States Department 
of Agriculture and the Secretary of Foreign Affairs of the Republic 
of Mexico and known as the ‘‘Partnership for Nutrition Assistance 
Initiative’’ is null and void. 
SEC. 4212. REVIEW OF SOLE-SOURCE CONTRACTS IN FEDERAL NUTRI-
TION PROGRAMS. 
(a) IN GENERAL.—The Secretary shall conduct an evaluation 
of sole-source contracts in Federal nutrition programs carried out 
by the Secretary, and the effect the contracts have on program 
participation, program goals, nonprogram consumers, retailers, and 
free market dynamics. 
(b) REPORT.—Not later than 1 year after the date of enactment 
of this Act, the Secretary shall submit to the Committee on Agri-
culture of the House of Representatives and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate a report that 
describes the findings of the review conducted under subsection 
(a). 
SEC. 4213. PULSE CROP PRODUCTS. 
(a) PURPOSE.—The purpose of this section is to encourage 
greater awareness and interest in the number and variety of pulse 
crop products available to schoolchildren, as recommended by the
H. R. 2642—183 
most recent Dietary Guidelines for Americans published under sec-
tion 301 of the National Nutrition Monitoring and Related Research 
Act of 1990 (7 U.S.C. 5341). 
(b) DEFINITIONS.—In this section: 
(1) ELIGIBLE PULSE CROP.—The term ‘‘eligible pulse crop’’ 
means dry beans, dry peas, lentils, and chickpeas. 
(2) PULSE CROP PRODUCT.—The term ‘‘pulse crop product’’ 
means a food product derived in whole or in part from an 
eligible pulse crop. 
(c) PURCHASE OF PULSE CROPS AND PULSE CROP PRODUCTS.— 
In addition to the commodities delivered under section 6 of the 
Richard B. Russell National School Lunch Act (42 U.S.C. 1755), 
subject to the availability of appropriations, the Secretary shall 
purchase eligible pulse crops and pulse crop products for use in— 
(1) the school lunch program established under the Richard 
B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.); 
and 
(2) the school breakfast program established by section 
4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773). 
(d) EVALUATION.—Not later than September 30, 2016, the Sec-
retary shall conduct an evaluation of the activities conducted under 
subsection (c), including— 
(1) an evaluation of whether children participating in the 
school lunch and breakfast programs described in subsection 
(c) increased overall consumption of eligible pulse crops as 
a result of the activities; 
(2) an evaluation of which eligible pulse crops and pulse 
crop products are most acceptable for use in the school lunch 
and breakfast programs; 
(3) any recommendations of the Secretary regarding the 
integration of the use of pulse crop products in carrying out 
the school lunch and breakfast programs; 
(4) an evaluation of any change in the nutrient composition 
in the school lunch and breakfast programs due to the activities; 
and 
(5) an evaluation of any other outcomes determined to 
be appropriate by the Secretary. 
(e) REPORT.—As soon as practicable after the completion of 
the evaluation under subsection (d), the Secretary shall submit 
to the Committee on Agriculture, Nutrition, and Forestry of the 
Senate and the Committee on Education and the Workforce of 
the House of Representative a report describing the results of 
the evaluation. 
(f) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $10,000,000, to remain 
available until expended. 
SEC. 4214. PILOT PROJECT FOR CANNED, FROZEN, OR DRIED FRUITS 
AND VEGETABLES. 
(a) IN GENERAL.—Subject to subsection (b), in the 2014–2015 
school year, the Secretary shall carry out a pilot project in schools 
participating in the Fresh Fruit and Vegetable Program under 
section 19 of the Richard B. Russell National School Lunch Act 
(42 U.S.C. 1769a) (referred to in this section as the ‘‘Program’’), 
in not less than 5 States, to evaluate the impact of allowing schools 
to offer canned, frozen, or dried fruits and vegetables as part of 
the Program.
H. R. 2642—184 
(b) REQUIREMENTS.—Not later than 60 days after the date 
of enactment of this Act, the Secretary shall establish criteria 
for the conditions under which canned, frozen, or dried fruits and 
vegetables may be offered, which shall be in accordance with the 
most recent Dietary Guidelines for Americans published under sec-
tion 301 of the National Nutrition Monitoring and Related Research 
Act of 1990 (7 U.S.C. 5341). 
