The Emergency Food Assistance Program (TEFAP): Background and Funding
Released: 2018-11-19T00:00:00

Summary:
The Emergency Food Assistance Program (TEFAP) is a federal food distribution program that supports food banks, food pantries, soup kitchens, and other emergency feeding organizations serving low-income Americans. Federal assistance takes the form of federally purchased commodities—including fruits, vegetables, meats, and grains—and funding for administrative costs. Food aid and funds are distributed to states using a statutory formula that takes into account poverty and unemployment rates. TEFAP is administered by the U.S. Department of Agriculture's Food and Nutrition Service (USDA-FNS).
TEFAP was established as the Temporary Emergency Food Assistance Program by the Emergency Food Assistance Act of 1983. The Emergency Food Assistance Act continues to govern program operations, while the Food and Nutrition Act provides mandatory funding authority for TEFAP commodities. Based on levels set in statute, appropriations provided $289.5 million in mandatory funding for TEFAP's "entitlement" commodities in FY2018. TEFAP also incorporates "bonus" commodities, which are distributed at USDA's discretion throughout the year to support different crops using separate budget authority. USDA purchased $268.6 million worth of bonus commodities for TEFAP in FY2017. A smaller amount of cash assistance ($64.4 million in FY2018) is appropriated to cover administrative and distribution costs under Emergency Food Assistance Act authority. These administrative funds are discretionary.
USDA-FNS coordinates the purchasing of commodities and the allocation of commodities and administrative funds to states, and provides general program oversight. State agencies—often state departments of health and human services, agriculture, or education—determine program eligibility rules and allocations of aid to feeding organizations (called "recipient agencies"). States often task food banks, which operate regional warehouses, with distributing foods to other recipient agencies. TEFAP aid makes up a modest proportion of the food and funds available to emergency feeding organizations, which are reliant on private donations as well.
TEFAP is the largest source of federal support for emergency feeding organizations. Other related food distribution programs focus on specific subpopulations; for example, the Federal Emergency Management Agency's (FEMA's) Emergency Food and Shelter Program distributes food to homeless individuals and USDA's Commodity Supplemental Food Program distributes food to low-income elderly individuals.
TEFAP is typically amended and reauthorized through farm bills. Most recently, the 2014 farm bill (P.L. 113-79) extended and provided additional funding for TEFAP's entitlement commodities. Current 2018 farm bill proposals (two versions of H.R. 2) would reauthorize and continue additional funding for entitlement commodities (as of the date of this report). They also include different approaches to incorporating non-federally donated foods and reducing food waste. Recent program developments include TEFAP's use in disaster response and receipt of commodities from the 2018 trade aid package.

subsections: section_title: Introduction
paragraphs: The Emergency Food Assistance Program (TEFAP; previously the Temporary Emergency Food Assistance Program) provides federally purchased commodities and a smaller amount of cash support to food banks, food pantries, soup kitchens, shelters, and other types of emergency feeding organizations serving low-income households and individuals. Commodities include fruits, vegetables, meats, and grains, among other foods. In addition to serving needy individuals, TEFAP's domestic commodity purchases support the agricultural economy by reducing supply on the market, thereby increasing food prices. TEFAP is administered by the U.S. Department of Agriculture's Food and Nutrition Service (USDA-FNS).
TEFAP was established under the Emergency Food Assistance Act of 1983 in an effort to dispose of government-held agricultural surpluses and alleviate hunger in the wake of a recession and declining food stamp benefits. Since then, TEFAP has evolved into a permanent program with mandatory, annually appropriated funding that operates in all 50 states, the District of Columbia, and several U.S. territories. The program was most recently reauthorized by the 2014 farm bill ( P.L. 113-79 ) and has been included in farm bill reauthorization efforts in the 115 th Congress. 
At the federal level, TEFAP is administered by USDA-FNS in collaboration with USDA's purchasing agencies, the Agricultural Marketing Service (AMS) and Commodity Credit Corporation (CCC). At the state level, TEFAP is administered by a "state distributing agency" designated by the governor or state legislature: generally the state department of health and human services, agriculture, or education. Federal commodities and funds may flow through the state or directly to feeding organizations (called "recipient agencies") based on how the state agency structures the program. States will often task food banks with processing and distributing food to local feeding organizations. Food banks typically operate regional warehouses and distribute food to other organizations rather than to households directly. Figure 1 depicts the flow of commodities and funds through TEFAP. 
