42 U.S.C. § 1761 : US Code - Section 1761: Summer food service programs for children in service institutions

Search 42 U.S.C. § 1761 : US Code - Section 1761: Summer food service programs for children in service institutions

(a) Assistance to States; definitions; eligible service
institutions; priorities in participation; limitations on
reimbursement; nonprofit organizations; rural areas
(1) The Secretary is authorized to carry out a program to assist
States, through grants-in-aid and other means, to initiate and
maintain nonprofit food service programs for children in service
institutions. For purposes of this section, (A) "program" means the
summer food service program for children authorized by this
section; (B) "service institutions" means public or private
nonprofit school food authorities, local, municipal, or county
governments, public or private nonprofit higher education
institutions participating in the National Youth Sports
Program,,(!1) and residential public or private nonprofit summer
camps, that develop special summer or school vacation programs
providing food service similar to that made available to children
during the school year under the school lunch program under this
chapter or the school breakfast program under the Child Nutrition
Act of 1966 [42 U.S.C. 1771 et seq.]; (C) "areas in which poor
economic conditions exist" means areas in which at least 50 percent
of the children are eligible for free or reduced price school meals
under this chapter and the Child Nutrition Act of 1966, as
determined by information provided from departments of welfare,
zoning commissions, census tracts, by the number of free and
reduced price lunches or breakfasts served to children attending
public and nonprofit private schools located in the area of program
food service sites, or from other appropriate sources, including
statements of eligibility based upon income for children enrolled
in the program; (D) "children" means individuals who are eighteen
years of age and under, and individuals who are older than eighteen
who are (i) determined by a State educational agency or a local
public educational agency of a State, in accordance with
regulations prescribed by the Secretary, to have a disability, and
(ii) participating in a public or nonprofit private school program
established for individuals who have a disability; and (E) "State"
means any of the fifty States, the District of Columbia, the
Commonwealth of Puerto Rico, the Virgin Islands of the United
States, Guam, American Samoa, and the Northern Mariana Islands.
(2) To the maximum extent feasible, consistent with the purposes
of this section, any food service under the program shall use meals
prepared at the facilities of the service institution or at the
food service facilities of public and nonprofit private schools.
The Secretary shall assist States in the development of information
and technical assistance to encourage increased service of meals
prepared at the facilities of service institutions and at public
and nonprofit private schools.
(3) Eligible service institutions entitled to participate in the
program shall be limited to those that -
(A) demonstrate adequate administrative and financial
responsibility to manage an effective food service;
(B) have not been seriously deficient in operating under the
program;
(C)(i) conduct a regularly scheduled food service for children
from areas in which poor economic conditions exist; or
(ii) qualify as camps; and
(D) provide an ongoing year-round service to the community to
be served under the program (except that an otherwise eligible
service institution shall not be disqualified for failure to meet
this requirement for ongoing year-round service if the State
determines that its disqualification would result in an area in
which poor economic conditions exist not being served or in a
significant number of needy children not having reasonable access
to a summer food service program).
(4) The following order of priority shall be used by the State in
determining participation where more than one eligible service
institution proposes to serve the same area:
(A) Local schools.
(B) All other service institutions and private nonprofit
organizations eligible under paragraph (7) that have demonstrated
successful program performance in a prior year.
(C) New public institutions.
(D) New private nonprofit organizations eligible under
paragraph (7).
The Secretary and the States, in carrying out their respective
functions under this section, shall actively seek eligible service
institutions located in rural areas, for the purpose of assisting
such service institutions in applying to participate in the
program.
(5) Camps that satisfy all other eligibility requirements of this
section shall receive reimbursement only for meals served to
children who meet the eligibility requirements for free or reduced
price meals, as determined under this chapter and the Child
Nutrition Act of 1966 [42 U.S.C. 1771 et seq.].
(6) Service institutions that are local, municipal, or county
governments shall be eligible for reimbursement for meals served in
programs under this section only if such programs are operated
directly by such governments.