(c) EVALUATION.—With respect to the pilot project, the Sec-
retary shall evaluate— 
(1) the impacts on fruit and vegetable consumption at 
the schools participating in the pilot project; 
(2) the impacts of the pilot project on school participation 
in the Program and operation of the Program; 
(3) the implementation strategies used by the schools 
participating in the pilot project; 
(4) the acceptance of the pilot project by key stakeholders; 
and 
(5) such other outcomes as are determined by the Secretary. 
(d) REPORTS.— 
(1) INTERIM REPORT.—Not later than January 1, 2015, the 
Secretary shall submit to the Committee on Education and 
Workforce of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate a report 
that describes the results of the evaluation under subsection 
(c). 
(2) FINAL REPORT.—On completion of the pilot project, the 
Secretary shall submit to the Committee on Education and 
Workforce of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate a report 
that describes the results of the evaluation under subsection 
(c). 
(e) NOTICE OF AVAILABILITY.—As soon as practicable after the 
date on which the Secretary establishes the criteria for the pilot 
project under subsection (b), the Secretary shall notify potentially 
eligible schools of the potential eligibility of the schools for participa-
tion in the pilot project. 
(f) RELATIONSHIP TO FRESH FRUIT AND VEGETABLE PROGRAM.— 
Nothing in this section permits a school that is not a part of 
the pilot project to offer anything other than fresh fruits and vegeta-
bles through the Program. 
(g) FUNDING.—The Secretary shall use $5,000,000 of amounts 
otherwise made available to the Secretary to carry out this section. 
TITLE V—CREDIT 
Subtitle A—Farm Ownership Loans 
SEC. 5001. ELIGIBILITY FOR FARM OWNERSHIP LOANS. 
(a) IN GENERAL.—Section 302(a) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1922(a)) is amended— 
(1) by striking ‘‘(a) IN GENERAL.—The’’ and inserting the 
following: 
‘‘(a) IN GENERAL.— 
‘‘(1) ELIGIBILITY REQUIREMENTS.—The’’;
H. R. 2642—185 
(2) in the first sentence, by striking ‘‘and limited liability 
companies’’ and inserting ‘‘limited liability companies, and such 
other legal entities as the Secretary considers appropriate,’’; 
(3) in the second sentence, by redesignating paragraphs 
(1) through (4) as subparagraphs (A) through (D), respectively; 
(4) in each of the second and third sentences, by striking 
‘‘and limited liability companies’’ each place it appears and 
inserting ‘‘limited liability companies, and such other legal enti-
ties’’; 
(5) in the third sentence— 
(A) by striking ‘‘clause (3)’’ and inserting ‘‘subpara-
graph (C)’’; 
(B) by striking ‘‘clause (4)’’ and inserting ‘‘subpara-
graph (D)’’; and 
(6) by adding at the end the following: 
‘‘(2) SPECIAL RULES.— 
‘‘(A) ELIGIBILITY
OF
CERTAIN
OPERATING-ONLY
ENTI-
TIES.—An entity that is or will become only the operator 
of a family farm shall be considered to meet the owner- 
operator requirements of paragraph (1) if the individuals 
that are the owners of the family farm own more than 
50 percent (or such other percentage as the Secretary deter-
mines is appropriate) of the entity. 
‘‘(B) ELIGIBILITY OF CERTAIN EMBEDDED ENTITIES.—An 
entity that is an owner-operator described in paragraph 
(1), or an operator described in subparagraph (A) of this 
paragraph that is owned, in whole or in part, by other 
entities, shall be considered to meet the direct ownership 
requirement imposed under paragraph (1) if at least 75 
percent of the ownership interests of each embedded entity 
of the entity is owned directly or indirectly by the individ-
uals that own the family farm.’’. 
