School Hunger Elimination Act of 2021
Bill: S.2664 | Sponsor: Sen. Casey, Robert P., Jr. (D-PA)
Policy area: Agriculture and Food

Summary:
School Hunger Elimination Act of 2021
This bill revises requirements under the National School Lunch Program and the School Breakfast Program of the Department of Agriculture, including by expanding mandatory direct certification of low-income children for free or reduced-price meals.

To amend the Richard B. Russell National School Lunch Act to improve 
             program requirements, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``School Hunger Elimination Act of 
2021''.

SEC. 2. MANDATORY DIRECT CERTIFICATION.

    Section 9(b)(5) of the Richard B. Russell National School Lunch Act 
(42 U.S.C. 1758(b)(5)) is amended--
            (1) in the paragraph heading, by striking ``Discretionary 
        certification'' and inserting ``Direct certification of 
        additional low-income children''; and
            (2) in the matter preceding subparagraph (A), by striking 
        ``may'' and inserting ``shall''.

SEC. 3. DIRECT CERTIFICATION FOR CHILDREN RECEIVING SOCIAL SECURITY 
              INCOME.

    (a) In General.--Section 9(b)(5) of the Richard B. Russell National 
School Lunch Act (42 U.S.C. 1758(b)(5)) is amended--
            (1) in subparagraph (D), by striking ``or'' at the end;
            (2) in subparagraph (E)(ii), by striking the period at the 
        end and inserting ``; or''; and
            (3) by adding at the end the following:
                    ``(F) a child who receives supplemental security 
                income payments under title XVI of the Social Security 
                Act (42 U.S.C. 1381 et seq.).''.
    (b) Data From Social Security Administration.--Section 9(b) of the 
Richard B. Russell National School Lunch Act (42 U.S.C. 1758(b)) is 
amended by adding at the end the following:
            ``(16) Data from social security administration.--In the 
        case of direct certification under paragraph (5) or (12)(A) of 
        a child who receives supplemental security income payments 
        under title XVI of the Social Security Act (42 U.S.C. 1381 et 
        seq.), the Commissioner of Social Security shall provide a 
        local educational agency with the data necessary to certify the 
        child in accordance with a data-sharing agreement between the 
        Commissioner and the State in which the local educational 
        agency is located.''.

SEC. 4. RETROACTIVE REIMBURSEMENT.

    Section 9(b)(9) of the Richard B. Russell National School Lunch Act 
(42 U.S.C. 1758(b)(9)) is amended by adding at the end the following:
                    ``(D) Retroactive reimbursement.--
                            ``(i) Definitions.--In this subparagraph:
                                    ``(I) Change in eligibility.--The 
                                term `change in eligibility' means, 
                                with respect to eligibility for the 
                                school lunch program under this Act--
                                            ``(aa) a change from 
                                        eligibility for reduced price 
                                        meals to eligibility for free 
                                        meals; and
                                            ``(bb) a change from 
                                        noneligibility to eligibility 
                                        for free or reduced price 
                                        meals.
                                    ``(II) Meal claim.--The term `meal 
                                claim' means any documentation provided 
                                by a school food authority to a State 
                                agency in order to receive 
                                reimbursement under this Act for the 
                                cost of a meal served to a child by the 
                                school food authority.
                                    ``(III) Previously submitted.--The 
                                term `previously submitted', with 
                                respect to a meal claim, means a meal 
                                claim submitted on or after the 
                                retroactive date.
                                    ``(IV) Retroactive date.--The term 
                                `retroactive date' means the first day 
                                of the current school year.
                            ``(ii) Retroactivity.--
                                    ``(I) Submission of meal claims.--A 
                                local educational agency shall--
                                            ``(aa) revise and resubmit 
                                        a previously submitted meal 
                                        claim to reflect a change in 
                                        eligibility described in 
                                        subclause (i)(I)(aa) of a 
                                        child; and
                                            ``(bb) submit a meal claim 
                                        for any meal provided on or 
                                        after the retroactive date for 
                                        a child that has a change of 
                                        eligibility described in 
                                        subclause (i)(I)(bb).
                                    ``(II) Reimbursement by 
                                secretary.--The Secretary shall 
                                reimburse each meal claim submitted by 
                                a local educational agency under 
                                subclause (I).
                            ``(iii) Reimbursement to families.--A local 
                        educational agency that receives a 
                        reimbursement under clause (ii)(II) shall 
                        reimburse the household of a child for any fees 
                        paid by the household on or after the 
                        retroactive date and prior to the change in 
                        eligibility of the child.''.

SEC. 5. UNIVERSAL MEDICAID DIRECT CERTIFICATION.

