Attachment H Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et. seq.)

Attachment H. Richard B. Russell National School
Lunch Act (42 U.S.C. 1751 et seq .)

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RICHARD B. RUSSELL NATIONAL SCHOOL LUNCH ACT
[As Amended Through P.L. 113–79, Enacted February 07, 2014]
TABLE OF CONTENTS 1
Sec. 1. ø1751 note¿ Short title.
Sec. 2. ø1751¿ Declaration of policy.
Sec. 3. ø1752¿ Appropriations authorized.
Sec. 4. ø1753¿ Apportionments to States.
Sec. 5. ø1754¿ Nutrition promotion.
Sec. 6. ø1755¿ Direct Federal expenditures.
Sec. 7. ø1756¿ Payments to States.
Sec. 8. ø1757¿ State disbursement to schools.
Sec. 9. ø1758¿ Nutritional and other program requirements.
Sec. 9A. ø1758b¿ Local school wellness policy.
Sec. 10. ø1759¿ Disbursement to schools by the Secretary.
Sec. 11. ø1759a¿ Special assistance.
Sec. 12. ø1760¿ Miscellaneous provisions and definitions.
Sec. 13. ø1761¿ Summer food service program for children.
Sec. 14. ø1762a¿ Commodity distribution program.
Sec. 16. ø1765¿ Election to receive cash payments.
Sec. 17. ø1766¿ Child and adult care food program.
Sec. 17A. ø1766a¿ Meal supplements for children in afterschool care.
Sec. 18. ø1769¿ Pilot projects.
Sec. 19. ø1769a¿ Fresh fruit and vegetable program.
Sec. 20. ø1769b¿ Department of Defense overseas dependents’ schools.
Sec. 21. ø1769b–1¿ Training, technical assistance, and food service management institute.
Sec. 22. ø1769c¿ Compliance and accountability.
Sec. 23. ø1769d¿ Childhood hunger research.
Sec. 24. ø1769e¿ State childhood hunger challenge grants.
Sec. 25. ø1769f¿ Duties of the Secretary relating to nonprocurement debarment.
Sec. 26. ø1769g¿ Information clearinghouse.
Sec. 28. ø1769i¿ Program evaluation.
Sec. 29. ø1769j¿ Ensuring safety of school meals.
AN ACT To provide assistance to the States in the establishment, maintenance,
operation, and expansion of school lunch programs, and for other purposes.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, ø42 U.S.C. 1751
note¿ That this Act may be cited as the ‘‘Richard B. Russell National School Lunch Act’’. 2
DECLARATION OF POLICY

SEC. 2. ø42 U.S.C. 1751¿ It is hereby declared to be the policy
of Congress, as a measure of national security, to safeguard the
health and well-being of the Nation’s children and to encourage the
domestic consumption of nutritious agricultural commodities and
other food, by assisting the States, through grants-in-aid and other
1 This

table of contents is not part of the Act but is included for user convenience. The
numbers in brackets refer to section numbers in title 42, United States Code.
2 P.L. 79–396, 60 Stat. 230, June 4, 1946.

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(c) The Secretary shall certify to the Secretary of the Treasury,
from time to time, the amounts to be paid to any State under this
section and shall specify when such payments are to be made. The
Secretary of the Treasury shall pay to the State, at the time or
times fixed by the Secretary, the amounts so certified.
(d) Notwithstanding any other provision of law, the Secretary
may enter into an agreement with a State agency, acting on the
request of a school food service authority, under which funds payable to the State under section 4 or 11 may be used by the Secretary for the purpose of purchasing commodities for use by the
school food service authority in meals served under the school
lunch program under this Act.
STATE DISBURSEMENT TO SCHOOLS

SEC. 8. ø42 U.S.C. 1757¿ (a) Funds paid to any State during
any fiscal year pursuant to section 4 shall be disbursed by the
State educational agency, in accordance with such agreements approved by the Secretary as may be entered into by such State agency and the schools in the State, to those schools in the State which
the State educational agency, taking into account need and attendance, determines are eligible to participate in the school lunch program.
(b) The agreements described in subsection (a) shall be permanent agreements that may be amended as necessary.
(c) The State educational agency may suspend or terminate
any such agreement in accordance with regulations prescribed by
the Secretary.
(d) Use of funds paid to States may include, in addition to the
purchase price of agricultural commodities and other foods, the cost
of processing, distributing, transporting, storing, or handling thereof.
(e) In no event shall such disbursement for food to any school
for any fiscal year exceed an amount determined by multiplying
the number of lunches served in the school in the school lunch program under this Act during such year by the maximum per meal
reimbursement rate for the State, for the type of lunch served, as
prescribed by the Secretary.
(f) In any fiscal year in which the national average payment
per lunch determined under section 4 is increased above the
amount prescribed in the previous fiscal year, the maximum per
meal reimbursement rate for the type of lunch served, shall be increased by a like amount.
(g) Lunch assistance disbursements to schools under this section and under section 11 of this Act may be made in advance or
by way of reimbursement in accordance with procedures prescribed
by the Secretary.
NUTRITIONAL AND OTHER PROGRAM REQUIREMENTS

SEC. 9. ø42 U.S.C. 1758¿ (a)(1)(A) Lunches served by schools
participating in the school lunch program under this Act shall meet
minimum nutritional requirements prescribed by the Secretary on
the basis of tested nutritional research, except that the minimum
nutritional requirements—
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(i) shall not be construed to prohibit the substitution of
foods to accommodate the medical or other special dietary
needs of individual students; and
(ii) shall, at a minimum, be based on the weekly average
of the nutrient content of school lunches.
(B) The Secretary shall provide technical assistance and training, including technical assistance and training in the preparation
of lower-fat versions of foods commonly used in the school lunch
program under this Act, to schools participating in the school lunch
program to assist the schools in complying with the nutritional requirements prescribed by the Secretary pursuant to subparagraph
(A) and in providing appropriate meals to children with medically
certified special dietary needs. The Secretary shall provide additional technical assistance to schools that are having difficulty
maintaining compliance with the requirements.
(2) FLUID MILK.—
(A) IN GENERAL.—Lunches served by schools participating in the school lunch program under this Act—
(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);
(ii) may offer students flavored and unflavored
fluid milk and lactose-free fluid milk; and
(iii) shall provide a substitute for fluid milk for
students whose disability restricts their diet, on receipt of a written statement from a licensed physician
that identifies the disability that restricts the student’s diet and that specifies the substitute for fluid
milk.
