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Title IV — Nutrition

S. 10 · 113th Congress · Jan 22, 2013 · Lineage

IV Nutrition

A Supplemental nutrition assistance program

Sec. 4001 Food distribution program on Indian reservations

Section 4(b)(6)(F) of the Food and Nutrition Act of 2008 (7 U.S.C. 2013(b)(6)(F)) is amended by striking “2012” and inserting “2018”.

Sec. 4002 Standard utility allowances based on the receipt of energy assistance payments

(a)
Standard utility allowances in the supplemental nutrition assistance program— Section 5(e)(6)(C) of the Food and Nutrition Act of 2008 (7 U.S.C. 2014(e)(6)(C)) is amended—
(1)
in clause (i), by inserting “, subject to clause (iv)” after “Secretary”; and
(2)
in clause (iv)(I), by striking “the household still incurs” and all that follows through the end of the subclause and inserting “the payment received by, or made on behalf of, the household exceeds $10 or a higher amount annually, as determined by the Secretary.”.
(b)
Conforming amendment— Section 2605(f)(2)(A) of the Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 8624(f)(2)(A)) is amended by inserting before the semicolon at the end “, except that, for purposes of the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.), such payments or allowances exceed $10 or a higher amount annually, as determined by the Secretary of Agriculture in accordance with section 5(e)(6)(C)(iv)(I) of that Act (7 U.S.C. 2014(e)(6)(C)(iv)(I))”.
(c)
Effective and implementation date—
(1)
In general— Except as provided in paragraph (2), this section and the amendments made by this section shall take effect beginning on October 1, 2013, for all certification periods beginning after that date.
(2)
State option to delay implementation for current recipients— A State may, at the option of the State, implement a policy that eliminates or minimizes the effect of the amendments made by this section for households that receive a standard utility allowance as of the date of enactment of this Act for not more than a 180-day period beginning on the date on which the amendments made by this section would otherwise affect the benefits received by a household.

Sec. 4003 Eligibility disqualifications

Section 6(e)(3)(B) of Food and Nutrition Act of 2008 (7 U.S.C. 2015(e)(3)(B)) is amended by striking “section” and inserting the following: “section, subject to the condition that the course or program of study—

“(i) is part of a program of career and technical education (as defined in section 3 of the Carl D. Perkins Career and Technical Education Act of 2006 (20 U.S.C. 2302)) that may be completed in not more than 4 years at an institution of higher education (as defined in section 102 of the Higher Education Act of 1965 (20 U.S.C. 1002)); or

“(ii) is limited to remedial courses, basic adult education, literacy, or English as a second language;”

Sec. 4004 Ending supplemental nutrition assistance program benefits for lottery or gambling winners

(a)
In general— Section 6 of the Food and Nutrition Act of 2008 (7 U.S.C. 2015) is amended by adding at the end the following:

“(r) Ineligibility for benefits due to receipt of substantial lottery or gambling winnings

“(1) In general—Any household in which a member receives substantial lottery or gambling winnings, as determined by the Secretary, shall lose eligibility for benefits immediately upon receipt of the winnings.

“(2) Duration of ineligibility—A household described in paragraph (1) shall remain ineligible for participation until the household meets the allowable financial resources and income eligibility requirements under subsections (c), (d), (e), (f), (g), (i), (k), (l), (m), and (n) of section 5.

“(3) Agreements—As determined by the Secretary, each State agency, to the maximum extent practicable, shall establish agreements with entities responsible for the regulation or sponsorship of gaming in the State to determine whether individuals participating in the supplemental nutrition assistance program have received substantial lottery or gambling winnings.”

(b)
Conforming amendments— Section 5(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 2014(a)) is amended in the second sentence by striking “sections 6(b), 6(d)(2), and 6(g)” and inserting “subsections (b), (d)(2), (g), and (r) of section 6”.

Sec. 4005 Retail food stores

(a)
Definition of retail food store— Subsection (o)(1)(A) of section 3 of the Food and Nutrition Act of 2008 (7 U.S.C. 2012) (as redesignated by section 4017(a)(4)) is amended by striking “at least 2” and inserting “at least 3”.
(b)
Alternative benefit delivery— Section 7(f) of the Food and Nutrition Act of 2008 (7 U.S.C. 2016(f)) is amended—
(1)
by striking paragraph (2) and inserting the following:

“(2) Imposition of costs

“(A) In general—Except as provided in subparagraph (B), the Secretary shall require participating retail food stores (including restaurants participating in a State option restaurant program intended to serve the elderly, disabled, and homeless) to pay 100 percent of the costs of acquiring, and arrange for the implementation of, electronic benefit transfer point-of-sale equipment and supplies, including related services.

“(B) Exemptions—The Secretary may exempt from subparagraph (A)—

“(i) farmers’ markets, military commissaries, nonprofit food buying cooperatives, and establishments, organizations, programs, or group living arrangements described in paragraphs (5), (7), and (8) of section 3(k); and

“(ii) establishments described in paragraphs (3), (4), and (9) of section 3(k), other than restaurants participating in a State option restaurant program.”

(2)
by adding at the end the following:

“(4) Termination of manual vouchers

“(A) In general—Effective beginning on the date of enactment of this paragraph, except as provided in subparagraph (B), no State shall issue manual vouchers to a household that receives supplemental nutrition assistance under this Act or allow retail food stores to accept manual vouchers as payment, unless the Secretary determines that the manual vouchers are necessary, such as in the event of an electronic benefit transfer system failure or a disaster situation.

