[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 3307 Enrolled Bill (ENR)]
S.3307
One Hundred Eleventh Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Tuesday,
the fifth day of January, two thousand and ten
An Act
To reauthorize child nutrition programs, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

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(a) Short Title.--This Act may be cited as the ``Healthy, Hunger-
Free Kids Act of 2010''.
(b) Table of Contents.--The table of contents for this Act is as
follows:

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Subtitle A--National School Lunch Program

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TITLE I

-A PATH TO END CHILDHOOD HUNGER

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Subtitle C--Child and Adult Care Food Program

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Subtitle D--Special Supplemental Nutrition Program for Women, Infants,
and Children

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alternate meals.
Subtitle A--National School Lunch Program

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TITLE II

-REDUCING CHILDHOOD OBESITY AND IMPROVING THE DIETS OF CHILDREN

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Subtitle B--Child and Adult Care Food Program

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settings.
Subtitle C--Special Supplemental Nutrition Program for Women, Infants,
and Children

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consumption of healthy foods.
PROGRAMS
Subtitle A--National School Lunch Program

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TITLE III

-IMPROVING THE MANAGEMENT AND INTEGRITY OF CHILD NUTRITION

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Subtitle A--Reauthorization of Expiring Provisions
PART I--Richard B. Russell National School Lunch Act

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TITLE IV

-MISCELLANEOUS

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In this Act, the term ``Secretary'' means the Secretary of
Agriculture.
Subtitle A--National School Lunch Program

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(a) Performance Awards.--Section 9(b)(4) of the Richard B. Russell
National School Lunch Act (42 U.S.C. 1758(b)(4)) is amended--
(1) in the paragraph heading, by striking ``food stamp'' and
inserting ``supplemental nutrition assistance program''; and
(2) by adding at the end the following:
``(E) Performance awards.--
``(i) In general.--Effective for each of the school
years beginning July 1, 2011, July 1, 2012, and July 1,
2013, the Secretary shall offer performance awards to
States to encourage the States to ensure that all children
eligible for direct certification under this paragraph are
certified in accordance with this paragraph.
``(ii) Requirements.--For each school year described in
clause (i), the Secretary shall--
``(I) consider State data from the prior school
year, including estimates contained in the report
required under section 4301 of the Food, Conservation,
and Energy Act of 2008 (42 U.S.C. 1758a); and
``(II) make performance awards to not more than 15
States that demonstrate, as determined by the
Secretary--
``(aa) outstanding performance; and
``(bb) substantial improvement.
``(iii) Use of funds.--A State agency that receives a
performance award under clause (i)--
``(I) shall treat the funds as program income; and
``(II) may transfer the funds to school food
authorities for use in carrying out the program.
``(iv) Funding.--
``(I) In general.--On October 1, 2011, and each
subsequent October 1 through October 1, 2013, out of
any funds in the Treasury not otherwise appropriated,
the Secretary of the Treasury shall transfer to the
Secretary--
``(aa) $2,000,000 to carry out clause
(ii)(II)(aa); and
``(bb) $2,000,000 to carry out clause
(ii)(II)(bb).
``(II) Receipt and acceptance.--The Secretary shall
be entitled to receive, shall accept, and shall use to
carry out this clause the funds transferred under
subclause (I), without further appropriation.
``(v) Payments not subject to judicial review.--A
determination by the Secretary whether, and in what amount,
to make a performance award under this subparagraph shall
not be subject to administrative or judicial review.''.
(b) Continuous Improvement Plans.--Section 9(b)(4) of the Richard
B. Russell National School Lunch Act (42 U.S.C. 1758(b)(4)) (as amended
by subsection (a)) is amended by adding at the end the following:
``(F) Continuous improvement plans.--
``(i) Definition of required percentage.--In this
subparagraph, the term `required percentage' means--
``(I) for the school year beginning July 1, 2011,
80 percent;
``(II) for the school year beginning July 1, 2012,
90 percent; and
``(III) for the school year beginning July 1, 2013,
and each school year thereafter, 95 percent.
``(ii) Requirements.--Each school year, the Secretary
shall--
``(I) identify, using data from the prior year,
including estimates contained in the report required
under section 4301 of the Food, Conservation, and
Energy Act of 2008 (42 U.S.C. 1758a), States that
directly certify less than the required percentage of
the total number of children in the State who are
eligible for direct certification under this paragraph;
``(II) require the States identified under
subclause (I) to implement a continuous improvement
plan to fully meet the requirements of this paragraph,
which shall include a plan to improve direct
certification for the following school year; and
``(III) assist the States identified under
subclause (I) to develop and implement a continuous
improvement plan in accordance with subclause (II).
``(iii) Failure to meet performance standard.--
``(I) In general.--A State that is required to
develop and implement a continuous improvement plan
under clause (ii)(II) shall be required to submit the
continuous improvement plan to the Secretary, for the
approval of the Secretary.
``(II) Requirements.--At a minimum, a continuous
improvement plan under subclause (I) shall include--
``(aa) specific measures that the State will
use to identify more children who are eligible for
direct certification, including improvements or
modifications to technology, information systems,
or databases;
``(bb) a timeline for the State to implement
those measures; and
``(cc) goals for the State to improve direct
certification results.''.
(c) Without Further Application.--Section 9(b)(4) of the Richard B.
Russell National School Lunch Act (42 U.S.C. 1758(b)(4)) (as amended by
subsection (b)) is amended by adding at the end the following:
``(G) Without further application.--
``(i) In general.--In this paragraph, the term `without
further application' means that no action is required by
the household of the child.
``(ii) Clarification.--A requirement that a household
return a letter notifying the household of eligibility for
direct certification or eligibility for free school meals
does not meet the requirements of clause (i).''.

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(a) Discretionary 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 subparagraph (C), by striking ``or'' at the end;
(2) in subparagraph (D), by striking the period at the end and
inserting ``; or''; and
(3) by adding at the end the following:
``(E)(i) a foster child whose care and placement is the
responsibility of an agency that administers a State plan under
part B or E of title IV of the Social Security Act (42 U.S.C.
621 et seq.); or
``(ii) a foster child who a court has placed with a
caretaker household.''.
(b) Categorical Eligibility.--Section 9(b)(12)(A) of the Richard B.
Russell National School Lunch Act (42 U.S.C. 1758(b)(12)(A)) is
amended--
(1) in clause (iv), by adding ``)'' before the semicolon at the
end;
(2) in clause (v), by striking ``or'' at the end;
(3) in clause (vi), by striking the period at the end and
inserting ``; or''; and
(4) by adding at the end the following:
``(vii)(I) a foster child whose care and placement is
the responsibility of an agency that administers a State
plan under part B or E of title IV of the Social Security
Act (42 U.S.C. 621 et seq.); or
``(II) a foster child who a court has placed with a
caretaker household.''.
(c) Documentation.--Section 9(d)(2) of the Richard B. Russell
National School Lunch Act (42 U.S.C. 1758(d)(2)) is amended--
(1) in subparagraph (D), by striking ``or'' at the end;
(2) in subparagraph (E), by striking the period at the end and
inserting ``; or''; and
(3) by adding at the end the following:
``(F)(i) documentation has been provided to the appropriate
local educational agency showing the status of the child as a
foster child whose care and placement is the responsibility of
an agency that administers a State plan under part B or E of
title IV of the Social Security Act (42 U.S.C. 621 et seq.); or
``(ii) documentation has been provided to the appropriate
local educational agency showing the status of the child as a
foster child who a court has placed with a caretaker
household.''.

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BENEFITS.
(a) In General.--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:
``(15) Direct certification for children receiving medicaid
benefits.--
``(A) Definitions.--In this paragraph:
``(i) Eligible child.--The term `eligible child' means
a child--
``(I)(aa) who is eligible for and receiving medical
assistance under the Medicaid program; and
``(bb) who is a member of a family with an income
as measured by the Medicaid program before the
application of any expense, block, or other income
disregard, that does not exceed 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
``(II) who 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 subclause (I).
``(ii) Medicaid program.--The term `Medicaid program'
means the program of medical assistance established under
title XIX of the Social Security Act (42 U.S.C. 1396 et
seq.).
``(B) Demonstration project.--
``(i) In general.--The Secretary, acting through the
Administrator of the Food and Nutrition Service and in
cooperation with selected State agencies, shall conduct a
demonstration project in selected local educational
agencies to determine whether direct certification of
eligible children is an effective method of certifying
children for free lunches and breakfasts under section
9(b)(1)(A) of this Act and section 4(e)(1)(A) of the Child
Nutrition Act of 1966 (42 U.S.C. 1773(e)(1)(A)).
``(ii) Scope of project.--The Secretary shall carry out
the demonstration project under this subparagraph--
``(I) for the school year beginning July 1, 2012,
in selected local educational agencies that
collectively serve 2.5 percent of students certified
for free and reduced price meals nationwide, based on
the most recent available data;
``(II) for the school year beginning July 1, 2013,
in selected local educational agencies that
collectively serve 5 percent of students certified for
free and reduced price meals nationwide, based on the
most recent available data; and
``(III) for the school year beginning July 1, 2014,
and each subsequent school year, in selected local
educational agencies that collectively serve 10 percent
of students certified for free and reduced price meals
nationwide, based on the most recent available data.
``(iii) Purposes of the project.--At a minimum, the
purposes of the demonstration project shall be--
``(I) to determine the potential of direct
certification with the Medicaid program to reach
children who are eligible for free meals but not
certified to receive the meals;
``(II) to determine the potential of direct
certification with the Medicaid program to directly
certify children who are enrolled for free meals based
on a household application; and
``(III) to provide an estimate of the effect on
Federal costs and on participation in the school lunch
program under this Act and the school breakfast program
established by section 4 of the Child Nutrition Act of
1966 (42 U.S.C. 1773) of direct certification with the
Medicaid program.
``(iv) Cost estimate.--For each of 2 school years of
the demonstration project, the Secretary shall estimate the
cost of the direct certification of eligible children for
free school meals through data derived from--
``(I) the school meal programs authorized under
this Act and the Child Nutrition Act of 1966 (42 U.S.C.
1771 et seq.);
``(II) the Medicaid program; and
``(III) interviews with a statistically
representative sample of households.
``(C) Agreement.--
``(i) In general.--Not later than July 1 of the first
school year during which a State agency will participate in
the demonstration project, the State agency shall enter
into an agreement with the 1 or more State agencies
conducting eligibility determinations for the Medicaid
program.
``(ii) Without further application.--Subject to
paragraph (6), the agreement described in subparagraph (D)
shall establish procedures under which an eligible child
shall be certified for free lunches under this Act and free
breakfasts under section 4 of the Child Nutrition Act of
1966 (42 U.S.C. 1773), without further application (as
defined in paragraph (4)(G)).
``(D) Certification.--For the school year beginning on July
1, 2012, and each subsequent school year, subject to paragraph
(6), the local educational agencies participating in the
demonstration project shall certify an eligible child as
eligible for free lunches under this Act and free breakfasts
under the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.),
without further application (as defined in paragraph (4)(G)).
``(E) Site selection.--
``(i) In general.--To be eligible to participate in the
demonstration project under this subsection, a State agency
shall submit to the Secretary an application at such time,
in such manner, and containing such information as the
Secretary may require.
``(ii) Considerations.--In selecting States and local
educational agencies for participation in the demonstration
project, the Secretary may take into consideration such
factors as the Secretary considers to be appropriate, which
may include--
``(I) the rate of direct certification;
``(II) the share of individuals who are eligible
for benefits under the supplemental nutrition
assistance program established under the Food and
Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) who
participate in the program, as determined by the
Secretary;
``(III) the income eligibility limit for the
Medicaid program;
``(IV) the feasibility of matching data between
local educational agencies and the Medicaid program;
``(V) the socioeconomic profile of the State or
local educational agencies; and
``(VI) the willingness of the State and local
educational agencies to comply with the requirements of
the demonstration project.
``(F) Access to data.--For purposes of conducting the
demonstration project under this paragraph, the Secretary shall
have access to--
``(i) educational and other records of State and local
educational and other agencies and institutions receiving
funding or providing benefits for 1 or more programs
authorized under this Act or the Child Nutrition Act of
1966 (42 U.S.C. 1771 et seq.); and
``(ii) income and program participation information
from public agencies administering the Medicaid program.
``(G) Report to congress.--
``(i) In general.--Not later than October 1, 2014, the
Secretary shall submit to the Committee on Education and
Labor of the House of Representatives and the Committee on
Agriculture, Nutrition, and Forestry of the Senate, an
interim report that describes the results of the
demonstration project required under this paragraph.
``(ii) Final report.--Not later than October 1, 2015,
the Secretary shall submit a final report to the committees
described in clause (i).
``(H) Funding.--
``(i) In general.--On October 1, 2010, out of any funds
in the Treasury not otherwise appropriated, the Secretary
of the Treasury shall transfer to the Secretary to carry
out subparagraph (G) $5,000,000, to remain available until
expended.
``(ii) Receipt and acceptance.--The Secretary shall be
entitled to receive, shall accept, and shall use to carry
out subparagraph (G) the funds transferred under clause
(i), without further appropriation.''.
(b) Documentation.--Section 9(d)(2) of the Richard B. Russell
National School Lunch Act (42 U.S.C. 1758(d)(2)) (as amended by section
102(c)) is amended--
(1) in subparagraph (E), by striking ``or'' at the end;
(2) in subparagraph (F)(ii), by striking the period at the end
and inserting ``; or''; and
(3) by adding at the end the following:
``(G) documentation has been provided to the appropriate
local educational agency showing the status of the child as an
eligible child (as defined in subsection (b)(15)(A)).''.
(c) Agreement for Direct Certification and Cooperation by State
Medicaid Agencies.--
(1) In general.--Section 1902(a)(7) of the Social Security Act
(42 U.S.C. 1396a(a)(7)) is amended to read as follows:
``(7) provide--
``(A) safeguards which restrict the use or disclosure of
information concerning applicants and recipients to purposes
directly connected with--
``(i) the administration of the plan; and
``(ii) the exchange of information necessary to certify
or verify the certification of eligibility of children for
free or reduced price breakfasts under the Child Nutrition
Act of 1966 and free or reduced price lunches under the
Richard B. Russell National School Lunch Act, in accordance
with section 9(b) of that Act, using data standards and
formats established by the State agency; and
``(B) that, notwithstanding the Express Lane option under
subsection (e)(13), the State may enter into an agreement with
the State agency administering the school lunch program
established under the Richard B. Russell National School Lunch
Act under which the State shall establish procedures to ensure
that--
``(i) a child receiving medical assistance under the
State plan under this title whose family income does not
exceed 133 percent of the poverty line (as defined in
section 673(2) of the Community Services Block Grant Act,
including any revision required by such section), as
determined without regard to any expense, block, or other
income disregard, applicable to a family of the size
involved, may be certified as eligible for free lunches
under the Richard B. Russell National School Lunch Act and
free breakfasts under the Child Nutrition Act of 1966
without further application; and
``(ii) the State agencies responsible for administering
the State plan under this title, and for carrying out the
school lunch program established under the Richard B.
Russell National School Lunch Act (42 U.S.C. 1751 et seq.)
or the school breakfast program established by section 4 of
the Child Nutrition Act of 1966 (42 U.S.C. 1773), cooperate
in carrying out paragraphs (3)(F) and (15) of section 9(b)
of that Act;''.
(2) Effective date.--
(A) In general.--Except as provided in subparagraph (B),
the amendments made by this subsection shall take effect on the
date of enactment of this Act.
(B) Extension of effective date for state law amendment.--
In the case of a State plan under title XIX of the Social
Security Act (42 U.S.C. 1396 et seq.) which the Secretary of
Health and Human Services determines requires State legislation
in order for the plan to meet the additional requirements
imposed by the amendments made by this section, the State plan
shall not be regarded as failing to comply with the
requirements of the amendments made by this section solely on
the basis of its failure to meet such additional requirements
before the first day of the first calendar quarter beginning
after the close of the first regular session of the State
legislature that begins after the date of the enactment of this
Act. For purposes of the previous sentence, in the case of a
State that has a 2-year legislative session, each year of the
session is considered to be a separate regular session of the
State legislature.
(d) Conforming Amendments.--Section 444(b)(1) of the General
Education Provisions Act (20 U.S.C. 1232g(b)(1)) is amended--
(1) in subparagraph (I), by striking ``and'' at the end;
(2) in subparagraph (J)(ii), by striking the period at the end
and inserting ``; and'';
(3) by adding at the end the following:
``(K) the Secretary of Agriculture, or authorized
representative from the Food and Nutrition Service or contractors
acting on behalf of the Food and Nutrition Service, for the
purposes of conducting program monitoring, evaluations, and
performance measurements of State and local educational and other
agencies and institutions receiving funding or providing benefits
of 1 or more programs authorized under the Richard B. Russell
National School Lunch Act (42 U.S.C. 1751 et seq.) or the Child
Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) for which the
results will be reported in an aggregate form that does not
identify any individual, on the conditions that--
``(i) any data collected under this subparagraph shall be
protected in a manner that will not permit the personal
identification of students and their parents by other than the
authorized representatives of the Secretary; and
``(ii) any personally identifiable data shall be destroyed
when the data are no longer needed for program monitoring,
evaluations, and performance measurements.''.