(B) SUBSTITUTES.—
(i) STANDARDS FOR SUBSTITUTION.—A school may
substitute for the fluid milk provided under subparagraph (A), a nondairy beverage that is nutritionally
equivalent to fluid milk and meets nutritional standards established by the Secretary (which shall, among
other requirements to be determined by the Secretary,
include fortification of calcium, protein, vitamin A, and
vitamin D to levels found in cow’s milk) for students
who cannot consume fluid milk because of a medical
or other special dietary need other than a disability
described in subparagraph (A)(iii).
(ii) NOTICE.—The substitutions may be made if
the school notifies the State agency that the school is
implementing a variation allowed under this subparagraph, and if the substitution is requested by written
statement of a medical authority or by a student’s parent or legal guardian that identifies the medical or
other special dietary need that restricts the student’s
diet, except that the school shall not be required to
provide beverages other than beverages the school has
identified as acceptable substitutes.
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(iii) EXCESS EXPENSES BORNE BY SCHOOL FOOD AUTHORITY.—Expenses incurred in providing substi-

tutions under this subparagraph that are in excess of
expenses covered by reimbursements under this Act
shall be paid by the school food authority.
(C) RESTRICTIONS ON SALE OF MILK PROHIBITED.—A
school that participates in the school lunch program under
this Act shall not directly or indirectly restrict the sale or
marketing of fluid milk products by the school (or by a person approved by the school) at any time or any place—
(i) on the school premises; or
(ii) at any school-sponsored event.
(3) Students in senior high schools that participate in the
school lunch program under this Act (and, when approved by the
local school district or nonprofit private schools, students in any
other grade level) shall not be required to accept offered foods they
do not intend to consume, and any such failure to accept offered
foods shall not affect the full charge to the student for a lunch
meeting the requirements of this subsection or the amount of payments made under this Act to any such school for such lunch.
(4) PROVISION OF INFORMATION.—
(A) GUIDANCE.—Prior to the beginning of the school
year beginning July 2004, the Secretary shall issue guidance to States and school food authorities to increase the
consumption of foods and food ingredients that are recommended for increased serving consumption in 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) RULES.—Not later than 2 years after the date of
enactment of this paragraph, the Secretary shall promulgate rules, based on the most recent Dietary Guidelines for
Americans, that reflect specific recommendations, expressed in serving recommendations, for increased consumption of foods and food ingredients offered in school
nutrition programs under this Act and the Child Nutrition
Act of 1966 (42 U.S.C. 1771 et seq.).
(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
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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.
(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.
(b)(1)(A) Not later than June 1 of each fiscal year, the Secretary shall prescribe income guidelines for determining eligibility
for free and reduced price lunches during the 12-month period beginning July 1 of such fiscal year and ending June 30 of the following fiscal year. The income guidelines for determining eligibility
for free lunches shall be 130 percent of the applicable family size
income levels contained in the nonfarm income poverty guidelines
prescribed by the Office of Management and Budget, as adjusted
annually in accordance with subparagraph (B). The income guidelines for determining eligibility for reduced price lunches for any
school year shall be 185 percent of the applicable family size income levels contained in the nonfarm income poverty guidelines
prescribed by the Office of Management and Budget, as adjusted
annually in accordance with subparagraph (B). The Office of Management and Budget guidelines shall be revised at annual intervals, or at any shorter interval deemed feasible and desirable.
(B) The revision required by subparagraph (A) of this paragraph shall be made by multiplying—
(i) the official poverty line (as defined by the Office of Management and Budget); by
(ii) the percentage change in the Consumer Price Index
during the annual or other interval immediately preceding the
time at which the adjustment is made.
Revisions under this subparagraph shall be made not more than 30
days after the date on which the consumer price index data required to compute the adjustment becomes available.
(2)(A) Following the determination by the Secretary under
paragraph (1) of this subsection of the income eligibility guidelines
for each school year, each State educational agency shall announce
the income eligibility guidelines, by family size, to be used by
schools in the State in making determinations of eligibility for free
and reduced price lunches. Local school authorities shall, each
year, publicly announce the income eligibility guidelines for free
and reduced price lunches on or before the opening of school.
(B) APPLICATIONS AND DESCRIPTIVE MATERIAL.—
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(i) IN GENERAL.—Applications for free and reduced
price lunches, in such form as the Secretary may prescribe or approve, and any descriptive material, shall
be distributed to the parents or guardians of children
in attendance at the school, and shall contain only the
family size income levels for reduced price meal eligibility with the explanation that households with incomes less than or equal to these values would be eligible for free or reduced price lunches.
(ii) INCOME ELIGIBILITY GUIDELINES.—Forms and
descriptive material distributed in accordance with
clause (i) may not contain the income eligibility guidelines for free lunches.
(iii) CONTENTS OF DESCRIPTIVE MATERIAL.—
(I) IN GENERAL.—Descriptive material distributed in accordance with clause (i) shall contain a
notification that—
(aa) participants in the programs listed in
subclause (II) may be eligible for free or reduced price meals; and
(bb) documentation may be requested for
verification of eligibility for free or reduced
price meals.
(II) PROGRAMS.—The programs referred to in
subclause (I)(aa) are—
(aa) the special supplemental nutrition
program for women, infants, and children established by section 17 of the Child Nutrition
Act of 1966 (42 U.S.C. 1786);
(bb) the supplemental nutrition assistance program established under the Food and
Nutrition Act of 2008 (7 U.S.C. 2011 et seq.);
(cc) the food distribution program on In- dian
reservations established under section 4(b) of
the Food and Nutrition Act of 2008 (7
U.S.C. 2013(b)); and
(dd) a State program funded under the
program of block grants to States for temporary assistance for needy families established under part A of title IV of the Social
Security Act (42 U.S.C. 601 et seq.).
(3) HOUSEHOLD APPLICATIONS.—
(A) DEFINITION OF HOUSEHOLD APPLICATION.—In this
paragraph, the term ‘‘household application’’ means an application for a child of a household to receive free or reduced price school lunches under this Act, or free or reduced price school breakfasts under the Child Nutrition
Act of 1966 (42 U.S.C. 1771 et seq.), for which an eligibility determination is made other than under paragraph
(4) or (5).
(B) ELIGIBILITY DETERMINATION.—
(i) IN GENERAL.—An eligibility determination shall
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tion executed by an adult member of the household or
in accordance with guidance issued by the Secretary.
(ii) ELECTRONIC SIGNATURES AND APPLICATIONS.—
A household application may be executed using an
electronic signature if—
(I) the application is submitted electronically;
and
(II) the electronic application filing system
meets confidentiality standards established by the
Secretary.
(C) CHILDREN IN HOUSEHOLD.—
(i) IN GENERAL.—The household application shall
identify the names of each child in the household for
whom meal benefits are requested.