“(B) Exemptions—The Secretary may exempt categories of retail food stores or individual retail food stores from subparagraph (A) based on criteria established by the Secretary.

“(5) Unique identification number required—The Secretary shall require all parties providing electronic benefit transfer services to provide for and maintain unique terminal identification number information through the supplemental nutrition assistance program electronic benefit transfer transaction routing system.”

(c)
Electronic benefit transfers— Section 7(h)(3)(B) of the Food and Nutrition Act of 2008 (7 U.S.C. 2016(h)(3)(B)) is amended by striking “is operational—” and all that follows through “(ii) in the case of other participating stores,” and inserting “is operational”.
(d)
Approval of retail food stores and wholesale food concerns— Section 9 of the Food and Nutrition Act of 2008 (7 U.S.C. 2018) is amended—
(1)
in subsection (a)—
(A)
in the second sentence of paragraph (a)(1), by striking “; and (C)” and inserting “; (C) whether the applicant is located in an area with significantly limited access to food; and (D)”; and
(2)
by adding at the end the following:

“(4) Retail food stores with significant sales of excepted items

“(A) In general—No retail food store for which at least 45 percent of the total sales of the retail food store is from the sale of excepted items described in section 3(k)(1) may be authorized to accept and redeem benefits unless the Secretary determines that the participation of the retail food store is required for the effective and efficient operation of the supplemental nutrition assistance program.

“(B) Application—Subparagraph (A) shall be effective—

“(i) in the case of retail food stores applying to be authorized for the first time, beginning on the date that is 1 year after the date of enactment of this paragraph; and

“(ii) in the case of retail food stores participating in the program on the date of enactment of this paragraph, during periodic reauthorization in accordance with paragraph (2)(A).”

(3)
by adding at the end the following:

“(g) EBT service requirement—An approved retail food store shall provide adequate EBT service as described in section 7(h)(3)(B).”

Sec. 4006 Improving security of food assistance

Section 7(h)(8) of the Food and Nutrition Act of 2008 (7 U.S.C. 2016(h)(8)) is amended—
(1)
by striking the paragraph heading and inserting “Replacement of cards.—”;
(2)
by striking “A State” and inserting the following:

“(A) Fees—A State”

(3)
by adding after subparagraph (A) (as so designated by paragraph (2)) the following:

“(B) Purposeful loss of cards

“(i) In general—Subject to terms and conditions established by the Secretary in accordance with clause (ii), if a household makes excessive requests for replacement of the electronic benefit transfer card of the household, the Secretary may require a State agency to decline to issue a replacement card to the household unless the household, upon request of the State agency, provides an explanation for the loss of the card.

“(ii) Requirements—The terms and conditions established by the Secretary shall provide that—

“(I) the household be given the opportunity to provide the requested explanation and meet the requirements under this paragraph promptly;

“(II) after an excessive number of lost cards, the head of the household shall be required to review program rights and responsibilities with State agency personnel authorized to make determinations under section 5(a); and

“(III) any action taken, including actions required under section 6(b)(2), other than the withholding of the electronic benefit transfer card until an explanation described in subclause (I) is provided, shall be consistent with the due process protections under section 6(b) or 11(e)(10), as appropriate.

“(C) Protecting vulnerable persons—In implementing this paragraph, a State agency shall act to protect homeless persons, persons with disabilities, victims of crimes, and other vulnerable persons who lose electronic benefit transfer cards but are not intentionally committing fraud.

“(D) Effect on eligibility—While a State may decline to issue an electronic benefits transfer card until a household satisfies the requirements under this paragraph, nothing in this paragraph shall be considered a denial of, or limitation on, the eligibility for benefits under section 5.”

Sec. 4007 Technology modernization for retail food stores

(a)
Mobile technologies— Section 7(h) of the Food and Nutrition Act of 2008 (7 U.S.C. 2016(h)) (as amended by section 4015(e)) is amended by adding at the end the following:

“(14) Mobile technologies

“(A) In general—Subject to subparagraph (B), the Secretary shall approve retail food stores to redeem benefits through electronic means other than wired point of sale devices for electronic benefit transfer transactions, if the retail food stores—

“(i) establish recipient protections regarding privacy, ease of use, access, and support similar to the protections provided for transactions made in retail food stores;

“(ii) bear the costs of obtaining, installing, and maintaining mobile technologies, including mechanisms needed to process EBT cards and transaction fees;

“(iii) demonstrate the foods purchased with benefits issued under this section through mobile technologies are purchased at a price not higher than the price of the same food purchased by other methods used by the retail food store, as determined by the Secretary;

“(iv) provide adequate documentation for each authorized transaction, as determined by the Secretary; and

“(v) meet other criteria as established by the Secretary.

“(B) Demonstration project on acceptance of benefits of mobile transactions

“(i) In general—Before authorizing implementation of subparagraph (A) in all States, the Secretary shall pilot the use of mobile technologies determined by the Secretary to be appropriate to test the feasibility and implications for program integrity, by allowing retail food stores to accept benefits from recipients of supplemental nutrition assistance through mobile transactions.

“(ii) Demonstration projects—To be eligible to participate in a demonstration project under clause (i), a retail food store shall submit to the Secretary for approval a plan that includes—

“(I) a description of the technology;

“(II) the manner by which the retail food store will provide proof of the transaction to households;

“(III) the provision of data to the Secretary, consistent with requirements established by the Secretary, in a manner that allows the Secretary to evaluate the impact of the demonstration on participant access, ease of use, and program integrity; and

“(IV) such other criteria as the Secretary may require.