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ELIGIBILITY.
(a) Universal Meal Service in High Poverty Areas.--
(1) Eligibility.--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:
``(F) Universal meal service in high poverty areas.--
``(i) Definition of identified students.--The term
`identified students' means students certified based on
documentation of benefit receipt or categorical eligibility
as described in section 245.6a(c)(2) of title 7, Code of
Federal Regulations (or successor regulations).
``(ii) Election of special assistance payments.--
``(I) In general.--A local educational agency may,
for all schools in the district or on behalf of certain
schools in the district, elect to receive special
assistance payments under this subparagraph in lieu of
special assistance payments otherwise made available
under this paragraph based on applications for free and
reduced price lunches if--
``(aa) during a period of 4 successive school
years, the local educational agency elects to serve
all children in the applicable schools free lunches
and breakfasts under the school lunch program under
this Act and the school breakfast program
established under section 4 of the Child Nutrition
Act of 1966 (42 U.S.C. 1773);
``(bb) the local educational agency pays, from
sources other than Federal funds, the costs of
serving the lunches or breakfasts that are in
excess of the value of assistance received under
this Act and the Child Nutrition Act of 1966 (42
U.S.C. 1771 et seq.);
``(cc) the local educational agency is not a
residential child care institution (as that term is
used in section 210.2 of title 7, Code of Federal
Regulations (or successor regulations)); and
``(dd) during the school year prior to the
first year of the period for which the local
educational agency elects to receive special
assistance payments under this subparagraph, the
local educational agency or school had a percentage
of enrolled students who were identified students
that meets or exceeds the threshold described in
clause (viii).
``(II) Election to stop receiving payments.--A
local educational agency may, for all schools in the
district or on behalf of certain schools in the
district, elect to stop receiving special assistance
payments under this subparagraph for the following
school year by notifying the State agency not later
than June 30 of the current school year of the
intention to stop receiving special assistance payments
under this subparagraph.
``(iii) First year of option.--
``(I) Special assistance payment.--For each month
of the first school year of the 4-year period during
which a school or local educational agency elects to
receive payments under this subparagraph, special
assistance payments at the rate for free meals shall be
made under this subparagraph for a percentage of all
reimbursable meals served in an amount equal to the
product obtained by multiplying--
``(aa) the multiplier described in clause
(vii); by
``(bb) the percentage of identified students at
the school or local educational agency as of April
1 of the prior school year, up to a maximum of 100
percent.
``(II) Payment for other meals.--The percentage of
meals served that is not described in subclause (I)
shall be reimbursed at the rate provided under section
4.
``(iv) Second, third, or fourth year of option.--
``(I) Special assistance payment.--For each month
of the second, third, or fourth school year of the 4-
year period during which a school or local educational
agency elects to receive payments under this
subparagraph, special assistance payments at the rate
for free meals shall be made under this subparagraph
for a percentage of all reimbursable meals served in an
amount equal to the product obtained by multiplying--
``(aa) the multiplier described in clause
(vii); by
``(bb) the higher of the percentage of
identified students at the school or local
educational agency as of April 1 of the prior
school year or the percentage of identified
students at the school or local educational agency
as of April 1 of the school year prior to the first
year that the school or local educational agency
elected to receive special assistance payments
under this subparagraph, up to a maximum of 100
percent.
``(II) Payment for other meals.--The percentage of
meals served that is not described in subclause (I)
shall be reimbursed at the rate provided under section
4.
``(v) Grace year.--
``(I) In general.--If, not later than April 1 of
the fourth year of a 4-year period described in clause
(ii)(I), a school or local educational agency has a
percentage of enrolled students who are identified
students that meets or exceeds a percentage that is 10
percentage points lower than the threshold described in
clause (viii), the school or local educational agency
may elect to receive special assistance payments under
subclause (II) for an additional grace year.
``(II) Special assistance payment.--For each month
of a grace year, special assistance payments at the
rate for free meals shall be made under this
subparagraph for a percentage of all reimbursable meals
served in an amount equal to the product obtained by
multiplying--
``(aa) the multiplier described in clause
(vii); by
``(bb) the percentage of identified students at
the school or local educational agency as of April
1 of the prior school year, up to a maximum of 100
percent.
``(III) Payment for other meals.--The percentage of
meals served that is not described in subclause (II)
shall be reimbursed at the rate provided under section
4.
``(vi) Applications.--A school or local educational
agency that receives special assistance payments under this
subparagraph may not be required to collect applications
for free and reduced price lunches.
``(vii) Multiplier.--
``(I) Phase-in.--For each school year beginning on
or before July 1, 2013, the multiplier shall be 1.6.
``(II) Full implementation.--For each school year
beginning on or after July 1, 2014, the Secretary may
use, as determined by the Secretary--
``(aa) a multiplier between 1.3 and 1.6; and
``(bb) subject to item (aa), a different
multiplier for different schools or local
educational agencies.
``(viii) Threshold.--
``(I) Phase-in.--For each school year beginning on
or before July 1, 2013, the threshold shall be 40
percent.
``(II) Full implementation.--For each school year
beginning on or after July 1, 2014, the Secretary may
use a threshold that is less than 40 percent.
``(ix) Phase-in.--
``(I) In general.--In selecting States for
participation during the phase-in period, the Secretary
shall select States with an adequate number and variety
of schools and local educational agencies that could
benefit from the option under this subparagraph, as
determined by the Secretary.
``(II) Limitation.--The Secretary may not approve
additional schools and local educational agencies to
receive special assistance payments under this
subparagraph after the Secretary has approved schools
and local educational agencies in--
``(aa) for the school year beginning on July 1,
2011, 3 States; and
``(bb) for each of the school years beginning
July 1, 2012 and July 1, 2013, an additional 4
States per school year.
``(x) Election of option.--
``(I) In general.--For each school year beginning
on or after July 1, 2014, any local educational agency
eligible to make the election described in clause (ii)
for all schools in the district or on behalf of certain
schools in the district may elect to receive special
assistance payments under clause (iii) for the next
school year if, not later than June 30 of the current
school year, the local educational agency submits to
the State agency the percentage of identified students
at the school or local educational agency.
``(II) State agency notification.--Not later than
May 1 of each school year beginning on or after July 1,
2011, each State agency with schools or local
educational agencies that may be eligible to elect to
receive special assistance payments under this
subparagraph shall notify--
``(aa) each local educational agency that meets
or exceeds the threshold described in clause (viii)
that the local educational agency is eligible to
elect to receive special assistance payments under
clause (iii) for the next 4 school years, of the
blended reimbursement rate the local educational
agency would receive under clause (iii), and of the
procedures for the local educational agency to make
the election;
``(bb) each local educational agency that
receives special assistance payments under clause
(iii) of the blended reimbursement rate the local
educational agency would receive under clause (iv);
``(cc) each local educational agency in the
fourth year of electing to receive special
assistance payments under this subparagraph that
meets or exceeds a percentage that is 10 percentage
points lower than the threshold described in clause
(viii) and that receives special assistance
payments under clause (iv), that the local
educational agency may continue to receive such
payments for the next school year, of the blended
reimbursement rate the local educational agency
would receive under clause (v), and of the
procedures for the local educational agency to make
the election; and
``(dd) each local educational agency that meets
or exceeds a percentage that is 10 percentage
points lower than the threshold described in clause
(viii) that the local educational agency may be
eligible to elect to receive special assistance
payments under clause (iii) if the threshold
described in clause (viii) is met by April 1 of the
school year or if the threshold is met for a
subsequent school year.
``(III) Public notification of local educational
agencies.--Not later than May 1 of each school year
beginning on or after July 1, 2011, each State agency
with 1 or more schools or local educational agencies
eligible to elect to receive special assistance
payments under clause (iii) shall submit to the
Secretary, and the Secretary shall publish, lists of
the local educational agencies receiving notices under
subclause (II).
``(IV) Public notification of schools.--Not later
than May 1 of each school year beginning on or after
July 1, 2011, each local educational agency in a State
with 1 or more schools eligible to elect to receive
special assistance payments under clause (iii) shall
submit to the State agency, and the State agency shall
publish--
``(aa) a list of the schools that meet or
exceed the threshold described in clause (viii);
``(bb) a list of the schools that meet or
exceed a percentage that is 10 percentage points
lower than the threshold described in clause (viii)
and that are in the fourth year of receiving
special assistance payments under clause (iv); and
``(cc) a list of the schools that meet or
exceed a percentage that is 10 percentage points
lower than the threshold described in clause
(viii).
``(xi) Implementation.--
``(I) Guidance.--Not later than 90 days after the
date of enactment of this subparagraph, the Secretary
shall issue guidance to implement this subparagraph.
``(II) Regulations.--Not later than December 31,
2013, the Secretary shall promulgate regulations that
establish procedures for State agencies, local
educational agencies, and schools to meet the
requirements of this subparagraph, including exercising
the option described in this subparagraph.
``(III) Publication.--If the Secretary uses the
authority provided in clause (vii)(II)(bb) to use a
different multiplier for different schools or local
educational agencies, for each school year beginning on
or after July 1, 2014, not later than April 1, 2014,
the Secretary shall publish on the website of the
Secretary a table that indicates--
``(aa) each local educational agency that may
elect to receive special assistance payments under
clause (ii);
``(bb) the blended reimbursement rate that each
local educational agency would receive; and
``(cc) an explanation of the methodology used
to calculate the multiplier or threshold for each
school or local educational agency.
``(xii) Report.--Not later than December 31, 2013, the
Secretary shall publish a report that describes--
``(I) an estimate of the number of schools and
local educational agencies eligible to elect to receive
special assistance payments under this subparagraph
that do not elect to receive the payments;
``(II) for schools and local educational agencies
described in subclause (I)--
``(aa) barriers to participation in the special
assistance option under this subparagraph, as
described by the nonparticipating schools and local
educational agencies; and
``(bb) changes to the special assistance option
under this subparagraph that would make eligible
schools and local educational agencies more likely
to elect to receive special assistance payments;
``(III) for schools and local educational agencies
that elect to receive special assistance payments under
this subparagraph--
``(aa) the number of schools and local
educational agencies;
``(bb) an estimate of the percentage of
identified students and the percentage of enrolled
students who were certified to receive free or
reduced price meals in the school year prior to the
election to receive special assistance payments
under this subparagraph, and a description of how
the ratio between those percentages compares to
1.6;
``(cc) an estimate of the number and share of
schools and local educational agencies in which
more than 80 percent of students are certified for
free or reduced price meals that elect to receive
special assistance payments under that clause; and
``(dd) whether any of the schools or local
educational agencies stopped electing to receive
special assistance payments under this
subparagraph;
``(IV) the impact of electing to receive special
assistance payments under this subparagraph on--
``(aa) program integrity;
``(bb) whether a breakfast program is offered;
``(cc) the type of breakfast program offered;
``(dd) the nutritional quality of school meals;
and
``(ee) program participation; and
``(V) the multiplier and threshold, as described in
clauses (vii) and (viii) respectively, that the
Secretary will use for each school year beginning on or
after July 1, 2014 and the rationale for any change in
the multiplier or threshold.
``(xiii) Funding.--
``(I) In general.--On October 1, 2010, out of any
funds in the Treasury not otherwise appropriated, the
Secretary of the Treasury shall transfer to the
Secretary to carry out clause (xii) $5,000,000, to
remain available until September 30, 2014.
``(II) Receipt and acceptance.--The Secretary shall
be entitled to receive, shall accept, and shall use to
carry out clause (xii) the funds transferred under
subclause (I), without further appropriation.''.
(2) Conforming amendments.--Section 11(a)(1)(B) of the Richard
B. Russell National School Lunch Act (42 U.S.C. 1759a(a)(1)(B)) is
amended by striking ``or (E)'' and inserting ``(E), or (F)''.
(b) Universal Meal Service Through Census Data.--Section 11 of the
Richard B. Russell National School Lunch Act (42 U.S.C. 1759a) is
amended by adding at the end the following:
``(g) Universal Meal Service Through Census Data.--
``(1) In general.--To the maximum extent practicable, the
Secretary shall identify alternatives to--
``(A) the daily counting by category of meals provided by
school lunch programs under this Act and the school breakfast
program established by section 4 of the Child Nutrition Act of
1966 (42 U.S.C. 1773); and
``(B) the use of annual applications as the basis for
eligibility to receive free meals or reduced price meals under
this Act.
``(2) Recommendations.--
``(A) Considerations.--
``(i) In general.--In identifying alternatives under
paragraph (1), the Secretary shall consider the
recommendations of the Committee on National Statistics of
the National Academy of Sciences relating to use of the
American Community Survey of the Bureau of the Census and
other data sources.
``(ii) Socioeconomic survey.--The Secretary shall
consider use of a periodic socioeconomic survey of
households of children attending school in the school food
authority in not more than 3 school food authorities
participating in the school lunch program under this Act.
``(iii) Survey parameters.--The Secretary shall
establish requirements for the use of a socioeconomic
survey under clause (ii), which shall--
``(I) include criteria for survey design, sample
frame validity, minimum level of statistical precision,
minimum survey response rates, frequency of data
collection, and other criteria as determined by the
Secretary;
``(II) be consistent with the Standards and
Guidelines for Statistical Surveys, as published by the
Office of Management and Budget;
``(III) be consistent with standards and
requirements that ensure proper use of Federal funds;
and
``(IV) specify that the socioeconomic survey be
conducted at least once every 4 years.
``(B) Use of alternatives.--Alternatives described in
subparagraph (A) that provide accurate and effective means of
providing meal reimbursement consistent with the eligibility
status of students may be--
``(i) implemented for use in schools or by school food
authorities that agree--
``(I) to serve all breakfasts and lunches to
students at no cost in accordance with regulations
issued by the Secretary; and
``(II) to pay, from sources other than Federal
funds, the costs of serving any lunches and breakfasts
that are in excess of the value of assistance received
under this Act or the Child Nutrition Act of 1966 (42
U.S.C. 1771 et seq.) with respect to the number of
lunches and breakfasts served during the applicable
period; or
``(ii) further tested through demonstration projects
carried out by the Secretary in accordance with
subparagraph (C).
``(C) Demonstration projects.--
``(i) In general.--For the purpose of carrying out
demonstration projects described in subparagraph (B), the
Secretary may waive any requirement of this Act relating
to--
``(I) counting of meals provided by school lunch or
breakfast programs;
``(II) applications for eligibility for free or
reduced priced meals; or
``(III) required direct certification under section
9(b)(4).
``(ii) Number of projects.--The Secretary shall carry
out demonstration projects under this paragraph in not more
than 5 local educational agencies for each alternative
model that is being tested.
``(iii) Limitation.--A demonstration project carried
out under this paragraph shall have a duration of not more
than 3 years.
``(iv) Evaluation.--The Secretary shall evaluate each
demonstration project carried out under this paragraph in
accordance with procedures established by the Secretary.
``(v) Requirement.--In carrying out evaluations under
clause (iv), the Secretary shall evaluate, using
comparisons with local educational agencies with similar
demographic characteristics--
``(I) the accuracy of the 1 or more methodologies
adopted as compared to the daily counting by category
of meals provided by school meal programs under this
Act or the Child Nutrition Act of 1966 (42 U.S.C. 1771
et seq.) and the use of annual applications as the
basis for eligibility to receive free or reduced price
meals under those Acts;
``(II) the effect of the 1 or more methodologies
adopted on participation in programs under those Acts;
``(III) the effect of the 1 or more methodologies
adopted on administration of programs under those Acts;
and
``(IV) such other matters as the Secretary
determines to be appropriate.''.

48c4a16cd748163daaed0b3d80ffcab695322de2a9af53e730fbf2fdec060524

The Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) is amended
by adding at the end the following:
``SEC. 23. GRANTS FOR EXPANSION OF SCHOOL BREAKFAST PROGRAMS.
``(a) Definition of Qualifying School.--In this section, the term
`qualifying school' means a school in severe need, as described in
section 4(d)(1).
``(b) Establishment.--Subject to the availability of appropriations
provided in advance in an appropriations Act specifically for the
purpose of carrying out this section, the Secretary shall establish a
program under which the Secretary shall provide grants, on a
competitive basis, to State educational agencies for the purpose of
providing subgrants to local educational agencies for qualifying
schools to establish, maintain, or expand the school breakfast program
in accordance with this section.
``(c) Grants to State Educational Agencies.--
``(1) Application.--To be eligible to receive a grant under
this section, a State educational agency shall submit to the
Secretary an application at such time, in such manner, and
containing such information as the Secretary may require.
``(2) Administration.--In carrying out this section, the
Secretary shall--
``(A) develop an appropriate competitive application
process; and
``(B) make information available to State educational
agencies concerning the availability of funds under this
section.
``(3) Allocation.--The amount of grants provided by the
Secretary to State educational agencies for a fiscal year under
this section shall not exceed the lesser of--
``(A) the product obtained by multiplying--
``(i) the number of qualifying schools receiving
subgrants or other benefits under subsection (d) for the
fiscal year; and
``(ii) the maximum amount of a subgrant provided to a
qualifying school under subsection (d)(4)(B); or
``(B) $2,000,000.
``(d) Subgrants to Qualifying Schools.--
``(1) In general.--A State educational agency receiving a grant
under this section shall use funds made available under the grant
to award subgrants to local educational agencies for a qualifying
school or groups of qualifying schools to carry out activities in
accordance with this section.
``(2) Priority.--In awarding subgrants under this subsection, a
State educational agency shall give priority to local educational
agencies with qualifying schools in which at least 75 percent of
the students are eligible for free or reduced price school lunches
under the school lunch program established under the Richard B.
Russell National School Lunch Act (42 U.S.C. 1751 et seq.).
``(3) State and district training and technical support.--A
local educational agency or State educational agency may allocate a
portion of each subgrant to provide training and technical
assistance to the staff of qualifying schools to carry out the
purposes of this section.
``(4) Amount; term.--
``(A) In general.--Except as otherwise provided in this
paragraph, a subgrant provided by a State educational agency to
a local educational agency or qualifying school under this
section shall be in such amount, and shall be provided for such
term, as the State educational agency determines appropriate.
``(B) Maximum amount.--The amount of a subgrant provided by
a State educational agency to a local educational agency for a
qualifying school or a group of qualifying schools under this
subsection shall not exceed $10,000 for each school year.
``(C) Maximum grant term.--A local educational agency or
State educational agency shall not provide subgrants to a
qualifying school under this subsection for more than 2 fiscal
years.
``(e) Best Practices.--
``(1) In general.--Prior to awarding grants under this section,
the Secretary shall make available to State educational agencies
information regarding the most effective mechanisms by which to
increase school breakfast participation among eligible children at
qualifying schools.
``(2) Preference.--In awarding subgrants under this section, a
State educational agency shall give preference to local educational
agencies for qualifying schools or groups of qualifying schools
that have adopted, or provide assurances that the subgrant funds
will be used to adopt, the most effective mechanisms identified by
the Secretary under paragraph (1).
``(f) Use of Funds.--
``(1) In general.--A qualifying school may use a grant provided
under this section--
``(A) to establish, promote, or expand a school breakfast
program of the qualifying school under this section, which
shall include a nutritional education component;
``(B) to extend the period during which school breakfast is
available at the qualifying school;
``(C) to provide school breakfast to students of the
qualifying school during the school day; or
``(D) for other appropriate purposes, as determined by the
Secretary.
``(2) Requirement.--Each activity of a qualifying school under
this subsection shall be carried out in accordance with applicable
nutritional guidelines and regulations issued by the Secretary.
``(g) Maintenance of Effort.--Grants made available under this
section shall not diminish or otherwise affect the expenditure of funds
from State and local sources for the maintenance of the school
breakfast program.
``(h) Reports.--Not later than 18 months following the end of a
school year during which subgrants are awarded under this section, the
Secretary shall submit to Congress a report describing the activities
of the qualifying schools awarded subgrants.
``(i) Evaluation.--Not later than 180 days before the end of a
grant term under this section, a local educational agency that receives
a subgrant under this section shall--
``(1) evaluate whether electing to provide universal free
breakfasts under the school breakfast program in accordance with
Provision 2 as established under subsections (b) through (k) of
section 245.9 of title 7, Code of Federal Regulations (or successor
regulations), would be cost-effective for the qualified schools
based on estimated administrative savings and economies of scale;
and
``(2) submit the results of the evaluation to the State
educational agency.
``(j) Authorization of Appropriations.--There are authorized to be
appropriated to carry out this section such sums as are necessary for
each of fiscal years 2010 through 2015.''.
Subtitle B--Summer Food Service Program

ab8f00c61a6edfc6bba2346d924e0b8e5254f6f99a20e74146d7bc8421e99134

SPONSORS.
Section 13(a) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1761(a)) is amended by striking paragraph (7) and inserting
the following:
``(7) Private nonprofit organizations.--
``(A) Definition of private nonprofit organization.--In
this paragraph, the term `private nonprofit organization' means
an organization that--
``(i) exercises full control and authority over the
operation of the program at all sites under the sponsorship
of the organization;
``(ii) provides ongoing year-round activities for
children or families;
``(iii) demonstrates that the organization has adequate
management and the fiscal capacity to operate a program
under this section;
``(iv) is an organization described in section 501(c)
of the Internal Revenue Code of 1986 and exempt from
taxation under 501(a) of that Code; and
``(v) meets applicable State and local health, safety,
and sanitation standards.
``(B) Eligibility.--Private nonprofit organizations (other
than organizations eligible under paragraph (1)) shall be
eligible for the program under the same terms and conditions as
other service institutions.''.

e15527a4f7d06c2314fe834641c40ad71fccc9dfe247f62a20159b3104d6c009

Section 13(a) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1761(a)) is amended by adding at the end the following:
``(11) Outreach to eligible families.--
``(A) In general.--The Secretary shall require each State
agency that administers the national school lunch program under
this Act to ensure that, to the maximum extent practicable,
school food authorities participating in the school lunch
program under this Act cooperate with participating service
institutions to distribute materials to inform families of--
``(i) the availability and location of summer food
service program meals; and
``(ii) the availability of reimbursable breakfasts
served under the school breakfast program established by
section 4 of the Child Nutrition Act of 1966 (42 U.S.C.
1773).
``(B) Inclusions.--Informational activities carried out
under subparagraph (A) may include--
``(i) the development or dissemination of printed
materials, to be distributed to all school children or the
families of school children prior to the end of the school
year, that inform families of the availability and location
of summer food service program meals;
``(ii) the development or dissemination of materials,
to be distributed using electronic means to all school
children or the families of school children prior to the
end of the school year, that inform families of the
availability and location of summer food service program
meals; and
``(iii) such other activities as are approved by the
applicable State agency to promote the availability and
location of summer food service program meals to school
children and the families of school children.
``(C) Multiple state agencies.--If the State agency
administering the program under this section is not the same
State agency that administers the school lunch program under
this Act, the 2 State agencies shall work cooperatively to
implement this paragraph.''.