(7)(A) Private nonprofit organizations, as defined in
subparagraph (B) (other than organizations eligible under paragraph
(1)), shall be eligible for the program under the same terms and
conditions as other service institutions.
(B) As used in this paragraph, the term "private nonprofit
organizations" means those organizations that -
(i) operate -
(I) not more than 25 sites, with not more than 300 children
being served at any one site; or
(II) with a waiver granted by the State agency under
standards developed by the Secretary, with not more than 500
children being served at any one site;
(ii) exercise full control and authority over the operation of
the program at all sites under their sponsorship;
(iii) provide ongoing year-around activities for children or
families;
(iv) demonstrate that such organizations have adequate
management and the fiscal capacity to operate a program under
this section; and
(v) meet applicable State and local health, safety, and
sanitation standards.
(8) Seamless summer option. - Except as otherwise determined by
the Secretary, a service institution that is a public or private
nonprofit school food authority may provide summer or school
vacation food service in accordance with applicable provisions of
law governing the school lunch program established under this
chapter or the school breakfast program established under the Child
Nutrition Act of 1966 (42 U.S.C. 1771 et seq.).
(9) Exemption. -
(A) In general. - For each of calendar years 2005 and 2006 in
rural areas of the State of Pennsylvania (as determined by the
Secretary), the threshold for determining "areas in which poor
economic conditions exist" under paragraph (1)(C) shall be 40
percent.
(B) Evaluation. -
(i) In general. - The Secretary, acting through the
Administrator of the Food and Nutrition Service, shall evaluate
the impact of the eligibility criteria described in
subparagraph (A) as compared to the eligibility criteria
described in paragraph (1)(C).
(ii) Impact. - The evaluation shall assess the impact of the
threshold in subparagraph (A) on -
(I) the number of sponsors offering meals through the
summer food service program;
(II) the number of sites offering meals through the summer
food service program;
(III) the geographic location of the sites;
(IV) services provided to eligible children; and
(V) other factors determined by the Secretary.
(iii) Report. - Not later than January 1, 2008, 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 the
results of the evaluation under this subparagraph.
(iv) Funding. -
(I) In general. - On January 1, 2005, out of any funds in
the Treasury not otherwise appropriated, the Secretary of the
Treasury shall transfer to the Secretary of Agriculture to
carry out this subparagraph $400,000, to remain available
until expended.
(II) Receipt and acceptance. - The Secretary shall be
entitled to receive, shall accept, and shall use to carry out
this subparagraph the funds transferred under subclause (I),
without further appropriation.
(10) Summer food service rural transportation. -
(A) In general. - The Secretary shall provide grants, through
not more than 5 eligible State agencies selected by the
Secretary, to not more than 60 eligible service institutions
selected by the Secretary to increase participation at congregate
feeding sites in the summer food service program for children
authorized by this section through innovative approaches to
limited transportation in rural areas.
(B) Eligibility. - To be eligible to receive a grant under this
paragraph -
(i) a State agency shall submit an application to the
Secretary, in such manner as the Secretary shall establish, and
meet criteria established by the Secretary; and
(ii) a service institution shall agree to the terms and
conditions of the grant, as established by the Secretary.
(C) Duration. - A service institution that receives a grant
under this paragraph may use the grant funds during the 3-fiscal
year period beginning in fiscal year 2006.
(D) Reports. - 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 -
(i) not later than January 1, 2008, an interim report that
describes -
(I) the use of funds made available under this paragraph;
and
(II) any progress made by using funds from each grant
provided under this paragraph; and
(ii) not later than January 1, 2009, a final report that
describes -
(I) the use of funds made available under this paragraph;
(II) any progress made by using funds from each grant
provided under this paragraph;
(III) the impact of this paragraph on participation in the
summer food service program for children authorized by this
section; and
(IV) any recommendations by the Secretary concerning the
activities of the service institutions receiving grants under
this paragraph.
(E) Funding. -
(i) In general. - Out of any funds in the Treasury not
otherwise appropriated, the Secretary of the Treasury shall
transfer to the Secretary of Agriculture to carry out this
paragraph -
(I) on October 1, 2005, $2,000,000; and
(II) on October 1, 2006, and October 1, 2007, $1,000,000.
