An Act to amend the National School Lunch Act, as amended, to strengthen and expand food service programs for children.
PL 89-642 (S.3467), enacted 10/11/1966

80 
STAT. 
PUBLIC LAW 89.642-OCT. 11, 1966 
885 
certification of an appropriate official of that Government that such 
amounts were so erroneously deducted and have not heretofore been 
refunded. Such refunds shall be made from the National Service Life 
Insurance appropriation. In the event of the death of any such mem-
ber refunds may be made only to the following individuals and in the 
order named— 
(1) to the widow or widower of such person, if living; 
(2) if no widow or widower, to the child or children of such 
person, if living, in equal shares; or 
(3) if no widow, widower, child, or children, to the parent or 
parents of such person, if living, in equal shares. 
No refunds under this section shall be paid to the heirs or legal repre-
sentatives as such of such member or of any beneficiary. If such mem-
ber is deceased, and in the event no individual withm the permitted 
class survives to receive the refund, no payment of such refund shall 
be made. 
SEC. 2. (a) The second sentence of subsection (a) and the second 
sentence of subsection (b) of section 107 of title 38, United States 
Code, are each amended to read as follows: "Payments under such 
chapters shall be made at a rate in pesos as is equivalent to $0.50 for 
each dollar authorized, and where annual income is a factor in en-
titlement to benefits, the dollar limitations in the law specifying such 
annual income shall apply at a rate in Philippine pesos as is equivalent 
to $0.50 for each dollar." 
(b) The amendments made by subsection (a) of this section shall 
take effect on the first day of the second calendar month which begins 
after the date of enactment of this Act. 
Approved October 11, 1966, 12:25 p.m. 
Recipients, 
order for pay-
ment. 
72 Stat, n i l , 
Effective date. 
Public Law 89-642 
AN ACT 
To strengthen and expand food service programs for children. 
October 11, 1966 
[S.3467] 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress asserribled^ That this Act may 
be cited as the "Child Nutrition Act of 1966". 
Child Nutrition 
Act of 1966. 
DECLARATION OF PURPOSE 
SEC. 2. In recognition of the demonstrated relationship between 
food and good nutrition and the capacity of children to develop and 
learn, based on the years of cumulative successful experience under 
the national school lunch program with its significant contributions 
in the field of applied nutrition research, it is hereby declared to be 
the policy of Congress that these efforts shall be extended, expanded, 
and strengthened under the authority of the Secretary of Agriculture 
as a measure to safeguard the health and well-being of the Nation's 
children, and to encourage the domestic consumption of agricultural 
and other foods, by assisting States, through grants-in-aid and other 
means, to meet more effectively the nutritional needs of our chil-
dren. 
SPECIAL MILK PROGRAM AUTHORIZATION 
SEC. 3. There is hereby authorized to be appropriated for the fiscal 
year ending June 30, 1967, not to exceed $110,000,000; for the fiscal 
year ending June 30, 1968, not to exceed $115,000,000; and for each 
886 
PUBLIC LAW 89-642-OCT. 11, 1966 
feo 
STAT. 
of the two succeeding fiscal years not to exceed $120,000,000, to en-
able the Secretary of Agriculture, under such rules and regulations 
as he may deem in the public interest^ to encourage consumption of 
fluid milk by children in the United States in (1) nonprofit schools 
of high school grade and under, and (2) nonprofit nursery schools, 
child-care centers, settlement houses, summer camps, and similar non-
profit institutions devoted to the care and training of children. 
For 
the purposes of this section "United States" means the fifty States 
and the District of Columbia. 
The Secretary shall administer the 
special milk program provided for by this section to the maximum 
extent practicable in the same manner as he administered the special 
7/stat!*84^^^' 
^^^^ program provided for by Public Law 85-478, as amended, dur-
75 Stat! 319. 
iug the fiscal year ended June 30,1966. 
7 u s e 1446 
note. 
SCHOOL BREAKFAST PROGRAM AUTHORIZATION 
SEC. 4. (a) There is hereby authorized to be appropriated for the 
fiscal year ending June 30, 1967, not to exceed $7,500,000; and for the 
fiscal year ending June 30, 1968, not to exceed $10,000,000, to enable 
the Secretary to formulate and carry out, on a nonpartisan basis, a 
pilot program to assist States through grants-in-aid and other means, 
to initiate, maintain, or expand nonprofit breakfast programs in 
schools. 