    Section 9(b)(15) of the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1758(b)(15)) is amended--
            (1) in subparagraph (A)--
                    (A) by striking clause (i) and inserting the 
                following:
                            ``(i) Eligible child.--
                                    ``(I) In general.--The term 
                                `eligible child' means a child who--
                                            ``(aa)(AA) is eligible for 
                                        and receiving medical 
                                        assistance under the Medicaid 
                                        program; and
                                            ``(BB) is a member of a 
                                        family with an income as 
                                        measured by the Medicaid 
                                        program that does not exceed, 
                                        in the case of eligibility for 
                                        free meals, 133 percent of the 
                                        poverty line (as defined in 
                                        section 673(2) of the Community 
                                        Services Block Grant Act (42 
                                        U.S.C. 9902(2)), including any 
                                        revision required by such 
                                        section) applicable to a family 
                                        of the size used for purposes 
                                        of determining eligibility for 
                                        the Medicaid program, or, in 
                                        the case of eligibility for 
                                        reduced price meals, the 
                                        applicable family size income 
                                        level under the income 
                                        eligibility guidelines for 
                                        reduced price meals; or
                                            ``(bb) is a member of a 
                                        household (as that term is 
                                        defined in section 245.2 of 
                                        title 7, Code of Federal 
                                        Regulations (or successor 
                                        regulations)) with a child 
                                        described in item (aa).
                                    ``(II) Other children.--The term 
                                `eligible child' includes a child who 
                                is eligible for and receiving medical 
                                assistance under the Medicaid program 
                                under subclause (I) of section 
                                1902(a)(10)(A)(i) of the Social 
                                Security Act (42 U.S.C. 
                                1396a(a)(10)(A)(i))--
                                            ``(aa) on the basis of 
                                        receiving aid or assistance 
                                        under the State plan approved 
                                        under part E of title IV of 
                                        that Act (42 U.S.C. 670 et 
                                        seq.);
                                            ``(bb) by reason of section 
                                        473(b) of that Act (42 U.S.C. 
                                        673(b)); or
                                            ``(cc) under subclause (II) 
                                        of section 1902(a)(10)(A)(i) of 
                                        that Act (42 U.S.C. 
                                        1396a(a)(10)(A)(i)).''; and
                    (B) by adding at the end the following:
                            ``(iii) Without further application.--The 
                        term `without further application' has the 
                        meaning given the term in paragraph (4)(G).''; 
                        and
            (2) by striking subparagraphs (B) through (H) and inserting 
        the following:
                    ``(B) Agreement.--For the school year beginning on 
                July 1, 2022, and each school year thereafter, each 
                State shall enter into an agreement described in 
                subparagraph (C) with the 1 or more State agencies 
                conducting eligibility determinations for the Medicaid 
                program.
                    ``(C) Procedures.--
                            ``(i) In general.--Subject to subparagraph 
                        (D) and paragraph (6), an agreement entered 
                        into under subparagraph (B) shall establish 
                        procedures under which an eligible child shall 
                        be certified as eligible, without further 
                        application, for--
                                    ``(I) free or reduced price lunch 
                                under this Act; and
                                    ``(II) free or reduced price 
                                breakfast under section 4 of the Child 
                                Nutrition Act of 1966 (42 U.S.C. 1773).
                            ``(ii) Free meals.--Each agreement entered 
                        into under subparagraph (B) shall ensure that a 
                        child who is simultaneously eligible for 
                        reduced price meals under this paragraph or 
                        based on an income eligibility determination, 
                        and for free meals based on documentation 
                        provided under subsection (d)(2), shall be 
                        certified for free meals.
                    ``(D) Certification.--Subject to paragraph (6), and 
                according to an agreement entered into under 
                subparagraph (B), the local educational agency 
                conducting eligibility determinations under that 
                agreement shall certify an eligible child as eligible, 
                without further application, for--
                            ``(i) free or reduced price lunch under 
                        this Act; and
                            ``(ii) free or reduced price breakfast 
                        under section 4 of the Child Nutrition Act of 
                        1966 (42 U.S.C. 1773).''.

SEC. 6. UNIVERSAL MEAL SERVICE IN HIGH POVERTY AREAS.

    Section 11(a)(1)(F) of the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1759a(a)(1)(F)) is amended by striking clause (vii) and 
inserting the following:
                            ``(vii) Multiplier.--For each school year 
                        beginning on or before July 1, 2022, the 
                        multiplier shall be 2.5.''.

SEC. 7. STATEWIDE FREE UNIVERSAL SCHOOL MEALS DEMONSTRATION PROJECTS.