(b) DIRECT FARM OWNERSHIP EXPERIENCE REQUIREMENT.—Sec-
tion 302(b)(1) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1922(b)(1)) is amended in the matter preceding 
subparagraph (A) by inserting ‘‘or has other acceptable experience 
for a period of time, as determined by the Secretary,’’ after ‘‘3 
years’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Section 304(c)(2) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1924(c)(2)) by striking ‘‘paragraphs 
(1) and (2) of section 302(a)’’ and inserting ‘‘subparagraphs 
(A) and (B) of section 302(a)(1)’’. 
(2) Section 310D(a) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1934(a)) is amended in the second 
sentence— 
(A) by inserting after ‘‘partnership’’ the following: ‘‘, 
or such other legal entities as the Secretary considers 
appropriate,’’; and 
(B) by striking ‘‘or partners’’ each place it appears 
and inserting ‘‘partners, or owners’’. 
SEC. 5002. CONSERVATION LOAN AND LOAN GUARANTEE PROGRAM. 
(a) ELIGIBILITY.—Section 304(c) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1924(c)) is amended by striking 
‘‘or limited liability companies’’ and inserting ‘‘limited liability
H. R. 2642—186 
companies, or such other legal entities as the Secretary considers 
appropriate’’. 
(b) LIMITATIONS APPLICABLE TO LOAN GUARANTEES.—Section 
304(e) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1924(e)) is amended by striking ‘‘shall be 75 percent of 
the principal amount of the loan.’’ and inserting ‘‘shall be— 
‘‘(1) 80 percent of the principal amount of the loan; or 
‘‘(2) in the case of a producer that is a qualified socially 
disadvantaged farmer or rancher or a beginning farmer or 
rancher, 90 percent of the principal amount of the loan.’’. 
(c) EXTENSION OF PROGRAM.—Section 304 of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 1924) is amended 
by striking subsection (h) and inserting the following: 
‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to the Secretary to carry out this section 
$150,000,000 for each of fiscal years 2014 through 2018.’’. 
SEC. 5003. JOINT FINANCING ARRANGEMENTS. 
Section 307(a)(3) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1927(a)(3)) is amended by striking subparagraph 
(D) and inserting the following: 
‘‘(D) JOINT FINANCING ARRANGEMENTS.—If a direct farm 
ownership loan is made under this subtitle as part of 
a joint financing arrangement and the amount of the direct 
farm ownership loan does not exceed 50 percent of the 
total principal amount financed under the arrangement, 
the interest rate on the direct farm ownership loan shall 
be a rate equal to the greater of— 
‘‘(i) the difference between— 
‘‘(I) 2 percent; and 
‘‘(II) the interest rate for farm ownership loans 
under this subtitle; or 
‘‘(ii) 2.5 percent.’’. 
SEC. 5004. ELIMINATION OF MINERAL RIGHTS APPRAISAL REQUIRE-
MENT. 
Section 307 of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1927) is amended— 
(1) by striking subsection (d); and 
(2) by redesignating subsection (e) as subsection (d). 
SEC. 5005. DOWN PAYMENT LOAN PROGRAM. 
(a) IN GENERAL.—Section 310E(b)(1)(C) of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 1935(b)(1)(C)) is 
amended by striking ‘‘$500,000’’ and inserting ‘‘$667,000’’. 
(b) TECHNICAL CORRECTION.—Section 310E(b) of the Consoli-
dated Farm and Rural Development Act (7 U.S.C. 1935(b)) is 
amended by striking paragraph (2) (as added by section 7(a) of 
Public Law 102–554; 106 Stat. 4145). 
Subtitle B—Operating Loans 
SEC. 5101. ELIGIBILITY FOR FARM OPERATING LOANS. 