(ii) SEPARATE APPLICATIONS.—A State educational
agency or local educational agency may not request a
separate application for each child in the household
that attends schools under the same local educational
agency.
(D) VERIFICATION OF SAMPLE.—
(i) DEFINITIONS.—In this subparagraph:
(I) ERROR PRONE APPLICATION.—The term
‘‘error prone application’’ means an approved
household application that—
(aa) indicates monthly income that is
within $100, or an annual income that is
within $1,200, of the income eligibility limitation for free or reduced price meals; or
(bb) in lieu of the criteria established
under item (aa), meets criteria established by
the Secretary.
(II) NON-RESPONSE RATE.—The term ‘‘non-response rate’’ means (in accordance with guidelines
established by the Secretary) the percentage of approved
household
applications
for
which
verification information has not been obtained by
a local educational agency after attempted
verification under subparagraphs (F) and (G).
(ii) VERIFICATION OF SAMPLE.—Each school year, a
local educational agency shall verify eligibility of the
children in a sample of household applications approved for the school year by the local educational
agency, as determined by the Secretary in accordance
with this subsection.
(iii) SAMPLE SIZE.—Except as otherwise provided
in this paragraph, the sample for a local educational
agency for a school year shall equal the lesser of—
(I) 3 percent of all applications approved by
the local educational agency for the school year, as
of October 1 of the school year, selected from error
prone applications; or
(II) 3,000 error prone applications approved
by the local educational agency for the school
year, as of October 1 of the school year.
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(iv) ALTERNATIVE SAMPLE SIZE.—
(I) IN GENERAL.—If the conditions described in
subclause (IV) are met, the verification sample
size for a local educational agency shall be the
sample size described in subclause (II) or (III), as
determined by the local educational agency.
(II) 3,000/3 PERCENT OPTION.—The
sample
size described in this subclause shall be the lesser
of 3,000, or 3 percent of, applications selected at
random from applications approved by the local
educational agency for the school year, as of October 1 of the school year.
(III) 1,000/1 PERCENT PLUS OPTION.—
(aa) IN GENERAL.—The sample size described in this subclause shall be the sum of—
(AA) the lesser of 1,000, or 1 percent
of, all applications approved by the local
educational agency for the school year, as
of October 1 of the school year, selected
from error prone applications; and
(BB) the lesser of 500, or 1⁄2 of 1 percent of, applications approved by the local
educational agency for the school year, as
of October 1 of the school year, that provide a case number (in lieu of income information) showing participation in a program described in item (bb) selected from
those approved applications that provide
a case number (in lieu of income information) verifying the participation.
(bb) PROGRAMS.—The programs described
in this item are—
(AA) the supplemental nutrition assistance program established under the
Food and Nutrition Act of 2008 (7 U.S.C.
2011 et seq.);
(BB) the food distribution program on
Indian reservations established under
section 4(b) of the Food and Nutrition Act
of 2008 (7 U.S.C. 2013(b)); and
(CC) a State program funded under
the program of block grants to States for
temporary assistance for needy families
established under part A of title IV of the
Social Security Act (42 U.S.C. 601 et seq.)
that the Secretary determines complies
with standards established by the Secretary that ensure that the standards
under the State program are comparable
to or more restrictive than those in effect
on June 1, 1995.
(IV) CONDITIONS.—The conditions referred to
in subclause (I) shall be met for a local educational agency for a school year if—
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(aa) the nonresponse rate for the local
educational agency for the preceding school
year is less than 20 percent; or
(bb) the local educational agency has
more than 20,000 children approved by application by the local educational agency as eligible for free or reduced price meals for the
school year, as of October 1 of the school year,
and—
(AA) the nonresponse rate for the
preceding school year is at least 10 percent below the nonresponse rate for the
second preceding school year; or
(BB) in the case of the school year beginning July 2005, the local educational
agency attempts to verify all approved
household
applications
selected
for
verification through use of public agency
records from at least 2 of the programs or
sources of information described in subparagraph (F)(i).
(v) ADDITIONAL SELECTED APPLICATIONS.—A sample for a local educational agency for a school year
under clauses (iii) and (iv)(III)(AA) shall include the
number of additional randomly selected approved
household applications that are required to comply
with the sample size requirements in those clauses.
(E) PRELIMINARY REVIEW.—
(i) REVIEW FOR ACCURACY.—
(I) IN GENERAL.—Prior to conducting any
other verification activity for approved household
applications selected for verification, the local educational agency shall ensure that the initial eligibility determination for each approved household
application is reviewed for accuracy by an individual other than the individual making the initial eligibility determination, unless otherwise determined by the Secretary.
(II) WAIVER.—The requirements of subclause
(I) shall be waived for a local educational agency
if the local educational agency is using a technology-based solution that demonstrates a high
level of accuracy, to the satisfaction of the Secretary, in processing an initial eligibility determination in accordance with the income eligibility
guidelines of the school lunch program.
(ii) CORRECT ELIGIBILITY DETERMINATION.—If the
review indicates that the initial eligibility determination is correct, the local educational agency shall verify
the approved household application.
(iii) INCORRECT ELIGIBILITY DETERMINATION .—If
the review indicates that the initial eligibility determination is incorrect, the local educational agency
shall (as determined by the Secretary)—
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(I) correct the eligibility status of the household;
(II) notify the household of the change;
(III) in any case in which the review indicates
that the household is not eligible for free or reduced-price meals, notify the household of the reason for the ineligibility and that the household
may reapply with income documentation for free
or reduced-price meals; and
(IV) in any case in which the review indicates
that the household is eligible for free or reducedprice meals, verify the approved household application.
(F) DIRECT VERIFICATION.—
(i) IN GENERAL.—Subject to clauses (ii) and (iii), to
verify eligibility for free or reduced price meals for approved household applications selected for verification,
the local educational agency may (in accordance with
criteria established by the Secretary) first obtain and
use income and program participation information
from a public agency administering—
(I) the supplemental nutrition assistance program established under the Food and Nutrition
Act of 2008 (7 U.S.C. 2011 et seq.);
(II) the food distribution program on Indian
reservations established under section 4(b) of the
Food and Nutrition Act of 2008 (7 U.S.C. 2013(b));
(III) the temporary assistance for needy families program funded under part A of title IV of the
Social Security Act (42 U.S.C. 601 et seq.);
(IV) the State medicaid program under title
XIX of the Social Security Act (42 U.S.C. 1396 et
seq.); or
(V) a similar income-tested program or other
source of information, as determined by the Secretary.