TEFAP is part of a larger web of food assistance programs. Some of these programs provide cash assistance while others primarily distribute food. TEFAP foods may reach individuals who do not qualify for other food assistance programs or supplement the assistance that individuals receive through other programs. With nearly $354 million in appropriated funding in FY2018, TEFAP is the largest source of federal support for emergency feeding organizations. Other related federal programs include the Federal Emergency Management Agency's (FEMA's) Emergency Food and Shelter Program, funded at $120 million in FY2018, which, among its other services for homeless individuals, provides food through shelters, food banks, and food pantries. In addition, USDA's Commodity Supplemental Food Program, funded at $238 million in FY2018, distributes monthly food packages to low-income elderly individuals through local organizations, which can include food banks and pantries.
This report begins by describing the population using emergency food assistance. It goes on to discuss the TEFAP program, including its administration at the federal, state, and local levels, eligibility rules, and funding structure. The report concludes by summarizing TEFAP's role in disaster response and recent reauthorization efforts. Appendix A lists TEFAP expenditures from the program's inception in 1983 to present; Appendix B provides a brief legislative history of TEFAP; and Appendix C lists TEFAP funding by state. 
section_title: The Demand for Emergency Food Assistance
paragraphs: According to an analysis of Current Population Survey (CPS) data by USDA's Economic Research Service (ERS), an estimated 5.9 million households (4.7%) utilized food pantries (see Figure 2 ) and at least 726,000 households (0.6%) utilized soup kitchens in 2017. However, this is likely an underestimate of the population using emergency food assistance because the sample did not include certain households over 185% of poverty and the CPS does not fully capture households who are homeless or in tenuous housing arrangements. For comparison, a survey by Feeding America, a nonprofit membership and advocacy organization, estimated that approximately 15.5 million households accessed its network of feeding organizations in 2013 (the same year, ERS estimated that 6.9 million households used food pantries and soup kitchens). The Feeding America network represents a large segment of emergency feeding organizations nationwide. 
Data on the number of TEFAP recipients specifically are not available, in part because TEFAP commodities are mixed in with other commodities provided by emergency feeding organizations and because of "the transient nature of participation."
subsections: section_title: Characteristics of Emergency Food Recipients
paragraphs: Food insecurity is common among households using emergency feeding organizations. According to the ERS analysis, approximately 65% of households using food pantries and soup kitchens were food insecure in 2017, meaning that they had difficulty providing enough food for all of their members at times during the year due to a lack of resources. Roughly half of these households experienced very low food security, meaning that the food intake of some household members was reduced and normal eating patterns were disrupted due to limited resources. Nationally, the percentage of households experiencing food insecurity was 11.8% in 2017, down from a recent high of 14.9% in 2011.
According to the ERS analysis, households using food pantries were more likely to have incomes below 185% of poverty compared to the general population (70% vs. 21%) and to include children (39% vs. 30%). Meanwhile, according to the 2014 Feeding America survey, individuals using meal programs (e.g., soup kitchens and shelters) were generally single-person households and were more likely to be homeless. In 2013, just over 70% of households using the Feeding America network of meal programs had a single member and nearly 34% were homeless or living in temporary housing. 
In addition, emergency feeding organizations may act as a safety net for food insecure households who are ineligible for or do not participate in other federal food assistance programs. For example, in the case of the Supplemental Nutrition Assistance Program (SNAP), households may have an income too high to qualify for assistance but still experience difficulty purchasing food, or they may fail to meet other program eligibility rules. Among households using feeding organizations affiliated with Feeding America's network, a little more than half (55%) reported receiving SNAP benefits in 2013. 
section_title: Program Administration
subsections: section_title: Federal Role
paragraphs: TEFAP is administered by USDA's Food and Nutrition Service (FNS), which is responsible for allocating aid to states (see " State Allocation Formula ") and coordinating the ordering, processing, and distribution of commodities. Specifically, FNS receives requests for certain quantities and types of commodities from state agencies, which place orders based on their entitlement allocation and in consultation with recipient agencies. FNS then collaborates closely with USDA's purchasing agencies—the Agricultural Marketing Service (AMS) and Commodity Credit Corporation (CCC)—to fulfill the orders. FNS also collaborates with AMS and CCC to purchase bonus commodities throughout the year that are not based on state requests but rather USDA's discretion to support different crops. Commodities are delivered to state distribution points, which may be operated by a state agency, private contractor, or recipient agency. According to a 50-state survey conducted by the Washington State Department of Agriculture in 2015, most states reported that commodities were sent to nonprofit-run warehouses (i.e., food banks). 