(ii) Receipt and acceptance. - The Secretary shall be
entitled to receive, shall accept, and shall use to carry out
this paragraph the funds transferred under clause (i), without
further appropriation.
(iii) Availability of funds. - Funds transferred under clause
(i) shall remain available until expended.
(iv) Reallocation. - The Secretary may reallocate any amounts
made available to carry out this paragraph that are not
obligated or expended, as determined by the Secretary.
(b) Service institutions
(1) Payments. -
(A) In general. - Except as otherwise provided in this
paragraph, payments to service institutions shall equal the full
cost of food service operations (which cost shall include the
costs of obtaining, preparing, and serving food, but shall not
include administrative costs).
(B) Maximum amounts. - Subject to subparagraph (C), payments to
any institution under subparagraph (A) shall not exceed -
(i) $1.97 for each lunch and supper served;
(ii) $1.13 for each breakfast served; and
(iii) 46 cents for each meal supplement served.
(C) Adjustments. - Amounts specified in subparagraph (B) shall
be adjusted on January 1, 1997, and each January 1 thereafter, to
the nearest lower cent increment to reflect changes for the 12-
month period ending the preceding November 30 in the series for
food away from home of the Consumer Price Index for All Urban
Consumers published by the Bureau of Labor Statistics of the
Department of Labor. Each adjustment shall be based on the
unrounded adjustment for the prior 12-month period.
(D) Seamless summer reimbursements. - A service institution
described in subsection (a)(8) of this section shall be
reimbursed for meals and meal supplements in accordance with the
applicable provisions under this chapter (other than
subparagraphs (A), (B), and (C) of this paragraph and paragraph
(4)) and the Child Nutrition Act of 1966 (42 U.S.C. 1771 et
seq.), as determined by the Secretary.
(2) Any service institution may only serve lunch and either
breakfast or a meal supplement during each day of operation, except
that any service institution that is a camp or that serves meals
primarily to migrant children may serve up to 3 meals, or 2 meals
and 1 supplement, during each day of operation, if (A) the service
institution has the administrative capability and the food
preparation and food holding capabilities (where applicable) to
serve more than one meal per day, and (B) the service period of
different meals does not coincide or overlap.
(3) Every service institution, when applying for participation in
the program, shall submit a complete budget for administrative
costs related to the program, which shall be subject to approval by
the State. Payment to service institutions for administrative costs
shall equal the full amount of State approved administrative costs
incurred, except that such payment to service institutions may not
exceed the maximum allowable levels determined by the Secretary
pursuant to the study prescribed in paragraph (4) of this
subsection.
(4)(A) The Secretary shall conduct a study of the food service
operations carried out under the program. Such study shall include,
but shall not be limited to -
(i) an evaluation of meal quality as related to costs; and
(ii) a determination whether adjustments in the maximum
reimbursement levels for food service operation costs prescribed
in paragraph (1) of this subsection should be made, including
whether different reimbursement levels should be established for
self-prepared meals and vendored meals and which site-related
costs, if any, should be considered as part of administrative
costs.
(B) The Secretary shall also study the administrative costs of
service institutions participating in the program and shall
thereafter prescribe maximum allowable levels for administrative
payments that reflect the costs of such service institutions,
taking into account the number of sites and children served, and
such other factors as the Secretary determines appropriate to
further the goals of efficient and effective administration of the
program.
(C) The Secretary shall report the results of such studies to
Congress not later than December 1, 1977.
(c) Payments for meals served during May through September;
exceptions for continuous school calendars or non-school sites;
National Youth Sports Program
(1) Payments shall be made to service institutions only for meals
served during the months of May through September, except in the
case of service institutions that operate food service programs for
children on school vacation at any time under a continuous school
calendar or that provide meal service at non-school sites to
children who are not in school for a period during the months of
October through April due to a natural disaster, building repair,
court order, or similar cause.