Section 311(a) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1941(a)) is amended— 
(1) by striking ‘‘(a) IN GENERAL.—The’’ and inserting the 
following:
H. R. 2642—187 
‘‘(a) IN GENERAL.— 
‘‘(1) ELIGIBILITY REQUIREMENTS.—The’’; 
(2) in the first sentence, by striking ‘‘and limited liability 
companies’’ and inserting ‘‘ limited liability companies, and 
such other legal entities as the Secretary considers appro-
priate,’’; 
(3) in the second sentence, by redesignating paragraphs 
(1) through (4) as subparagraphs (A) through (D), respectively; 
(4) in each of the second and third sentences, by striking 
‘‘and limited liability companies’’ each place it appears and 
inserting ‘‘limited liability companies, and such other legal enti-
ties’’; 
(5) in the third sentence— 
(A) by striking ‘‘clause (3)’’ and inserting ‘‘subpara-
graph (C)’’; and 
(B) by striking ‘‘clause (4)’’ and inserting ‘‘subpara-
graph (D)’’; and 
(6) by adding at the end the following: 
‘‘(2) SPECIAL RULE.—An entity that is an operator described 
in paragraph (1) that is owned, in whole or in part, by other 
entities, shall be considered to meet the direct ownership 
requirement imposed under paragraph (1) if at least 75 percent 
of the ownership interests of each embedded entity of the 
entity is owned directly or indirectly by the individuals that 
own the family farm.’’. 
SEC. 5102. ELIMINATION OF RURAL RESIDENCY REQUIREMENT FOR 
OPERATING LOANS TO YOUTH. 
Section 311(b)(1) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1941(b)(1)) is amended by striking ‘‘who are 
rural residents’’. 
SEC. 5103. DEFAULTS BY YOUTH LOAN BORROWERS. 
Section 311(b) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1941(b)) is amended by adding at the end 
the following: 
‘‘(5) EQUITABLE CONSIDERATIONS FOR DEFAULT.— 
‘‘(A) DEBT FORGIVENESS.— 
‘‘(i) IN GENERAL.—The Secretary may, on a case- 
by-case basis, provide debt forgiveness to a borrower 
for a loan made under this subsection if the borrower 
was unable to timely repay the loan due to cir-
cumstances beyond the control of the borrower, as 
determined by the Secretary, including any natural 
disaster, act of terrorism, or other man-made disaster 
that results in an inordinate level of damage or disrup-
tion severely affecting the borrower. 
‘‘(ii) ELIGIBILITY
FOR
FUTURE
LOANS.—Notwith-
standing any other provision of law, debt forgiveness 
provided under this subparagraph shall not be used 
by any Federal agency in determining the eligibility 
of the borrower for any loan made or guaranteed by 
the agency. 
‘‘(B) EDUCATION
LOANS.—Notwithstanding any other 
provision of law, if a borrower becomes delinquent or is 
provided with debt forgiveness with respect to a youth 
loan made under this subsection, the borrower shall not 
become ineligible, as a result of the delinquency or debt
H. R. 2642—188 
forgiveness, to receive loans and loan guarantees from the 
Federal Government to pay for education expenses of the 
borrower.’’. 
SEC. 5104. TERM LIMITS ON DIRECT OPERATING LOANS. 
Section 311(c) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1941(c)) is amended by adding at the end the following: 
‘‘(5) ANNUAL REPORT ON TERM LIMITS ON DIRECT OPERATING 
LOANS.— 
‘‘(A) IN GENERAL.—The Secretary shall prepare a report 
annually that describes— 
‘‘(i) the status of the direct operating loan program 
of the Department of Agriculture; and 
‘‘(ii) the impact of term limits on direct loan bor-
rowers. 
‘‘(B) DEMOGRAPHIC INFORMATION.— 
‘‘(i) IN GENERAL.—The report shall provide a demo-
graphic breakdown, on a State-by-State basis, of— 
‘‘(I) all direct loan borrowers; and 
‘‘(II) borrowers that have reached the eligi-
bility limit for direct lending programs during the 
previous calendar year. 
‘‘(ii) DEMOGRAPHIC
INFORMATION.—The available 
demographic information shall include, to the max-
imum extent practicable, a description of race or eth-
nicity, gender, age, type of farm or ranch, financial 
classification, number of years of indebtedness, veteran 
status, and other similar information, as determined 
by the Secretary. 
‘‘(C) ADDITIONAL CONTENT.—In addition to information 
described in subparagraph (B), the report shall provide— 
‘‘(i) a demographic analysis of the borrowers 
impacted by term limits; 
‘‘(ii) information on the conditions impacting the 
direct lending portfolio of the Department of Agri-
culture, including impacts by region and agriculture 
sector, and credit availability within those regions and 
sectors; 
‘‘(iii) to the maximum extent practicable, informa-
tion on the status of borrower operations impacted 
by term limits; and 
‘‘(iv) recommendations, if appropriate, to address 
any identifiable unmet credit needs. 