“(iii) Date of completion—The demonstration projects under this subparagraph shall be completed and final reports submitted to the Secretary by not later than July 1, 2015.

“(C) Report to Congress—The Secretary shall—

“(i) by not later than January 1, 2016, authorize implementation of subparagraph (A) in all States, unless the Secretary makes a finding, based on the data provided under subparagraph (B), that implementation in all States is not in the best interest of the supplemental nutrition assistance program; and

“(ii) if the determination made in clause (i) is not to implement subparagraph (A) in all States, submit a report to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate that includes the basis of the finding.”

(b)
Acceptance of benefits through on-Line transactions—
(1)
In general— Section 7 of the Food and Nutrition Act of 2008 (7 U.S.C. 2016) is amended by adding at the end the following:

“(k) Option To accept program benefits through on-Line transactions

“(1) In general—Subject to paragraph (4), the Secretary shall approve retail food stores to accept benefits from recipients of supplemental nutrition assistance through on-line transactions.

“(2) Requirements to accept benefits—A retail food store seeking to accept benefits from recipients of supplemental nutrition assistance through on-line transactions shall—

“(A) establish recipient protections regarding privacy, ease of use, access, and support similar to the protections provided for transactions made in retail food stores;

“(B) ensure benefits are not used to pay delivery, ordering, convenience, or other fees or charges;

“(C) clearly notify participating households at the time a food order is placed—

“(i) of any delivery, ordering, convenience, or other fee or charge associated with the food purchase; and

“(ii) that any such fee cannot be paid with benefits provided under this Act;

“(D) ensure the security of on-line transactions by using the most effective technology available that the Secretary considers appropriate and cost-effective and that is comparable to the security of transactions at retail food stores; and

“(E) meet other criteria as established by the Secretary.

“(3) State agency action—Each State agency shall ensure that recipients of supplemental nutrition assistance can use benefits on-line as described in this subsection as appropriate.

“(4) Demonstration project on acceptance of benefits through on-line transactions

“(A) In general—Before the Secretary authorizes implementation of paragraph (1) in all States, the Secretary shall carry out a number of demonstration projects as determined by the Secretary to test the feasibility of allowing retail food stores to accept benefits through on-line transactions.

“(B) Demonstration projects—To be eligible to participate in a demonstration project under subparagraph (A), a retail food store shall submit to the Secretary for approval a plan that includes—

“(i) a method of ensuring that benefits may be used to purchase only eligible items under this Act;

“(ii) a description of the method of educating participant households about the availability and operation of on-line purchasing;

“(iii) adequate testing of the on-line purchasing option prior to implementation;

“(iv) the provision of data as requested by the Secretary for purposes of analyzing the impact of the project on participant access, ease of use, and program integrity;

“(v) reports on progress, challenges, and results, as determined by the Secretary; and

“(vi) such other criteria, including security criteria, as established by the Secretary.

“(C) Date of completion—The demonstration projects under this paragraph shall be completed and final reports submitted to the Secretary by not later than July 1, 2015.

“(5) Report to Congress—The Secretary shall—

“(A) by not later than January 1, 2016, authorize implementation of paragraph (1) in all States, unless the Secretary makes a finding, based on the data provided under paragraph (4), that implementation in all States is not in the best interest of the supplemental nutrition assistance program; and

“(B) if the determination made in subparagraph (A) is not to implement in all States, submit a report to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate that includes the basis of the finding.”

(2)
Conforming amendments—
(A)
Section 7(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 2016(b)) is amended by striking “purchase food in retail food stores” and inserting “purchase food from retail food stores”.
(B)
Section 10 of the Food and Nutrition Act of 2008 (7 U.S.C. 2019) is amended in the first sentence by inserting “retail food stores authorized to accept and redeem benefits through on-line transactions shall be authorized to accept benefits prior to the delivery of food if the delivery occurs within a reasonable time of the purchase, as determined by the Secretary,” after “food so purchased,”.
(c)
Savings clause— Nothing in this section or an amendment made by this section alter any requirements of the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) unless specifically authorized in this section or an amendment made by this section.

Sec. 4008 Use of benefits for purchase of community-supported agriculture share

Section 10 of the Food and Nutrition Act of 2008 (7 U.S.C. 2019) (as amended by section 4007(b)(2)(B)) is amended in the first sentence by inserting “agricultural producers who market agricultural products directly to consumers shall be authorized to redeem benefits for the initial cost of the purchase of a community-supported agriculture share for an appropriate time in advance of food delivery as determined by the Secretary,” after “as determined by the Secretary,”.

Sec. 4009 Restaurant meals program

(a)
In general— Section 11(e) of the Food and Nutrition Act of 2008 (7 U.S.C. 2020(e)) is amended—
(1)
in paragraph (22), by striking “and” at the end;
(2)
in paragraph (23), by striking the period at the end of subparagraph (C) and inserting “; and”; and
(3)
by adding at the end the following:

“(24) if the State elects to carry out a program to contract with private establishments to offer meals at concessional prices, as described in paragraphs 3, 4, and 9 of section 3(k)—

“(A) the plans of the State agency for operating the program, including—

“(i) documentation of a need that eligible homeless, elderly, and disabled clients are underserved in a particular geographic area;

“(ii) the manner by which the State agency will limit participation to only those private establishments that the State determines necessary to meet the need identified in clause (i); and

“(iii) any other conditions the Secretary may prescribe, such as the level of security necessary to ensure that only eligible recipients participate in the program; and

“(B) a report by the State agency to the Secretary annually, the schedule of which shall be established by the Secretary, that includes—

“(i) the number of households and individual recipients authorized to participate in the program, including any information on whether the individual recipient is elderly, disabled, or homeless; and

“(ii) an assessment of whether the program is meeting an established need, as documented under subparagraph (A)(i).”