APPORTIONMENT TO STATES 
(b) Of the funds appropriated for the purposes of this section, the 
Secretary shall for each fiscal year, (1) apportion $2,600,000 equally 
among the States other than Guam, the Virgin Islands, and American 
Samoa, and $45,000 equally among Guam, the Virgin Islands, and 
American Samoa, and (2) apportion the remainder amon^ the States 
in accordance with the apportionment formula contained in section 4 
42 use nsa 
^^ ^^® National School Lunch Act, as amended. 
STATE DISBURSEMENT TO SCHOOLS 
(c) Funds apportioned and paid to any State for the purpose of this 
section shall be disbursed by the State educational agency to schools 
selected by the State educational agency, to reimburse such schools for 
the cost of obtaining agricultural and other foods for consumption by 
needy children in a breakfast program and for the purpose of subsec-
tion (d). 
Such food costs may include, in addition to the purchase 
price, the cost of processing, distributing, transporting, storing, and 
handling. 
Disbilrsement to schools shall be made at such rates per 
meal or on such other basis as the Secretary shall prescribe. 
In select-
ing schools, the State educational agency shall, to the extent practi-
cable, give first consideration to those schools drawing attendance from 
areas in which poor economic conditions exist and to those schools to 
which a substantial proportion of the children enrolled must travel 
long distances daily. 
(d) In circumstances of severe need where the rate per meal estab-
lished by the Secretary is deemed by him insufficient to carry on an ef-
fective breakfast program in a school, the Secretary may authorize 
financial assistance up to 80 per centum of the operating costs of such 
a program, including cost of obtaining, preparing, and serving food. 
In the selection of schools to receive assistance under this section, the 
State educational agency shall require applicant schools to provide 
justification of the need for such assistance. 
80 STAT. ] 
PUBLIC LAW 89-642-OCT. 11, 1966 
887 
NUTRITIONAL AND OTHER PROGRAM REQUIREMENTS 
(e) Breakfasts served by schools participating in the school break-
fast program under this section shall consist of a combination of foods 
and shall meet minimum nutritional requirements prescribed by the 
Secretary on the basis of tested nutritional research. 
Such breakfasts 
shall be served without cost or at a reduced cost only to children who 
are determined by local school authorities to be unable to pay the full 
cost of the breakfast. 
In making such determinations, such local au-
thorities should, to the extent practicable, consult with public welfare 
and health agencies. No physical segregation of or other discrimina-
tion against any child shall be made by the school because of his inabil-
ity to pay. 
NONPROFIT PRIVATE SCHOOLS 
(f) The withholding of funds for and disbursement to nonprofit 
private schools will be effected in accordance with section 10 of the Na-
tional School Lunch Act, as amended, exclusive of the matching provi- ,/°,f*^*Q^^/^' 
sions thereof. 
76 Stat. 945. 
42 u s e 1759. 
NONFOOD ASSISTANCE PROGRAM AUTHORIZATION 
SEC. 5. (a) There is hereby authorized to be appropriated for the 
fiscal year ending June 30, 1967, not to exceed $12,000,000, for the 
fiscal year ending June 30, 1968, not to exceed $15,000,000, for each 
of the two fiscal years ending June 30, 1969, and June 30, 1970, not 
to exceed $18,000,000, and for each fiscal year thereafter such sums 
as the Congress may hereafter authorize, to enable the Secretary to 
formulate and carry out a program to assist the States through grants-
in-aid and other means to supply schools drawing attendance from 
areas in which poor economic conditions exist with equipment, other 
than land or buildings, for the storage, preparation, transportation, 
and serving of food to enable such schools to establish, maintain, and 
expand school food service programs. In the case of nonprofit pri-
vate schools, such equipment shall be for use of such schools princi-
pally in connection with child feeding programs authorized m this 
Act and in the National School Lunch Act, as amended, and in the ^° ^^^ ^^^^ 
event such equipment is no longer so used, that part of such equip- n^te. 
ment financed with Federal funds, or the residual value thereof, shall 
revert to the United States. 
APPORTIONMENTS TO STATES 
(b) The Secretary shall apportion the funds appropriated for the 
purposes of this section among the States during each fiscal year on 
the same basis as apportionments are made under section 4 of the Na-
tional School Lunch Act, as amended, for supplying agricultural and ^^ ^^^- 944. 
other foods, except that apportionment to American Samoa for any 
fiscal year shall be on the same basis as the apportionment to the other 
States. Payments to any State of funds apportioned for any fiscal 
year shall be made upon condition that at least one-fourth of the cost 
of any equipment financed under this subsection shall be borne by 
State or local funds. 