‘‘(D) SUBMISSION.—The Secretary shall— 
‘‘(i) annually submit to the Committee on Agri-
culture of the House of Representatives and the Com-
mittee on Agriculture, Nutrition, and Forestry of the 
Senate a copy of the report; and 
‘‘(ii) make the report available to the public, 
including posting the report on the website of the 
Department of Agriculture.’’. 
SEC. 5105. VALUATION OF LOCAL OR REGIONAL CROPS. 
Section 312 of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1942) is amended by adding at the end the following: 
‘‘(e) VALUATION OF LOCAL OR REGIONAL CROPS.— 
‘‘(1) IN
GENERAL.—The Secretary shall develop ways to 
determine unit prices (or other appropriate forms of valuation)
H. R. 2642—189 
for crops and other agricultural products, the end use of which 
is intended to be in locally or regionally produced agricultural 
food products, to facilitate lending to local and regional food 
producers. 
‘‘(2) PRICE
HISTORY.—The Secretary shall implement a 
mechanism for local and regional food producers to establish 
price history for the crops and other agricultural products pro-
duced by local and regional food producers.’’. 
SEC. 5106. MICROLOANS. 
(a) IN GENERAL.—Section 313 of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1943) is amended by adding 
at the end the following: 
‘‘(c) MICROLOANS.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), the Secretary 
may establish a program to make or guarantee microloans. 
‘‘(2) LIMITATIONS.—The Secretary shall not make or guar-
antee a microloan under this subsection that would cause the 
total principal indebtedness outstanding at any 1 time for 
microloans made under this title to any 1 borrower to exceed 
$50,000. 
‘‘(3) APPLICATIONS.—To the maximum extent practicable, 
the Secretary shall limit the administrative burdens and 
streamline the application and approval process for microloans 
under this subsection. 
‘‘(4) COOPERATIVE LENDING PILOT PROJECTS.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), during 
each of the 2014 through 2018 fiscal years, the Secretary 
may carry out a pilot project to make loans to community 
development financial institutions, as the Secretary deter-
mines appropriate— 
‘‘(i) to make or guarantee microloans consistent 
with the terms provided under this subsection; and 
‘‘(ii) to provide business, financial, marketing, and 
credit management services to microloan borrowers. 
‘‘(B) REQUIREMENTS.—Prior to making a loan to an 
institution described in subparagraph (A), the Secretary 
shall— 
‘‘(i) review and approve— 
‘‘(I) the loan loss reserve fund for microloans 
established by the institution; and 
‘‘(II) 
the 
underwriting 
standards 
for 
microloans of the institution; and 
‘‘(ii) establish such other requirements for making 
a loan to the institution as the Secretary determines 
necessary. 
‘‘(C) ELIGIBILITY.—To be eligible for a loan under 
subparagraph (A), an institution described in subparagraph 
(A) shall, as determined by the Secretary— 
‘‘(i) have the legal authority necessary to carry 
out the actions described in subparagraph (A); 
‘‘(ii) have a proven track record of successfully 
assisting agricultural borrowers; and 
‘‘(iii) have the services of a staff with appropriate 
loan making and servicing expertise. 
‘‘(D) OVERSIGHT.—Not less often than annually, on a 
date determined by the Secretary, an institution that has
H. R. 2642—190 
a loan under this paragraph shall provide to the Secretary 
such information as the Secretary may require to ensure 
that the services provided by the institution are serving 
the purposes of this subsection. 
‘‘(E) LIMITATION.—The Secretary shall not make more 
than $10,000,000 in loans under this paragraph in any 
fiscal year.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 311(c) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1941(c)) is amended by striking 
paragraph (2) and inserting the following: 
‘‘(2) DEFINITION OF DIRECT OPERATING LOAN.—In this sub-
section, the term ‘direct operating loan’ does not include— 
‘‘(A) a loan made to a youth under subsection (b); 
or 
‘‘(B) a microloan made to a beginning farmer or rancher 
or a veteran farmer or rancher (as defined in section 2501(e) 
of the Food, Agriculture, Conservation, and Trade Act of 
1990 (7 U.S.C. 2279(e)).’’. 