3a312d6df00f834fc09f4e42574a4ad91f270be8efc13d2ef3e09f208e707444

Section 13(a) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1761(a)) (as amended by section 112) is amended by adding at
the end the following:
``(12) Summer food service support grants.--
``(A) In general.--The Secretary shall use funds made
available to carry out this paragraph to award grants on a
competitive basis to State agencies to provide to eligible
service institutions--
``(i) technical assistance;
``(ii) assistance with site improvement costs; or
``(iii) other innovative activities that improve and
encourage sponsor retention.
``(B) Eligibility.--To be eligible to receive a grant under
this paragraph, a State agency shall submit an application to
the Secretary in such manner, at such time, and containing such
information as the Secretary may require.
``(C) Priority.--In making grants under this paragraph, the
Secretary shall give priority to--
``(i) applications from States with significant low-
income child populations; and
``(ii) State plans that demonstrate innovative
approaches to retain and support summer food service
programs after the expiration of the start-up funding
grants.
``(D) Use of funds.--A State and eligible service
institution may use funds made available under this paragraph
to pay for such costs as the Secretary determines are necessary
to establish and maintain summer food service programs.
``(E) Reallocation.--The Secretary may reallocate any
amounts made available to carry out this paragraph that are not
obligated or expended, as determined by the Secretary.
``(F) Authorization of appropriations.--There is authorized
to be appropriated to carry out this paragraph $20,000,000 for
fiscal years 2011 through 2015.''.
Subtitle C--Child and Adult Care Food Program

5f27b3abf9fe4f5c891b089f95f5ee6a34f75832488df211ac4ded281e232500

AND ADULT CARE FOOD PROGRAM.
Section 17(f)(3)(A)(ii)(I)(bb) of the Richard B. Russell National
School Lunch Act (42 U.S.C. 1766(f)(3)(A)(ii)(I)(bb)) is amended by
striking ``elementary''.

6aface98df9ca0a9d795ec5590c015bad53631a8c073b112572c0f11fad50174

Section 17(r) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1766(r)) is amended by striking paragraph (5) and inserting
the following:
``(5) Limitation.--An institution participating in the program
under this subsection may not claim reimbursement for meals and
snacks that are served under section 18(h) on the same day.
``(6) Handbook.--
``(A) In general.--Not later than 180 days after the date
of enactment of the Healthy, Hunger-Free Kids Act of 2010, the
Secretary shall--
``(i) issue guidelines for afterschool meals for at-
risk school children; and
``(ii) publish a handbook reflecting those guidelines.
``(B) Review.--Each year after the issuance of guidelines
under subparagraph (A), the Secretary shall--
``(i) review the guidelines; and
``(ii) issue a revised handbook reflecting changes made
to the guidelines.''.
Subtitle D--Special Supplemental Nutrition Program for Women, Infants,
and Children

8104deaac63cc3ebadbdf9f2a6cdfc24d1e6454111b9c6cd7423c32aab67fb4a

Section 17(d)(3)(A) of the Child Nutrition Act of 1966 (42 U.S.C.
1786(d)(3)(A)) is amended by adding at the end the following:
``(iii) Children.--A State may elect to certify
participant children for a period of up to 1 year, if the
State electing the option provided under this clause
ensures that participant children receive required health
and nutrition assessments.''.
Subtitle E--Miscellaneous

2ea3f7505d323a9286258a15409c18dc7f1e2c2c14aad587cfbf0b065f714bb8

The Richard B. Russell National School Lunch Act is amended by
inserting after section 22 (42 U.S.C. 1769c) the following:
``SEC. 23. CHILDHOOD HUNGER RESEARCH.
``(a) Research on Causes and Consequences of Childhood Hunger.--
``(1) In general.--The Secretary shall conduct research on--
``(A) the causes of childhood hunger and food insecurity;
``(B) the characteristics of households with childhood
hunger and food insecurity; and
``(C) the consequences of childhood hunger and food
insecurity.
``(2) Authority.--In carrying out research under paragraph (1),
the Secretary may--
``(A) enter into competitively awarded contracts or
cooperative agreements; or
``(B) provide grants to States or public or private
agencies or organizations, as determined by the Secretary.
``(3) Application.--To be eligible to enter into a contract or
cooperative agreement or receive a grant under this subsection, a
State or public or private agency or organization shall submit to
the Secretary an application at such time, in such manner, and
containing such information as the Secretary shall require.
``(4) Areas of inquiry.--The Secretary shall design the
research program to advance knowledge and understanding of
information on the issues described in paragraph (1), such as--
``(A) economic, health, social, cultural, demographic, and
other factors that contribute to childhood hunger or food
insecurity;
``(B) the geographic distribution of childhood hunger and
food insecurity;
``(C) the extent to which--
``(i) existing Federal assistance programs, including
the Internal Revenue Code of 1986, reduce childhood hunger
and food insecurity; and
``(ii) childhood hunger and food insecurity persist due
to--
``(I) gaps in program coverage;
``(II) the inability of potential participants to
access programs; or
``(III) the insufficiency of program benefits or
services;
``(D) the public health and medical costs of childhood
hunger and food insecurity;
``(E) an estimate of the degree to which the Census Bureau
measure of food insecurity underestimates childhood hunger and
food insecurity because the Census Bureau excludes certain
households, such as homeless, or other factors;
``(F) the effects of childhood hunger on child development,
well-being, and educational attainment; and
``(G) such other critical outcomes as are determined by the
Secretary.
``(5) Funding.--
``(A) In general.--On October 1, 2012, out of any funds in
the Treasury not otherwise appropriated, the Secretary of the
Treasury shall transfer to the Secretary to carry out this
subsection $10,000,000, to remain available until expended.
``(B) Receipt and acceptance.--The Secretary shall be
entitled to receive, shall accept, and shall use to carry out
this subsection the funds transferred under subparagraph (A),
without further appropriation.
``(b) Demonstration Projects To End Childhood Hunger.--
``(1) Definitions.--In this subsection:
``(A) Child.--The term `child' means a person under the age
of 18.
``(B) Supplemental nutrition assistance program.--The term
`supplemental nutrition assistance program' means the
supplemental nutrition assistance program established under the
Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.).
``(2) Purpose.--Under such terms and conditions as are
established by the Secretary, the Secretary shall carry out
demonstration projects that test innovative strategies to end
childhood hunger, including alternative models for service delivery
and benefit levels that promote the reduction or elimination of
childhood hunger and food insecurity.
``(3) Projects.--Demonstration projects carried out under this
subsection may include projects that--
``(A) enhance benefits provided under the supplemental
nutrition assistance program for eligible households with
children;
``(B) enhance benefits or provide for innovative program
delivery models in the school meals, afterschool snack, and
child and adult care food programs under this Act and the Child
Nutrition Act of 1966 (42 U.S.C. 1771 et seq.); and
``(C) target Federal, State, or local assistance, including
emergency housing or family preservation services, at
households with children who are experiencing hunger or food
insecurity, to the extent permitted by the legal authority
establishing those assistance programs and services.
``(4) Grants.--
``(A) Demonstration projects.--
``(i) In general.--In carrying out this subsection, the
Secretary may enter into competitively awarded contracts or
cooperative agreements with, or provide grants to, public
or private organizations or agencies (as determined by the
Secretary), for use in accordance with demonstration
projects that meet the purposes of this subsection.
``(ii) Requirement.--At least 1 demonstration project
funded under this subsection shall be carried out on an
Indian reservation in a rural area with a service
population with a prevalence of diabetes that exceeds 15
percent, as determined by the Director of the Indian Health
Service.
``(B) Application.--To be eligible to receive a contract,
cooperative agreement, or grant under this subsection, an
organization or agency shall submit to the Secretary an
application at such time, in such manner, and containing such
information as the Secretary may require.
``(C) Selection criteria.--Demonstration projects shall be
selected based on publicly disseminated criteria that may
include--
``(i) an identification of a low-income target group
that reflects individuals experiencing hunger or food
insecurity;
``(ii) a commitment to a demonstration project that
allows for a rigorous outcome evaluation as described in
paragraph (6);
``(iii) a focus on innovative strategies to reduce the
risk of childhood hunger or provide a significant
improvement to the food security status of households with
children; and
``(iv) such other criteria as are determined by the
Secretary.
``(5) Consultation.--In determining the range of projects and
defining selection criteria under this subsection, the Secretary
shall consult with--
``(A) the Secretary of Health and Human Services;
``(B) the Secretary of Labor; and
``(C) the Secretary of Housing and Urban Development.
``(6) Evaluation and reporting.--
``(A) Independent evaluation.--The Secretary shall provide
for an independent evaluation of each demonstration project
carried out under this subsection that--
``(i) measures the impact of each demonstration project
on appropriate participation, food security, nutrition, and
associated behavioral outcomes among participating
households; and
``(ii) uses rigorous experimental designs and
methodologies, particularly random assignment or other
methods that are capable of producing scientifically valid
information regarding which activities are effective in
reducing the prevalence or preventing the incidence of food
insecurity and hunger in the community, especially among
children.
``(B) Reporting.--Not later than December 31, 2013 and each
December 31 thereafter until the date on which the last
evaluation under subparagraph (A) is completed, the Secretary
shall--
``(i) submit to the Committee on Agriculture and the
Committee on Education and Labor of the House of
Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a report that
includes a description of--
``(I) the status of each demonstration project; and
``(II) the results of any evaluations of the
demonstration projects completed during the previous
fiscal year; and
``(ii) ensure that the evaluation results are shared
broadly to inform policy makers, service providers, other
partners, and the public in order to promote the wide use
of successful strategies.
``(7) Funding.--
``(A) In general.--On October 1, 2012, out of any funds in
the Treasury not otherwise appropriated, the Secretary of the
Treasury shall transfer to the Secretary to carry out this
subsection $40,000,000, to remain available until September 30,
2017.
``(B) Receipt and acceptance.--The Secretary shall be
entitled to receive, shall accept, and shall use to carry out
this subsection the funds transferred under subparagraph (A),
without further appropriation.
``(C) Use of funds.--
``(i) In general.--Funds made available under
subparagraph (A) may be used to carry out this subsection,
including to pay Federal costs associated with developing,
soliciting, awarding, monitoring, evaluating, and
disseminating the results of each demonstration project
under this subsection.
``(ii) Indian reservations.--Of amounts made available
under subparagraph (A), the Secretary shall use a portion
of the amounts to carry out research relating to hunger,
obesity and type 2 diabetes on Indian reservations,
including research to determine the manner in which Federal
nutrition programs can help to overcome those problems.
``(iii) Report.--Not later than 1 year after the date
of enactment of this section, the Secretary shall submit to
the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a report that--
``(I) describes the manner in which Federal
nutrition programs can help to overcome child hunger
nutrition problems on Indian reservations; and
``(II) contains proposed administrative and
legislative recommendations to strengthen and
streamline all relevant Department of Agriculture
nutrition programs to reduce childhood hunger, obesity,
and type 2 diabetes on Indian reservations.
``(D) Limitations.--
``(i) Duration.--No project may be funded under this
subsection for more than 5 years.
``(ii) Project requirements.--No project that makes use
of, alters, or coordinates with the supplemental nutrition
assistance program may be funded under this subsection
unless the project is fully consistent with the project
requirements described in section 17(b)(1)(B) of the Food
and Nutrition Act of 2008 (7 U.S.C. 2026(b)(1)(B)).
``(iii) Hunger-free communities.--No project may be
funded under this subsection that receives funding under
section 4405 of the Food, Conservation, and Energy Act of
2008 (7 U.S.C. 7517).
``(iv) Other benefits.--Funds made available under this
subsection may not be used for any project in a manner that
is inconsistent with--
``(I) this Act;
``(II) the Child Nutrition Act of 1966 (42 U.S.C.
1771 et seq.);
``(III) the Food and Nutrition Act of 2008 (7
U.S.C. 2011 et seq.); or
``(IV) the Emergency Food Assistance Act of 1983 (7
U.S.C. 7501 et seq.).''.

59224057e9ffd4e035b84aaaf8bd431f85a5310b425b6a83536d8f0fc59c7aee

The Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et
seq.) is amended by inserting after section 23 (as added by section
141) the following:
``SEC. 24. STATE CHILDHOOD HUNGER CHALLENGE GRANTS.
``(a) Definitions.--In this section:
``(1) Child.--The term `child' means a person under the age of
18.
``(2) Supplemental nutrition assistance program.--The term
`supplemental nutrition assistance program' means the supplemental
nutrition assistance program established under the Food and
Nutrition Act of 2008 (7 U.S.C. 2011 et seq.).
``(b) Purpose.--Under such terms and conditions as are established
by the Secretary, funds made available under this section may be used
to competitively award grants to or enter into cooperative agreements
with Governors to carry out comprehensive and innovative strategies to
end childhood hunger, including alternative models for service delivery
and benefit levels that promote the reduction or elimination of
childhood hunger by 2015.
``(c) Projects.--State demonstration projects carried out under
this section may include projects that--
``(1) enhance benefits provided under the supplemental
nutrition assistance program for eligible households with children;
``(2) enhance benefits or provide for innovative program
delivery models in the school meals, afterschool snack, and child
and adult care food programs under this Act and the Child Nutrition
Act of 1966 (42 U.S.C. 1771 et seq.);
``(3) target Federal, State, or local assistance, including
emergency housing, family preservation services, child care, or
temporary assistance at households with children who are
experiencing hunger or food insecurity, to the extent permitted by
the legal authority establishing those assistance programs and
services;
``(4) enhance outreach to increase access and participation in
Federal nutrition assistance programs; and
``(5) improve the coordination of Federal, State, and community
resources and services aimed at preventing food insecurity and
hunger, including through the establishment and expansion of State
food policy councils.
``(d) Grants.--
``(1) In general.--In carrying out this section, the Secretary
may competitively award grants or enter into competitively awarded
cooperative agreements with Governors for use in accordance with
demonstration projects that meet the purposes of this section.
``(2) Application.--To be eligible to receive a grant or
cooperative agreement under this section, a Governor shall submit
to the Secretary an application at such time, in such manner, and
containing such information as the Secretary may require.
``(3) Selection criteria.--The Secretary shall evaluate
proposals based on publicly disseminated criteria that may
include--
``(A) an identification of a low-income target group that
reflects individuals experiencing hunger or food insecurity;
``(B) a commitment to approaches that allow for a rigorous
outcome evaluation as described in subsection (f);
``(C) a comprehensive and innovative strategy to reduce the
risk of childhood hunger or provide a significant improvement
to the food security status of households with children; and
``(D) such other criteria as are determined by the
Secretary.
``(4) Requirements.--Any project funded under this section
shall provide for--
``(A) a baseline assessment, and subsequent annual
assessments, of the prevalence and severity of very low food
security among children in the State, based on a methodology
prescribed by the Secretary;
``(B) a collaborative planning process including key
stakeholders in the State that results in a comprehensive
agenda to eliminate childhood hunger that is--
``(i) described in a detailed project plan; and
``(ii) provided to the Secretary for approval;
``(C) an annual budget;
``(D) specific performance goals, including the goal to
sharply reduce or eliminate food insecurity among children in
the State by 2015, as determined through a methodology
prescribed by the Secretary and carried out by the Governor;
and
``(E) an independent outcome evaluation of not less than 1
major strategy of the project that measures--
``(i) the specific impact of the strategy on food
insecurity among children in the State; and
``(ii) if applicable, the nutrition assistance
participation rate among children in the State.
``(e) Consultation.--In determining the range of projects and
defining selection criteria under this section, the Secretary shall
consult with--
``(1) the Secretary of Health and Human Services;
``(2) the Secretary of Labor;
``(3) the Secretary of Education; and
``(4) the Secretary of Housing and Urban Development.
``(f) Evaluation and Reporting.--
``(1) General performance assessment.--Each project authorized
under this section shall require an independent assessment that--
``(A) measures the impact of any activities carried out
under the project on the level of food insecurity in the State
that--
``(i) focuses particularly on the level of food
insecurity among children in the State; and
``(ii) includes a preimplementation baseline and annual
measurements taken during the project of the level of food
insecurity in the State; and
``(B) is carried out using a methodology prescribed by the
Secretary.
``(2) Independent evaluation.--Each project authorized under
this section shall provide for an independent evaluation of not
less than 1 major strategy that--
``(A) measures the impact of the strategy on appropriate
participation, food security, nutrition, and associated
behavioral outcomes among participating households; and
``(B) uses rigorous experimental designs and methodologies,
particularly random assignment or other methods that are
capable of producing scientifically valid information regarding
which activities are effective in reducing the prevalence or
preventing the incidence of food insecurity and hunger in the
community, especially among children.
``(3) Reporting.--Not later than December 31, 2011 and each
December 31 thereafter until the date on which the last evaluation
under paragraph (1) is completed, the Secretary shall--
``(A) submit to the Committee on Agriculture and the
Committee on Education and Labor of the House of
Representatives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate a report that includes a description
of--
``(i) the status of each State demonstration project;
and
``(ii) the results of any evaluations of the
demonstration projects completed during the previous fiscal
year; and
``(B) ensure that the evaluation results are shared broadly
to inform policy makers, service providers, other partners, and
the public in order to promote the wide use of successful
strategies.
``(g) Authorization of Appropriations.--
``(1) In general.--There are authorized to be appropriated to
carry out this section such sums as are necessary for each of
fiscal years 2011 through 2014, to remain available until expended.
``(2) Use of funds.--Funds made available under paragraph (1)
may be used to carry out this section, including to pay Federal
costs associated with developing, soliciting, awarding, monitoring,
evaluating, and disseminating the results of each demonstration
project under this section.
``(3) Limitations.--
``(A) Duration.--No project may be funded under this
section for more than 5 years.
``(B) Performance basis.--Funds provided under this section
shall be made available to each Governor on an annual basis,
with the amount of funds provided for each year contingent on
the satisfactory implementation of the project plan and
progress towards the performance goals defined in the project
year plan.
``(C) Altering nutrition assistance program requirements.--
No project that makes use of, alters, or coordinates with the
supplemental nutrition assistance program may be funded under
this section unless the project is fully consistent with the
project requirements described in section 17(b)(1)(B) of the
Food and Nutrition Act of 2008 (7 U.S.C. 2026(b)(1)(B)).
``(D) Other benefits.--Funds made available under this
section may not be used for any project in a manner that is
inconsistent with--
``(i) this Act;
``(ii) the Child Nutrition Act of 1966 (42 U.S.C. 1771
et seq.);
``(iii) the Food and Nutrition Act of 2008 (7 U.S.C.
2011 et seq.); or
``(iv) the Emergency Food Assistance Act of 1983 (7
U.S.C. 7501 et seq.).''.

a335d44abe8bcb624d5d34be02bf7aa7768b22387cfa4dacfb2b1ae5fd7057b5

ALTERNATE MEALS.
(a) In General.--
(1) Review.--The Secretary, in conjunction with States and
participating local educational agencies, shall examine the current
policies and practices of States and local educational agencies
regarding extending credit to children to pay the cost to the
children of reimbursable school lunches and breakfasts.
(2) Scope.--The examination under paragraph (1) shall include
the policies and practices in effect as of the date of enactment of
this Act relating to providing to children who are without funds a
meal other than the reimbursable meals.
(3) Feasibility.--In carrying out the examination under
paragraph (1), the Secretary shall--
(A) prepare a report on the feasibility of establishing
national standards for meal charges and the provision of
alternate meals; and
(B) provide recommendations for implementing those
standards.
(b) Followup Actions.--
(1) In general.--Based on the findings and recommendations
under subsection (a), the Secretary may--
(A) implement standards described in paragraph (3) of that
subsection through regulation;
(B) test recommendations through demonstration projects; or
(C) study further the feasibility of recommendations.
(2) Factors for consideration.--In determining how best to
implement recommendations described in subsection (a)(3), the
Secretary shall consider such factors as--
(A) the impact of overt identification on children;
(B) the manner in which the affected households will be
provided with assistance in establishing eligibility for free
or reduced price school meals; and
(C) the potential financial impact on local educational
agencies.
CHILDREN
Subtitle A--National School Lunch Program