(ii) FREE MEALS.—Public agency records that may
be obtained and used under clause (i) to verify eligibility for free meals for approved household applications selected for verification shall include the most recent available information (other than information reflecting program participation or income before the 180day period ending on the date of application for free
meals) that is relied on to administer—
(I) a program or source of information described in clause (i) (other than clause (i)(IV)); or
(II) the State plan for medical assistance
under title XIX of the Social Security Act (42
U.S.C. 1396 et seq.) in—
(aa) a State in which the income eligibility limit applied under section 1902(l)(2)(C)
of that Act (42 U.S.C. 1396a(l)(2)(C)) is not
more than 133 percent of the official poverty
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line described in section 1902(l)(2)(A) of that
Act (42 U.S.C. 1396a(l)(2)(A)); or
(bb) a State that otherwise identifies
households that have income that is not more
than 133 percent of the official poverty line
described in section 1902(l)(2)(A) of that Act
(42 U.S.C. 1396a(l)(2)(A)).
(iii) REDUCED
agency
PRICE
MEALS.—Public
records that may be obtained and used under clause
(i) to verify eligibility for reduced price meals for approved household applications selected for verification
shall include the most recent available information
(other than information reflecting program participation or income before the 180-day period ending on the
date of application for reduced price meals) that is relied on to administer—
(I) a program or source of information described in clause (i) (other than clause (i)(IV)); or
(II) the State plan for medical assistance
under title XIX of the Social Security Act (42
U.S.C. 1396 et seq.) in—
(aa) a State in which the income eligibility limit applied under section 1902(l)(2)(C)
of that Act (42 U.S.C. 1396a(l)(2)(C)) is not
more than 185 percent of the official poverty
line described in section 1902(l)(2)(A) of that
Act (42 U.S.C. 1396a(l)(2)(A)); or
(bb) a State that otherwise identifies
households that have income that is not more
than 185 percent of the official poverty line
described in section 1902(l)(2)(A) of that Act
(42 U.S.C. 1396a(l)(2)(A)).
(iv) EVALUATION.—Not later than 3 years after the
date of enactment of this subparagraph, the Secretary
shall complete an evaluation of—
(I) the effectiveness of direct verification carried out under this subparagraph in decreasing
the portion of the verification sample that must be
verified under subparagraph (G) while ensuring
that adequate verification information is obtained;
and
(II) the feasibility of direct verification by
State agencies and local educational agencies.
(v) EXPANDED USE OF DIRECT VERIFICATION.—If
the Secretary determines that direct verification significantly decreases the portion of the verification
sample that must be verified under subparagraph (G),
while ensuring that adequate verification information
is obtained, and can be conducted by most State agencies and local educational agencies, the Secretary may
require a State agency or local educational agency to
implement direct verification through 1 or more of the
programs described in clause (i), as determined by the
Secretary, unless the State agency or local educational
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agency demonstrates (under criteria established by the
Secretary) that the State agency or local educational
agency lacks the capacity to conduct, or is unable to
implement, direct verification.
(G) HOUSEHOLD VERIFICATION.—
(i) IN GENERAL.—If an approved household application is not verified through the use of public agency
records, a local educational agency shall provide to the
household written notice that—
(I) the approved household application has
been selected for verification; and
(II) the household is required to submit
verification information to confirm eligibility for
free or reduced price meals.
(ii) PHONE NUMBER.—The written notice in clause
(i) shall include a toll-free phone number that parents
and legal guardians in households selected for
verification can call for assistance with the verification
process.
(iii) FOLLOWUP ACTIVITIES.—If a household does
not respond to a verification request, a local educational agency shall make at least 1 attempt to obtain the necessary verification from the household in
accordance with guidelines and regulations promulgated by the Secretary.
(iv) CONTRACT AUTHORITY FOR SCHOOL FOOD AUTHORITIES.—A local educational agency may contract
(under standards established by the Secretary) with a
third party to assist the local educational agency in
carrying out clause (iii).
(H) VERIFICATION DEADLINE.—
(i) GENERAL DEADLINE.—
(I) IN GENERAL.—Subject to subclause (II), not
later than November 15 of each school year, a
local educational agency shall complete the
verification activities required for the school year
(including followup activities).
(II) EXTENSION.—Under criteria established
by the Secretary, a State may extend the deadline
established under subclause (I) for a school year
for a local educational agency to December 15 of
the school year.
(ii)
ELIGIBILITY
CHANGES.—Based
on
the
verification activities, the local educational agency
shall make appropriate modifications to the eligibility
determinations made for household applications in accordance with criteria established by the Secretary.
(I) LOCAL CONDITIONS.—In the case of a natural disaster, civil disorder, strike, or other local condition (as determined by the Secretary), the Secretary may substitute
alternatives for—
(i) the sample size and sample selection criteria
established under subparagraph (D); and
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(ii) the verification deadline established under
subparagraph (H).
(J) INDIVIDUAL REVIEW.—In accordance with criteria
established by the Secretary, the local educational agency
may, on individual review—
(i) decline to verify no more than 5 percent of approved household applications selected under subparagraph (D); and
(ii) replace the approved household applications
with other approved household applications to be
verified.
(K) FEASIBILITY STUDY.—
(i) IN GENERAL.—The Secretary shall conduct a
study of the feasibility of using computer technology
(including data mining) to reduce—
(I) overcertification errors in the school lunch
program under this Act;
(II) waste, fraud, and abuse in connection
with this paragraph; and
(III) errors, waste, fraud, and abuse in other
nutrition programs, as determined to be appropriate by the Secretary.
(ii) REPORT.—Not later than 180 days after the
date of enactment of this paragraph, the Secretary
shall submit to the Committee on Education and the
Workforce of the House of Representatives and the
Committee on Agriculture, Nutrition, and Forestry of
the Senate a report describing—
(I) the results of the feasibility study conducted under this subsection;
(II) how a computer system using technology
described in clause (i) could be implemented;
(III) a plan for implementation; and
(IV) proposed legislation, if necessary, to implement the system.
(4) DIRECT CERTIFICATION FOR CHILDREN IN SUPPLEMENTAL
NUTRITION ASSISTANCE PROGRAM HOUSEHOLDS.—
(A) IN GENERAL.—Subject to subparagraph (D), each
State agency shall enter into an agreement with the State
agency conducting eligibility determinations for the supplemental nutrition assistance program established under
the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.).
(B) PROCEDURES.—Subject to paragraph (6), the agreement shall establish procedures under which a child who
is a member of a household receiving assistance under the
supplemental nutrition assistance program shall be certified 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.
(C) CERTIFICATION.—Subject to paragraph (6), under
the agreement, the local educational agency conducting eligibility determinations for a school lunch program under
this Act and a school breakfast program under the Child
Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) shall certify
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a child who is a member of a household receiving assistance under the supplemental nutrition assistance program
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.