(2) Section 312(a) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1942(a)) is amended in the matter 
preceding paragraph (1) by inserting ‘‘(including a microloan, 
as defined by the Secretary)’’ after ‘‘A direct loan’’. 
(3) Section 316(a)(2) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1946(a)(2)) is amended in the matter 
preceding subparagraph (A) by inserting ‘‘a microloan to a 
beginning farmer or rancher or veteran farmer or rancher (as 
defined in section 2501(e) of the Food, Agriculture, Conserva-
tion, and Trade Act of 1990 (7 U.S.C. 2279(e)), or’’ after ‘‘The 
interest rate on’’. 
SEC. 5107. TERM LIMITS ON GUARANTEED OPERATING LOANS. 
Section 319 of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1949) is amended— 
(1) in subsection (a), by striking ‘‘(a) GRADUATION PLAN.— 
’’; and 
(2) by striking subsection (b). 
Subtitle C—Emergency Loans 
SEC. 5201. ELIGIBILITY FOR EMERGENCY LOANS. 
Section 321(a) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1961(a)) is amended— 
(1) by striking ‘‘owner-operators (in the case of loans for 
a purpose under subtitle A) or operators (in the case of loans 
for a purpose under subtitle B)’’ each place it appears and 
inserting ‘‘(in the case of farm ownership loans in accordance 
with subtitle A) owner-operators or operators, or (in the case 
of loans for a purpose under subtitle B) operators’’; 
(2) in the first sentence— 
(A) by inserting ‘‘, or such other legal entities as the 
Secretary considers appropriate’’ after ‘‘limited liability 
companies’’ the first place it appears; 
(B) by inserting ‘‘, or other legal entities’’ after ‘‘limited 
liability companies’’ the second place it appears; and
H. R. 2642—191 
(C) by striking ‘‘and limited liability companies,’’ and 
inserting ‘‘limited liability companies, and such other legal 
entities’’; 
(3) in the second sentence, by striking ‘‘ownership and 
operator’’ and inserting ‘‘ownership or operator’’; and 
(4) by adding at the end the following: ‘‘An entity that 
is an owner-operator or operator described in this subsection 
shall be considered to meet the direct ownership requirement 
imposed under this subsection if at least 75 percent of the 
ownership interests of each embedded entity of the entity is 
owned directly or indirectly by the individuals that own the 
family farm.’’. 
Subtitle D—Administrative Provisions 
SEC. 5301. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOP-
MENT ACCOUNTS PILOT PROGRAM. 
Section 333B(h) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1983b(h)) is amended by striking ‘‘2012’’ and 
inserting ‘‘2018’’. 
SEC. 5302. FARMER LOAN PILOT PROJECTS. 
Subtitle D of the Consolidated Farm and Rural Development 
Act is amended by inserting after section 333C (7 U.S.C. 1983c) 
the following: 
‘‘SEC. 333D. FARMER LOAN PILOT PROJECTS. 
‘‘(a) IN GENERAL.—The Secretary may conduct pilot projects 
of limited scope and duration that are consistent with subtitle 
A through this subtitle to evaluate processes and techniques that 
may improve the efficiency and effectiveness of the programs carried 
out under subtitle A through this subtitle. 
‘‘(b) NOTIFICATION.—The Secretary shall— 
‘‘(1) not less than 60 days before the date on which the 
Secretary initiates a pilot project under subsection (a), submit 
notice of the proposed pilot project to the Committee on Agri-
culture of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate; and 
‘‘(2) consider any recommendations or feedback provided 
to the Secretary in response to the notice provided under para-
graph (1).’’. 
SEC. 5303. DEFINITION OF QUALIFIED BEGINNING FARMER OR 
RANCHER. 