FNS also issues regulations and guidance and provides general oversight of states' TEFAP operations. FNS provides oversight by reviewing and approving state TEFAP plans, which are documents that outline each state's operation of TEFAP. States are required to submit amendments to the plan for approval "when necessary to reflect any changes in program operations or administration as described in the plan, or at the request of FNS, to the appropriate FNS Regional Office."
section_title: State Role
paragraphs: TEFAP is administered at the state level by an agency designated by the governor "or other appropriate State executive authority" that enters into an agreement with FNS. As of 2015, states most commonly housed TEFAP in a health and human services department (18 states), agriculture department (13 states), or education department (8 states). State agencies administering TEFAP are responsible for creating eligibility criteria (see " Eligibility Rules for Individuals and Households "), selecting recipient agencies, distributing commodities and funds to recipient agencies, and overseeing recipient agencies. States also maintain state TEFAP plans, which contain program and eligibility rules. 
Federal regulations allow states to delegate a number of responsibilities to recipient agencies, if desired. States can (and often do) delegate the responsibility of warehousing and transporting commodities to one or more eligible recipient agencies, most often to food banks. They also frequently delegate the role of selecting and contracting with other recipient agencies; for example, enabling a food bank to contract with multiple food pantries. States cannot delegate their responsibility to set eligibility rules or oversee recipient agencies.
States must review at least 25% of recipient agencies contracting directly with the state (e.g., food banks) at least once every four years, and at least one-tenth or 20 (whichever is fewer) of other recipient agencies each year. If the state finds deficiencies in the course of review, the state agency must submit a report with the findings to the recipient agency and ensure that corrective action is taken.
section_title: Local Role
paragraphs: Organizations that are eligible for TEFAP aid are referred to as "recipient agencies" in the Emergency Food Assistance Act. According to the statute, recipient agencies are public or nonprofit organizations that administer 
emergency feeding organizations; charitable institutions; summer camps or child nutrition programs; nutrition projects operating under the Older Americans Act of 1965; or disaster relief programs.
The first category of organizations—emergency feeding organizations (EFOs)—receive priority under TEFAP statute and regulations and the majority of TEFAP aid. EFOs are defined as public or nonprofit organizations "providing nutrition assistance to relieve situations of emergency and distress through the provision of food to needy persons, including low-income and unemployed persons." They include food banks, food pantries, soup kitchens, and other organizations serving similar functions. 
Recipient agencies are responsible for serving and distributing TEFAP foods to individuals and households. As discussed above, they may also have additional responsibilities as delegated by the state agency; for example, food banks, which operate food warehouses, may be tasked with distributing food to subcontracting recipient agencies like food pantries and soup kitchens, which in turn distribute foods or serve prepared meals to low-income individuals and families.
In addition, recipient agencies must adhere to program rules. For example, they must safely store food and comply with state and/or local food safety and health inspection requirements. Recipient agencies must also maintain records of the commodities they receive and a list of households receiving TEFAP foods for home consumption. There are also restrictions on the types of activities that can occur at distribution sites. Recipient agencies must ensure that any unrelated activities are conducted in a way that makes clear that the activity is not part of TEFAP and that receipt of TEFAP foods is not contingent on participation in the activity. Activities may not disrupt food distribution or meal service and may not be explicitly religious. In addition, recipient agencies may not engage in recruitment activities designed to persuade an individual to apply for SNAP benefits.
section_title: Eligibility Rules for Individuals and Households
paragraphs: Under broad federal guidelines, states set eligibility rules for individuals and households participating in TEFAP. Eligibility rules differ for organizations distributing commodities directly to households (e.g., food pantries) and organizations providing prepared meals (e.g., soup kitchens). States must develop income-based standards for households receiving foods directly, but cannot set such standards for individuals receiving prepared meals. However, organizations serving prepared meals must serve predominantly needy persons, and states "may establish a higher standard than 'predominantly' and may determine whether organizations meet the applicable standard by considering socioeconomic data of the area in which the organization is located, or from which it draws its clientele."