(D) APPLICABILITY.—This paragraph applies to—
(i) in the case of the school year beginning July
2006, a school district that had an enrollment of
25,000 students or more in the preceding school year;
(ii) in the case of the school year beginning July
2007, a school district that had an enrollment of
10,000 students or more in the preceding school year;
and
(iii) in the case of the school year beginning July
2008 and each subsequent school year, each local educational agency.
(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
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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.
(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
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(cc) goals for the State to improve direct
certification results.
(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).
(5) 3 DISCRETIONARY CERTIFICATION.—Subject to paragraph
(6), any local educational agency may certify any child as eligible for free lunches or breakfasts, without further application,
by directly communicating with the appropriate State or local
agency to obtain documentation of the status of the child as—
(A) a member of a family that is receiving assistance
under the temporary assistance for needy families program
funded under part A of title IV of the Social Security Act
(42 U.S.C. 601 et seq.) that the Secretary determines complies with standards established by the Secretary that ensure that the standards under the State program are comparable to or more restrictive than those in effect on June
1, 1995;
(B) a homeless child or youth (defined as 1 of the individuals described in section 725(2) of the McKinney-Vento
Homeless Assistance Act (42 U.S.C. 11434a(2)); 4
(C) served by the runaway and homeless youth grant
program established under the Runaway and Homeless
Youth Act (42 U.S.C. 5701 et seq.);
(D) a migratory child (as defined in section 1309 of the
Elementary and Secondary Education Act of 1965 (20
U.S.C. 6399)); or
(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.
USE OR DISCLOSURE OF INFORMATION.—
(A) IN GENERAL.—The use or disclosure of any information obtained from an application for free or reduced
price meals, or from a State or local agency referred to in
paragraph (3)(F), (4), or (5), shall be limited to—
(i) a person directly connected with the administration or enforcement of this Act or the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) (including a
regulation promulgated under either Act);
(ii) a person directly connected with the administration or enforcement of—
(I) a Federal education program;
3 Effective July 1, 2005, paragraphs (5) through (8) added by section 104(b)(1) of P.L. 108–
265, 118 Stat. 734, June 30, 2004. End quotation marks and the following period at the end
of paragraph (5)(A) were struck to effectuate the probable intent of Congress.
4 So in original. Probably should be an additional closed parenthesis.

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(II) a State health or education program administered by the State or local educational agency (other than a program carried out under title
XIX or XXI of the Social Security Act (42 U.S.C.
1396 et seq.; 42 U.S.C. 1397aa et seq.)); or
(III) a Federal, State, or local means-tested
nutrition program with eligibility standards comparable to the school lunch program under this
Act;
(iii)(I) the Comptroller General of the United
States for audit and examination authorized by any
other provision of law; and
(II) notwithstanding any other provision of law, a
Federal, State, or local law enforcement official for the
purpose of investigating an alleged violation of any
program covered by this paragraph or paragraph
(3)(F), (4), or (5);
(iv) a person directly connected with the administration of the State medicaid program under title XIX
of the Social Security Act (42 U.S.C. 1396 et seq.) or
the State children’s health insurance program under
title XXI of that Act (42 U.S.C. 1397aa et seq.) solely
for the purposes of—
(I) identifying children eligible for benefits
under, and enrolling children in, those programs,
except that this subclause shall apply only to the
extent that the State and the local educational
agency or school food authority so elect; and
(II) verifying the eligibility of children for programs under this Act or the Child Nutrition Act
of 1966 (42 U.S.C. 1771 et seq.); and
(v) a third party contractor described in paragraph
(3)(G)(iv).
(B) LIMITATION ON INFORMATION PROVIDED.—Information provided under clause (ii) or (v) of subparagraph (A)
shall be limited to the income eligibility status of the child
for whom application for free or reduced price meal benefits is made or for whom eligibility information is provided
under paragraph (3)(F), (4), or (5), unless the consent of
the parent or guardian of the child for whom application
for benefits was made is obtained.
(C) CRIMINAL PENALTY.—A person described in subparagraph (A) who publishes, divulges, discloses, or makes
known in any manner, or to any extent not authorized by
Federal law (including a regulation), any information obtained under this subsection shall be fined not more than
$1,000 or imprisoned not more than 1 year, or both.
(D) REQUIREMENTS FOR WAIVER OF CONFIDENTIALITY.—
A State that elects to exercise the option described in subparagraph (A)(iv)(I) shall ensure that any local educational
agency or school food authority acting in accordance with
that option—
(i) has a written agreement with 1 or more State
or local agencies administering health programs for
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children under titles XIX and XXI of the Social Security Act (42 U.S.C. 1396 et seq. and 1397aa et seq.)
that requires the health agencies to use the information obtained under subparagraph (A) to seek to enroll
children in those health programs; and
(ii)(I) notifies each household, the information of
which shall be disclosed under subparagraph (A), that
the information disclosed will be used only to enroll
children in health programs referred to in subparagraph (A)(iv); and
(II) provides each parent or guardian of a child in
the household with an opportunity to elect not to have
the information disclosed.
(E) USE OF DISCLOSED INFORMATION.—A person
to
which information is disclosed under subparagraph
(A)(iv)(I) shall use or disclose the information only as necessary for the purpose of enrolling children in health programs referred to in subparagraph (A)(iv).
(7) FREE AND REDUCED PRICE POLICY STATEMENT.—
(A) IN GENERAL.—After the initial submission, a local
educational agency shall not be required to submit a free
and reduced price policy statement to a State educational
agency under this Act unless there is a substantive change
in the free and reduced price policy of the local educational
agency.
(B) ROUTINE CHANGE.—A routine change in the policy
of a local educational agency (such as an annual adjustment of the income eligibility guidelines for free and reduced price meals) shall not be sufficient cause for requiring the local educational agency to submit a policy statement.
(8) COMMUNICATIONS.—
(A) IN GENERAL.—Any communication with a household under this subsection or subsection (d) shall be in an
understandable and uniform format and, to the maximum
extent practicable, in a language that parents and legal
guardians can understand.
(B) ELECTRONIC AVAILABILITY.—In addition to the distribution of applications and descriptive material in paper
form as provided for in this paragraph, the applications
and material may be made available electronically via the
Internet.
(9) ELIGIBILITY FOR FREE AND REDUCED PRICE LUNCHES.—
(A) FREE LUNCHES.—Any child who is a member of a
household whose income, at the time the application is
submitted, is at an annual rate which does not exceed the
applicable family size income level of the income eligibility
guidelines for free lunches, as determined under paragraph (1), shall be served a free lunch.