2cf92cee1089b5aa950c08931825e54e30c40986415129bb674b80e38164f7ae

MEAL PATTERNS.
Section 4(b) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1753(b)) is amended by adding at the end the following:
``(3) Additional reimbursement.--
``(A) Regulations.--
``(i) Proposed regulations.--Notwithstanding section
9(f), not later than 18 months after the date of enactment
of this paragraph, the Secretary shall promulgate proposed
regulations to update the meal patterns and nutrition
standards for the school lunch program authorized under
this Act and the school breakfast program established by
section 4 of the Child Nutrition Act of 1966 (42 U.S.C.
1773) based on recommendations made by the Food and
Nutrition Board of the National Research Council of the
National Academy of Sciences.
``(ii) Interim or final regulations.--
``(I) In general.--Not later than 18 months after
promulgation of the proposed regulations under clause
(i), the Secretary shall promulgate interim or final
regulations.
``(II) Date of required compliance.--The Secretary
shall establish in the interim or final regulations a
date by which all school food authorities participating
in the school lunch program authorized under this Act
and the school breakfast program established by section
4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773)
are required to comply with the meal pattern and
nutrition standards established in the interim or final
regulations.
``(iii) Report to congress.--Not later than 90 days
after the date of enactment of this paragraph, and each 90
days thereafter until the Secretary has promulgated interim
or final regulations under clause (ii), the Secretary shall
submit to the Committee on Education and Labor of the House
of Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a quarterly report on
progress made toward promulgation of the regulations
described in this subparagraph.
``(B) Performance-based reimbursement rate increase.--
Beginning on the later of the date of promulgation of the
implementing regulations described in subparagraph (A)(ii), the
date of enactment of this paragraph, or October 1, 2012, the
Secretary shall provide additional reimbursement for each lunch
served in school food authorities determined to be eligible
under subparagraph (D).
``(C) Additional reimbursement.--
``(i) In general.--Each lunch served in school food
authorities determined to be eligible under subparagraph
(D) shall receive an additional 6 cents, adjusted in
accordance with section 11(a)(3), to the national lunch
average payment for each lunch served.
``(ii) Disbursement.--The State agency shall disburse
funds made available under this paragraph to school food
authorities eligible to receive additional reimbursement.
``(D) Eligible school food authority.--To be eligible to
receive an additional reimbursement described in this
paragraph, a school food authority shall be certified by the
State to be in compliance with the interim or final regulations
described in subparagraph (A)(ii).
``(E) Failure to comply.--Beginning on the later of the
date described in subparagraph (A)(ii)(II), the date of
enactment of this paragraph, or October 1, 2012, school food
authorities found to be out of compliance with the meal
patterns or nutrition standards established by the implementing
regulations shall not receive the additional reimbursement for
each lunch served described in this paragraph.
``(F) Administrative costs.--
``(i) In general.--Subject to clauses (ii) and (iii),
the Secretary shall make funds available to States for
State activities related to training, technical assistance,
certification, and oversight activities of this paragraph.
``(ii) Provision of funds.--The Secretary shall provide
funds described in clause (i) to States administering a
school lunch program in a manner proportional to the
administrative expense allocation of each State during the
preceding fiscal year.
``(iii) Funding.--
``(I) In general.--In the later of the fiscal year
in which the implementing regulations described in
subparagraph (A)(ii) are promulgated or the fiscal year
in which this paragraph is enacted, and in the
subsequent fiscal year, the Secretary shall use not
more than $50,000,000 of funds made available under
section 3 to make payments to States described in
clause (i).
``(II) Reservation.--In providing funds to States
under clause (i), the Secretary may reserve not more
than $3,000,000 per fiscal year to support Federal
administrative activities to carry out this
paragraph.''.

897f114f000ce1972e319c384981595178a59b605a0cd8e426627127a2b30b19

-REDUCING CHILDHOOD OBESITY AND IMPROVING THE DIETS OF

Section 9(a)(2)(A) of the Richard B. Russell National School Lunch
Act (42 U.S.C. 1758(a)(2)(A)) is amended by striking clause (i) and
inserting the following:
``(i) shall offer students a variety of fluid milk.
Such milk shall be consistent with the most recent Dietary
Guidelines for Americans published under section 301 of the
National Nutrition Monitoring and Related Research Act of
1990 (7 U.S.C. 5341);''.

1a5b5db0a73340ba3ce64c1ac91a73124c2410deda6c6d2e0a0c62ac69fb55ad

Section 9(a) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1758(a)) is amended by adding at the end the following:
``(5) Water.--Schools participating in the school lunch program
under this Act shall make available to children free of charge, as
nutritionally appropriate, potable water for consumption in the
place where meals are served during meal service.''.

5dd398978fa19df84d0b1160beef0698178303cf41701650fc3659952445d809

(a) In General.--The Richard B. Russell National School Lunch Act
is amended by inserting after section 9 (42 U.S.C. 1758) the following:
``SEC. 9A. LOCAL SCHOOL WELLNESS POLICY.
``(a) In General.--Each local educational agency participating in a
program authorized by this Act or the Child Nutrition Act of 1966 (42
U.S.C. 1771 et seq.) shall establish a local school wellness policy for
all schools under the jurisdiction of the local educational agency.
``(b) Guidelines.--The Secretary shall promulgate regulations that
provide the framework and guidelines for local educational agencies to
establish local school wellness policies, including, at a minimum,--
``(1) goals for nutrition promotion and education, physical
activity, and other school-based activities that promote student
wellness;
``(2) for all foods available on each school campus under the
jurisdiction of the local educational agency during the school day,
nutrition guidelines that--
``(A) are consistent with sections 9 and 17 of this Act,
and sections 4 and 10 of the Child Nutrition Act of 1966 (42
U.S.C. 1773, 1779); and
``(B) promote student health and reduce childhood obesity;
``(3) a requirement that the local educational agency permit
parents, students, representatives of the school food authority,
teachers of physical education, school health professionals, the
school board, school administrators, and the general public to
participate in the development, implementation, and periodic review
and update of the local school wellness policy;
``(4) a requirement that the local educational agency inform
and update the public (including parents, students, and others in
the community) about the content and implementation of the local
school wellness policy; and
``(5) a requirement that the local educational agency--
``(A) periodically measure and make available to the public
an assessment on the implementation of the local school
wellness policy, including--
``(i) the extent to which schools under the
jurisdiction of the local educational agency are in
compliance with the local school wellness policy;
``(ii) the extent to which the local school wellness
policy of the local educational agency compares to model
local school wellness policies; and
``(iii) a description of the progress made in attaining
the goals of the local school wellness policy; and
``(B) designate 1 or more local educational agency
officials or school officials, as appropriate, to ensure that
each school complies with the local school wellness policy.
``(c) Local Discretion.--The local educational agency shall use the
guidelines promulgated by the Secretary under subsection (b) to
determine specific policies appropriate for the schools under the
jurisdiction of the local educational agency.
``(d) Technical Assistance and Best Practices.--
``(1) In general.--The Secretary, in consultation with the
Secretary of Education and the Secretary of Health and Human
Services, acting through the Centers for Disease Control and
Prevention, shall provide information and technical assistance to
local educational agencies, school food authorities, and State
educational agencies for use in establishing healthy school
environments that are intended to promote student health and
wellness.
``(2) Content.--The Secretary shall provide technical
assistance that--
``(A) includes resources and training on designing,
implementing, promoting, disseminating, and evaluating local
school wellness policies and overcoming barriers to the
adoption of local school wellness policies;
``(B) includes model local school wellness policies and
best practices recommended by Federal agencies, State agencies,
and nongovernmental organizations;
``(C) includes such other technical assistance as is
required to promote sound nutrition and establish healthy
school nutrition environments; and
``(D) is consistent with the specific needs and
requirements of local educational agencies.
``(3) Study and report.--
``(A) In general.--Subject to the availability of
appropriations, the Secretary, in conjunction with the Director
of the Centers for Disease Control and Prevention, shall
prepare a report on the implementation, strength, and
effectiveness of the local school wellness policies carried out
in accordance with this section.
``(B) Study of local school wellness policies.--The study
described in subparagraph (A) shall include----
``(i) an analysis of the strength and weaknesses of
local school wellness policies and how the policies compare
with model local wellness policies recommended under
paragraph (2)(B); and
``(ii) an assessment of the impact of the local school
wellness policies in addressing the requirements of
subsection (b).
``(C) Report.--Not later than January 1, 2014, the
Secretary shall submit to the Committee on Education and Labor
of the House of Representatives and the Committee on
Agriculture, Nutrition, and Forestry of the Senate a report
that describes the findings of the study.
``(D) Authorization of appropriations.--There are
authorized to be appropriated to carry out this paragraph
$3,000,000 for fiscal year 2011, to remain available until
expended.''.
(b) Repeal.--Section 204 of the Child Nutrition and WIC
Reauthorization Act of 2004 (42 U.S.C. 1751 note; Public Law 108-265)
is repealed.

bd7a65b0a962114656460135c590badd3166a75655b76447a4c6bcbbccdebe6b

Section 12 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1760) is amended by adding at the end the following:
``(p) Price for a Paid Lunch.--
``(1) Definition of paid lunch.--In this subsection, the term
`paid lunch' means a reimbursable lunch served to students who are
not certified to receive free or reduced price meals.
``(2) Requirement.--
``(A) In general.--For each school year beginning July 1,
2011, each school food authority shall establish a price for
paid lunches in accordance with this subsection.
``(B) Lower price.--
``(i) In general.--In the case of a school food
authority that established a price for a paid lunch in the
previous school year that was less than the difference
between the total Federal reimbursement for a free lunch
and the total Federal reimbursement for a paid lunch, the
school food authority shall establish an average price for
a paid lunch that is not less than the price charged in the
previous school year, as adjusted by a percentage equal to
the sum obtained by adding--
``(I) 2 percent; and
``(II) the percentage change in the Consumer Price
Index for All Urban Consumers (food away from home
index) used to increase the Federal reimbursement rate
under section 11 for the most recent school year for
which data are available, as published in the Federal
Register.
``(ii) Rounding.--A school food authority may round the
adjusted price for a paid lunch under clause (i) down to
the nearest 5 cents.
``(iii) Maximum required price increase.--
``(I) In general.--The maximum annual average price
increase required to meet the requirements of this
subparagraph shall not exceed 10 cents for any school
food authority.
``(II) Discretionary increase.--A school food
authority may increase the average price for a paid
lunch for a school year by more than 10 cents.
``(C) Equal or greater price.--
``(i) In general.--In the case of a school food
authority that established an average price for a paid
lunch in the previous school year that was equal to or
greater than the difference between the total Federal
reimbursement for a free lunch and the total Federal
reimbursement for a paid lunch, the school food authority
shall establish an average price for a paid lunch that is
not less than the difference between the total Federal
reimbursement for a free lunch and the total Federal
reimbursement for a paid lunch.
``(ii) Rounding.--A school food authority may round the
adjusted price for a paid lunch under clause (i) down to
the nearest 5 cents.
``(3) Exceptions.--
``(A) Reduction in price.--A school food authority may
reduce the average price of a paid lunch established under this
subsection if the State agency ensures that funding from non-
Federal sources (other than in-kind contributions) is added to
the nonprofit school food service account of the school food
authority in an amount estimated to be equal to at least the
difference between--
``(i) the average price required of the school food
authority for the paid lunches under paragraph (2); and
``(ii) the average price charged by the school food
authority for the paid lunches.
``(B) Non-federal sources.--For the purposes of
subparagraph (A), non-Federal sources does not include revenue
from the sale of foods sold in competition with meals served
under the school lunch program authorized under this Act or the
school breakfast program established by section 4 of the Child
Nutrition Act of 1966 (42 U.S.C. 1773).
``(C) Other programs.--This subsection shall not apply to
lunches provided under section 17 of this Act.
``(4) Regulations.--The Secretary shall establish procedures to
carry out this subsection, including collecting and publishing the
prices that school food authorities charge for paid meals on an
annual basis and procedures that allow school food authorities to
average the pricing of paid lunches at schools throughout the
jurisdiction of the school food authority.''.

e77e108ea3c2d7ae261562827cc3869164456c6b64fbe97148c353192d847223

Section 12 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1760) (as amended by section 205) is amended by adding at the
end the following:
``(q) Nonprogram Food Sales.--
``(1) Definition of nonprogram food.--In this subsection:
``(A) In general.--The term `nonprogram food' means food
that is--
``(i) sold in a participating school other than a
reimbursable meal provided under this Act or the Child
Nutrition Act of 1966 (42 U.S.C. 1771 et seq.); and
``(ii) purchased using funds from the nonprofit school
food service account of the school food authority of the
school.
``(B) Inclusion.--The term `nonprogram food' includes food
that is sold in competition with a program established under
this Act or the Child Nutrition Act of 1966 (42 U.S.C. 1771 et
seq.).
``(2) Revenues.--
``(A) In general.--The proportion of total school food
service revenue provided by the sale of nonprogram foods to the
total revenue of the school food service account shall be equal
to or greater than the proportion of total food costs
associated with obtaining nonprogram foods to the total costs
associated with obtaining program and nonprogram foods from the
account.
``(B) Accrual.--All revenue from the sale of nonprogram
foods shall accrue to the nonprofit school food service account
of a participating school food authority.
``(C) Effective date.--This subsection shall be effective
beginning on July 1, 2011.''.

6ee0ba792a033608755ff8e9da00c01591755b72da630c8e05faf9f13e482e24

Section 22 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1769c) is amended--
(1) by striking subsection (a) and inserting the following:
``(a) Unified Accountability System.--
``(1) In general.--There shall be a unified system prescribed
and administered by the Secretary to ensure that local food service
authorities participating in the school lunch program established
under this Act and the school breakfast program established by
section 4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773)
comply with those Acts, including compliance with--
``(A) the nutritional requirements of section 9(f) of this
Act for school lunches; and
``(B) as applicable, the nutritional requirements for
school breakfasts under section 4(e)(1) of the Child Nutrition
Act of 1966 (42 U.S.C. 1773(e)(1)).''; and
(2) in subsection (b)(1), by striking subparagraphs (A) and (B)
and inserting the following:
``(A) require that local food service authorities comply
with the nutritional requirements described in subparagraphs
(A) and (B) of paragraph (1);
``(B) to the maximum extent practicable, ensure compliance
through reasonable audits and supervisory assistance reviews;
``(C) in conducting audits and reviews for the purpose of
determining compliance with this Act, including the nutritional
requirements of section 9(f)--
``(i) conduct audits and reviews during a 3-year cycle
or other period prescribed by the Secretary;
``(ii) select schools for review in each local
educational agency using criteria established by the
Secretary;
``(iii) report the final results of the reviews to the
public in the State in an accessible, easily understood
manner in accordance with guidelines promulgated by the
Secretary; and
``(iv) submit to the Secretary each year a report
containing the results of the reviews in accordance with
procedures developed by the Secretary; and
``(D) when any local food service authority is reviewed
under this section, ensure that the final results of the review
by the State educational agency are posted and otherwise made
available to the public on request in an accessible, easily
understood manner in accordance with guidelines promulgated by
the Secretary.''.

606c41962a988e354e277b0507adade0b6d62ce364f16546af0be73a7b7ee541

Section 10 of the Child Nutrition Act of 1966 (42 U.S.C. 1779) is
amended--
(1) by striking the section heading and all that follows
through ``(a) The Secretary'' and inserting the following:
``SEC. 10. REGULATIONS.
``(a) In General.--The Secretary''; and
(2) by striking subsection (b) and inserting the following:
``(b) National School Nutrition Standards.--
``(1) Proposed regulations.--
``(A) In general.--The Secretary shall--
``(i) establish science-based nutrition standards for
foods sold in schools other than foods provided under this
Act and the Richard B. Russell National School Lunch Act
(42 U.S.C. 1751 et seq.); and
``(ii) not later than 1 year after the date of
enactment of this paragraph, promulgate proposed
regulations to carry out clause (i).
``(B) Application.--The nutrition standards shall apply to
all foods sold--
``(i) outside the school meal programs;
``(ii) on the school campus; and
``(iii) at any time during the school day.
``(C) Requirements.--In establishing nutrition standards
under this paragraph, the Secretary shall--
``(i) establish standards that are consistent with the
most recent Dietary Guidelines for Americans published
under section 301 of the National Nutrition Monitoring and
Related Research Act of 1990 (7 U.S.C. 5341), including the
food groups to encourage and nutrients of concern
identified in the Dietary Guidelines; and
``(ii) consider--
``(I) authoritative scientific recommendations for
nutrition standards;
``(II) existing school nutrition standards,
including voluntary standards for beverages and snack
foods and State and local standards;
``(III) the practical application of the nutrition
standards; and
``(IV) special exemptions for school-sponsored
fundraisers (other than fundraising through vending
machines, school stores, snack bars, a la carte sales,
and any other exclusions determined by the Secretary),
if the fundraisers are approved by the school and are
infrequent within the school.
``(D) Updating standards.--As soon as practicable after the
date of publication by the Department of Agriculture and the
Department of Health and Human Services of a new edition of the
Dietary Guidelines for Americans under section 301 of the
National Nutrition Monitoring and Related Research Act of 1990
(7 U.S.C. 5341), the Secretary shall review and update as
necessary the school nutrition standards and requirements
established under this subsection.
``(2) Implementation.--
``(A) Effective date.--The interim or final regulations
under this subsection shall take effect at the beginning of the
school year that is not earlier than 1 year and not later than
2 years following the date on which the regulations are
finalized.
``(B) Reporting.--The Secretary shall submit to the
Committee on Agriculture, Nutrition, and Forestry of the Senate
and the Committee on Education and Labor of the House of
Representatives a quarterly report that describes progress made
toward promulgating final regulations under this subsection.''.

6159424a62c53d8d9570119245e51c0e4498b4cda547fcacd0ad41416eafaad8

ENVIRONMENT.
Section 9 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1758) is amended by adding at the end the following:
``(k) Information on the School Nutrition Environment.--
``(1) In general.--The Secretary shall--
``(A) establish requirements for local educational agencies
participating in the school lunch program under this Act and
the school breakfast program established by section 4 of the
Child Nutrition Act of 1966 (42 U.S.C. 1773) to report
information about the school nutrition environment, for all
schools under the jurisdiction of the local educational
agencies, to the Secretary and to the public in the State on a
periodic basis; and
``(B) provide training and technical assistance to States
and local educational agencies on the assessment and reporting
of the school nutrition environment, including the use of any
assessment materials developed by the Secretary.
``(2) Requirements.--In establishing the requirements for
reporting on the school nutrition environment under paragraph (1),
the Secretary shall--
``(A) include information pertaining to food safety
inspections, local wellness policies, meal program
participation, the nutritional quality of program meals, and
other information as determined by the Secretary; and
``(B) ensure that information is made available to the
public by local educational agencies in an accessible, easily
understood manner in accordance with guidelines established by
the Secretary.
``(3) Authorization of appropriations.--There are authorized to
be appropriated to carry out this subsection such sums as are
necessary for each of fiscal years 2011 through 2015.''.