Income eligibility rules for households receiving TEFAP foods directly vary by state. Many states limit income eligibility to household incomes at or below 185% of poverty. Some states also confer household eligibility based on participation in other federal and state programs ("categorical eligibility"). 
States may also create other eligibility rules for households' receipt of TEFAP foods, such as requiring identification or proof of residency within the state. However, according to federal regulations, length of residency cannot be a criterion. 
section_title: Funding and Appropriations
paragraphs: Federal assistance through TEFAP is primarily provided in the form of USDA-purchased domestic agricultural products ("USDA Foods"). A smaller amount of assistance is provided in the form of cash support for administrative and distribution costs.
Roughly half of the funding for TEFAP's commodities is an appropriated entitlement ("entitlement" commodities), meaning that the authorizing law sets the level of spending but an annual appropriation is needed to provide funding. The other half of TEFAP's commodity funding is not included in the TEFAP appropriation and is instead provided by separate USDA budget authority. These funds are used by USDA for "bonus" commodity purchases for the program throughout the year. TEFAP's administrative funds are discretionary spending, requiring an annual appropriation.
In FY2018, the enacted appropriation provided $289.5 million for entitlement commodities and $64.4 million for administrative costs. Appropriations for TEFAP's entitlement commodities were contained in the SNAP account and appropriations for administrative costs were contained in the Commodity Assistance Program (CAP) account. In FY2017 (the most recent year with complete data), USDA purchased and distributed $268.6 million worth of bonus commodities for TEFAP.
subsections: section_title: Commodity Food Support
subsections: section_title: Entitlement Commodities
paragraphs: Mandatory funding for TEFAP commodities is authorized by Section 27 of the Food and Nutrition Act (7 U.S.C. 2036). The act authorizes $250 million annually plus additional amounts each year in FY2015 and onward as a result of amendments made by the 2014 farm bill ( P.L. 113-79 ) . For FY2018 and subsequent years, the additional amounts are $15 million annually. Both amounts are adjusted for food price inflation. Based on statute, FY2018 appropriations provided $289.5 million for TEFAP's entitlement commodities (contained in the SNAP account) (see Table 1 ).
Appropriations occasionally provide additional discretionary funding for commodities beyond the levels set in the Food and Nutrition Act. Most recently, $19 million was appropriated through a general provision in FY2017. 
Historically, appropriations laws have allowed states to convert a portion of their funds for entitlement commodities into administrative funds. In recent years, states were allowed to convert 10% of funds; FY2018 appropriations increased the proportion to 15%. States generally exercise this option; in FY2017, states converted $22.9 million out of a possible $29.7 million in eligible funds. States are also allowed to carry over entitlement commodity funds into the next fiscal year.
section_title: Bonus Commodities
paragraphs: Bonus commodities are purchased at USDA's discretion throughout the year using separate (non-TEFAP) USDA budget authority for that purpose. USDA may learn about these needs through its own commodity experts or be informed of surpluses or other economic problems by farm and industry organizations. The amount and type of bonus commodities that USDA purchases for TEFAP fluctuates from year to year, and depends largely on agricultural market conditions.
In FY2017, USDA purchased $268.6 million in bonus commodities for TEFAP. The level of bonus commodities has fluctuated substantially over time (see Figure 3 ). 
subsections: section_title: USDA's Purchasing Authorities: Section 32 and the Commodity Credit Corporation
paragraphs: USDA's purchases of bonus commodities stem from two accounts: "Section 32" and the Commodity Credit Corporation (CCC).
Section 32 is a permanent appropriation that sets aside the equivalent of 30% of annual customs receipts to support the farm sector through the purchase of surplus commodities and a variety of other activities. The Section 32 appropriation has totaled nearly $10 billion annually in recent years, a small portion of which goes toward TEFAP commodities. USDA's Agricultural Marketing Service (AMS) makes Section 32 purchases.
The CCC is a government-owned entity that finances authorized programs that support U.S. agriculture. Its operations are supported by USDA's Farm Service Agency. The CCC has permanent, indefinite authority to borrow up to $30 billion from the U.S. Treasury to finance its programs.