(2) Children participating in National Youth Sports Programs
operated by higher education institutions shall be eligible to
participate in the program under this paragraph on showing
residence in areas in which poor economic conditions exist or on
the basis of income eligibility statements for children enrolled in
the program.
(d) Advance program payments to States for monthly meal service;
letters of credit, forwarding to States; determination of amount;
valid claims, receipt
Not later than April 15, May 15, and July 1 of each year, the
Secretary shall forward to each State a letter of credit (advance
program payment) that shall be available to each State for the
payment of meals to be served in the month for which the letter of
credit is issued. The amount of the advance program payment shall
be an amount which the State demonstrates, to the satisfaction of
the Secretary, to be necessary for advance program payments to
service institutions in accordance with subsection (e) of this
section. The Secretary shall also forward such advance program
payments, by the first day of the month prior to the month in which
the program will be conducted, to States that operate the program
in months other than May through September. The Secretary shall
forward any remaining payments due pursuant to subsection (b) of
this section not later than sixty days following receipt of valid
claims therefor.
(e) Advance program payments to service institutions for monthly
meal service; certification of personnel training sessions;
minimum days per month operations requirement; payments:
computation, limitation; valid claims, receipt; withholding;
demand for repayment; subtraction of disputed payments
(1) Not later than June 1, July 15, and August 15 of each year,
or, in the case of service institutions that operate under a
continuous school calendar, the first day of each month of
operation, the State shall forward advance program payments to each
service institution. The State shall not release the second month's
advance program payment to any service institution (excluding a
school) that has not certified that it has held training sessions
for its own personnel and the site personnel with regard to program
duties and responsibilities. No advance program payment may be made
for any month in which the service institution will operate under
the program for less than ten days.
(2) The amount of the advance program payment for any month in
the case of any service institution shall be an amount equal to (A)
the total program payment for meals served by such service
institution in the same calendar month of the preceding calendar
year, (B) 50 percent of the amount established by the State to be
needed by such service institution for meals if such service
institution contracts with a food service management company, or
(C) 65 percent of the amount established by the State to be needed
by such service institution for meals if such service institution
prepares its own meals, whichever amount is greatest: Provided,
That the advance program payment may not exceed the total amount
estimated by the State to be needed by such service institution for
meals to be served in the month for which such advance program
payment is made or $40,000, whichever is less, except that a State
may make a larger advance program payment to such service
institution where the State determines that such larger payment is
necessary for the operation of the program by such service
institution and sufficient administrative and management capability
to justify a larger payment is demonstrated. The State shall
forward any remaining payment due a service institution not later
than seventy-five days following receipt of valid claims. If the
State has reason to believe that a service institution will not be
able to submit a valid claim for reimbursement covering the period
for which an advance program payment has been made, the subsequent
month's advance program payment shall be withheld until such time
as the State has received a valid claim. Program payments advanced
to service institutions that are not subsequently deducted from a
valid claim for reimbursement shall be repaid upon demand by the
State. Any prior payment that is under dispute may be subtracted
from an advance program payment.
(f) Nutritional standards
(1) Service institutions receiving funds under this section shall
serve meals consisting of a combination of foods and meeting
minimum nutritional standards prescribed by the Secretary on the
basis of tested nutritional research.
(2) The Secretary shall provide technical assistance to service
institutions and private nonprofit organizations participating in
the program to assist the institutions and organizations in
complying with the nutritional requirements prescribed by the
Secretary pursuant to this subsection.
(3) Meals described in paragraph (1) shall be served without cost
to children attending service institutions approved for operation
under this section, except that, in the case of camps, charges may
be made for meals served to children other than those who meet the
eligibility requirements for free or reduced price meals in
accordance with subsection (a)(5) of this section.
(4) To assure meal quality, States shall, with the assistance of
the Secretary, prescribe model meal specifications and model food
quality standards, and ensure that all service institutions
contracting for the preparation of meals with food service
management companies include in their contracts menu cycles, local
food safety standards, and food quality standards approved by the
State.