(b)
Approval of retail food stores and wholesale food concerns— Section 9 of the Food and Nutrition Act of 2008 (7 U.S.C. 2018) (as amended by section 4005(d)(3)) is amended by adding at the end the following:

“(h) Private establishments

“(1) In general—Subject to paragraph (2), no private establishment that contracts with a State agency to offer meals at concessional prices as described in paragraphs 3, 4, and 9 of section 3(k) may be authorized to accept and redeem benefits unless the Secretary determines that the participation of the private establishment is required to meet a documented need in accordance with section 11(e)(24).

“(2) Existing contracts

“(A) In general—If, on the day before the date of enactment of this subsection, a State has entered into a contract with a private establishment described in paragraph (1) and the Secretary has not determined that the participation of the private establishment is necessary to meet a documented need in accordance with section 11(e)(24), the Secretary shall allow the operation of the private establishment to continue without that determination of need for a period not to exceed 180 days from the date on which the Secretary establishes determination criteria, by regulation, under section 11(e)(24).

“(B) Justification—If the Secretary makes a determination to terminate a contract with a private establishment that is in effect on the date of enactment of this subsection, the Secretary shall provide justification to the State in which the private establishment is located for that termination.

“(3) Report to Congress—Not later than 90 days after September 30, 2013, and 90 days after the last day of each fiscal year thereafter, the Secretary shall report to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate on the effectiveness of a program under this subsection using any information received from States under section 11(e)(24) as well as any other information the Secretary may have relating to the manner in which benefits are used.”

(c)
Conforming amendments— Section 3(k) of the Food and Nutrition Act of 2008 (7 U.S.C. 2012(k)) is amended by inserting “subject to section 9(h)” after “concessional prices” each place it appears.

Sec. 4010 Quality control error rate determination

Section 16(c) of the Food and Nutrition Act of 2008 (7 U.S.C. 2025(c)) is amended by adding at the end the following:

“(10) Tolerance level—For the purposes of this subsection, the Secretary shall set the tolerance level for excluding small errors at $25.”

Sec. 4011 Performance bonus payments

Section 16(d) of the Food and Nutrition Act of 2008 (7 U.S.C. 2025(d)) is amended by adding at the end the following:

“(5) Use of performance bonus payments—A State agency may use a performance bonus payment received under this subsection only to carry out the program established under this Act, including investments in—

“(A) technology;

“(B) improvements in administration and distribution; and

“(C) actions to prevent fraud, waste, and abuse.”

Sec. 4012 Authorization of appropriations

Section 18(a)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 2027(a)(1)) is amended in the first sentence by striking “2012” and inserting “2018”.

Sec. 4013 Assistance for community food projects

Section 25 of the Food and Nutrition Act of 2008 (7 U.S.C. 2034) is amended—
(1)
in subsection (a)(1)(B)(ii)—
(A)
by striking subclause (I); and
(B)
by redesignating subclauses (II) and (III) as subclauses (I) and (II), respectively; and
(2)
in subsection (b), by adding at the end the following:

“(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 section not less than $5,000,000 for fiscal year 2014 and each fiscal year thereafter.

“(B) Receipt and acceptance—The Secretary shall be entitled to receive, shall accept, and shall use to carry out this section the funds transferred under subparagraph (A), without further appropriation.

“(C) Maintenance of funding—The funding provided under subparagraph (A) shall supplement (and not supplant) other Federal funding made available to the Secretary to carry out this section.”

Sec. 4014 Emergency food assistance

(a)
Purchase of commodities— Section 27(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 2036(a)) is amended—
(1)
in paragraph (1), by striking “2008 through 2012” and inserting “2014 through 2018”;
(2)
by striking paragraph (2) and inserting the following:

“(2) Amounts—The Secretary shall use to carry out paragraph (1)—

“(A) for fiscal year 2013, $260,250,000; and

“(B) for each subsequent fiscal year, the dollar amount of commodities specified in subparagraph (A) adjusted by the percentage by which the thrifty food plan has been adjusted under section 3(u)(4) between June 30, 2013, and June 30 of the immediately preceding fiscal year, and subsequently increased by—

“(i) for fiscal year 2014, $28,000,000;

“(ii) for fiscal year 2015, $44,000,000;

“(iii) for fiscal year 2016, $24,000,000;

“(iv) for fiscal year 2017, $18,000,000; and

“(v) for fiscal year 2018 and each fiscal year thereafter, $10,000,000.”

(3)
by adding at the end the following:

“(3) Funds availability—For purposes of the funds described in this subsection, the Secretary shall—

“(A) make the funds available for 2 fiscal years; and

“(B) allow States to carry over unexpended balances to the next fiscal year pursuant to such terms and conditions as are determined by the Secretary.”

(b)
Emergency food program infrastructure grants— Section 209(d) of the Emergency Food Assistance Act of 1983 (7 U.S.C. 7511a(d)) is amended by striking “2012” and inserting “2018”.