In recent years, Section 32 has financed TEFAP commodities to a greater extent than the Commodity Credit Corporation. Unlike CCC support, which is normally limited to price-supported commodities (such as milk, grains, and sugar), Section 32 is less constrained in the types of commodities that may be provided, and can include meats, poultry, fruits, vegetables, and seafood.
Within USDA, the Food and Nutrition Service (FNS) works closely with AMS and the CCC to determine what purchases are made for TEFAP. FNS also solicits input from state and local agencies. According to TEFAP's authorization of appropriations in the Food and Nutrition Act, USDA must, "to the extent practicable and appropriate, make purchases based on (1) agricultural market conditions; (2) preferences and needs of States and distributing agencies; and (3) preferences of recipients."
section_title: Types of Foods
paragraphs: USDA-purchased agricultural products ("USDA Foods") in TEFAP include a variety of products, such as meats, eggs, vegetables, soup, beans, nuts, peanut butter, cereal, pasta, milk, and juice. Most foods are nonperishable and ready for distribution when delivered to states, although some foods, such as some meat and dairy products, require refrigeration. States and recipient agencies can request entitlement commodities from a list of USDA Foods. USDA selects bonus foods based on market conditions. In FY2017, bonus foods included Alaska pollock, apples, applesauce, apple slices, beans, blueberries, cranberries, cranberry sauce, eggs, figs, grape juice, peaches, pears, plums, raisins, and turkey.
According to a 2012 USDA study, TEFAP foods are relatively nutritious compared to foods in the average American diet. The study found that TEFAP entitlement and bonus foods delivered to states in FY2009 scored 88.9 points out of a possible 100 points on the Healthy Eating Index—a measure of compliance with federal dietary guidelines—compared to 57.5 points scored by the average American diet. Keeping in mind that TEFAP foods are generally meant to supplement diets, the study also found that these foods would supply 81% of fruits, 69% of vegetables, 98% of grains, 171% of protein, 36% of dairy, 84% of oils, and 39% of the maximum solid fats and added sugars recommended for a 2,000-calorie diet.
section_title: Administrative Cash Support
paragraphs: TEFAP provides funds to cover state and recipient agency costs related to processing, storing, transporting, and distributing USDA-purchased commodities, as well as administrative costs related to determining eligibility, training staff, recordkeeping, and publishing announcements. Administrative funds can also be used to support states' food recovery efforts. 
The Emergency Food Assistance Act authorizes $100 million to be appropriated annually for administrative costs. In FY2018, appropriations provided $64.4 million in discretionary funding (contained in the Commodity Assistance Program [CAP] account), a slight increase over recent years (see Table 1 ). The act also authorizes up to $15 million to be appropriated for TEFAP infrastructure grants; however, funds have not been appropriated for these grants since FY2010.
The Emergency Food Assistance Act specifies that administrative funds must be made available to states, which must in turn distribute at least 40% of the funds to emergency feeding organizations. However, states are required to match whatever administrative funds they keep. As a result, states typically send nearly all of these funds to emergency feeding organizations.
States can convert any amount of their administrative funds to food funds, but this happens to a lesser extent than the conversion of food funds to administrative funds. In FY2017, states converted $260,250 of administrative funds to food funds.
section_title: Funding Trends
paragraphs:  Figure 3 displays TEFAP's expenditures on administrative costs, entitlement commodities, and bonus commodities from the program's inception (FY1983) to FY2018 (see Appendix A for specific dollar amounts). Originally, bonus foods were the only type of commodities in TEFAP; the program served as a means for disposing of large stockpiles of government-held commodities. Beginning in FY1989, the value of bonus foods dropped substantially as federal acquisitions and stocks waned, and commodities purchased specifically for TEFAP became the majority of the commodities in the program according to requirements in law (see Appendix B , "Legislative History of TEFAP").