(B) REDUCED PRICE LUNCHES.—
(i) IN GENERAL.—Any child who is a member of a
household whose income, at the time the application is
submitted, is at an annual rate greater than the applicable family size income level of the income eligibility
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guidelines for free lunches, as determined under paragraph (1), but less than or equal to the applicable family size income level of the income eligibility guidelines
for reduced price lunches, as determined under paragraph (1), shall be served a reduced price lunch.
(ii) MAXIMUM PRICE.—The price charged for a reduced price lunch shall not exceed 40 cents.
(C) DURATION.—Except as otherwise specified in paragraph (3)(E), (3)(H)(ii), and section 11(a), eligibility for free
or reduced price meals for any school year shall remain in
effect—
(i) beginning on the date of eligibility approval for
the current school year; and
(ii) ending on a date during the subsequent school
year determined by the Secretary.
(10) No physical segregation of or other discrimination against
any child eligible for a free lunch or a reduced price lunch under
this subsection shall be made by the school nor shall there be any
overt identification of any child by special tokens or tickets, announced or published list of names, or by other means.
(11) Any child who has a parent or guardian who (A) is responsible for the principal support of such child and (B) is unemployed
shall be served a free or reduced price lunch, respectively, during
any period (i) in which such child’s parent or guardian continues
to be unemployed and (ii) the income of the child’s parents or
guardians during such period of unemployment falls within the income eligibility criteria for free lunches or reduced price lunches,
respectively, based on the current rate of income of such parents
or guardians. Local educational agencies shall publicly announce
that such children are eligible for free or reduced price lunch, and
shall make determinations with respect to the status of any parent
or guardian of any child under clauses (A) and (B) of the preceding
sentence on the basis of a statement executed in such form as the
Secretary may prescribe by such parent or guardian. No physical
segregation of, or other discrimination against, any child eligible
for a free or reduced price lunch under this paragraph shall be
made by the school nor shall there be any overt identification of
any such child by special tokens or tickets, announced or published
lists of names, or by any other means.
(12)(A) A child shall be considered automatically eligible for a
free lunch and breakfast under this Act and the Child Nutrition
Act of 1966 (42 U.S.C. 1771 et seq.), respectively, without further
application or eligibility determination, if the child is—
(i) a member of a household receiving assistance under the
supplemental nutrition assistance program authorized under
the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.);
(ii) a member of a family (under the State program funded
under part A of title IV of the Social Security Act (42 U.S.C.
601 et seq.)) that the Secretary determines complies with
standards established by the Secretary that ensure that the
standards under the State program are comparable to or more
restrictive than those in effect on June 1, 1995;
(iii) enrolled as a participant in a Head Start program authorized under the Head Start Act (42 U.S.C. 9831 et seq.), on
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the basis of a determination that the child meets the eligibility
criteria prescribed under section 645(a)(1)(B) of the Head Start
Act (42 U.S.C. 9840(a)(1)(B));
(iv) a homeless child or youth (defined as 1 of the individuals described in section 725(2) of the McKinney-Vento
Homeless Assistance Act (42 U.S.C. 11434a(2)));
(v) served by the runaway and homeless youth grant
program established under the Runaway and Homeless
Youth Act (42 U.S.C. 5701 et seq.);
(vi) a migratory child (as defined in section 1309 of the
Elementary and Secondary Education Act of 1965 (20
U.S.C. 6399)); or
(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.
(B) Proof of receipt of supplemental nutrition assistance program benefitss or assistance under the State program funded
under part A of title IV of the Social Security Act (42 U.S.C. 601
et seq.) that the Secretary determines complies with standards established by the Secretary that ensure that the standards under
the State program are comparable to or more restrictive than those
in effect on June 1, 1995, or of enrollment or participation in a
Head Start program on the basis described in subparagraph (A)(iii),
shall be sufficient to satisfy any verification requirement imposed
under this subsection.
(13) EXCLUSION OF CERTAIN MILITARY HOUSING ALLOWANCES.—The amount of a basic allowance provided under section 403 of title 37, United States Code, on behalf of a member
of a uniformed service for housing that is acquired or constructed under subchapter IV of chapter 169 of title 10, United
States Code, or any related provision of law, shall not be considered to be income for the purpose of determining the eligibility of a child who is a member of the household of the member of a uniformed service for free or reduced price lunches
under this Act.
(14) COMBAT PAY.—
(A) DEFINITION OF COMBAT PAY.—In this paragraph,
the term ‘‘combat pay’’ means any additional payment
under chapter 5 of title 37, United States Code, or otherwise designated by the Secretary to be appropriate for exclusion under this paragraph, that is received by or from
a member of the United States Armed Forces deployed to
a designated combat zone, if the additional pay—
(i) is the result of deployment to or service in a
combat zone; and
(ii) was not received immediately prior to serving
in a combat zone.
(B) EXCLUSION.—Combat pay shall not be considered
to be income for the purpose of determining the eligibility
for free or reduced price meals of a child who is a member
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of the household of a member of the United States Armed
Forces.
(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
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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
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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.
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(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.
(c) School lunch programs under this Act shall be operated on
a nonprofit basis. Commodities purchased under the authority of
section 32 of the Act of August 24, 1935, ø(7 U.S.C. 612c)¿ may be
donated by the Secretary to schools, in accordance with the needs
as determined by local school authorities, for utilization in the
school lunch program under this Act as well as to other schools carrying out nonprofit school lunch programs and institutions authorized to receive such commodities. The requirements of this section
relating to the service of meals without cost or at a reduced cost
shall apply to the lunch program of any school utilizing commodities donated under any provision of law.
(d)(1) The Secretary shall require as a condition of eligibility
for receipt of free or reduced price lunches that the member of the
household who executes the application furnish the last 4 digits of
the social security account number of the parent or guardian who
is the primary wage earner responsible for the care of the child for
whom the application is made, or that of another appropriate adult
member of the child’s household, as determined by the Secretary.
(2) No member of a household may be provided a free or reduced price lunch under this Act unless—
(A) appropriate documentation relating to the income of
such household (as prescribed by the Secretary) has been provided to the appropriate local educational agency so that the
local educational agency may calculate the total income of such
household;
(B) documentation showing that the household is participating in the supplemental nutrition assistance program under
the Food and Nutrition Act of 2008 ø(7 U.S.C. 2011 et seq.)¿
has been provided to the appropriate local educational agency;
(C) documentation has been provided to the appropriate
local educational agency showing that the family is receiving
assistance under the State program funded under part A of
title IV of the Social Security Act that the Secretary determines complies with standards established by the Secretary
that ensure that the standards under the State program are
comparable to or more restrictive than those in effect on June
1, 1995;
(D) documentation has been provided to the appropriate
local educational agency showing that the child meets the criteria specified in clauses (iv) or (v) of subsection (b)(12)(A);
(E) documentation has been provided to the appropriate
local educational agency showing the status of the child as a
migratory child (as defined in section 1309 of the Elementary
and Secondary Education Act of 1965 (20 U.S.C. 6399));
(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
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(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; or
(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)).