STATE DISBURSEMENT TO SCHOOLS 
(c)' Funds apportioned and paid to any State for the purpose of 
this section shall be disbursed by the State educational agency to as-
888 
PUBLIC LAW 89-642-OCT. 11, 1966 
[80 STAT. 
sist schools, which draw attendance from areas in which poor eco-
nomic conditions exist and which have no, or grossly inadequate, equip-
ment, to conduct a school food service program, and to acquire such 
equipment. In the selection of schools to receive assistance under this 
section, the State educational agency shall require applicant schools 
to provide justification of the need for such assistance and the inability 
of the school to finance the food service equipment needed. Disburse-
ments to any school may be made, by advances or reimbursements, 
only after approval by the State educational agency of a request by 
the school for funds, accompanied by a detailed description of the 
equipment to be acquired and the plans for the use thereof in effec-
tively meeting the nutritional needs of children in the school. 
NONPROFIT PRIVATE SCHOOLS 
(d) The withholding of funds for and disbursement to nonprofit 
private schools will be effected in accordance with section 10 of the 
60 Stat. 233; 
National School Lunch Act, as amended, exclusive of the matching 
76 Stat. 945, 
• • 
^i 
<» 
42 use 1759. 
provision tliereot. 
PAYMENTS T
O STATES 
SEC. 6. The Secretary shall certify to the Secretary of the Treasury 
from time to time the amounts to be paid to any State under sections 
8 through 7 of this Act and the time or times such amounts are to be 
paid; and the Secretary of the Treasury shall pay to the State at the 
time or times fixed by the Secretary the amounts so certified. 
STATE ADMINISTRATIVE EXPENSES 
SEC. 7. The Secretary may utilize funds appropriated under this 
section for advances to each State educational agency for use for its 
administrative expenses in supervising and giving technical assistance 
to the local school districts in their conducting of programs under this 
Act. Such funds shall be advanced only in amounts and to the extent 
determined necessary by the Secretary to assist such State agencies in 
the administration of additional activities undertaken by them under 
42 use 1759a. 
section 11 of the National School Lunch Act, as amended, and sec-
tions 4 and 5 of this Act. There are hereby authorized to be appropri-
ated such sums as may be necessary for the purposes of this section. 
UTILIZATION OF FOODS 
SEC. 8. Each school participating under section 4 of this Act shall, 
insofar as practicable, utilize in its program foods designated from 
time to time by the Secretary as being in abundance, either nationally 
or in the school area, or foods donated by the Secretary. 
Foods avail-
able under section 416 of the Agricultural Act of 1949 (63 Stat. 1058), 
7 use 1431 
^^ amended, or purchased under section 32 of the Act of August 24, 
7 use 612c! 
1935 (49 Stat. 774), as amended, or section 709 of the Food and Agri-
7 use i446a-i. cultuTC Act of 1965 (79 Stat. 1212), may be donated by the Secretary 
to schools, in accordance with the needs as determined by local school 
authorities, for utilization in their feeding programs under this Act. 
NONPROFIT PROGRAMS 
SEC. 9. The food and milk service programs in schools and nonprofit 
institutions receiving assistance under this Act shall be conducted on a 
nonprofit basis. 
68 Stat. 458. 
80 STAT. ] 
PUBLIC LAW 89-642-OCT. 11, 1966 
889 
REGULATIONS 
SEC. 10. The Secretary shall prescribe such regulations as he may 
deem necessary to carry out this Act. 
PROHIBITIONS 
SEC. 11. (a) In carrying out the provisions of sections 3 through 5 of 
this Act, neither the Secretary nor the State shall impose any require-
ments with respect to teaching personnel, curriculum, instruction, 
methods of instruction, and materials of instruction. 
(b) The value of assistance to children under this Act shall not be 
considered to be income or resources for any purpose under any Fed-
eral or State laws including, but not limited to, laws relating to taxa-
tion, welfare, and public assistance programs. Expenditures of funds 
from State and local sources for the mamtenance of food programs for 
children shall not be diminished as a result of funds received under 
this Act. 
PRESCHOOL PROGRAMS 
SEC. 12. The Secretary may extend the benefits of all school feeding 
programs conducted and supervised by the Department of Agriculture 
to include preschool programs operated as part of the school system. 