Sec. 4015 Nutrition education

Section 28(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 2036a(b)) is amended by inserting “and physical activity” after “healthy food choices”.

Sec. 4016 Retail food store and recipient trafficking

The Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) is amended by adding at the end the following:

“29. Retail food store and recipient trafficking

“(a) Purpose—The purpose of this section is to provide the Department of Agriculture with additional resources to prevent trafficking in violation of this Act by strengthening recipient and retail food store program integrity.

“(b) Use of funds—Additional funds are provided under this section to supplement the retail food store and recipient integrity activities of the Department.

“(c) Funding

“(1) 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 section not less than $18,500,000 for fiscal year 2014 and each fiscal year thereafter.

“(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.

“(3) Maintenance of funding—The funding provided under paragraph (1) shall supplement (and not supplant) other Federal funding for programs carried out under this Act.”

Sec. 4017 Technical and conforming amendments

(a)
Section 3 of the Food and Nutrition Act of 2008 (7 U.S.C. 2012) is amended—
(1)
in subsection (g), by striking “coupon,” and inserting “coupon”;
(2)
in subsection (k)(7), by striking “or are” and inserting “and”;
(3)
by striking subsection (l);
(4)
by redesignating subsections (m) through (t) as subsections (l) through (s), respectively; and
(5)
by inserting after subsection (s) (as so redesignated) the following:

“(t) “Supplemental nutrition assistance program” means the program operated pursuant to this Act.”

(b)
Section 4(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 2013(a)) is amended in the last sentence by striking “benefits” and inserting “Benefits”.
(c)
Section 5 of the Food and Nutrition Act of 2008 (7 U.S.C. 2014) is amended—
(1)
in the last sentence of subsection (i)(2)(D), by striking “section 13(b)(2)” and inserting “section 13(b)”; and
(2)
in subsection (k)(4)(A), by striking “paragraph (2)(H)” and inserting “paragraph (2)(G)”.
(d)
Section 6(d)(4) of the Food and Nutrition Act of 2008 (7 U.S.C. 2015(d)(4)) is amended in subparagraphs (B)(vii) and (F)(iii) by indenting both clauses appropriately.
(e)
Section 7(h) of the Food and Nutrition Act of 2008 (7 U.S.C. 2016(h)) is amended by redesignating the second paragraph (12) (relating to interchange fees) as paragraph (13).
(f)
Section 9(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 2018(a)) is amended by indenting paragraph (3) appropriately.
(g)
Section 12 of the Food and Nutrition Act of 2008 (7 U.S.C. 2021) is amended—
(1)
in subsection (b)(3)(C), by striking “civil money penalties” and inserting “civil penalties”; and
(2)
in subsection (g)(1), by striking “(7 U.S.C. 1786)” and inserting “(42 U.S.C. 1786)”.
(h)
Section 15(b)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 2024(b)(1)) is amended in the first sentence by striking “an benefit” and inserting “a benefit”.
(i)
Section 16(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 2025(a)) is amended in the proviso following paragraph (8) by striking “as amended.”.
(j)
Section 18(e) of the Food and Nutrition Act of 2008 (7 U.S.C. 2027(e)) is amended in the first sentence by striking “sections 7(f)” and inserting “section 7(f)”.
(k)
Section 22(b)(10)(B)(i) of the Food and Nutrition Act of 2008 (7 U.S.C. 2031(b)(10)(B)(i)) is amended in the last sentence by striking “Food benefits” and inserting “Benefits”.
(l)
Section 26(f)(3)(C) of the Food and Nutrition Act of 2008 (7 U.S.C. 2035(f)(3)(C)) is amended by striking “subsection” and inserting “subsections”.
(m)
Section 27(a)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 2036(a)(1)) is amended by striking “(Public Law 98–8; 7 U.S.C. 612c note)” and inserting “(7 U.S.C. 7515)”.
(n)
Section 509 of the Older Americans Act of 1965 (42 U.S.C. 3056g) is amended in the section heading by striking “food stamp programs” and inserting “supplemental nutrition assistance programs”.
(o)
Section 4115(c)(2)(H) of the Food, Conservation, and Energy Act of 2008 (Public Law 110–246; 122 Stat. 1871) is amended by striking “531” and inserting “454”.

B Commodity distribution programs

Sec. 4101 Commodity distribution program

Section 4(a) of the Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 612c note; Public Law 93–86) is amended in the first sentence by striking “2012” and inserting “2018”.

Sec. 4102 Commodity supplemental food program

Section 5 of the Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 612c note; Public Law 93–86) is amended—
(1)
in paragraphs (1) and (2)(B) of subsection (a), by striking “2012” each place it appears and inserting “2018”;
(2)
in the first sentence of subsection (d)(2), by striking “2012” and inserting “2018”;
(3)
by striking subsection (g) and inserting the following:

“(g) Eligibility—Except as provided in subsection (m), the States shall only provide assistance under the commodity supplemental food program to low-income persons aged 60 and older.”

(4)
by adding at the end the following:

“(m) Phase-Out—Notwithstanding any other provision of law, an individual who receives assistance under the commodity supplemental food program on the day before the date of enactment of this subsection shall continue to receive that assistance until the date on which the individual is no longer eligible for assistance under the eligibility requirements for the program in effect on the day before the date of enactment of this subsection.”

Sec. 4103 Distribution of surplus commodities to special nutrition projects

Section 1114(a)(2)(A) of the Agriculture and Food Act of 1981 (7 U.S.C. 1431e(2)(A)) is amended in the first sentence by striking “2012” and inserting “2018”.