5669bb612e160ec4b18f9af5db38cf9ceef86c780d3fa5300aec7a3d465b966e

Section 18 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1769) is amended by adding at the end the following:
``(j) Organic Food Pilot Program.--
``(1) Establishment.--The Secretary shall establish an organic
food pilot program (referred to in this subsection as the `pilot
program') under which the Secretary shall provide grants on a
competitive basis to school food authorities selected under
paragraph (3).
``(2) Use of funds.--
``(A) In general.--The Secretary shall use funds provided
under this section--
``(i) to enter into competitively awarded contracts or
cooperative agreements with school food authorities
selected under paragraph (3); or
``(ii) to make grants to school food authority
applicants selected under paragraph (3).
``(B) School food authority uses of funds.--A school food
authority that receives a grant under this section shall use
the grant funds to establish a pilot program that increases the
quantity of organic foods provided to schoolchildren under the
school lunch program established under this Act.
``(3) Application.--
``(A) In general.--A school food authority seeking a
contract, grant, or cooperative agreement under this subsection
shall submit to the Secretary an application in such form,
containing such information, and at such time as the Secretary
shall prescribe.
``(B) Criteria.--In selecting contract, grant, or
cooperative agreement recipients, the Secretary shall
consider--
``(i) 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 that section))
applicable to a family of the size involved of the
households in the district served by the school food
authority, giving preference to school food authority
applicants in which not less than 50 percent of the
households in the district are at or below the Federal
poverty line;
``(ii) the commitment of each school food authority
applicant--
``(I) to improve the nutritional value of school
meals;
``(II) to carry out innovative programs that
improve the health and wellness of schoolchildren; and
``(III) to evaluate the outcome of the pilot
program; and
``(iii) any other criteria the Secretary determines to
be appropriate.
``(4) Authorization of appropriations.--There are authorized to
be appropriated to carry out this subsection $10,000,000 for fiscal
years 2011 through 2015.''.
Subtitle B--Child and Adult Care Food Program

da8cd2187dd7fc3737184c8d44467e3eece7b84aa649a422cbcc8ea6c1cc84b7

CHILD AND ADULT CARE FOOD PROGRAM.
Section 17 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1766) is amended--
(1) in subsection (a), by striking ``(a) Grant Authority'' and
all that follows through the end of paragraph (1) and inserting the
following:
``(a) Program Purpose, Grant Authority and Institution
Eligibility.--
``(1) In general.--
``(A) Program purpose.--
``(i) Findings.--Congress finds that--
``(I) eating habits and other wellness-related
behavior habits are established early in life; and
``(II) good nutrition and wellness are important
contributors to the overall health of young children
and essential to cognitive development.
``(ii) Purpose.--The purpose of the program authorized
by this section is to provide aid to child and adult care
institutions and family or group day care homes for the
provision of nutritious foods that contribute to the
wellness, healthy growth, and development of young
children, and the health and wellness of older adults and
chronically impaired disabled persons.
``(B) Grant authority.--The Secretary may carry out a
program to assist States through grants-in-aid and other means
to initiate and maintain nonprofit food service programs for
children in institutions providing child care.'';
(2) by striking subsection (g) and inserting the following:
``(g) Nutritional Requirements for Meals and Snacks Served in
Institutions and Family or Group Day Care Homes.--
``(1) Definition of dietary guidelines.--In this subsection,
the term `Dietary Guidelines' means the Dietary Guidelines for
Americans published under section 301 of the National Nutrition
Monitoring and Related Research Act of 1990 (7 U.S.C. 5341).
``(2) Nutritional requirements.--
``(A) In general.--Except as provided in subparagraph (C),
reimbursable meals and snacks served by institutions, family or
group day care homes, and sponsored centers participating in
the program under this section shall consist of a combination
of foods that meet minimum nutritional requirements prescribed
by the Secretary on the basis of tested nutritional research.
``(B) Conformity with the dietary guidelines and
authoritative science.--
``(i) In general.--Not less frequently than once every
10 years, the Secretary shall review and, as appropriate,
update requirements for meals served under the program
under this section to ensure that the meals--
``(I) are consistent with the goals of the most
recent Dietary Guidelines; and
``(II) promote the health of the population served
by the program authorized under this section, as
indicated by the most recent relevant nutrition science
and appropriate authoritative scientific agency and
organization recommendations.
``(ii) Cost review.--The review required under clause
(i) shall include a review of the cost to child care
centers and group or family day care homes resulting from
updated requirements for meals and snacks served under the
program under this section.
``(iii) Regulations.--Not later than 18 months after
the completion of the review of the meal pattern under
clause (i), the Secretary shall promulgate proposed
regulations to update the meal patterns for meals and
snacks served under the program under this section.
``(C) Exceptions.--
``(i) Special dietary needs.--The minimum nutritional
requirements prescribed under subparagraph (A) shall not
prohibit institutions, family or group day care homes, and
sponsored centers from substituting foods to accommodate
the medical or other special dietary needs of individual
participants.
``(ii) Exempt institutions.--The Secretary may elect to
waive all or part of the requirements of this subsection
for emergency shelters participating in the program under
this section.
``(3) Meal service.--Institutions, family or group day care
homes, and sponsored centers shall ensure that reimbursable meal
service contributes to the development and socialization of
enrolled children by providing that food is not used as a
punishment or reward.
``(4) Fluid milk.--
``(A) In general.--If an institution, family or group day
care home, or sponsored center provides fluid milk as part of a
reimbursable meal or supplement, the institution, family or
group day care home, or sponsored center shall provide the milk
in accordance with the most recent version of the Dietary
Guidelines.
``(B) Milk substitutes.--In the case of children who cannot
consume fluid milk due to medical or other special dietary
needs other than a disability, an institution, family or group
day care home, or sponsored center may substitute for the fluid
milk required in meals served, a nondairy beverage that--
``(i) is nutritionally equivalent to fluid milk; and
``(ii) meets nutritional standards established by the
Secretary, including, among other requirements established
by the Secretary, fortification of calcium, protein,
vitamin A, and vitamin D to levels found in cow's milk.
``(C) Approval.--
``(i) In general.--A substitution authorized under
subparagraph (B) may be made--
``(I) at the discretion of and on approval by the
participating day care institution; and
``(II) if the substitution is requested by written
statement of a medical authority, or by the parent or
legal guardian of the child, that identifies the
medical or other special dietary need that restricts
the diet of the child.
``(ii) Exception.--An institution, family or group day
care home, or sponsored center that elects to make a
substitution authorized under this paragraph shall not be
required to provide beverages other than beverages the
State has identified as acceptable substitutes.
``(D) Excess expenses borne by institution.--A
participating institution, family or group day care home, or
sponsored center shall be responsible for any expenses that--
``(i) are incurred by the institution, family or group
day care home, or sponsored center to provide substitutions
under this paragraph; and
``(ii) are in excess of expenses covered under
reimbursements under this Act.
``(5) Nondiscrimination policy.--No physical segregation or
other discrimination against any person shall be made because of
the inability of the person to pay, nor shall there be any overt
identification of any such person by special tokens or tickets,
different meals or meal service, announced or published lists of
names, or other means.
``(6) Use of abundant and donated foods.--To the maximum extent
practicable, each institution shall use in its food service foods
that are--
``(A) designated from time to time by the Secretary as
being in abundance, either nationally or in the food service
area; or
``(B) donated by the Secretary.'';
(3) by adding at the end the following:
``(u) Promoting Health and Wellness in Child Care.--
``(1) Physical activity and electronic media use.--The
Secretary shall encourage participating child care centers and
family or group day care homes--
``(A) to provide to all children under the supervision of
the participating child care centers and family or group day
care homes daily opportunities for structured and unstructured
age-appropriate physical activity; and
``(B) to limit among children under the supervision of the
participating child care centers and family or group day care
homes the use of electronic media to an appropriate level.
``(2) Water consumption.--Participating child care centers and
family or group day care homes shall make available to children, as
nutritionally appropriate, potable water as an acceptable fluid for
consumption throughout the day, including at meal times.
``(3) Technical assistance and guidance.--
``(A) In general.--The Secretary shall provide technical
assistance to institutions participating in the program under
this section to assist participating child care centers and
family or group day care homes in complying with the
nutritional requirements and wellness recommendations
prescribed by the Secretary in accordance with this subsection
and subsection (g).
``(B) Guidance.--Not later than January 1, 2012, the
Secretary shall issue guidance to States and institutions to
encourage participating child care centers and family or group
day care homes serving meals and snacks under this section to--
``(i) include foods that are recommended for increased
serving consumption in amounts recommended by the most
recent Dietary Guidelines for Americans published under
section 301 of the National Nutrition Monitoring and
Related Research Act of 1990 (7 U.S.C. 5341), including
fresh, canned, dried, or frozen fruits and vegetables,
whole grain products, lean meat products, and low-fat and
non-fat dairy products; and
``(ii) reduce sedentary activities and provide
opportunities for regular physical activity in quantities
recommended by the most recent Dietary Guidelines for
Americans described in clause (i).
``(C) Nutrition.--Technical assistance relating to the
nutritional requirements of this subsection and subsection (g)
shall include--
``(i) nutrition education, including education that
emphasizes the relationship between nutrition, physical
activity, and health;
``(ii) menu planning;
``(iii) interpretation of nutrition labels; and
``(iv) food preparation and purchasing guidance to
produce meals and snacks that are--
``(I) consistent with the goals of the most recent
Dietary Guidelines; and
``(II) promote the health of the population served
by the program under this section, as recommended by
authoritative scientific organizations.
``(D) Physical activity.--Technical assistance relating to
the physical activity requirements of this subsection shall
include--
``(i) education on the importance of regular physical
activity to overall health and well being; and
``(ii) sharing of best practices for physical activity
plans in child care centers and homes as recommended by
authoritative scientific organizations.
``(E) Electronic media use.--Technical assistance relating
to the electronic media use requirements of this subsection
shall include--
``(i) education on the benefits of limiting exposure to
electronic media by children; and
``(ii) sharing of best practices for the development of
daily activity plans that limit use of electronic media.
``(F) Minimum assistance.--At a minimum, the technical
assistance required under this paragraph shall include a
handbook, developed by the Secretary in coordination with the
Secretary for Health and Human Services, that includes
recommendations, guidelines, and best practices for
participating institutions and family or group day care homes
that are consistent with the nutrition, physical activity, and
wellness requirements and recommendations of this subsection.
``(G) Additional assistance.--In addition to the
requirements of this paragraph, the Secretary shall develop and
provide such appropriate training and education materials,
guidance, and technical assistance as the Secretary considers
to be necessary to comply with the nutritional and wellness
requirements of this subsection and subsection (g).
``(H) Funding.--
``(i) In general.--On October 1, 2010, out of any funds
in the Treasury not otherwise appropriated, the Secretary
of the Treasury shall transfer to the Secretary to provide
technical assistance under this subsection $10,000,000, to
remain available until expended.
``(ii) Receipt and acceptance.--The Secretary shall be
entitled to receive, shall accept, and shall use to carry
out this subsection the funds transferred under clause (i),
without further appropriation.''.

0c0da50900ac6b245b811857acfd6006d28916d48e9f43b24691c73557a39eb1

IN CHILD CARE LICENSING.
The Secretary shall coordinate with the Secretary of Health and
Human Services to encourage State licensing agencies to include
nutrition and wellness standards within State licensing standards that
ensure, to the maximum extent practicable, that licensed child care
centers and family or group day care homes--
(1) provide to all children under the supervision of the child
care centers and family or group day care homes daily opportunities
for age-appropriate physical activity;
(2) limit among children under the supervision of the child
care centers and family or group day care homes the use of
electronic media and the quantity of time spent in sedentary
activity to an appropriate level;
(3) serve meals and snacks that are consistent with the
requirements of the child and adult care food program established
under section 17 of the Richard B. Russell National School Lunch
Act (42 U.S.C. 1766); and
(4) promote such other nutrition and wellness goals as the
Secretaries determine to be necessary.

51af281b17d54df372535ac1f15643f3ef82fe3ea8375d991ad042013d5e3b18

SETTINGS.
(a) In General.--Not less than 3 years after the date of enactment
of this Act, the Secretary, in consultation with the Secretary of
Health and Human Services, shall enter into a contract for the conduct
of a nationally representative study of child care centers and family
or group day care homes that includes an assessment of--
(1) the nutritional quality of all foods provided to children
in child care settings as compared to the recommendations in most
recent Dietary Guidelines for Americans published under section 301
of the National Nutrition Monitoring and Related Research Act of
1990 (7 U.S.C. 5341);
(2) the quantity and type of opportunities for physical
activity provided to children in child care settings;
(3) the quantity of time spent by children in child care
settings in sedentary activities;
(4) an assessment of barriers and facilitators to--
(A) providing foods to children in child care settings that
meet the recommendations of the most recent Dietary Guidelines
for Americans published under section 301 of the National
Nutrition Monitoring and Related Research Act of 1990 (7 U.S.C.
5341);
(B) providing the appropriate quantity and type of
opportunities of physical activity for children in child care
settings; and
(C) participation by child care centers and family or group
day care homes in the child and adult care food program
established under section 17 of the Richard B. Russell National
School Lunch Act (42 U.S.C. 1766); and
(5) such other assessment measures as the Secretary may
determine to be necessary.
(b) Report to Congress.--The Secretary shall submit to Congress a
report that includes a detailed description of the results of the study
conducted under subsection (a).
(c) Funding.--
(1) In general.--On October 1, 2010, out of any funds in the
Treasury not otherwise appropriated, the Secretary of the Treasury
shall transfer to the Secretary to carry out this section
$5,000,000, to remain available until expended.
(2) Receipt and acceptance.--The Secretary shall be entitled to
receive, shall accept, and shall use to carry out this section the
funds transferred under paragraph (1), without further
appropriation.
Subtitle C--Special Supplemental Nutrition Program for Women, Infants,
and Children

a2700007130642c9a2b4b9467bb8df476ae524219b649b952808f4ad52159e24

Section 17 of the Child Nutrition Act of 1966 (42 U.S.C. 1786) is
amended--
(1) in subsection (a), in the second sentence, by striking
``supplemental foods and nutrition education through any eligible
local agency'' and inserting ``supplemental foods and nutrition
education, including breastfeeding promotion and support, through
any eligible local agency'';
(2) in subsection (b)(4), by inserting ``breastfeeding support
and promotion,'' after ``nutrition education,'';
(3) in subsection (c)(1), in the first sentence, by striking
``supplemental foods and nutrition education to'' and inserting
``supplemental foods, nutrition education, and breastfeeding
support and promotion to'';
(4) in subsection (e)(2), in the second sentence, by inserting
``, including breastfeeding support and education,'' after
``nutrition education'';
(5) in subsection (f)(6)(B), in the first sentence, by
inserting ``and breastfeeding'' after ``nutrition education'';
(6) in subsection (h)--
(A) in paragraph (4)--
(i) by striking ``(4) The Secretary'' and all that
follows through ``(A) in consultation'' and inserting the
following:
``(4) Requirements.--
``(A) In general.--The Secretary shall--
``(i) in consultation'';
(ii) by redesignating subparagraphs (B) through (F) as
clauses (ii) through (vi), respectively, and indenting
appropriately;
(iii) in clause (v) (as so redesignated), by striking
``and'' at the end;
(iv) in clause (vi) (as so redesignated), by striking
``2010 initiative.'' and inserting ``initiative; and''; and
(v) by adding at the end the following:
``(vii) annually compile and publish breastfeeding
performance measurements based on program participant data
on the number of partially and fully breast-fed infants,
including breastfeeding performance measurements for--
``(I) each State agency; and
``(II) each local agency;
``(viii) in accordance with subparagraph (B), implement
a program to recognize exemplary breastfeeding support
practices at local agencies or clinics participating in the
special supplemental nutrition program established under
this section; and
``(ix) in accordance with subparagraph (C), implement a
program to provide performance bonuses to State agencies.
``(B) Exemplary breastfeeding support practices.--
``(i) In general.--In evaluating exemplary practices
under subparagraph (A)(viii), the Secretary shall
consider--
``(I) performance measurements of breastfeeding;
``(II) the effectiveness of a peer counselor
program;
``(III) the extent to which the agency or clinic
has partnered with other entities to build a supportive
breastfeeding environment for women participating in
the program; and
``(IV) such other criteria as the Secretary
considers appropriate after consultation with State and
local program agencies.
``(ii) Authorization of appropriations.--There is
authorized to be appropriated to carry out the activities
described in clause (viii) of subparagraph (A) such sums as
are necessary.
``(C) Performance bonuses.--
``(i) In general.--Following the publication of
breastfeeding performance measurements under subparagraph
(A)(vii), the Secretary shall provide performance bonus
payments to not more than 15 State agencies that
demonstrate, as compared to other State agencies
participating in the program--
``(I) the highest proportion of breast-fed infants;
or
``(II) the greatest improvement in proportion of
breast-fed infants.
``(ii) Consideration.--In providing performance bonus
payments to State agencies under this subparagraph, the
Secretary shall consider the proportion of fully breast-fed
infants in the States.
``(iii) Use of funds.--A State agency that receives a
performance bonus under clause (i)--
``(I) shall treat the funds as program income; and
``(II) may transfer the funds to local agencies for
use in carrying out the program.
``(iv) Implementation.--The Secretary shall provide the
first performance bonuses not later than 1 year after the
date of enactment of this clause and may subsequently
revise the criteria for awarding performance bonuses;
and''; and
(B) by striking paragraph (10) and inserting the following:
``(10) Funds for infrastructure, management information
systems, and special nutrition education.--
``(A) In general.--For each of fiscal years 2010 through
2015, the Secretary shall use for the purposes specified in
subparagraph (B) $139,000,000 (as adjusted annually for
inflation by the same factor used to determine the national
average per participant grant for nutrition services and
administration for the fiscal year under paragraph (1)(B)).
``(B) Purposes.--Subject to subparagraph (C), of the amount
made available under subparagraph (A) for a fiscal year--
``(i) $14,000,000 shall be used for--
``(I) infrastructure for the program under this
section;
``(II) special projects to promote breastfeeding,
including projects to assess the effectiveness of
particular breastfeeding promotion strategies; and
``(III) special State projects of regional or
national significance to improve the services of the
program;
``(ii) $35,000,000 shall be used to establish, improve,
or administer management information systems for the
program, including changes necessary to meet new
legislative or regulatory requirements of the program, of
which up to $5,000,000 may be used for Federal
administrative costs; and
``(iii) $90,000,000 shall be used for special nutrition
education (such as breastfeeding peer counselors and other
related activities), of which not more than $10,000,000 of
any funding provided in excess of $50,000,000 shall be used
to make performance bonus payments under paragraph (4)(C).
``(C) Adjustment.--Each of the amounts referred to in
clauses (i), (ii), and (iii) of subparagraph (B) shall be
adjusted annually for inflation by the same factor used to
determine the national average per participant grant for
nutrition services and administration for the fiscal year under
paragraph (1)(B).
``(D) Proportional distribution.--The Secretary shall
distribute funds made available under subparagraph (A) in
accordance with the proportional distribution described in
subparagraphs (B) and (C).''; and
(7) in subsection (j), by striking ``supplemental foods and
nutrition education'' each place it appears in paragraphs (1) and
(2) and inserting ``supplemental foods, nutrition education, and
breastfeeding support and promotion''.