    Section 11(a)(1) of the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1759a(a)(1)) is amended by adding at the end the 
following:
                    ``(G) Statewide free universal school meals 
                demonstration projects.--
                            ``(i) Definitions.--In this subparagraph:
                                    ``(I) Demonstration project.--The 
                                term `demonstration project' means a 
                                demonstration project carried out under 
                                clause (ii).
                                    ``(II) Eligible school.--
                                            ``(aa) In general.--The 
                                        term `eligible school' means a 
                                        school that participates in the 
                                        school lunch program under this 
                                        Act and the school breakfast 
                                        program under section 4 of the 
                                        Child Nutrition Act of 1966 (42 
                                        U.S.C. 1773).
                                            ``(bb) Exclusion.--The term 
                                        `eligible school' does not 
                                        include a residential child 
                                        care institution (as defined in 
                                        section 210.2 of title 7, Code 
                                        of Federal Regulations (or 
                                        successor regulations)).
                                    ``(III) Identified student.--The 
                                term `identified student' has the 
                                meaning given the term in subparagraph 
                                (F)(i).
                                    ``(IV) Selected state.--The term 
                                `selected State' means a State selected 
                                to carry out a demonstration project 
                                under clause (iii)(I).
                            ``(ii) Establishment.--Not later than July 
                        1, 2023, the Secretary shall carry out 
                        demonstration projects in selected States under 
                        which school meals are provided at no charge to 
                        every student at an eligible school in the 
                        selected State.
                            ``(iii) State selection.--
                                    ``(I) In general.--The Secretary 
                                shall select not more than 5 States to 
                                each carry out a demonstration project.
                                    ``(II) Applications.--A State 
                                seeking to carry out a demonstration 
                                project shall submit to the Secretary 
                                an application at such time, in such 
                                manner, and containing such information 
                                as the Secretary may require.
                                    ``(III) Priority.--In carrying out 
                                subclause (I), the Secretary shall give 
                                priority to a State based on--
                                            ``(aa) the level of 
                                        childhood poverty in the State;
                                            ``(bb) the extent to which 
                                        the State has implemented 
                                        subparagraph (F);
                                            ``(cc) the extent to which 
                                        the direct certification rate 
                                        of the State meets the required 
                                        percentage (as defined in 
                                        section 9(b)(4)(F)(i));
                                            ``(dd) the extent to which 
                                        the State demonstrates a 
                                        commitment to providing 
                                        technical assistance to local 
                                        educational agencies that will 
                                        implement the demonstration 
                                        project in the State; and
                                            ``(ee) the extent to which 
                                        the State demonstrates a 
                                        commitment to providing non-
                                        Federal funding under clause 
                                        (vi)(III).
                            ``(iv) Start date.--A demonstration project 
                        shall begin in a selected State on the first 
                        day of the school year in that State.
                            ``(v) Special assistance payments.--
                                    ``(I) First year.--For each month 
                                of the first school year during which a 
                                demonstration project is carried out, a 
                                selected State shall receive special 
                                assistance payments at the rate for 
                                free meals for a percentage of all 
                                reimbursable meals served in eligible 
                                schools in the State in an amount equal 
                                to the product obtained by 
                                multiplying--
                                            ``(aa) 1.9; and
                                            ``(bb) the percentage of 
                                        identified students in eligible 
                                        schools in the State as of the 
                                        last day of the prior school 
                                        year, up to a maximum of 100 
                                        percent.
                                    ``(II) Subsequent years.--For each 
                                month of the second school year and 
                                each subsequent school year during 
                                which a demonstration project is 
                                carried out, a selected State shall 
                                receive special assistance payments at 
                                the rate for free meals for a 
                                percentage of all reimbursable meals 
                                served in eligible schools in the State 
                                in an amount equal to the product 
                                obtained by multiplying--
                                            ``(aa) 1.9; and
                                            ``(bb) the higher of--

                                                    ``(AA) the 
                                                percentage of 
                                                identified students in 
                                                eligible schools as of 
                                                the last day of the 
                                                prior school year; and

                                                    ``(BB) the 
                                                percentage of 
                                                identified students in 
                                                eligible schools as of 
                                                the last day of the 
                                                school year prior to 
                                                the first school year 
                                                during which a 
                                                demonstration project 
                                                is carried out, up to a 
                                                maximum of 100 percent.