Sec. 4104 Technical and conforming amendments

Section 3 of the Commodity Distribution Reform Act and WIC Amendments of 1987 (7 U.S.C. 612c note; Public Law 100–237) is amended—
(1)
in subsection (a)—
(A)
in paragraph (2), by striking subparagraph (B) and inserting the following:

“(B) the program established under section 4(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 2013(b));”

(B)
in paragraph (3)(D), by striking “the Committee on Education and Labor” and inserting “the Committee on Education and the Workforce”;
(2)
in subsection (b)(1)(A)(ii), by striking “section 32 of the Agricultural Adjustment Act (7 U.S.C. 601 et seq.)” and inserting “section 32 of the Act of August 24, 1935 (7 U.S.C. 612c)”;
(3)
in subsection (e)(1)(D)(iii), by striking subclause (II) and inserting the following:

“(II) the program established under section 4(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 2013(b));”

(4)
in subsection (k), by striking “the Committee on Education and Labor” and inserting “the Committee on Education and the Workforce”.

C Miscellaneous

Sec. 4201 Purchase of fresh fruits and vegetables for distribution to schools and service institutions

Section 10603(b) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 612c–4(b)) is amended by striking “2012” and inserting “2018”.

Sec. 4202 Seniors farmers' market nutrition program

Section 4402(a) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3007(a)) is amended by striking “2012” and inserting “2018”.

Sec. 4203 Nutrition information and awareness pilot program

Section 4403 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3171 note; Public Law 107–171) is repealed.

Sec. 4204 Whole grain products

Section 4305 of the Food, Conservation, and Energy Act of 2008 (42 U.S.C. 1755a) is amended—
(1)
in subsection (a), by striking “2005” and inserting “2010”;
(2)
in subsection (d), by striking “2011” and inserting “2015”;
(3)
in subsection (e), by striking “Labor of the House of Representative” and inserting “the Workforce of the House of Representatives”; and
(4)
by adding at the end the following:

“(f) Funding

“(1) In general—On October 1, 2013, 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 $10,000,000 for the period of fiscal years 2014 through 2015.

“(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.

“(3) Maintenance of funding—The funding provided under paragraph (1) shall supplement (and not supplant) other Federal funding (including funds made available under section 32 of the Act of August 24, 1935 (7 U.S.C. 612c)) for programs carried out under—

“(A) the Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.), except for section 19 of that Act (42 U.S.C. 1769a);

“(B) the Emergency Food Assistance Act of 1983 (7 U.S.C. 7501 et seq.); and

“(C) section 27 of the Food and Nutrition Act of 2008 (7 U.S.C. 2036).”

Sec. 4205 Hunger-free communities

Section 4405 of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 7517) is amended—
(1)
in subsection (a)—
(A)
by striking paragraph (1) and inserting the following:

“(1) Eligible entity

“(A) Collaborative grants—In subsection (b), the term eligible entity means a public food program service provider or nonprofit organization, including an emergency feeding organization, that has collaborated or will collaborate with 1 or more local partner organizations to achieve at least 1 hunger-free communities goal.

“(B) Incentive grants—In subsection (c), the term eligible entity means a nonprofit organization (including an emergency feeding organization), an agricultural cooperative, producer network or association, community health organization, public benefit corporation, economic development corporation, farmers’ market, community-supported agriculture program, buying club, supplemental nutrition assistance program retail food store, a State, local, or tribal agency, and any other entity the Secretary designates.”

(B)
by adding at the end the following:

“(4) 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.).

“(5) Underserved community—The term underserved community has the meaning given the term in section 25 of the Food and Nutrition Act of 2008 (7 U.S.C. 2034).”

(2)
in subsection (b)(1)(A), by striking “not more than 50 percent of any funds made available under subsection (e)” and inserting “funds made available under subsection (d)(1)”; and
(3)
by striking subsections (c), (d), and (e) and inserting the following:

“(c) Hunger-Free communities incentive grants

“(1) Authorization

“(A) In general—In each of the years specified in subsection (d), the Secretary shall make grants to eligible entities in accordance with paragraph (2).

“(B) Federal share—The Federal share of the cost of carrying out an activity under this subsection shall not exceed 50 percent of the total cost of the activity.

“(C) Non-Federal share

“(i) In general—The non-Federal share of the cost of an activity under this subsection may be provided—

“(I) in cash or in-kind contributions as determined by the Secretary, including facilities, equipment, or services; and

“(II) by a State or local government or a private source.

“(ii) Limitation—In the case of a for-profit entity, the non-Federal share described in clause (i) shall not include services of an employee, including salaries paid or expenses covered by the employer.

“(2) Criteria

“(A) In general—For purposes of this subsection, an eligible entity is a governmental agency or nonprofit organization that—

“(i) meets the application criteria set forth by the Secretary; and

“(ii) proposes a project that, at a minimum—

“(I) has the support of the State agency;

“(II) would increase the purchase of fruits and vegetables by low-income consumers participating in the supplemental nutrition assistance program by providing incentives at the point of purchase;

“(III) agrees to participate in the evaluation described in paragraph (4);

“(IV) ensures that the same terms and conditions apply to purchases made by individuals with benefits issued under this Act and incentives provided for in this subsection as apply to purchases made by individuals who are not members of households receiving benefits, such as provided for in section 278.2(b) of title 7, Code of Federal Regulations (or a successor regulation); and

“(V) includes effective and efficient technologies for benefit redemption systems that may be replicated in other for States and communities.