6066f3f8a8b8b37c3d472b53db5ce150426620c853c4454c51059cb27991733f

Section 17(f)(11)(D) of the Child Nutrition Act of 1966 (42 U.S.C.
1786(f)(11)(D)) is amended in the matter preceding clause (i) by
inserting ``but not less than every 10 years,'' after ``scientific
knowledge,''.
Subtitle D--Miscellaneous

f69e6563288e889ee6dd04e681146a7fe4a2f6b7ff153cc06f37d145dae0eb98

(a) In General.--The Food and Nutrition Act of 2008 (7 U.S.C. 2011
et seq.) is amended by adding at the end the following:
``SEC. 28. NUTRITION EDUCATION AND OBESITY PREVENTION GRANT PROGRAM.
``(a) Definition of Eligible Individual.--In this section, the term
`eligible individual' means an individual who is eligible to receive
benefits under a nutrition education and obesity prevention program
under this section as a result of being--
``(1) an individual eligible for benefits under--
``(A) this Act;
``(B) sections 9(b)(1)(A) and 17(c)(4) of the Richard B
Russell National School Lunch Act (42 U.S.C. 1758(b)(1)(A),
1766(c)(4)); or
``(C) section 4(e)(1)(A) of the Child Nutrition Act of 1966
(42 U.S.C. 1773(e)(1)(A));
``(2) an individual who resides in a community with a
significant low-income population, as determined by the Secretary;
or
``(3) such other low-income individual as is determined to be
eligible by the Secretary.
``(b) Programs.--Consistent with the terms and conditions of grants
awarded under this section, State agencies may implement a nutrition
education and obesity prevention program for eligible individuals that
promotes healthy food choices consistent with the most recent Dietary
Guidelines for Americans published under section 301 of the National
Nutrition Monitoring and Related Research Act of 1990 (7 U.S.C. 5341).
``(c) Delivery of Nutrition Education and Obesity Prevention
Services.--
``(1) In general.--State agencies may deliver nutrition
education and obesity prevention services under a program described
in subsection (b)--
``(A) directly to eligible individuals; or
``(B) through agreements with other State or local agencies
or community organizations.
``(2) Nutrition education state plans.--
``(A) In general.--A State agency that elects to provide
nutrition education and obesity prevention services under this
subsection shall submit to the Secretary for approval a
nutrition education State plan.
``(B) Requirements.--Except as provided in subparagraph
(C), a nutrition education State plan shall--
``(i) identify the uses of the funding for local
projects;
``(ii) ensure that the interventions are appropriate
for eligible individuals who are members of low-income
populations by recognizing the constrained resources, and
the potential eligibility for Federal food assistance
programs, of members of those populations; and
``(iii) conform to standards established by the
Secretary through regulations, guidance, or grant award
documents.
``(C) Transition period.--During each of fiscal years 2011
and 2012, a nutrition education State plan under this section
shall be consistent with the requirements of section 11(f) (as
that section, other than paragraph (3)(C), existed on the day
before the date of enactment of this section).
``(3) Use of funds.--
``(A) In general.--A State agency may use funds provided
under this section for any evidence-based allowable use of
funds identified by the Administrator of the Food and Nutrition
Service of the Department of Agriculture in consultation with
the Director of the Centers for Disease Control and Prevention
of the Department of Health and Human Services, including--
``(i) individual and group-based nutrition education,
health promotion, and intervention strategies;
``(ii) comprehensive, multilevel interventions at
multiple complementary organizational and institutional
levels; and
``(iii) community and public health approaches to
improve nutrition.
``(B) Consultation.--In identifying allowable uses of funds
under subparagraph (A) and in seeking to strengthen delivery,
oversight, and evaluation of nutrition education, the
Administrator of the Food and Nutrition Service shall consult
with the Director of the Centers for Disease Control and
Prevention and outside stakeholders and experts, including--
``(i) representatives of the academic and research
communities;
``(ii) nutrition education practitioners;
``(iii) representatives of State and local governments;
and
``(iv) community organizations that serve low-income
populations.
``(4) Notification.--To the maximum extent practicable, State
agencies shall notify applicants, participants, and eligible
individuals under this Act of the availability of nutrition
education and obesity prevention services under this section in
local communities.
``(5) Coordination.--Subject to the approval of the Secretary,
projects carried out with funds received under this section may be
coordinated with other health promotion or nutrition improvement
strategies, whether public or privately funded, if the projects
carried out with funds received under this section remain under the
administrative control of the State agency.
``(d) Funding.--
``(1) In general.--Of funds made available each fiscal year
under section 18(a)(1), the Secretary shall reserve for allocation
to State agencies to carry out the nutrition education and obesity
prevention grant program under this section, to remain available
for obligation for a period of 2 fiscal years--
``(A) for fiscal year 2011, $375,000,000; and
``(B) for fiscal year 2012 and each subsequent fiscal year,
the applicable amount during the preceding fiscal year, as
adjusted to reflect any increases for the 12-month period
ending the preceding June 30 in the Consumer Price Index for
All Urban Consumers published by the Bureau of Labor Statistics
of the Department of Labor.
``(2) Allocation.--
``(A) Initial allocation.--Of the funds set aside under
paragraph (1), as determined by the Secretary--
``(i) for each of fiscal years 2011 through 2013, 100
percent shall be allocated to State agencies in direct
proportion to the amount of funding that the State received
for carrying out section 11(f) (as that section existed on
the day before the date of enactment of this section)
during fiscal year 2009, as reported to the Secretary as of
February 2010; and
``(ii) subject to a reallocation under subparagraph
(B)--
``(I) for fiscal year 2014--
``(aa) 90 percent shall be allocated to State
agencies in accordance with clause (i); and
``(bb) 10 percent shall be allocated to State
agencies based on the respective share of each
State of the number of individuals participating in
the supplemental nutrition assistance program
during the 12-month period ending the preceding
January 31;
``(II) for fiscal year 2015--
``(aa) 80 percent shall be allocated to State
agencies in accordance with clause (i); and
``(bb) 20 percent shall be allocated in
accordance with subclause (I)(bb);
``(III) for fiscal year 2016--
``(aa) 70 percent shall be allocated to State
agencies in accordance with clause (i); and
``(bb) 30 percent shall be allocated in
accordance with subclause (I)(bb);
``(IV) for fiscal year 2017--
``(aa) 60 percent shall be allocated to State
agencies in accordance with clause (i); and
``(bb) 40 percent shall be allocated in
accordance with subclause (I)(bb); and
``(V) for fiscal year 2018 and each fiscal year
thereafter--
``(aa) 50 percent shall be allocated to State
agencies in accordance with clause (i); and
``(bb) 50 percent shall be allocated in
accordance with subclause (I)(bb).
``(B) Reallocation.--
``(i) In general.--If the Secretary determines that a
State agency will not expend all of the funds allocated to
the State agency for a fiscal year under paragraph (1) or
in the case of a State agency that elects not to receive
the entire amount of funds allocated to the State agency
for a fiscal year, the Secretary shall reallocate the
unexpended funds to other States during the fiscal year or
the subsequent fiscal year (as determined by the Secretary)
that have approved State plans under which the State
agencies may expend the reallocated funds.
``(ii) Effect of additional funds.--
``(I) Funds received.--Any reallocated funds
received by a State agency under clause (i) for a
fiscal year shall be considered to be part of the
fiscal year 2009 base allocation of funds to the State
agency for that fiscal year for purposes of determining
allocation under subparagraph (A) for the subsequent
fiscal year.
``(II) Funds surrendered.--Any funds surrendered by
a State agency under clause (i) shall not be considered
to be part of the fiscal year 2009 base allocation of
funds to a State agency for that fiscal year for
purposes of determining allocation under subparagraph
(A) for the subsequent fiscal year.
``(3) Limitation on federal financial participation.--
``(A) In general.--Grants awarded under this section shall
be the only source of Federal financial participation under
this Act in nutrition education and obesity prevention.
``(B) Exclusion.--Any costs of nutrition education and
obesity prevention in excess of the grants authorized under
this section shall not be eligible for reimbursement under
section 16(a).
``(e) Implementation.--Not later than January 1, 2012, the
Secretary shall publish in the Federal Register a description of the
requirements for the receipt of a grant under this section.''.
(b) Conforming Amendments.--
(1) Section 4(a) of the Food and Nutrition Act of 2008 (7
U.S.C. 2013(a)) is amended in the first sentence by striking ``and,
through an approved State plan, nutrition education''.
(2) Section 11 of the Food and Nutrition Act of 2008 (7 U.S.C.
2020) is amended by striking subsection (f).

94a391e6bf1a46073ff855a8ae75a5c595d4dfbd845022547fa52f4fef33ceb1

COMMODITIES.
Section 9(a)(4) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1758(a)(4)) is amended by adding at the end the following:
``(C) Procurement and processing of food service products
and commodities.--The Secretary shall--
``(i) identify, develop, and disseminate to State
departments of agriculture and education, school food
authorities, local educational agencies, and local
processing entities, model product specifications and
practices for foods offered in school nutrition programs
under this Act and the Child Nutrition Act of 1966 (42
U.S.C. 1771 et seq.) to ensure that the foods reflect the
most recent Dietary Guidelines for Americans published
under section 301 of the National Nutrition Monitoring and
Related Research Act of 1990 (7 U.S.C. 5341);
``(ii) not later than 1 year after the date of
enactment of this subparagraph--
``(I) carry out a study to analyze the quantity and
quality of nutritional information available to school
food authorities about food service products and
commodities; and
``(II) submit to Congress a report on the results
of the study that contains such legislative
recommendations as the Secretary considers necessary to
ensure that school food authorities have access to the
nutritional information needed for menu planning and
compliance assessments; and
``(iii) to the maximum extent practicable, in
purchasing and processing commodities for use in school
nutrition programs under this Act and the Child Nutrition
Act of 1966 (42 U.S.C. 1771 et seq.), purchase the widest
variety of healthful foods that reflect the most recent
Dietary Guidelines for Americans.''.

a4f62e07bd3c4308515850a0fec92e9df440dae5e796eb0743033b11e173b648

Section 18 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1769) is amended--
(1) by redesignating subsections (h) and (i) and subsection (j)
(as added by section 210) as subsections (i) through (k),
respectively;
(2) in subsection (g), by striking ``(g) Access to Local Foods
and School Gardens.--'' and all that follows through ``(3) Pilot
program for high-poverty schools.--'' and inserting the following:
``(g) Access to Local Foods: Farm to School Program.--
``(1) Definition of eligible school.--In this subsection, the
term `eligible school' means a school or institution that
participates in a program under this Act or the school breakfast
program established under section 4 of the Child Nutrition Act of
1966 (42 U.S.C. 1773).
``(2) Program.--The Secretary shall carry out a program to
assist eligible schools, State and local agencies, Indian tribal
organizations, agricultural producers or groups of agricultural
producers, and nonprofit entities through grants and technical
assistance to implement farm to school programs that improve access
to local foods in eligible schools.
``(3) Grants.--
``(A) In general.--The Secretary shall award competitive
grants under this subsection to be used for--
``(i) training;
``(ii) supporting operations;
``(iii) planning;
``(iv) purchasing equipment;
``(v) developing school gardens;
``(vi) developing partnerships; and
``(vii) implementing farm to school programs.
``(B) Regional balance.--In making awards under this
subsection, the Secretary shall, to the maximum extent
practicable, ensure--
``(i) geographical diversity; and
``(ii) equitable treatment of urban, rural, and tribal
communities.
``(C) Maximum amount.--The total amount provided to a grant
recipient under this subsection shall not exceed $100,000.
``(4) Federal share.--
``(A) In general.--The Federal share of costs for a project
funded through a grant awarded under this subsection shall not
exceed 75 percent of the total cost of the project.
``(B) Federal matching.--As a condition of receiving a
grant under this subsection, a grant recipient shall provide
matching support in the form of cash or in-kind contributions,
including facilities, equipment, or services provided by State
and local governments, nonprofit organizations, and private
sources.
``(5) Criteria for selection.--To the maximum extent
practicable, in providing assistance under this subsection, the
Secretary shall give the highest priority to funding projects that,
as determined by the Secretary--
``(A) make local food products available on the menu of the
eligible school;
``(B) serve a high proportion of children who are eligible
for free or reduced price lunches;
``(C) incorporate experiential nutrition education
activities in curriculum planning that encourage the
participation of school children in farm and garden-based
agricultural education activities;
``(D) demonstrate collaboration between eligible schools,
nongovernmental and community-based organizations, agricultural
producer groups, and other community partners;
``(E) include adequate and participatory evaluation plans;
``(F) demonstrate the potential for long-term program
sustainability; and
``(G) meet any other criteria that the Secretary determines
appropriate.
``(6) Evaluation.--As a condition of receiving a grant under
this subsection, each grant recipient shall agree to cooperate in
an evaluation by the Secretary of the program carried out using
grant funds.
``(7) Technical assistance.--The Secretary shall provide
technical assistance and information to assist eligible schools,
State and local agencies, Indian tribal organizations, and
nonprofit entities--
``(A) to facilitate the coordination and sharing of
information and resources in the Department that may be
applicable to the farm to school program;
``(B) to collect and share information on best practices;
and
``(C) to disseminate research and data on existing farm to
school programs and the potential for programs in underserved
areas.
``(8) Funding.--
``(A) In general.--On October 1, 2012, and each October 1
thereafter, out of any funds in the Treasury not otherwise
appropriated, the Secretary of the Treasury shall transfer to
the Secretary to carry out this subsection $5,000,000, to
remain available until expended.
``(B) Receipt and acceptance.--The Secretary shall be
entitled to receive, shall accept, and shall use to carry out
this subsection the funds transferred under subparagraph (A),
without further appropriation.
``(9) Authorization of appropriations.--In addition to the
amounts made available under paragraph (8), there are authorized to
be appropriated to carry out this subsection such sums as are
necessary for each of fiscal years 2011 through 2015.
``(h) Pilot Program for High-Poverty Schools.--
``(1) In general.--''; and
(3) in subsection (h) (as redesignated by paragraph (2))--
(A) in subparagraph (F) of paragraph (1) (as so
redesignated), by striking ``in accordance with paragraph
(1)(H)'' and inserting ``carried out by the Secretary'';
(B) by redesignating paragraph (4) as paragraph (2); and
(C) in paragraph (2) (as so redesignated), by striking
``2009'' and inserting ``2015''.

5c8ee7846dc9acc0484d44749593bff6af4e12aeefd7b8522e3111699a7ff44b

CONSUMPTION OF HEALTHY FOODS.
(a) In General.--The Secretary, in consultation with the Secretary
of Health and Human Services, shall establish a research,
demonstration, and technical assistance program to promote healthy
eating and reduce the prevalence of obesity, among all population
groups but especially among children, by applying the principles and
insights of behavioral economics research in schools, child care
programs, and other settings.
(b) Priorities.--The Secretary shall--
(1) identify and assess the impacts of specific presentation,
placement, and other strategies for structuring choices on
selection and consumption of healthful foods in a variety of
settings, consistent with the most recent version of the Dietary
Guidelines for Americans published under section 301 of the
National Nutrition Monitoring and Related Research Act of 1990 (7
U.S.C. 5341);
(2) demonstrate and rigorously evaluate behavioral economics-
related interventions that hold promise to improve diets and
promote health, including through demonstration projects that may
include evaluation of the use of portion size, labeling,
convenience, and other strategies to encourage healthy choices; and
(3) encourage adoption of the most effective strategies through
outreach and technical assistance.
(c) Authority.--In carrying out the program under subsection (a),
the Secretary may--
(1) enter into competitively awarded contracts or cooperative
agreements; or
(2) provide grants to States or public or private agencies or
organizations, as determined by the Secretary.
(d) Application.--To be eligible to enter into a contract or
cooperative agreement or receive a grant under this section, a State or
public or private agency or organization shall submit to the Secretary
an application at such time, in such manner, and containing such
information as the Secretary may require.
(e) Coordination.--The solicitation and evaluation of contracts,
cooperative agreements, and grant proposals considered under this
section shall be coordinated with the Food and Nutrition Service as
appropriate to ensure that funded projects are consistent with the
operations of Federally supported nutrition assistance programs and
related laws (including regulations).
(f) Annual Reports.--Not later than 90 days after the end of each
fiscal year, the Secretary shall submit to the Committee on Agriculture
of the House of Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a report that includes a
description of--
(1) the policies, priorities, and operations of the program
carried out by the Secretary under this section during the fiscal
year;
(2) the results of any evaluations completed during the fiscal
year; and
(3) the efforts undertaken to disseminate successful practices
through outreach and technical assistance.
(g) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated to
carry out this section such sums as are necessary for each of
fiscal years 2011 through 2015.
(2) Use of funds.--The Secretary may use up to 5 percent of the
funds made available under paragraph (1) for Federal administrative
expenses incurred in carrying out this section.
PROGRAMS
Subtitle A--National School Lunch Program

2ea5909842c8691e48e160c6e2a2304ac31b98d5eb2fd8b57681748556015fe9

Section 9(d)(1) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1758(d)(1)) is amended--
(1) in the first sentence, by inserting ``the last 4 digits
of'' before ``the social security account number''; and
(2) by striking the second sentence.

6a6e2a35eafc525108a0d9233a0770118549c8deb7564af74245333961290490

CAMPUS.
Section 9(h)(5) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1758(h)(5)) is amended--
(1) by striking ``Each school food'' and inserting the
following:
``(A) In general.--Each school food''; and
(2) by adding at the end the following:
``(B) Applicability.--Subparagraph (A) shall apply to any
facility or part of a facility in which food is stored,
prepared, or served for the purposes of the school nutrition
programs under this Act or section 4 of the Child Nutrition Act
of 1966 (42 U.S.C. 1773).''.

5345428dd6f11b32238cc4b31b1542b9ff0b9a77461a2027debd865b47ee2ca1

Section 22 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1769c) is amended by adding at the end the following:
``(e) Fines for Violating Program Requirements.--
``(1) School food authorities and schools.--
``(A) In general.--The Secretary shall establish criteria
by which the Secretary or a State agency may impose a fine
against any school food authority or school administering a
program authorized under this Act or the Child Nutrition Act of
1966 (42 U.S.C. 1771 et seq.) if the Secretary or the State
agency determines that the school food authority or school
has--
``(i) failed to correct severe mismanagement of the
program;
``(ii) disregarded a program requirement of which the
school food authority or school had been informed; or
``(iii) failed to correct repeated violations of
program requirements.
``(B) Limits.--
``(i) In general.--In calculating the fine for a school
food authority or school, the Secretary shall base the
amount of the fine on the reimbursement earned by school
food authority or school for the program in which the
violation occurred.
``(ii) Amount.--The amount under clause (i) shall not
exceed--
``(I) 1 percent of the amount of meal
reimbursements earned for the fiscal year for the first
finding of 1 or more program violations under
subparagraph (A);
``(II) 5 percent of the amount of meal
reimbursements earned for the fiscal year for the
second finding of 1 or more program violations under
subparagraph (A); and
``(III) 10 percent of the amount of meal
reimbursements earned for the fiscal year for the third
or subsequent finding of 1 or more program violations
under subparagraph (A).
``(2) State agencies.--
``(A) In general.--The Secretary shall establish criteria
by which the Secretary may impose a fine against any State
agency administering a program authorized under this Act or the
Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) if the
Secretary determines that the State agency has--
``(i) failed to correct severe mismanagement of the
program;
``(ii) disregarded a program requirement of which the
State had been informed; or
``(iii) failed to correct repeated violations of
program requirements.
``(B) Limits.--In the case of a State agency, the amount of
a fine under subparagraph (A) shall not exceed--
``(i) 1 percent of funds made available under section
7(a) of the Child Nutrition Act of 1966 (42 U.S.C. 1776(a))
for State administrative expenses during a fiscal year for
the first finding of 1 or more program violations under
subparagraph (A);
``(ii) 5 percent of funds made available under section
7(a) of the Child Nutrition Act of 1966 (42 U.S.C. 1776(a))
for State administrative expenses during a fiscal year for
the second finding of 1 or more program violations under
subparagraph (A); and
``(iii) 10 percent of funds made available under
section 7(a) of the Child Nutrition Act of 1966 (42 U.S.C.
1776(a)) for State administrative expenses during a fiscal
year for the third or subsequent finding of 1 or more
program violations under subparagraph (A).
``(3) Source of funding.--Funds to pay a fine imposed under
paragraph (1) or (2) shall be derived from non-Federal sources.''.

25aaf006096392f7ff3c203ad6b3e5bbd25a35fd151926ed3eeba805428c6929

Section 22(b) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1769c(b)) is amended by adding at the end the following:
``(6) Eligibility determination review for selected local
educational agencies.--
``(A) In general.--A local educational agency that has
demonstrated a high level of, or a high risk for,
administrative error associated with certification,
verification, and other administrative processes, as determined
by the Secretary, shall ensure that the initial eligibility
determination for each application is reviewed for accuracy
prior to notifying a household of the eligibility or
ineligibility of the household for free or reduced price meals.
``(B) Timeliness.--The review of initial eligibility
determinations--
``(i) shall be completed in a timely manner; and
``(ii) shall not result in the delay of an eligibility
determination for more than 10 operating days after the
date on which the application is submitted.
``(C) Acceptable types of review.--Subject to standards
established by the Secretary, the system used to review
eligibility determinations for accuracy shall be conducted by
an individual or entity that did not make the initial
eligibility determination.
``(D) Notification of household.--Once the review of an
eligibility determination has been completed under this
paragraph, the household shall be notified immediately of the
determination of eligibility or ineligibility for free or
reduced price meals.
``(E) Reporting.--
``(i) Local educational agencies.--In accordance with
procedures established by the Secretary, each local
educational agency required to review initial eligibility
determinations shall submit to the relevant State agency a
report describing the results of the reviews, including--
``(I) the number and percentage of reviewed
applications for which the eligibility determination
was changed and the type of change made; and
``(II) such other information as the Secretary
determines to be necessary.
``(ii) State agencies.--In accordance with procedures
established by the Secretary, each State agency shall
submit to the Secretary a report describing the results of
the reviews of initial eligibility determinations,
including--
``(I) the number and percentage of reviewed
applications for which the eligibility determination
was changed and the type of change made; and
``(II) such other information as the Secretary
determines to be necessary.
``(iii) Transparency.--The Secretary shall publish
annually the results of the reviews of initial eligibility
determinations by State, number, percentage, and type of
error.''.

a51959debe4156bf8c93225285bca52af81dc0fec272a7d6036fa9ebf58eeb56

Section 28 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1769i) is amended by adding at the end the following:
``(c) Cooperation With Program Research and Evaluation.--States,
State educational agencies, local educational agencies, schools,
institutions, facilities, and contractors participating in programs
authorized under this Act and the Child Nutrition Act of 1966 (42
U.S.C. 1771 et seq.) shall cooperate with officials and contractors
acting on behalf of the Secretary, in the conduct of evaluations and
studies under those Acts.''.