TEFAP expenditures increased in FY2009 and FY2010, largely as a result of additional funding for entitlement commodities and administrative costs provided by the American Recovery and Reinvestment Act of 2009 (ARRA; P.L. 111-5 ). The 2008 farm bill ( P.L. 110-246 ) also increased funding for TEFAP's entitlement commodities. Since FY2011, spending on bonus and entitlement commodities has fluctuated between approximately $500 million and $650 million (inflation-adjusted).
section_title: State Allocation Formula
paragraphs: TEFAP's entitlement commodity and administrative funds are allocated to states based on a statutory formula that takes into account poverty and unemployment rates. Specifically, USDA calculates each state's share of the total national number of households with incomes below the federal poverty level and each state's share of the total national number of unemployed individuals. A state's share of households in poverty is then multiplied by 60% and its share of unemployed individuals is multiplied by 40% to calculate the state's share of TEFAP commodities and funds. For example, if a state has 4% of all households in poverty and 2% of all unemployed individuals, it would receive (4% x 0.60 = 2.4%) + (2% x 0.40 = 0.8%) = 3.2% of TEFAP funds. As noted previously, states may carry over any extra food or administrative funds for one fiscal year (e.g., from FY2017 to FY2018).
section_title: State Funding
paragraphs: States must match any administrative funds that are not allocated to emergency feeding organizations (EFOs) or expended by the state on behalf of EFOs. In practice, most states use 90% to 100% of their administrative funds to support EFOs, resulting in a small state match requirement.
Beyond the state match, 14 states reported supplying additional state funds "to support the TEFAP program either directly or indirectly" in the 2015 Washington State Department of Agriculture survey (discussed previously). There is a maintenance of effort requirement in TEFAP, meaning that states cannot reduce their own funding or commodity support for recipient agencies below the level that they were supporting such organizations at the program's inception or FY1988 (when the maintenance of effort went into effect)—whichever is later.
section_title: Role of TEFAP During Disaster Response
paragraphs: States have the authority to distribute existing inventories of USDA Foods to disaster relief organizations when the President issues a disaster declaration. This includes foods from TEFAP inventories and other food assistance programs such as the National School Lunch Program. For example, foods intended for TEFAP were used for disaster response in Florida, Texas, and Puerto Rico following Hurricanes Irma, Harvey, and Maria in 2017. TEFAP foods used for disaster assistance are replenished by USDA, so the overall level of commodities in the program is not affected and program operations continue in the aftermath of a disaster. 
At times, Congress may appropriate additional funds for TEFAP for the purposes of disaster relief. Recently, the Bipartisan Budget Act of 2018 ( P.L. 115-123 ) provided $24 million in supplemental funding for TEFAP commodities and administrative funds to jurisdictions that received a major disaster or emergency declaration related to the consequences of Hurricanes Harvey, Irma, and Maria or wildfires in 2017.
section_title: Reauthorization Proposals in the 115th Congress
paragraphs: The House- and Senate-passed 2018 farm bills (two versions of H.R. 2 ) include TEFAP provisions. Both bills would extend TEFAP's $250 million (plus inflation adjustment) in mandatory funding for entitlement commodities through 2023. Both bills would also continue the additional mandatory funding for entitlement commodities provided by the 2014 farm bill—the House bill (§4032) to a greater extent than the Senate bill (§4115). 
In addition, both bills would authorize new aspects of TEFAP, taking similar but not identical approaches to incorporating new donated foods and reducing food waste. The House bill would establish a "Farm-to-Food-Bank Fund" where, of the TEFAP entitlement commodity funds provided, USDA would be required to distribute $20 million for states or food banks to procure excess fresh fruits and vegetables grown in the state or surrounding regions for distribution to recipient agencies. Meanwhile, the Senate bill would establish "Projects to Harvest, Process, and Package Donated Commodities." This would provide $4 million in mandatory funding for each of FY2019-FY2023 for states and recipient agencies to harvest, process, or package "commodities donated by agricultural producers, processors, or distributors for use by emergency feeding organizations." Federal funds may not exceed 50% of the cost of the projects. 
The Senate bill would also require state agencies to include, in their TEFAP state plans, a plan to provide emergency feeding organizations or recipient agencies with an opportunity to provide input on commodity preferences and needs. It would also require the Secretary to issue guidance outlining best practices to minimize food waste of commodities donated by non-USDA entities. Finally, the bill would reauthorize discretionary funding of $15 million annually for TEFAP infrastructure grants through FY2023.