(a) IN GENERAL.—Section 343(a)(11) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 1991(a)(11)) is amended in 
subparagraphs (C) and (D)— 
(1) by striking ‘‘or joint operation,’’ each place it appears 
and inserting ‘‘joint operation, or such other legal entity as 
the Secretary considers appropriate,’’; 
(2) by striking ‘‘or joint operators,’’ each place it appears 
and inserting ‘‘joint operators, or owners,’’; and 
(3) in subparagraph (D), by striking ‘‘corporation, has stock-
holders,’’ each place it appears in clauses (i)(II)(bb) and 
(ii)(II)(bb) and inserting ‘‘cooperative, corporation, partnership, 
joint operation, or other such legal entity as the Secretary
H. R. 2642—192 
considers appropriate, has members, stockholders, partners, or 
joint operators,’’. 
(b) MODIFICATION OF ACREAGE OWNERSHIP LIMITATION.—Sec-
tion 343(a)(11)(F) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1991(a)(11)(F)) is amended by striking ‘‘median acre-
age’’ and inserting ‘‘average acreage’’. 
SEC. 5304. LOAN AUTHORIZATION LEVELS. 
Section 346(b)(1) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1994(b)(1)) is amended in the matter preceding 
subparagraph (A) by striking ‘‘2012’’ and inserting ‘‘2018’’. 
SEC. 5305. LOAN FUND SET-ASIDES. 
Section 346(b)(2)(A)(ii)(III) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1994(b)(2)(A)(ii)(III)) is amended— 
(1) by striking ‘‘2012’’ and inserting ‘‘2018’’; and 
(2) by striking ‘‘of the total amount’’. 
SEC. 5306. BORROWER TRAINING. 
Section 359(c)(2) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 2006a(c)(2)) is amended by striking ‘‘section 
302(a)(2) or 311(a)(2)’’ and inserting ‘‘section 302(a)(1)(B) or 
311(a)(1)(B)’’. 
Subtitle E—Miscellaneous 
SEC. 5401. STATE AGRICULTURAL MEDIATION PROGRAMS. 
Section 506 of the Agricultural Credit Act of 1987 (7 U.S.C. 
5106) is amended by striking ‘‘2015’’ and inserting ‘‘2018’’. 
SEC. 5402. LOANS TO PURCHASERS OF HIGHLY FRACTIONATED LAND. 
The first section of Public Law 91–229 (25 U.S.C. 488) is 
amended— 
(1) in subsection (a), in the first sentence, by striking 
‘‘loans from’’ and all that follows through ‘‘1929)’’ and inserting 
‘‘direct loans in a manner consistent with direct loans pursuant 
to subtitle D of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1981 et seq.)’’; and 
(2) in subsection (b)(1)— 
(A) by striking ‘‘pursuant to section 205(c) of the Indian 
Land Consolidation Act (25 U.S.C. 2204(c))’’; and 
(B) by inserting ‘‘or to intermediaries in order to estab-
lish revolving loan funds for the purchase of highly 
fractionated land under that section’’ before the period 
at the end. 
SEC. 5403. REMOVAL OF DUPLICATIVE APPRAISALS. 
Notwithstanding any other law (including regulations), in 
making loans under the first section of Public Law 91–229 (25 
U.S.C. 488), borrowers who are Indian tribes, members of Indian 
tribes, or tribal corporations shall only be required to obtain 1 
appraisal under an appraisal standard recognized as of the date 
of enactment of this Act by the Secretary or the Secretary of 
the Interior. 
SEC. 5404. COMPENSATION DISCLOSURE BY FARM CREDIT SYSTEM 
INSTITUTIONS. 
(a) FINDINGS.—Congress finds that —
H. R. 2642—193 
(1) the reasonable disclosure to stockholders by Farm 
Credit System institutions regarding the compensation of Farm 
Credit System institution senior officers is beneficial to stock-
holders’ understanding of the operation of their institutions; 
(2) 
transparency 
regarding 
compensation 
practices 
reinforces the cooperative nature of Farm Credit System institu-
tions; 
(3) the unique cooperative structure of the Farm Credit 
System should be considered when promulgating rules; 
(4) the participation of stockholders in the election of the 
boards of directors of Farm Credit System institutions provides 
stockholders the opportunity to participate in the management 
of their institutions; 
(5) as representatives of stockholders, the boards of direc-
tors of Farm Credit System institutions importantly establish 
and oversee the compensation practices of Farm Credit System 
institutions to ensure the safe and sound operation of those 
institutions; and 
(6) any regulation should strengthen and not hinder the 
ability of Farm Credit System boards of directors to oversee 
compensation practices. 