29de1d66169594ad60eb10d3701197be840969bc3bf492e585be36676159f21a

Section 7 of the Child Nutrition Act of 1966 (42 U.S.C. 1776) is
amended by striking subsection (g) and inserting the following:
``(g) Professional Standards for School Food Service.--
``(1) Criteria for school food service and state agency
directors.--
``(A) School food service directors.--
``(i) In general.--The Secretary shall establish a
program of required education, training, and certification
for all school food service directors responsible for the
management of a school food authority.
``(ii) Requirements.--The program shall include--
``(I) minimum educational requirements necessary to
successfully manage the school lunch program
established under the Richard B. Russell National
School Lunch Act (42 U.S.C. 1751 et seq.) and the
school breakfast program established by section 4 of
this Act;
``(II) minimum program training and certification
criteria for school food service directors; and
``(III) minimum periodic training criteria to
maintain school food service director certification.
``(B) School nutrition state agency directors.--The
Secretary shall establish criteria and standards for States to
use in the selection of State agency directors with
responsibility for the school lunch program established under
the Richard B. Russell National School Lunch Act (42 U.S.C.
1751 et seq.) and the school breakfast program established by
section 4 of this Act.
``(C) Training program partnership.--The Secretary may
provide financial and other assistance to 1 or more
professional food service management organizations--
``(i) to establish and manage the program under this
paragraph; and
``(ii) to develop voluntary training and certification
programs for other school food service workers.
``(D) Required date of compliance.--
``(i) School food service directors.--The Secretary
shall establish a date by which all school food service
directors whose local educational agencies are
participating in the school lunch program established under
the Richard B. Russell National School Lunch Act (42 U.S.C.
1751 et seq.) and the school breakfast program established
by section 4 of this Act shall be required to comply with
the education, training, and certification criteria
established in accordance with subparagraph (A).
``(ii) School nutrition state agency directors.--The
Secretary shall establish a date by which all State
agencies shall be required to comply with criteria and
standards established in accordance with subparagraph (B)
for the selection of State agency directors with
responsibility for the school lunch program established
under the Richard B. Russell National School Lunch Act (42
U.S.C. 1751 et seq.) and the school breakfast program
established by section 4 of this Act.
``(2) Training and certification of food service personnel.--
``(A) Training for individuals conducting or overseeing
administrative procedures.--
``(i) In general.--At least annually, each State shall
provide training in administrative practices (including
training in application, certification, verification, meal
counting, and meal claiming procedures) to local
educational agency and school food authority personnel and
other appropriate personnel.
``(ii) Federal role.--The Secretary shall--
``(I) provide training and technical assistance
described in clause (i) to the State; or
``(II) at the option of the Secretary, directly
provide training and technical assistance described in
clause (i).
``(iii) Required participation.--In accordance with
procedures established by the Secretary, each local
educational agency or school food authority shall ensure
that an individual conducting or overseeing administrative
procedures described in clause (i) receives training at
least annually, unless determined otherwise by the
Secretary.
``(B) Training and certification of all local food service
personnel.--
``(i) In general.--The Secretary shall provide training
designed to improve--
``(I) the accuracy of approvals for free and
reduced price meals; and
``(II) the identification of reimbursable meals at
the point of service.
``(ii) Certification of local personnel.--In accordance
with criteria established by the Secretary, local food
service personnel shall complete annual training and
receive annual certification--
``(I) to ensure program compliance and integrity;
and
``(II) to demonstrate competence in the training
provided under clause (i).
``(iii) Training modules.--In addition to the topics
described in clause (i), a training program carried out
under this subparagraph shall include training modules on--
``(I) nutrition;
``(II) health and food safety standards and
methodologies; and
``(III) any other appropriate topics, as determined
by the Secretary.
``(3) Funding.--
``(A) In general.--Out of any funds in the Treasury not
otherwise appropriated, the Secretary of the Treasury shall
transfer to the Secretary to carry out this subsection, to
remain available until expended--
``(i) on October 1, 2010, $5,000,000; and
``(ii) on each October 1 thereafter, $1,000,000.
``(B) Receipt and acceptance.--The Secretary shall be
entitled to receive, shall accept, and shall use to carry out
this subsection the funds transferred under subparagraph (A),
without further appropriation.''.

52924045ccc2088a493c15789988af306eb765addcb1876fcb1249d661c667b2

(a) Guidance on Indirect Costs Rules.--Not later than 180 days
after the date of enactment of this Act, the Secretary shall issue
guidance to school food authorities participating in the school lunch
program established under the Richard B. Russell National School Lunch
Act (42 U.S.C. 1751 et seq.) and the school breakfast program
established by section 4 of the Child Nutrition Act of 1966 (42 U.S.C.
1773) covering program rules pertaining to indirect costs, including
allowable indirect costs that may be charged to the nonprofit school
food service account.
(b) Indirect Cost Study.--The Secretary shall--
(1) conduct a study to assess the extent to which school food
authorities participating in the school lunch program established
under the Richard B. Russell National School Lunch Act (42 U.S.C.
1751 et seq.) and the school breakfast program established by
section 4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773) pay
indirect costs, including assessments of--
(A) the allocation of indirect costs to, and the
methodologies used to establish indirect cost rates for, school
food authorities participating in the school lunch program
established under the Richard B. Russell National School Lunch
Act (42 U.S.C. 1751 et seq.) and the school breakfast program
established by section 4 of the Child Nutrition Act of 1966 (42
U.S.C. 1773);
(B) the impact of indirect costs charged to the nonprofit
school food service account;
(C) the types and amounts of indirect costs charged and
recovered by school districts;
(D) whether the indirect costs charged or recovered are
consistent with requirements for the allocation of indirect
costs and school food service operations; and
(E) the types and amounts of indirect costs that could be
charged or recovered under requirements for the allocation of
indirect costs and school food service operations but are not
charged or recovered; and
(2) after completing the study required under paragraph (1),
issue additional guidance relating to the types of costs that are
reasonable and necessary to provide meals under the Richard B.
Russell National School Lunch Act (42 U.S.C. 1751 et seq.) and the
Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.).
(c) Regulations.--After conducting the study under subsection
(b)(1) and identifying costs under subsection (b)(2), the Secretary may
promulgate regulations to address--
(1) any identified deficiencies in the allocation of indirect
costs; and
(2) the authority of school food authorities to reimburse only
those costs identified by the Secretary as reasonable and necessary
under subsection (b)(2).
(d) Report.--Not later than October 1, 2013, the Secretary shall
submit to the Committee on Education and Labor of the House of
Representatives and the Committee on Agriculture, Nutrition, and
Forestry of the Senate a report that describes the results of the study
under subsection (b).
(e) Funding.--
(1) In general.--On October 1, 2010, out of any funds in the
Treasury not otherwise appropriated, the Secretary of the Treasury
shall transfer to the Secretary to carry out this section
$2,000,000, to remain available until expended.
(2) Receipt and acceptance.--The Secretary shall be entitled to
receive, shall accept, and shall use to carry out this section the
funds transferred under paragraph (1), without further
appropriation.

5265841ed87e4bc1f07cff837fa68676ad5baa99a2392d084ff1e48175eed2a0

The Richard B. Russell National School Lunch Act is amended by
after section 28 (42 U.S.C. 1769i) the following:
``SEC. 29. ENSURING SAFETY OF SCHOOL MEALS.
``(a) Food and Nutrition Service.--Not later than 1 year after the
date of enactment of the Healthy, Hunger-Free Kids Act of 2010, the
Secretary, acting through the Administrator of the Food and Nutrition
Service, shall--
``(1) in consultation with the Administrator of the
Agricultural Marketing Service and the Administrator of the Farm
Service Agency, develop guidelines to determine the circumstances
under which it is appropriate for the Secretary to institute an
administrative hold on suspect foods purchased by the Secretary
that are being used in school meal programs under this Act and the
Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.);
``(2) work with States to explore ways for the States to
increase the timeliness of notification of food recalls to schools
and school food authorities;
``(3) improve the timeliness and completeness of direct
communication between the Food and Nutrition Service and States
about holds and recalls, such as through the commodity alert system
of the Food and Nutrition Service; and
``(4) establish a timeframe to improve the commodity hold and
recall procedures of the Department of Agriculture to address the
role of processors and determine the involvement of distributors
with processed products that may contain recalled ingredients, to
facilitate the provision of more timely and complete information to
schools.
``(b) Food Safety and Inspection Service.--Not later than 1 year
after the date of enactment of the Healthy, Hunger-Free Kids Act of
2010, the Secretary, acting through the Administrator of the Food
Safety and Inspection Service, shall revise the procedures of the Food
Safety and Inspection Service to ensure that schools are included in
effectiveness checks.''.
Subtitle B--Summer Food Service Program

e3153ba148d0bc84e89c54440879e39215463fa502d65c52c0a3d43cbfa19a4a

AGREEMENTS.
Section 13(b) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1761(b)) is amended by striking paragraph (3) and inserting
the following:
``(3) Permanent operating agreements and budget for
administrative costs.--
``(A) Permanent operating agreements.--
``(i) In general.--Subject to clauses (ii) and (iii),
to participate in the program, a service institution that
meets the conditions of eligibility described in this
section and in regulations promulgated by the Secretary,
shall be required to enter into a permanent agreement with
the applicable State agency.
``(ii) Amendments.--A permanent agreement described in
clause (i) may be amended as necessary to ensure that the
service institution is in compliance with all requirements
established in this section or by the Secretary.
``(iii) Termination.--A permanent agreement described
in clause (i)--
``(I) may be terminated for convenience by the
service institution and State agency that is a party to
the permanent agreement; and
``(II) shall be terminated--
``(aa) for cause by the applicable State agency
in accordance with subsection (q) and with
regulations promulgated by the Secretary; or
``(bb) on termination of participation of the
service institution in the program.
``(B) Budget for administrative costs.--
``(i) In general.--When applying for participation in
the program, and not less frequently than annually
thereafter, each service institution shall submit a
complete budget for administrative costs related to the
program, which shall be subject to approval by the State.
``(ii) Amount.--Payment to service institutions for
administrative costs shall equal the levels determined by
the Secretary pursuant to the study required in paragraph
(4).''.

96398172704b9e85f0b01baf8b1c25d2f4ad90e7f72c3c20f4450511d4fa8185

Section 13 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1761) is amended--
(1) by redesignating subsection (q) as subsection (r); and
(2) by inserting after subsection (p) the following:
``(q) Termination and Disqualification of Participating
Organizations.--
``(1) In general.--Each State agency shall follow the
procedures established by the Secretary for the termination of
participation of institutions under the program.
``(2) Fair hearing.--The procedures described in paragraph (1)
shall include provision for a fair hearing and prompt determination
for any service institution aggrieved by any action of the State
agency that affects--
``(A) the participation of the service institution in the
program; or
``(B) the claim of the service institution for
reimbursement under this section.
``(3) List of disqualified institutions and individuals.--
``(A) In general.--The Secretary shall maintain a list of
service institutions and individuals that have been terminated
or otherwise disqualified from participation in the program
under the procedures established pursuant to paragraph (1).
``(B) Availability.--The Secretary shall make the list
available to States for use in approving or renewing
applications by service institutions for participation in the
program.''.
Subtitle C--Child and Adult Care Food Program

81fe3d1fa6e7268079f64cf54d209959e4f02faa5f27fe4b91c1e5c59883055f

AGREEMENTS.
(a) Permanent Operating Agreements.--Section 17(d)(1) of the
Richard B. Russell National School Lunch Act (42 U.S.C. 1766(d)(1)) is
amended by adding at the end the following:
``(E) Permanent operating agreements.--
``(i) In general.--Subject to clauses (ii) and (iii),
to participate in the child and adult care food program, an
institution that meets the conditions of eligibility
described in this subsection shall be required to enter
into a permanent agreement with the applicable State
agency.
``(ii) Amendments.--A permanent agreement described in
clause (i) may be amended as necessary to ensure that the
institution is in compliance with all requirements
established in this section or by the Secretary.
``(iii) Termination.--A permanent agreement described
in clause (i)--
``(I) may be terminated for convenience by the
institution or State agency that is a party to the
permanent agreement; and
``(II) shall be terminated--
``(aa) for cause by the applicable State agency
in accordance with paragraph (5); or
``(bb) on termination of participation of the
institution in the child and adult care food
program.''.
(b) Applications and Reviews.--Section 17(d) of the Richard B.
Russell National School Lunch Act (42 U.S.C. 1766(d)) is amended by
striking paragraph (2) and inserting the following:
``(2) Program applications.--
``(A) In general.--The Secretary shall develop a policy
under which each institution providing child care that
participates in the program under this section shall--
``(i) submit to the State agency an initial application
to participate in the program that meets all requirements
established by the Secretary by regulation;
``(ii) annually confirm to the State agency that the
institution, and any facilities of the institution in which
the program is operated by a sponsoring organization, is in
compliance with subsection (a)(5); and
``(iii) annually submit to the State agency any
additional information necessary to confirm that the
institution is in compliance with all other requirements to
participate in the program, as established in this Act and
by the Secretary by regulation.
``(B) Required reviews of sponsored facilities.--
``(i) In general.--The Secretary shall develop a policy
under which each sponsoring organization participating in
the program under this section shall conduct--
``(I) periodic unannounced site visits at not less
than 3-year intervals to sponsored child and adult care
centers and family or group day care homes to identify
and prevent management deficiencies and fraud and abuse
under the program; and
``(II) at least 1 scheduled site visit each year to
sponsored child and adult care centers and family or
group day care homes to identify and prevent management
deficiencies and fraud and abuse under the program and
to improve program operations.
``(ii) Varied timing.--Sponsoring organizations shall
vary the timing of unannounced reviews under clause (i)(I)
in a manner that makes the reviews unpredictable to
sponsored facilities.
``(C) Required reviews of institutions.--The Secretary
shall develop a policy under which each State agency shall
conduct--
``(i) at least 1 scheduled site visit at not less than
3-year intervals to each institution under the State agency
participating in the program under this section--
``(I) to identify and prevent management
deficiencies and fraud and abuse under the program; and
``(II) to improve program operations; and
``(ii) more frequent reviews of any institution that--
``(I) sponsors a significant share of the
facilities participating in the program;
``(II) conducts activities other than the program
authorized under this section;
``(III) has serious management problems, as
identified in a prior review, or is at risk of having
serious management problems; or
``(IV) meets such other criteria as are defined by
the Secretary.
``(D) Detection and deterrence of erroneous payments and
false claims.--
``(i) In general.--The Secretary may develop a policy
to detect and deter, and recover erroneous payments to, and
false claims submitted by, institutions, sponsored child
and adult care centers, and family or group day care homes
participating in the program under this section.
``(ii) Block claims.--
``(I) Definition of block claim.--In this clause,
the term `block claim' has the meaning given the term
in section 226.2 of title 7, Code of Federal
Regulations (or successor regulations).
``(II) Program edit checks.--The Secretary may not
require any State agency, sponsoring organization, or
other institution to perform edit checks or on-site
reviews relating to the detection of block claims by
any child care facility.
``(III) Allowance.--Notwithstanding subclause (II),
the Secretary may require any State agency, sponsoring
organization, or other institution to collect, store,
and transmit to the appropriate entity information
necessary to develop any other policy developed under
clause (i).''.
(c) Agreements.--Section 17(j)(1) of the Richard B. Russell
National School Lunch Act (42 U.S.C. 1766(j)(1)) is amended--
(1) by striking ``may'' and inserting ``shall'';
(2) by striking ``family or group day care'' the first place it
appears; and
(3) by inserting ``or sponsored day care centers'' before
``participating''.

f53ea0dec6c070944b39f84dc0b8463300c2d1e9a60a5235b14ddf2c0e0b9d3f

INSTITUTIONS.
Section 17(e) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1766(e)) is amended--
(1) in paragraph (3), by striking ``(3) If a State'' and
inserting the following:
``(5) Secretarial hearing.--If a State''; and
(2) by striking ``(e) Except as provided'' and all that follows
through ``(2) A State'' and inserting the following:
``(e) Hearings.--
``(1) In general.--Except as provided in paragraph (4), each
State agency shall provide, in accordance with regulations
promulgated by the Secretary, an opportunity for a fair hearing and
a prompt determination to any institution aggrieved by any action
of the State agency that affects--
``(A) the participation of the institution in the program
authorized by this section; or
``(B) the claim of the institution for reimbursement under
this section.
``(2) Reimbursement.--In accordance with paragraph (3), a State
agency that fails to meet timeframes for providing an opportunity
for a fair hearing and a prompt determination to any institution
under paragraph (1) in accordance with regulations promulgated by
the Secretary, shall pay, from non-Federal sources, all valid
claims for reimbursement to the institution and the facilities of
the institution during the period beginning on the day after the
end of any regulatory deadline for providing the opportunity and
making the determination and ending on the date on which a hearing
determination is made.
``(3) Notice to state agency.--The Secretary shall provide
written notice to a State agency at least 30 days prior to imposing
any liability for reimbursement under paragraph (2).
``(4) Federal audit determination.--A State''.

ea210b0543e080062a439c1531cf3ed9cf61a79a8ae57dc352b29125aaef7171

GROUP DAY CARE HOMES.
Section 17(f)(3)(A)(iii)(III) of the Richard B. Russell National
School Lunch Act (42 U.S.C. 1766(f)(3)(A)(iii)(III)) is amended by
adding at the end the following:
``(dd) Transmission of income information by
sponsored family or group day care homes.--If a
family or group day care home elects to be provided
reimbursement factors described in subclause (II),
the family or group day care home may assist in the
transmission of necessary household income
information to the family or group day care home
sponsoring organization in accordance with the
policy described in item (ee).
``(ee) Policy.--The Secretary shall develop a
policy under which a sponsored family or group day
care home described in item (dd) may, under terms
and conditions specified by the Secretary and with
the written consent of the parents or guardians of
a child in a family or group day care home
participating in the program, assist in the
transmission of the income information of the
family to the family or group day care home
sponsoring organization.''.

3fefeb61aca81ff6201812f278c8c40f25b43da82a0edf9d184f418d315d059a

SPONSORING ORGANIZATIONS.
Section 17(f)(3) of the Richard B. Russell National School Lunch
Act (42 U.S.C. 1766(f)(3)) is amended by striking subparagraph (B) and
inserting the following:
``(B) Administrative funds.--
``(i) In general.--In addition to reimbursement factors
described in subparagraph (A), a family or group day care
home sponsoring organization shall receive reimbursement
for the administrative expenses of the sponsoring
organization in an amount that is not less than the product
obtained each month by multiplying--
``(I) the number of family and group day care homes
of the sponsoring organization submitting a claim for
reimbursement during the month; by
``(II) the appropriate administrative rate
determined by the Secretary.
``(ii) Annual adjustment.--The administrative
reimbursement levels specified in clause (i) shall be
adjusted July 1 of each year to reflect changes in the
Consumer Price Index for All Urban Consumers published by
the Bureau of Labor Statistics of the Department of Labor
for the most recent 12-month period for which such data are
available.
``(iii) Carryover funds.--The Secretary shall develop
procedures under which not more than 10 percent of the
amount made available to sponsoring organizations under
this section for administrative expenses for a fiscal year
may remain available for obligation or expenditure in the
succeeding fiscal year.''.