Appendix A. TEFAP Expenditures, FY1983-FY2017
Appendix B. Legislative History of TEFAP
Legislative History, 1981 to 2001
1980s . TEFAP began in 1981-82 as a temporary expedient designed to dispose of stockpiles of government-held food commodities. Establishment of TEFAP occurred in the aftermath of noticeable reductions in the coverage of and benefits provided by federal food assistance programs (e.g., food stamps, school meal programs) legislated in 1981 and 1982, and in the midst of an economic recession and concern over hunger and homelessness.
The Reagan Administration began distribution of excess federally held food commodities in 1981-1982. These commodities, often termed "bonus" commodities, were in excess of those needed to fulfill other domestic and international federal commitments to provide food commodities (e.g., to schools operating school meal programs). In 1983, Congress followed up with legislative authority that created what was known for more than a decade as the Temporary Emergency Food Assistance Program (TEFAP), as well as funding for grants to help with distribution costs. Establishment of TEFAP helped reduce federal commodity stocks (and storage costs associated with holding them), provided an alternative source of food assistance for low-income individuals, and supported an expanding network of emergency food aid providers that also drew food and other resources from many nongovernmental sources.
In TEFAP's early years, the only significant federal expenditures involved were appropriations for the grants supporting providers' distribution costs; the bonus commodities that were provided were acquired under separate USDA programs to support the agricultural economy. However, when commodity holdings began to drop substantially in the late 1980s because of changes in agricultural policies and the economy, Congress established the practice of providing federal funds to buy food commodities specifically for donation through TEFAP (in addition to continuing support for cash grants for distribution costs).
1988-1990. In 1988, after the Administration indicated plans to phase out TEFAP because of the lack of commodity inventories, Congress mandated funding (starting at $120 million for FY1989) in the Hunger Prevention Act of 1988 to buy commodities for distribution through TEFAP, thereby "entitling" the program to a minimum level of support regardless of the level of federal commodity holdings. The law also created a separate mandatory program to buy commodities for soup kitchens and other organizations not receiving TEFAP commodities (mandating funding starting at $40 million for FY1989). While some soup kitchens and other entities could receive federal food donations through a small separate initiative to help charitable organizations and others could participate as local TEFAP providers, the separate program was established out of a concern that most commodities for emergency feeding were going to local agencies that distributed food packages directly to individuals and families (e.g., food pantries), rather than to shelters, soup kitchens, and other providers serving meals in congregate settings. 
Two years later, the 1990 omnibus farm bill made commodity and cash-grant funding authority for TEFAP and the soup kitchen program "discretionary"—that is, expenditures on commodities and distribution-cost grants were made dependent on annual appropriations decisions, not "mandated" by the authorizing law entitling the program to a specific minimum funding level.
1990s. Although the authorizing law for TEFAP, the Emergency Food Assistance Act (EFA) of 1983, has been amended a number of times and the word "Temporary" has been dropped from the program's official title, perhaps the most significant changes since 1988 were made in 1996. The 1996 farm bill ( P.L. 104-127 ) extended the discretionary authority to appropriate money for commodities and distribution-cost grants for TEFAP and soup kitchen programs through FY2002. But, more significantly, the subsequent 1996 welfare reform law (the Personal Responsibility and Work Opportunity Reconciliation Act; P.L. 104-193 ) changed how these federal efforts are structured and funded. 
The welfare reform law (1) consolidated TEFAP and the soup kitchen program in one statute (the EFA) so that states could get a single TEFAP grant of commodities and distribution-cost funds for all types of emergency feeding organizations and (2) mandated funding of $100 million a year (through FY2002) to purchase food commodities for the program. This was in addition to any commodities that might be bought with money appropriated under discretionary authority in the EFA and any bonus commodities that might be made available at USDA's discretion. This second change was intended to entitle the program to a minimum level of commodity support when regularly appropriated money is not made available to buy commodities or excess federal commodity holdings for TEFAP distribution are minimal or nonexistent. It was accomplished through an amendment to the Food Stamp Act (now, the Food and Nutrition Act) effectively setting aside $100 million a year in "entitlement" appropriations under the act to purchase TEFAP commodities. 
As a result, the majority of funding for TEFAP (i.e., for commodity purchases) typically is now made available under the aegis of the Food and Nutrition Act appropriation unless Congress chooses to appropriate additional money for commodities under authority provided in the EFA. The minority of funding—funds for administrative and distribution costs—is appropriated under the authority of the EFA.
Appendix C. TEFAP Funding by State