(b) IMPLEMENTATION.—Not later than 60 days after the date 
of enactment of this Act, the Farm Credit Administration shall 
review its rules to reflect Congressional intent that a primary 
responsibility of the boards of directors of Farm Credit System 
institutions, as elected representatives of their stockholders, is to 
oversee compensation practices. 
TITLE VI—RURAL DEVELOPMENT 
Subtitle A—Consolidated Farm and Rural 
Development Act 
SEC. 6001. WATER, WASTE DISPOSAL, AND WASTEWATER FACILITY 
GRANTS. 
Section 306(a)(2)(B)(vii) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(2)(B)(vii)) is amended by striking 
‘‘2012’’ and inserting ‘‘2018’’. 
SEC. 6002. ELIMINATION OF RESERVATION OF COMMUNITY FACILITIES 
GRANT PROGRAM FUNDS. 
Section 306(a)(19) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1926(a)(19)) is amended by striking subpara-
graph (C). 
SEC. 6003. RURAL WATER AND WASTEWATER CIRCUIT RIDER PRO-
GRAM. 
Section 306(a) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1926(a)) is amended by striking paragraph 
(22) and inserting the following: 
‘‘(22) RURAL WATER AND WASTEWATER CIRCUIT RIDER PRO-
GRAM.— 
‘‘(A) IN
GENERAL.—The Secretary shall continue a 
national rural water and wastewater circuit rider program 
that—
H. R. 2642—194 
‘‘(i) is consistent with the activities and results 
of the program conducted before the date of enactment 
of this clause, as determined by the Secretary; and 
‘‘(ii) receives funding from the Secretary, acting 
through the Rural Utilities Service. 
‘‘(B) AUTHORIZATION
OF
APPROPRIATIONS.—There is 
authorized to be appropriated to carry out this paragraph 
$20,000,000 for fiscal year 2014 and each fiscal year there-
after.’’. 
SEC. 6004. USE OF LOAN GUARANTEES FOR COMMUNITY FACILITIES. 
Section 306(a)(24) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1926(a)(24)) is amended by adding at the end 
the following: 
‘‘(C) USE OF LOAN GUARANTEES FOR COMMUNITY FACILI-
TIES.—The Secretary shall consider the benefits to commu-
nities that result from using loan guarantees in carrying 
out the community facilities program and, to the maximum 
extent practicable, use guarantees to enhance community 
involvement.’’. 
SEC. 6005. TRIBAL COLLEGE AND UNIVERSITY ESSENTIAL COMMUNITY 
FACILITIES. 
Section 306(a)(25)(C) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(25)(C)) is amended by striking 
‘‘2012’’ and inserting ‘‘2018’’. 
SEC. 6006. ESSENTIAL COMMUNITY FACILITIES TECHNICAL ASSIST-
ANCE AND TRAINING. 
Section 306(a) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1926(a)) is amended by adding at the end 
the following: 
‘‘(26) ESSENTIAL COMMUNITY FACILITIES TECHNICAL ASSIST-
ANCE AND TRAINING.— 
‘‘(A) IN
GENERAL.—The Secretary may make grants 
to public bodies and private nonprofit corporations (such 
as States, counties, cities, townships, and incorporated 
towns and villages, boroughs, authorities, districts, and 
Indian tribes on Federal and State reservations) that will 
serve rural areas for the purpose of enabling the public 
bodies and private nonprofit corporations to provide to 
associations described in paragraph (1) technical assistance 
and training, with respect to essential community facilities 
programs authorized under this subsection— 
‘‘(i) to assist communities in identifying and plan-
ning for community facility needs; 
‘‘(ii) to identify public and private resources to 
finance community facility needs; 
‘‘(iii) to prepare reports and surveys necessary to 
request financial assistance to develop community 
facilities; 
‘‘(iv) to prepare applications for financial assist-
ance; 
‘‘(v) to improve the management, including finan-
cial management, related to the operation of commu-
nity facilities; or 
‘‘(vi) to assist with other areas of need identified 
by the Secretary.