284632a47f5d72e1e5dd5584f26593323bed39f877928b3843a14c8c45b2a1ea

Section 17(i) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1766(i)) is amended by striking paragraph (2) and inserting
the following:
``(2) Funding.--
``(A) In general.--The Secretary shall make available for
each fiscal year to each State agency administering the child
and adult care food program, for the purpose of conducting
audits of participating institutions, an amount of up to 1.5
percent of the funds used by each State in the program under
this section, during the second preceding fiscal year.
``(B) Additional funding.--
``(i) In general.--Subject to clause (ii), for fiscal
year 2016 and each fiscal year thereafter, the Secretary
may increase the amount of funds made available to any
State agency under subparagraph (A), if the State agency
demonstrates that the State agency can effectively use the
funds to improve program management under criteria
established by the Secretary.
``(ii) Limitation.--The total amount of funds made
available to any State agency under this paragraph shall
not exceed 2 percent of the funds used by each State agency
in the program under this section, during the second
preceding fiscal year.''.

b08e76c412dff5a655f2b35ae146389011056cde6ddb580f9a60a10955779245

(a) Definition of Program.--In this section, the term ``program''
means the child and adult care food program established under section
17 of the Richard B. Russell National School Lunch Act (42 U.S.C.
1766).
(b) Establishment.--The Secretary, in conjunction with States and
participating institutions, shall continue to examine the feasibility
of reducing unnecessary or duplicative paperwork resulting from
regulations and recordkeeping requirements for State agencies,
institutions, family and group day care homes, and sponsored centers
participating in the program.
(c) Duties.--At a minimum, the examination shall include--
(1) review and evaluation of the recommendations, guidance, and
regulatory priorities developed and issued to comply with section
119(i) of the Child Nutrition and WIC Reauthorization Act of 2004
(42 U.S.C. 1766 note; Public Law 108-265); and
(2) examination of additional paperwork and administrative
requirements that have been established since February 23, 2007,
that could be reduced or simplified.
(d) Additional Duties.--The Secretary, in conjunction with States
and institutions participating in the program, may also examine any
aspect of administration of the program.
(e) Report.--Not later than 4 years after the date of enactment of
this Act, the Secretary shall submit to Congress a report that
describes the actions that have been taken to carry out this section,
including--
(1) actions taken to address administrative and paperwork
burdens identified as a result of compliance with section 119(i) of
the Child Nutrition and WIC Reauthorization Act of 2004 (42 U.S.C.
1766 note; Public Law 108-265);
(2) administrative and paperwork burdens identified as a result
of compliance with section 119(i) of that Act for which no
regulatory action or policy guidance has been taken;
(3) additional steps that the Secretary is taking or plans to
take to address any administrative and paperwork burdens identified
under subsection (c)(2) and paragraph (2), including--
(A) new or updated regulations, policy, guidance, or
technical assistance; and
(B) a timeframe for the completion of those steps; and
(4) recommendations to Congress for modifications to existing
statutory authorities needed to address identified administrative
and paperwork burdens.

9fae5b6c9d1d0ee92cdab8fd488fe3a737eed064d46cfbbf13a2f5815a2a54d4

(a) Study.--The Secretary, acting through the Administrator of the
Food and Nutrition Service, shall carry out a study of States
participating in an afterschool supper program under the child and
adult care food program established under section 17(r) of the Richard
B. Russell National School Lunch Act (42 U.S.C. 1766(r)).
(b) Report.--Not later than 1 year after the date of enactment of
this Act, the Secretary shall submit to Congress, and make available on
the website of the Food and Nutrition Service, a report that
describes--
(1) best practices of States in soliciting sponsors for an
afterschool supper program described in subsection (a); and
(2) any Federal or State laws or requirements that may be a
barrier to participation in the program.
Subtitle D--Special Supplemental Nutrition Program for Women, Infants,
and Children

90414413216191535470e482daeec5f304cf27210c13f6635f681c5308e3b3d0

Section 17(e)(3) of the Child Nutrition Act (42 U.S.C. 1786(e)(3))
is amended by striking subparagraph (B) and inserting the following:
``(B) Sharing of materials with other programs.--
``(i) Commodity supplemental food program.--The
Secretary may provide, in bulk quantity, nutrition
education materials (including materials promoting
breastfeeding) developed with funds made available for the
program authorized under this section to State agencies
administering the commodity supplemental food program
established under section 5 of the Agriculture and Consumer
Protection Act of 1973 (7 U.S.C. 612c note; Public Law 93-
86) at no cost to that program.
``(ii) Child and adult care food program.--A State
agency may allow the local agencies or clinics under the
State agency to share nutrition educational materials with
institutions participating in the child and adult care food
program established under section 17 of the Richard B.
Russell National School Lunch Act (42 U.S.C. 1766) at no
cost to that program, if a written materials sharing
agreement exists between the relevant agencies.''.

021b36fb5e6a7b162514721a50c5eb6eeade45bb0e4693809331f4f6f6dff419

(a) WIC Evaluation Funds.--Section 17(g)(5) of the Child Nutrition
Act of 1966 (42 U.S.C. 1786(g)(5)) is amended by striking
``$5,000,000'' and inserting ``$15,000,000''.
(b) WIC Rebate Payments.--Section 17(h)(8) of the Child Nutrition
Act of 1966 (42 U.S.C. 1786(h)(8)) is amended by adding at the end the
following:
``(K) Reporting.--Effective beginning October 1, 2011, each
State agency shall report rebate payments received from
manufacturers in the month in which the payments are received,
rather than in the month in which the payments were earned.''.
(c) Cost Containment Measure.--Section 17(h) of the Child Nutrition
Act of 1966 (42 U.S.C. 1786(h)) is amended--
(1) in paragraph (8)(A)(iv)(III), by striking ``Any'' and
inserting ``Except as provided in paragraph (9)(B)(i)(II), any'';
and
(2) by striking paragraph (9) and inserting the following:
``(9) Cost containment measure.--
``(A) Definition of cost containment measure.--In this
subsection, the term `cost containment measure' means a
competitive bidding, rebate, direct distribution, or home
delivery system implemented by a State agency as described in
the approved State plan of operation and administration of the
State agency.
``(B) Solicitation and rebate billing requirements.--Any
State agency instituting a cost containment measure for any
authorized food, including infant formula, shall--
``(i) in the bid solicitation--
``(I) identify the composition of State alliances
for the purposes of a cost containment measure; and
``(II) verify that no additional States shall be
added to the State alliance between the date of the bid
solicitation and the end of the contract;
``(ii) have a system to ensure that rebate invoices
under competitive bidding provide a reasonable estimate or
an actual count of the number of units sold to participants
in the program under this section;
``(iii) open and read aloud all bids at a public
proceeding on the day on which the bids are due; and
``(iv) unless otherwise exempted by the Secretary,
provide a minimum of 30 days between the publication of the
solicitation and the date on which the bids are due.
``(C) State alliances for authorized foods other than
infant formula.--Program requirements relating to the size of
State alliances under paragraph (8)(A)(iv) shall apply to cost
containment measures established for any authorized food under
this section.''.
(d) Electronic Benefit Transfer.--Section 17(h) of the Child
Nutrition Act of 1966 (42 U.S.C. 1786(h)) is amended by striking
paragraph (12) and inserting the following:
``(12) Electronic benefit transfer.--
``(A) Definitions.--In this paragraph:
``(i) Electronic benefit transfer.--The term
`electronic benefit transfer' means a food delivery system
that provides benefits using a card or other access device
approved by the Secretary that permits electronic access to
program benefits.
``(ii) Program.--The term `program' means the special
supplemental nutrition program established by this section.
``(B) Requirements.--
``(i) In general.--Not later than October 1, 2020, each
State agency shall be required to implement electronic
benefit transfer systems throughout the State, unless the
Secretary grants an exemption under subparagraph (C) for a
State agency that is facing unusual barriers to implement
an electronic benefit transfer system.
``(ii) Responsibility.--The State agency shall be
responsible for the coordination and management of the
electronic benefit transfer system of the agency.
``(C) Exemptions.--
``(i) In general.--To be eligible for an exemption from
the statewide implementation requirements of subparagraph
(B)(i), a State agency shall demonstrate to the
satisfaction of the Secretary 1 or more of the following:
``(I) There are unusual technological barriers to
implementation.
``(II) Operational costs are not affordable within
the nutrition services and administration grant of the
State agency.
``(III) It is in the best interest of the program
to grant the exemption.
``(ii) Specific date.--A State agency requesting an
exemption under clause (i) shall specify a date by which
the State agency anticipates statewide implementation
described in subparagraph (B)(i).
``(D) Reporting.--
``(i) In general.--Each State agency shall submit to
the Secretary electronic benefit transfer project status
reports to demonstrate the progress of the State toward
statewide implementation.
``(ii) Consultation.--If a State agency plans to
incorporate additional programs in the electronic benefit
transfer system of the State, the State agency shall
consult with the State agency officials responsible for
administering the programs prior to submitting the planning
documents to the Secretary for approval.
``(iii) Requirements.--At a minimum, a status report
submitted under clause (i) shall contain--
``(I) an annual outline of the electronic benefit
transfer implementation goals and objectives of the
State;
``(II) appropriate updates in accordance with
approval requirements for active electronic benefit
transfer State agencies; and
``(III) such other information as the Secretary may
require.
``(E) Imposition of costs on vendors.--
``(i) Cost prohibition.--Except as otherwise provided
in this paragraph, the Secretary may not impose, or allow a
State agency to impose, the costs of any equipment or
system required for electronic benefit transfers on any
authorized vendor in order to transact electronic benefit
transfers if the vendor equipment or system is used solely
to support the program.
``(ii) Cost-sharing.--The Secretary shall establish
criteria for cost-sharing by State agencies and vendors of
costs associated with any equipment or system that is not
solely dedicated to transacting electronic benefit
transfers for the program.
``(iii) Fees.--
``(I) In general.--A vendor that elects to accept
electronic benefit transfers using multifunction
equipment shall pay commercial transaction processing
costs and fees imposed by a third-party processor that
the vendor elects to use to connect to the electronic
benefit transfer system of the State.
``(II) Interchange fees.--No interchange fees shall
apply to electronic benefit transfer transactions under
this paragraph.
``(iv) Statewide operations.--After completion of
statewide expansion of a system for transaction of
electronic benefit transfers--
``(I) a State agency may not be required to incur
ongoing maintenance costs for vendors using
multifunction systems and equipment to support
electronic benefit transfers; and
``(II) any retail store in the State that applies
for authorization to become a program vendor shall be
required to demonstrate the capability to accept
program benefits electronically prior to authorization,
unless the State agency determines that the vendor is
necessary for participant access.
``(F) Minimum lane coverage.--
``(i) In general.--The Secretary shall establish
minimum lane coverage guidelines for vendor equipment and
systems used to support electronic benefit transfers.
``(ii) Provision of equipment.--If a vendor does not
elect to accept electronic benefit transfers using its own
multifunction equipment, the State agency shall provide
such equipment as is necessary to solely support the
program to meet the established minimum lane coverage
guidelines.
``(G) Technical standards.--The Secretary shall--
``(i) establish technical standards and operating rules
for electronic benefit transfer systems; and
``(ii) require each State agency, contractor, and
authorized vendor participating in the program to
demonstrate compliance with the technical standards and
operating rules.''.
(e) Universal Product Codes Database.--Section 17(h) of the Child
Nutrition Act of 1966 (42 U.S.C. 1786(h)) is amended by striking
paragraph (13) and inserting the following:
``(13) Universal product codes database.--
``(A) In general.--Not later than 2 years after the date of
enactment of the Healthy, Hunger-Free Kids Act of 2010, the
Secretary shall establish a national universal product code
database to be used by all State agencies in carrying out the
requirements of paragraph (12).
``(B) Funding.--
``(i) In general.--On October 1, 2010, and on each
October 1 thereafter, out of any funds in the Treasury not
otherwise appropriated, the Secretary of the Treasury shall
transfer to the Secretary to carry out this paragraph
$1,000,000, to remain available until expended.
``(ii) Receipt and acceptance.--The Secretary shall be
entitled to receive, shall accept, and shall use to carry
out this paragraph the funds transferred under clause (i),
without further appropriation.
``(iii) Use of funds.--The Secretary shall use the
funds provided under clause (i) for development, hosting,
hardware and software configuration, and support of the
database required under subparagraph (A).''.
(f) Temporary Spending Authority.--Section 17(i) of the Child
Nutrition Act of 1966 (42 U.S.C. 1786(i)) is amended by adding at the
end the following:
``(8) Temporary spending authority.--During each of fiscal
years 2012 and 2013, the Secretary may authorize a State agency to
expend more than the amount otherwise authorized under paragraph
(3)(C) for expenses incurred under this section for supplemental
foods during the preceding fiscal year, if the Secretary determines
that--
``(A) there has been a significant reduction in reported
infant formula cost containment savings for the preceding
fiscal year due to the implementation of subsection (h)(8)(K);
and
``(B) the reduction would affect the ability of the State
agency to serve all eligible participants.''.
Subtitle E--Miscellaneous

9607b46d1082d69a7c792d6880bc121289c9f35c08b959cd15f3feee1d6cc054

Section 12 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1760) is amended by striking subsection (b) and inserting the
following:
``(b) Agreements.--
``(1) In general.--The Secretary shall incorporate, in the
agreement of the Secretary with the State agencies administering
programs authorized under this Act or the Child Nutrition Act of
1966 (42 U.S.C. 1771 et seq.), the express requirements with
respect to the operation of the programs to the extent applicable
and such other provisions as in the opinion of the Secretary are
reasonably necessary or appropriate to effectuate the purposes of
this Act and the Child Nutrition Act of 1966 (42 U.S.C. 1771 et
seq.).
``(2) Expectations for use of funds.--Agreements described in
paragraph (1) shall include a provision that--
``(A) supports full use of Federal funds provided to State
agencies for the administration of programs authorized under
this Act or the Child Nutrition Act of 1966 (42 U.S.C. 1771 et
seq.); and
``(B) excludes the Federal funds from State budget
restrictions or limitations including, at a minimum--
``(i) hiring freezes;
``(ii) work furloughs; and
``(iii) travel restrictions.''.

7e1693827f3bf3cc89ca9901199be48427f85b09f6d2d7c7f9a170454b5361dc

Section 12 of the Richard B. Russell National School Lunch Act (42
U.S.C. 1760) (as amended by section 206) is amended by adding at the
end the following:
``(r) Disqualified Schools, Institutions, and Individuals.--Any
school, institution, service institution, facility, or individual that
has been terminated from any program authorized under this Act or the
Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) and is on a list
of disqualified institutions and individuals under section 13 or
section 17(d)(5)(E) of this Act may not be approved to participate in
or administer any program authorized under this Act or the Child
Nutrition Act of 1966 (42 U.S.C. 1771 et seq.).''.
Subtitle A--Reauthorization of Expiring Provisions
PART I--RICHARD B. RUSSELL NATIONAL SCHOOL LUNCH ACT

79458c846e06f1afe48a613f62d911317b301028d7b080fda8127ce6c727b8df

Section 6(e)(1)(B) of the Richard B. Russell National School Lunch
Act (42 U.S.C. 1755(e)(1)(B)) is amended by striking ``September 30,
2010'' and inserting ``September 30, 2020''.

a85874dc21c9cfa1f8091d60109d09708fcf7864259009ce31ea5f654a7bcd9e

Section 9(h) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1758(h)) is amended--
(1) in paragraph (3), by striking ``2006 through 2010'' and
inserting ``2011 through 2015''; and
(2) in paragraph (4), by striking ``2006 through 2010'' and
inserting ``2011 through 2015''.

151a214e80ffdeea5e05fdd1eee826e4484155fd968c316f862956c97510557b

Section 12(m)(4) of the Richard B. Russell National School Lunch
Act (42 U.S.C. 1760(m)(4)) is amended by striking ``2005 through 2009''
and inserting ``2010 through 2015''.

10411aa7d54916aa45ed644fe0b2264bacf3bf442f4ff3e3220aedf4e42cf242

CHILDREN.
Subsection (r) of section 13 of the Richard B. Russell National
School Lunch Act (42 U.S.C. 1761) (as redesignated by section 322(1))
is amended by striking ``September 30, 2009'' and inserting ``September
30, 2015''.

ba0aea09968613416c3a202717587fb95c74f66bc6ced9661c739eae71e829b9

Subsection (i)(5) of section 18 of the Richard B. Russell National
School Lunch Act (42 U.S.C. 1769) (as redesignated by section 243(1))
is amended by striking ``2005 through 2010'' and inserting ``2011
through 2015''.

de1fcdda4e3b72693d645edbd6db6f314ad421c7fecc8a7f7991262ee3d8cff6

MANAGEMENT INSTITUTE.
Section 21(e) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1769b-1(e)) is amended--
(1) by striking ``(e) Authorization of Appropriations'' and all
that follows through the end of paragraph (2)(A) and inserting the
following:
``(e) Food Service Management Institute.--
``(1) Funding.--
``(A) In general.--In addition to any amounts otherwise
made available for fiscal year 2011, on October 1, 2010, and
each October 1 thereafter, out of any funds in the Treasury not
otherwise appropriated, the Secretary of the Treasury shall
transfer to the Secretary to carry out subsection (a)(2)
$5,000,000, to remain available until expended.
``(B) Receipt and acceptance.--The Secretary shall be
entitled to receive, shall accept, and shall use to carry out
subsection (a)(2) the funds transferred under subparagraph (A),
without further appropriation.'';
(2) by redesignating subparagraphs (B) and (C) as paragraphs
(2) and (3), respectively, and indenting appropriately;
(3) in paragraph (2) (as so redesignated), by striking
``subparagraph (A)'' each place it appears and inserting
``paragraph (1)''; and
(4) in paragraph (3) (as so redesignated), by striking
``subparagraphs (A) and (B)'' and inserting ``paragraphs (1) and
(2)''.

55975cc29b965e64b7b405c52e16569d70f2ae7de10ccafe099f54f389770c49

Section 21(g)(1)(A)) of the Richard B. Russell National School
Lunch Act (42 U.S.C. 1769b-1(g)(1)(A)) is amended--
(1) in clause (i), by striking ``and'' at the end;
(2) in clause(ii), by striking the period at the end and
inserting ``; and''
(3) and by adding at the end the following:
``(iii) on October 1, 2010, and every October 1
thereafter, $4,000,000.''.

41aca4b41415bbcdfed0fb84052c08c85d18c65baab3df3528bc09bf1852d7e4

Section 22(d) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1769c(d)) is amended by striking ``$6,000,000 for each of
fiscal years 2004 through 2009'' and inserting ``$10,000,000 for each
of fiscal years 2011 through 2015''.

c0b79669e55775f6801d807984017782af5d69b415a1d35f6215a48816cc6699

Section 26(d) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1769g(d)) is amended in the first sentence by striking
``2005 through 2010'' and inserting ``2010 through 2015''.
PART II--CHILD NUTRITION ACT OF 1966

087d067b57b9704296ffc64f613acf3a317140c56902d3cabfa376f44a412924

Section 7(i)(4) of the Child Nutrition Act of 1966 (42 U.S.C.
1776(i)(4)) is amended by striking ``2005 through 2009'' and inserting
``2010 through 2015''.

984505829b558fe095e0f7fe7b2b9c7e86244dcfd6d5fa16cfe4aac6de7a75a3

Section 7(j) of the Child Nutrition Act of 1966 (42 U.S.C. 1776(j))
is amended by striking ``October 1, 2009'' and inserting ``October 1,
2015''.

eec662b5989b3b3245bc55de4f184974f8e42b97dea4e8233f17f07c6e7b045e

Healthy, Hunger-Free Kids Act of 2010 — S. 3307

Other Sections

TITLE I

TITLE II

TITLE III

TITLE IV

TITLE II

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