CENTRALIZATION 
OF 
ADMINISTRATION 
SEC. 13. Authority for the conduct and supervision of Federal pro-
grams to assist schools in providing food service programs for children 
is assigned to the Department of Agriculture. To the extent prac-
ticable, other Federal agencies administering programs under which 
funds are to be provided to schools for such assistance shall transfer 
such funds to the Department of Agriculture for distribution through 
the administrative channels and in accordance with the standards es-
tablished under this Act and the National School Lunch Act. 
SEC. 14. There is hereby authorized to be appropriated for any fiscal Appropriation, 
year such sums as may be necessary to the Secretary for his adminis-
trative expense under this Act. 
MISCELLANEOUS PROVISIONS AND DEFINITIONS 
SEC. 15. For the purposes of this Act— 
(a) "State" means any of the fifty States, the District of Columbia, 
the CJommonwealth of Puerto Rico, the Virgin Islands, Guam, or 
American Samoa. 
(b) "State educational agency" means, as the State legislature may 
determine, (1) the chief State school officer (such as the State superin-
tendent of public instruction, commissioner of education, or similar 
officer), or (2) a board of education controlling the State department 
of education. 
(c) "Nonprofit private school" means any private school exempt 
from income tax under section 501 (c) (3) of the Internal Revenue Code 
68A stat. lea. 
of 1954. 
(d) "School" means any public or nonprofit private school of high 
school grade or under, including kindergarten and preschool programs 
operated by such school and, with respect to Puerto Rico, shall also 
include nonprofit child-care centers certified as such by the Governor of 
Puerto Rico. 
(e) "Secretary" means the Secretary of Agriculture. 
090 
PUBLIC LAW 89-643-OCT. 13, 1966 
[80 
STAT. 
ACCOUNTS AND RECORDS 
SEC. 16. States, State educational agencies, schools, and nonprofit 
institutions participating in programs under this Act shall keep such 
accounts and records as may be necessary to enable the Secretary to 
determine whether there has been compliance with this Act and the 
regulations hereunder. Such accounts and records shall at all times be 
available for inspection and audit hj representatives of the Secretary 
and shall be preserved for such period of time, not in excess of three 
years, as the Secretary determines is necessary. 
Approved October 11, 1966, 6:06 p.m. 
October 13, 1966 
[S.3080] 
Public Law 89-643 
AN ACT 
. To amend section 8 of the Revised Organic Act of the Virgin Islands to increase 
the special revenue bond borrowing authority, and for other purposes. 
Virgin Islahds. 
Bond borrowing 
authority, in-
crease. 
72 Stat. 1095; 
77 Stat. 335. 
Limitations. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That section 8 (b) (i) 
of the Revised Organic Act of the Virgin Islands, as amended (68 
Stat. 497, 500; 48 U.S.C. 1574(b)), is amended as follows: 
(a) Delete "(1)" and delete "and (2) for the establishment, con-
struction, operation, maintenance, reconstruction, improvement, or 
enlargement of other projects, authorized by an Act of the legislature, 
which will, in the legislature's judgment, promote the public interest 
by economic development of the Virgin Islands." 
(b) Delete "$10,000,000" and substitute therefor "$30,000,000, exclu-
sive of all bonds or obligations which are held by the Government of 
the United States as a i-esult of a sale of real or personal property to 
the government of the Virgin Islands. Not to exceed $10,000,000 of 
such bonds or obligations may be outstanding at any one time for 
public improvements or public undertakings other than water or 
power projects." 
(c) Delete the word "specific" wherever it appears in the first and 
second sentences. 
(d) Delete in the fifth sentence the words "shall be redeemable after 
five years without premium" and substitute therefor the following: 
"may 
be redeemable 
(either 
with 
or 
without 
premium) 
or 
nonredeemable". 
Approved October 18, 1966. 
October 13, 1966 
[H. R. 10860] 
Public Law 89-644 
AN ACT 
To amend the Oonnally Hot Oil Act by exempting States from certain provisions 
thereof. 
Hot Oil Act, 
amendment. 
Definition of 
"contraband oil." 
Be it enacted by the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That section 2 of 
the Act of February 22,1935, as amended (49 Stat. 30; 15 U.S.C. 715a), 
commonly referred to as the Connally Hot Oil Act, is amended by 
striking out the period at the end of paragraph (1) of such section 
and inserting in lieu thereof a comma and tlie following: "except 
petroleum or any of its constituent parts, title to which has been ac-
quired by a State pursuant to its laws.". 
Approved October 13, 1966.