(2) by inserting after paragraph (3) the follow-
ing:
‘‘(4) The Secretary may provide nutrition education
materials, including breastfeeding promotion materials,
developed with funds appropriated to carry out the pro-
gram under this section in bulk quantity to State agencies
administering the commodity supplemental food program
authorized under sections 4(a) and 5 of the Agriculture
and Consumer Protection Act of 1973 at no cost to that
program.’’.
(c) 
REAUTHORIZATION
OF
PROGRAM.—Section
17(g)(1) of such Act (42 U.S.C. 1786(g)(1)) is amended
in the first sentence by striking ‘‘1995 through 1998’’ and
inserting ‘‘1999 through 2003’’.
(d) 
PURCHASE
OF
BREAST
PUMPS.—Section
17(h)(1)(C) of such Act (42 U.S.C. 1786(h)(1)(C)) is
amended—
(1) by striking ‘‘(C)’’ and inserting ‘‘(C)(i)’’;
and
(2) by adding at the end the following:
‘‘(ii)(I) Notwithstanding any other provision of this
section, with respect to fiscal year 2000 and subsequent
fiscal years, a State agency may use amounts made avail-
able under clause (i) for the purchase of breast pumps.
‘‘(II) A State agency that exercises the authority of
subclause (I) shall expend from amounts allocated for nu-
trition services and administration an amount for the pur-
chase of breast pumps that is not less than the amount
expended for the purchase of breast pumps for the prior
fiscal year.’’.
(e) NUTRITION SERVICES AND ADMINISTRATION.—
(1) 
ALLOCATION
OF
AMOUNTS.—Section
17(h)(2)(A) of such Act (42 U.S.C. 1786(h)(2)(A))
is amended in the first sentence by striking ‘‘1995
through 1998’’ and inserting ‘‘1999 through 2003’’.
(2) LEVEL
OF
PER
PARTICIPANT
EXPENDI-
TURE.—Section 17(h)(2)(B)(ii) of such Act (42
U.S.C. 1786(h)(2)(B)(ii)) is amended by striking
‘‘15 percent’’ and inserting ‘‘10 percent (except that
the Secretary may establish a higher percentage for
small State agencies)’’.
(f) CONVERSION OF AMOUNTS FOR FOOD BENEFITS
TO AMOUNTS FOR NUTRITION SERVICES AND ADMINIS-
TRATION.—Section 17(h)(5)(A) of such Act (42 U.S.C.
1786(h)(5)(A)) is amended in the matter preceding clause
(i) by striking ‘‘achieves’’ and all that follows through
‘‘such State agency may’’ and inserting ‘‘submits a plan
to reduce average food costs per participant and to in-
crease participation above the level estimated for such
State agency, such State agency may, with the approval
of the Secretary,’’.
(g) INFANT
FORMULA
PROCUREMENT.—Section
17(h)(8)(A) of such Act (42 U.S.C. 1786(h)(8)(A)) is
amended by adding at the end the following:
‘‘(iii) A State agency using a competitive bidding sys-
tem for infant formula shall award contracts to the bidder
offering the lowest net price unless the State agency dem-
onstrates to the satisfaction of the Secretary that the
weighted average retail price for different brands of infant
formula in the State does not vary by more than five per-
cent.’’.
(h) INFRASTRUCTURE AND BREASTFEEDING PRO-
MOTION/SUPPORT ACTIVITIES.—Section 17(h)(10)(A) of
such Act (42 U.S.C. 1786(h)(10)(A)) is amended by strik-
ing ‘‘For each of fiscal years 1995 through 1998,’’ and
inserting ‘‘For each fiscal year through 2003,’’.
(i) CONSIDERATION OF PRICE LEVELS OF RETAIL
STORES FOR PARTICIPATION IN THE PROGRAM.—Section
17(h) of such Act (42 U.S.C. 1786(h)) is amended by add-
ing at the end the following:
‘‘(11)(A) For the purpose of promoting efficiency and
to contain costs under the program, a State agency shall,
in selecting a retail store for participation in the program,
take into consideration the prices that the store charges
for foods under the program as compared to the prices
that other stores charge for such foods.
‘‘(B) The State agency shall establish procedures to
insure that a retail store selected for participation in the
program does not subsequently raise prices to levels that
would otherwise make the store ineligible for selection in
the program.’’.
(j) USE OF FUNDS IN PRECEDING AND SUBSEQUENT
FISCAL YEARS.—
(1) IN GENERAL.—Clauses (i) and (ii) of sec-
tion 
17(i)(3)(A) 
of 
such 
Act 
(42 
U.S.C.
1786(i)(3)(A)(i) and (ii)) are amended to read as
follows:
‘‘(i) not more than 1 percent (except as pro-
vided in subparagraph (C)) of the amount of funds
allocated to a State agency under this section for
supplemental foods for a fiscal year, and not more
than 1 percent of the amount of funds allocated to
a State agency under this section for nutrition serv-
ices and administration for a fiscal year, may be ex-
pended by the State agency for allowable expenses
incurred under this section for supplemental foods
and nutrition services and administration, respec-
tively, during the preceding fiscal year; and
‘‘(ii)(I) a State agency may expend, from
amounts allocated to the agency for nutrition serv-
ices and administration, an amount equal to not
more than 1 percent of the total amount of funds al-
located to the agency under this section for a fiscal
year for allowable expenses incurred under this sec-
tion for nutrition services and administration during
the subsequent fiscal year; and
‘‘(II) with the prior approval of the Secretary,
a State agency may expend, from amounts allocated
to the agency for nutrition services and administra-
tion, an amount equal to not more than one-half of
1 percent of the total amount of funds allocated to
the agency under this section for a fiscal year for
the development of a management information sys-
tem, including an electronic benefit transfer system,
during the subsequent fiscal year.’’.
(2) CONFORMING AMENDMENTS.—Section 17 of
such Act (42 U.S.C. 1786) is amended—
(A) in subsection (h)(10)(A) (as amended
by this Act), by inserting after ‘‘nutrition serv-
ices and administration funds’’ the following:
‘‘and food benefit funds’’; and
(B) in subsection (i)—