“(B) Priority—In awarding grants under this section, the Secretary shall give priority to projects that—

“(i) maximize the share of funds used for direct incentives to participants;

“(ii) use direct-to-consumer sales marketing;

“(iii) demonstrate a track record of designing and implementing successful nutrition incentive programs that connect low-income consumers and agricultural producers;

“(iv) provide locally or regionally produced fruits and vegetables;

“(v) are located in underserved communities; or

“(vi) address other criteria as established by the Secretary.

“(3) Applicability

“(A) In general—The value of any benefit provided to a participant in any activity funded under this subsection shall not be considered income or resources for any purpose under any Federal, State, or local law.

“(B) Prohibition on collection of sales taxes—Each State shall ensure that no State or local tax is collected on a purchase of food under this subsection.

“(C) No limitation on benefits—A grant made available under this subsection shall not be used to carry out any project that limits the use of benefits under the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) or any other Federal nutrition law.

“(D) Household allotment—Assistance provided under this subsection to households receiving benefits under the supplemental nutrition assistance program shall not—

“(i) be considered part of the supplemental nutrition assistance program benefits of the household; or

“(ii) be used in the collection or disposition of claims under section 13 of the Food and Nutrition Act of 2008 (7 U.S.C. 2022).

“(4) Evaluation

“(A) Independent evaluation—The Secretary shall provide for an independent evaluation of projects selected under this subsection that measures the impact of each project on—

“(i) improving the nutrition and health status of participating households receiving incentives under this subsection; and

“(ii) increasing fruit and vegetable purchases in participating households.

“(B) Requirement—The independent evaluation under subparagraph (A) shall use rigorous methodologies capable of producing scientifically valid information regarding the effectiveness of a project.

“(C) Costs—The Secretary may use funds not to exceed 10 percent of the funding provided to carry out this section to pay costs associated with administering, monitoring, and evaluating each project.

“(d) Funding

“(1) Authorization of appropriations—There is authorized to be appropriated to carry out subsection (b) $5,000,000 for each of fiscal years 2014 through 2018.

“(2) Mandatory Funding—Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out subsection (c)—

“(A) $15,000,000 for fiscal year 2014;

“(B) $20,000,000 for each of fiscal years 2015 through 2017; and

“(C) $25,000,000 for fiscal year 2018.”

Sec. 4206 Healthy Food Financing Initiative

(a)
In general— Subtitle D of title II of the Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 6951 et seq.) is amended by adding at the end the following:

“242. Healthy Food Financing Initiative

“(a) Purpose—The purpose of this section is to enhance the authorities of the Secretary to support efforts to provide access to healthy food by establishing an initiative to improve access to healthy foods in underserved areas, to create and preserve quality jobs, and to revitalize low-income communities by providing loans and grants to eligible fresh, healthy food retailers to overcome the higher costs and initial barriers to entry in underserved areas.

“(b) Definitions—In this section:

“(1) Community development financial institution—The term community development financial institution has the meaning given the term in section 103 of the Community Development Banking and Financial Institutions Act of 1994 (12 U.S.C. 4702).

“(2) Initiative—The term Initiative means the Healthy Food Financing Initiative established under subsection (c)(1).

“(3) National fund manager—The term national fund manager means a community development financial institution that is—

“(A) in existence on the date of enactment of this section; and

“(B) certified by the Community Development Financial Institution Fund of the Department of the Treasury to manage the Initiative for purposes of—

“(i) raising private capital;

“(ii) providing financial and technical assistance to partnerships; and

“(iii) funding eligible projects to attract fresh, healthy food retailers to underserved areas, in accordance with this section.

“(4) Partnership—The term partnership means a regional, State, or local public-private partnership that—

“(A) is organized to improve access to fresh, healthy foods;

“(B) provides financial and technical assistance to eligible projects; and

“(C) meets such other criteria as the Secretary may establish.

“(5) Perishable food—The term perishable food means a staple food that is fresh, refrigerated, or frozen.

“(6) Quality job—The term quality job means a job that provides wages and other benefits comparable to, or better than, similar positions in existing businesses of similar size in similar local economies.

“(7) Staple food

“(A) In general—The term staple food means food that is a basic dietary item.

“(B) Inclusions—The term staple food includes—

“(i) bread;

“(ii) flour;

“(iii) fruits;

“(iv) vegetables; and

“(v) meat.

“(c) Initiative

“(1) Establishment—The Secretary shall establish an initiative to achieve the purpose described in subsection (a) in accordance with this subsection.

“(2) Implementation

“(A) In general

“(i) In general—In carrying out the Initiative, the Secretary shall provide funding to entities with eligible projects, as described in subparagraph (B), subject to the priorities described in subparagraph (C).

“(ii) Use of funds—Funds provided to an entity pursuant to clause (i) shall be used—

“(I) to create revolving loan pools of capital or other products to provide loans to finance eligible projects or partnerships;

“(II) to provide grants for eligible projects or partnerships;

“(III) to provide technical assistance to funded projects and entities seeking Initiative funding; and

“(IV) to cover administrative expenses of the national fund manager in an amount not to exceed 10 percent of the Federal funds provided.

“(B) Eligible projects—Subject to the approval of the Secretary, the national fund manager shall establish eligibility criteria for projects under the Initiative, which shall include the existence or planned execution of agreements—

“(i) to expand or preserve the availability of staple foods in underserved areas with moderate- and low-income populations by maintaining or increasing the number of retail outlets that offer an assortment of perishable food and staple food items, as determined by the Secretary, in those areas; and

“(ii) to accept benefits under the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.).