                                    ``(III) Payment for other meals.--
                                With respect to the reimbursable meals 
                                described in subclauses (I) and (II) 
                                for which a selected State is not 
                                receiving special assistance payments 
                                under this clause, the reimbursement 
                                rate shall be the rate provided under 
                                section 4.
                                    ``(IV) Payments in lieu of.--A 
                                special assistance payment made under 
                                this clause shall be in lieu of any 
                                other special assistance payment made 
                                under this paragraph.
                            ``(vi) State implementation.--
                                    ``(I) Preliminary activities.--Each 
                                selected State shall, in the school 
                                year preceding the first school year 
                                during which the demonstration project 
                                shall be carried out in the State--
                                            ``(aa) identify each 
                                        eligible school in the State;
                                            ``(bb) in consultation with 
                                        the Secretary, combine the 
                                        percentage of identified 
                                        students across eligible 
                                        schools for the purpose of 
                                        calculating the maximum 
                                        reimbursement rate to ensure 
                                        that the special assistance 
                                        payments received under clause 
                                        (v) are for the maximum amount;
                                            ``(cc) inform local 
                                        educational agencies of the 
                                        demonstration project; and
                                            ``(dd) coordinate with 
                                        local educational agencies to 
                                        provide information about the 
                                        demonstration project to 
                                        parents or guardians of 
                                        students attending eligible 
                                        schools.
                                    ``(II) Meal service.--As part of a 
                                demonstration project, an eligible 
                                school in a selected State--
                                            ``(aa) shall not collect 
                                        applications for free and 
                                        reduced price lunches under 
                                        this Act; and
                                            ``(bb) shall make school 
                                        meals available to all children 
                                        at the school at no charge.
                                    ``(III) Non-federal funding.--
                                            ``(aa) In general.--Each 
                                        selected State may support the 
                                        demonstration project using--

                                                    ``(AA) funds from 
                                                State and local sources 
                                                that are used for the 
                                                maintenance of the free 
                                                lunch program under 
                                                this Act and the free 
                                                breakfast program under 
                                                section 4 of the Child 
                                                Nutrition Act of 1966 
                                                (42 U.S.C. 1773); and

                                                    ``(BB) State 
                                                revenues appropriated 
                                                or used for program 
                                                purposes under section 
                                                7 of this Act.

                                            ``(bb) Non-federal 
                                        contributions.--In addition to 
                                        the funding received under this 
                                        Act and the Child Nutrition Act 
                                        of 1966 (42 U.S.C. 1771 et 
                                        seq.), each selected State 
                                        shall provide funding from non-
                                        Federal sources to ensure that 
                                        local educational agencies in 
                                        the State receive the free 
                                        reimbursement rate for not less 
                                        than 90 percent of the meals 
                                        served at eligible schools.
                                            ``(cc) Continuation of free 
                                        rate.--

                                                    ``(AA) Definition 
                                                of covered school 
                                                year.--In this item, 
                                                the term `covered 
                                                school year' means the 
                                                school year preceding 
                                                the first school year 
                                                during which a 
                                                demonstration project 
                                                is carried out.

                                                    ``(BB) Free rate.--
                                                A selected State that 
                                                receives special 
                                                assistance payments at 
                                                the free reimbursement 
                                                rate under subparagraph 
                                                (F) for more than 90 
                                                percent of the meals 
                                                served at eligible 
                                                schools in the covered 
                                                school year shall 
                                                continue to receive the 
                                                free reimbursement rate 
                                                for not less than the 
                                                same percentage of 
                                                meals in each school 
                                                year during which a 
                                                demonstration project 
                                                is carried out.

                            ``(vii) Report.--
                                    ``(I) In general.--Not later than 
                                September 30, 2027, the Secretary, 
                                acting through the Administrator of the 
                                Food and Nutrition Service, shall 
                                submit to the Committee on Agriculture, 
                                Nutrition, and Forestry of the Senate 
                                and the Committees on Agriculture and 
                                Education and Labor of the House of 
                                Representatives a report that evaluates 
                                the impact of each demonstration 
                                project in a selected State with 
                                respect to--
                                            ``(aa) academic 
                                        achievement, absenteeism, 
                                        tardiness, the school 
                                        environment, child food 
                                        insecurity in the selected 
                                        State, and other key factors 
                                        identified in consultation with 
                                        the Secretary of Education;
                                            ``(bb) the rate of 
                                        participation in the free lunch 
                                        program under this Act and the 
                                        free breakfast program under 
                                        section 4 of the Child 
                                        Nutrition Act of 1966 (42 
                                        U.S.C. 1773) among identified 
                                        students and other students;
                                            ``(cc) school meal 
                                        services, finances, and 
                                        operations in the selected 
                                        State;
                                            ``(dd) administrative costs 
                                        to the selected State and the 
                                        school food authorities 
                                        participating in the 
                                        demonstration project; and
                                            ``(ee) the integrity of the 
                                        operation of the free lunch 
                                        program under this Act in the 
                                        selected State.
                                    ``(II) Funding.--
                                            ``(aa) In general.--On 
                                        October 1, 2023, out of any 
                                        funds in the Treasury not 
                                        otherwise appropriated, the 
                                        Secretary of the Treasury shall 
                                        transfer to the Secretary to 
                                        carry out this clause 
                                        $3,000,000, to remain available 
                                        until September 30, 2027.
                                            ``(bb) Receipt and 
                                        acceptance.--The Secretary 
                                        shall be entitled to receive, 
                                        shall accept, and shall use to 
                                        carry out this clause the funds 
                                        transferred under item (aa), 
                                        without further 
                                        appropriation.''.
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