(e) A school or school food authority participating in a program
under this Act may not contract with a food service company to
provide a la carte food service unless the company agrees to offer
free, reduced price, and full-price reimbursable meals to all eligible
children.
(f) NUTRITIONAL REQUIREMENTS.—
(1) IN GENERAL.—Schools that are participating in the
school lunch program or school breakfast program shall serve
lunches and breakfasts that—
(A) are consistent with the goals 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); and
(B) consider the nutrient needs of children who may be
at risk for inadequate food intake and food insecurity.
(2) To assist schools in meeting the requirements of this subsection, the Secretary—
(A) shall—
(i) develop, and provide to schools, standardized recipes, menu cycles, and food product specification and preparation techniques; and
(ii) provide to schools information regarding nutrient
standard menu planning, assisted nutrient standard menu
planning, and food-based menu systems; and
(B) may provide to schools information regarding other approaches, as determined by the Secretary.
(3) USE OF ANY REASONABLE APPROACH.—
(A) IN GENERAL.—A school food service authority may use
any reasonable approach, within guidelines established by the
Secretary in a timely manner, to meet the requirements of this
subsection, including—
(i) using the school nutrition meal pattern in effect for
the 1994–1995 school year; and
(ii) using any of the approaches described in paragraph (3).
(B) NUTRIENT ANALYSIS.—The Secretary may not require a
school to conduct or use a nutrient analysis to meet the requirements of this subsection.
(4) WAIVER OF REQUIREMENT FOR WEIGHTED AVERAGES FOR
NUTRIENT ANALYSIS.—During the period ending on September
30, 2010, the Secretary shall not require the use of weighted
averages for nutrient analysis of menu items and foods offered
or served as part of a meal offered or served under the school
lunch program under this Act or the school breakfast program
under section 4 of the Child Nutrition Act of 1966 (42 U.S.C.
1773).
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(g) Not later than 1 year after the date of enactment of this
subsection, the Secretary shall provide a notification to Congress
that justifies the need for production records required under section
210.10(b) of title 7, Code of Federal Regulations, and describes how
the Secretary has reduced paperwork relating to the school lunch
and school breakfast programs.
(h) FOOD SAFETY.—
(1) IN GENERAL.—A school participating in the school lunch
program under this Act or the school breakfast program under
section 4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773)
shall—
(A) at least twice during each school year, obtain a
food safety inspection conducted by a State or local governmental agency responsible for food safety inspections;
(B) post in a publicly visible location a report on the
most recent inspection conducted under subparagraph (A);
and
(C) on request, provide a copy of the report to a member of the public.
(2) STATE AND LOCAL GOVERNMENT INSPECTIONS.—Nothing
in paragraph (1) prevents any State or local government from
adopting or enforcing any requirement for more frequent food
safety inspections of schools.
(3) AUDITS AND REPORTS BY STATES.—For each of fiscal
years 2011 through 2015, each State shall annually—
(A) audit food safety inspections of schools conducted
under paragraphs (1) and (2); and
(B) submit to the Secretary a report of the results of
the audit.
(4) AUDIT BY THE SECRETARY.—For each of fiscal years
2011 through 2015, the Secretary shall annually audit State
reports of food safety inspections of schools submitted under
paragraph (3).
(5) SCHOOL FOOD SAFETY PROGRAM.—
(A) IN GENERAL.—Each school food authority shall implement a school food safety program, in the preparation
and service of each meal served to children, that complies
with any hazard analysis and critical control point system
established by the Secretary.
(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).
(i) SINGLE PERMANENT AGREEMENT BETWEEN STATE AGENCY
AND SCHOOL FOOD AUTHORITY; COMMON CLAIMS FORM.—
(1) IN GENERAL.—If a single State agency administers any
combination of the school lunch program under this Act, the
school breakfast program under section 4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773), the summer food service program for children under section 13 of this Act, or the child and
adult care food program under section 17 of this Act, the agency shall—
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(A) require each school food authority to submit to the
State agency a single agreement with respect to the operation by the authority of the programs administered by the
State agency; and
(B) use a common claims form with respect to meals
and supplements served under the programs administered
by the State agency.
(2) ADDITIONAL REQUIREMENT.—The agreement
described
in paragraph (1)(A) shall be a permanent agreement that may
be amended as necessary.
(j) PURCHASES OF LOCALLY PRODUCED FOODS.—The Secretary
shall—
(1) encourage institutions receiving funds under this Act
and the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.)
to purchase unprocessed agricultural products, both locally
grown and locally raised, to the maximum extent practicable
and appropriate;
(2) advise institutions participating in a program described
in paragraph (1) of the policy described in that paragraph and
paragraph (3) and post information concerning the policy on
the website maintained by the Secretary; and
(3) allow institutions receiving funds under this Act and
the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.), including the Department of Defense Fresh Fruit and Vegetable
Program, to use a geographic preference for the procurement
of unprocessed agricultural products, both locally grown and locally raised.
(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.
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(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.
(l) FOOD DONATION PROGRAM.—
(1) IN GENERAL.—Each school and local educational agency
participating in the school lunch program under this Act may
donate any food not consumed under such program to eligible
local food banks or charitable organizations.
(2) GUIDANCE.—
(A) IN GENERAL.—Not later than 180 days after the
date of the enactment of this subsection, the Secretary
shall develop and publish guidance to schools and local
educational agencies participating in the school lunch program under this Act to assist such schools and local educational agencies in donating food under this subsection.
(B) UPDATES.—The Secretary shall update such guidance as necessary.
(3) LIABILITY.—Any school or local educational agency
making donations pursuant to this subsection shall be exempt
from civil and criminal liability to the extent provided under
the Bill Emerson Good Samaritan Food Donation Act (42
U.S.C. 1791).
(4) DEFINITION.—In this subsection, the term ‘‘eligible local
food banks or charitable organizations’’ means any food bank
or charitable organization which is exempt from tax under section 501(c)(3) of the Internal Revenue Code of 1986 (26 U.S.C.
501(c)(3)).
SEC. 9A. ø42 U.S.C. 1758b¿ 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
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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 efFebruary 7, 2014

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fectiveness 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.