“(C) Priorities—In carrying out the Initiative, priority shall be given to projects that—

“(i) are located in severely distressed low-income communities, as defined by the Community Development Financial Institutions Fund of the Department of the Treasury; and

“(ii) include 1 or more of the following characteristics:

“(I) The project will create or retain quality jobs for low-income residents in the community.

“(II) The project supports regional food systems and locally grown foods, to the maximum extent practicable.

“(III) In areas served by public transit, the project is accessible by public transit.

“(IV) The project involves women- or minority-owned businesses.

“(V) The project receives funding from other sources, including other Federal agencies.

“(VI) The project otherwise advances the purpose of this section, as determined by the Secretary.

“(d) Authorization of appropriations—There is authorized to be appropriated to the Secretary to carry out this section $125,000,000, to remain available until expended.”

(b)
Conforming amendment— Section 296(b) of the Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 7014(b)) (as amended by section 1609(d)) is amended—
(1)
in paragraph (7), by striking “or” at the end;
(2)
in paragraph (8), by striking the period at the end and inserting “; or”; and
(3)
by adding at the end the following:

“(9) the authority of the Secretary to establish and carry out the Health Food Financing Initiative under section 242.”

Sec. 4207 Pulse crop products

(a)
Purpose— The purpose of this section is to encourage greater awareness and interest in the number and variety of pulse crop products available to schoolchildren, as 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).
(b)
Definitions— In this section:
(1)
Eligible pulse crop— The term eligible pulse crop means dry beans, dry peas, lentils, and chickpeas.
(2)
Pulse crop product— The term pulse crop product means a food product derived in whole or in part from an eligible pulse crop.
(c)
Purchase of pulse crops and pulse crop products— In addition to the commodities delivered under section 6 of the Richard B. Russell National School Lunch Act (42 U.S.C. 1755), the Secretary shall purchase eligible pulse crops and pulse crop products for use in—
(1)
the school lunch program established under the Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.); and
(2)
the school breakfast program established by section 4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773).
(d)
Evaluation— Not later than September 30, 2016, the Secretary shall conduct an evaluation of the activities conducted under subsection (c), including—
(1)
an evaluation of whether children participating in the school lunch and breakfast programs described in subsection (c) increased overall consumption of eligible pulse crops as a result of the activities;
(2)
an evaluation of which eligible pulse crops and pulse crop products are most acceptable for use in the school lunch and breakfast programs;
(3)
any recommendations of the Secretary regarding the integration of the use of pulse crop products in carrying out the school lunch and breakfast programs;
(4)
an evaluation of any change in the nutrient composition in the school lunch and breakfast programs due to the activities; and
(5)
an evaluation of any other outcomes determined to be appropriate by the Secretary.
(e)
Report— As soon as practicable after the completion of the evaluation under subsection (d), the Secretary shall submit to the Committee on Agriculture, Nutrition, and Forestry of the Senate and the Committee on Education and the Workforce of the House of Representative a report describing the results of the evaluation.
(f)
Authorization of appropriations— There is authorized to be appropriated to carry out this section $10,000,000, to remain available until expended.

Sec. 4208 Dietary Guidelines for Americans

Section 301(a) of the National Nutrition Monitoring and Related Research Act of 1990 (7 U.S.C. 5341(a)) is amended by adding at the end the following:

“(3) Pregnant women and young children—Not later than the 2020 report and in each report thereafter, the Secretaries shall include national nutritional and dietary information and guidelines for pregnant women and children from birth until the age of 2.”

Sec. 4209 Purchases of locally produced foods

Section 9(j) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1758(j)) is amended—
(1)
by redesignating paragraphs (1) through (3) as subparagraphs (A) through (C), respectively, and indenting the subparagraphs appropriately;
(2)
by striking “The Secretary” and inserting the following:

“(1) In general—The Secretary”

(3)
in paragraph (1) (as so redesignated)—
(A)
in subparagraph (B)—
(i)
by striking “paragraph (1) of the policy described in that paragraph and paragraph (3)” and inserting “subparagraph (A) of the policy described in that subparagraph and subparagraph (C)”; and
(ii)
by striking “and” at the end;
(B)
in subparagraph (C), by striking the period at the end and inserting “; and”; and
(C)
by adding at the end the following:

“(D) not later than 1 year after the date of enactment of this subparagraph, in accordance with paragraphs (2) and (3), conduct not fewer than 5 demonstration projects through school food authorities receiving funds under this Act and the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) to facilitate the purchase of unprocessed and minimally processed locally grown and locally raised agricultural products.”

(4)
by adding at the end the following:

“(2) Selection—In conducting demonstration projects under paragraph (1)(D), the Secretary shall ensure that at least 1 project is located in a State in each of—

“(A) the Pacific Northwest Region;

“(B) the Northeast Region;

“(C) the Western Region;

“(D) the Midwest Region; and

“(E) the Southern Region.

“(3) Priority—In selecting States for participation in the demonstration projects under paragraph (2), the Secretary shall prioritize applications based on—

“(A) the quantity and variety of growers of local fruits and vegetables in the State;

“(B) the demonstrated commitment of the State to farm-to-school efforts, as evidenced by prior efforts to increase and promote farm-to- school programs in the State; and

“(C) whether the State contains a sufficient quantity of school districts of varying population sizes and geographical locations.”