DISBURSEMENT TO SCHOOLS BY THE SECRETARY

SEC. 10. ø42 U.S.C. 1759¿ (a) The Secretary shall withhold
funds payable to a State under this Act and disburse the funds directly to schools, institutions, or service institutions within the
State for the purposes authorized by this Act to the extent that the
Secretary has so withheld and disbursed such funds continuously
since October 1, 1980, but only to such extent (except as otherwise
required by subsection (b)). Any funds so withheld and disbursed
by the Secretary shall be used for the same purposes, and shall be
subject to the same conditions, as applicable to a State disbursing
funds made available under this Act. If the Secretary is administering (in whole or in part) any program authorized under this
Act, the State in which the Secretary is administering the program
may, upon request to the Secretary, assume administration of that
program.
(b) If a State educational agency is not permitted by law to disburse the funds paid to it under this Act to any of the nonpublic
schools in the State, the Secretary shall disburse the funds directly
to such schools within the State for the same purposes and subject
to the same conditions as are authorized or required with respect
to the disbursements to public schools within the State by the
State educational agency.
SPECIAL ASSISTANCE

SEC. 11. ø42 U.S.C. 1759a¿ (a)(1)(A) Except as provided in section 10 of this Act, in each fiscal year each State educational agency shall receive special assistance payments in an amount equal to
the sum of the product obtained by multiplying the number of
lunches (consisting of a combination of foods which meet the minimum nutritional requirements prescribed by the Secretary pursuant to subsection 9(a) of this Act) served free to children eligible
for such lunches in schools within that State during such fiscal
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year by the special assistance factor for free lunches prescribed by
the Secretary for such fiscal year and the product obtained by multiplying the number of lunches served at a reduced price to children eligible for such reduced price lunches in schools within that
State during such fiscal year by the special assistance factor for reduced price lunches prescribed by the Secretary for such fiscal
year.
(B) Except as provided in subparagraph (C), (D), (E), or (F), in
the case of any school which determines that at least 80 percent
of the children in attendance during a school year (hereinafter in
this sentence referred to as the ‘‘first school year’’) are eligible for
free lunches or reduced price lunches, special assistance payments
shall be paid to the State educational agency with respect to that
school, if that school so requests for the school year following the
first school year, on the basis of the number of free lunches or reduced priced lunches, as the case may be, that are served by that
school during the school year for which the request is made, to
those children who were determined to be so eligible in the first
school year and the number of free lunches and reduced price
lunches served during that year to other children determined for
that year to be eligible for such lunches.
(C)(i) Except as provided in subparagraph (D), in the case of
any school or school district that—
(I) elects to serve all children in the school or school district free lunches under the school lunch program during any
period of 4 successive school years, or in the case of a school
or school district that serves both lunches and breakfasts,
elects to serve all children in the school or school district free
lunches and free breakfasts under the school lunch program
and the school breakfast program established under section 4
of the Child Nutrition Act of 1966 (42 U.S.C. 1773) during any
period of 4 successive school years; and
(II) pays, from sources other than Federal funds, for 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.) with respect to
the number of lunches or breakfasts served during the period;
special assistance payments shall be paid to the State educational agency with respect to the school or school district
during the period on the basis of the number of lunches or
breakfasts determined under clause (ii) or (iii).
(ii) For purposes of making special assistance payments under
clause (i), except as provided in clause (iii), the number of lunches
or breakfasts served by a school or school district to children who
are eligible for free lunches or breakfasts or reduced price lunches
or breakfasts during each school year of the 4-school-year period
shall be considered to be equal to the number of lunches or breakfasts served by the school or school district to children eligible for
free lunches or breakfasts or reduced price lunches or breakfasts
during the first school year of the period.
(iii) For purposes of computing the amount of the payments, a
school or school district may elect to determine on a more frequent
basis the number of children who are eligible for free or reduced
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price lunches or breakfasts who are served lunches or breakfasts
during the 4-school-year period.
(D)(i) In the case of any school or school district that is receiving special assistance payments under this paragraph for a 4school-year period described in subparagraph (C), the State may
grant, at the end of the 4-school-year period, an extension of the
period for an additional 4 school years, if the State determines,
through available socioeconomic data approved by the Secretary,
that the income level of the population of the school or school district has remained stable.
(ii) A school or school district described in clause (i) may reapply to the State at the end of the 4-school-year period, and at the
end of each 4-school-year period thereafter for which the school or
school district receives special assistance payments under this
paragraph, for the purpose of continuing to receive the payments
for a subsequent 4-school-year period.
(iii) If the Secretary determines after considering the best
available socioeconomic data that the income level of families of
children enrolled in a school or school district has not remained
stable, the Secretary may require the submission of applications for
free and reduced price lunches, or for free and reduced price
lunches and breakfasts, in the first school year of any 4-school-year
period for which the school or school district receives special assistance payments under this paragraph, for the purpose of calculating
the special assistance payments.
(iv) For the purpose of updating information and reimbursement levels, a school or school district described in clause (i) that
carries out a school lunch or school breakfast program may at any
time require submission of applications for free and reduced price
lunches or for free and reduced price lunches and breakfasts.
(E)(i) In the case of any school or school district that—
(I) elects to serve all children in the school or school district free lunches under the school lunch program during any
period of 4 successive school years, or in the case of a school
or school district that serves both lunches and breakfasts,
elects to serve all children in the school or school district free
lunches and free breakfasts under the school lunch program
and the school breakfast program during any period of 4 successive school years; and
(II) pays, from sources other than Federal funds, for 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.) with respect to
the number of lunches or breakfasts served during the period;
total Federal cash reimbursements and total commodity assistance shall be provided to the State educational agency with respect to the school or school district at a level that is equal to
the total Federal cash reimbursements and total commodity assistance received by the school or school district in the last
school year for which the school or school district accepted applications under the school lunch or school breakfast program,
adjusted annually for inflation in accordance with paragraph
(3)(B) and for changes in enrollment, to carry out the school
lunch or school breakfast program.
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(ii) A school or school district described in clause (i) may reapply to the State at the end of the 4-school-year period described
in clause (i), and at the end of each 4-school-year period thereafter
for which the school or school district receives reimbursements and
assistance under this subparagraph, for the purpose of continuing
to receive the reimbursements and assistance for a subsequent 4school-year period. The State may approve an application under
this clause if the State determines, through available socioeconomic
data approved by the Secretary, that the income level of the population of the school or school district has remained consistent with
the income level of the population of the school or school district
in the last school year for which the school or school district accepted the applications described in clause (i).
(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
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identified students that meets or exceeds the
threshold described in clause (viii).
(II) ELECTION TO STOP RECEIVING PAY- MENTS.—
A local educational agency may, for all schools in
the district or on behalf of certain schools in the
district, elect to stop receiving spe- cial 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 spe- cial assistance
payments under this subpara- graph.
(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.
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(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.
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(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 asFebruary 7, 2014

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Sec. 11

sistance 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
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