(5) Such contracts shall require (A) periodic inspections, by an
independent agency or the local health department for the locality
in which the meals are served, of meals prepared in accordance with
the contract in order to determine bacteria levels present in such
meals, and (B) conformance with standards set by local health
authorities.
(6) Such inspections and any testing resulting therefrom shall be
in accordance with the practices employed by such local health
authority.
(7) Offer versus serve. - A school food authority participating
as a service institution may permit a child to refuse one or more
items of a meal that the child does not intend to consume, under
rules that the school uses for school meals programs. A refusal of
an offered food item shall not affect the amount of payments made
under this section to a school for the meal.
(g) Regulations, guidelines, applications, and handbooks;
publication; startup costs
The Secretary shall publish proposed regulations relating to the
implementation of the program by November 1 of each fiscal year,
final regulations by January 1 of each fiscal year, and guidelines,
applications, and handbooks by February 1 of each fiscal year. In
order to improve program planning, the Secretary may provide that
service institutions be paid as startup costs not to exceed 20
percent of the administrative funds provided for in the
administrative budget approved by the State under subsection (b)(3)
of this section. Any payments made for startup costs shall be
subtracted from amounts otherwise payable for administrative costs
subsequently made to service institutions under subsection (b)(3)
of this section.
(h) Direct disbursement to service institutions by Secretary
Each service institution shall, insofar as practicable, use in
its food service under the program foods designated from time to
time by the Secretary as being in abundance. The Secretary is
authorized to donate to States, for distribution to service
institutions, food available under section 1431 of title 7, or
purchased under section 612c of title 7 or section 1446a-1 of title
7. Donated foods may be distributed only to service institutions
that can use commodities efficiently and effectively, as determined
by the Secretary.
(i) Repealed. Pub. L. 97-35, title VIII, Sec. 817(b), Aug. 13,
1981, 95 Stat. 532
(j) Administrative expenses of Secretary; authorization of
appropriations
Expenditures of funds from State and local sources for the
maintenance of food programs for children shall not be diminished
as a result of funds received under this section.
(k) Administrative costs of State; payment; adjustment; standards
and effective dates, establishment; funds: withholding,
inspection
(1) The Secretary shall pay to each State for its administrative
costs incurred under this section in any fiscal year an amount
equal to (A) 20 percent of the first $50,000 in funds distributed
to that State for the program in the preceding fiscal year; (B) 10
percent of the next $100,000 distributed to that State for the
program in the preceding fiscal year; (C) 5 percent of the next
$250,000 in funds distributed to that State for the program in the
preceding fiscal year; and (D) 2 1/2 percent of any remaining
funds distributed to that State for the program in the preceding
fiscal year: Provided, That such amounts may be adjusted by the
Secretary to reflect changes in the size of that State's program
since the preceding fiscal year.
(2) The Secretary shall establish standards and effective dates
for the proper, efficient, and effective administration of the
program by the State. If the Secretary finds that the State has
failed without good cause to meet any of the Secretary's standards
or has failed without good cause to carry out the approved State
management and administration plan under subsection (n) of this
section, the Secretary may withhold from the State such funds
authorized under this subsection as the Secretary determines to be
appropriate.
(3) To provide for adequate nutritional and food quality
monitoring, and to further the implementation of the program, an
additional amount, not to exceed the lesser of actual costs or 1
percent of program funds, shall be made available by the Secretary
to States to pay for State or local health department inspections,
and to reinspect facilities and deliveries to test meal quality.
(l) Food service management companies; subcontracts; assignments,
conditions and limitations; meal capacity information in bids
subject to review; registration; record, availability to States;
small and minority-owned businesses for supplies and services;
contracts: standard form, bid and contract procedures, bonding
requirements and exemption, review by States, collusive bidding
safeguards
(1) Service institutions may contract on a competitive basis with
food service management companies for the furnishing of meals or
management of the entire food service under the program, except
that a food service management company entering into a contract
with a service institution under this section may not subcontract
with a single company for the total meal, with or without milk, or
for the assembly of the meal. The Secretary shall prescribe
additional conditions and limitations governing assignment of all
or any part of a contract entered into by a food service management
company under this section. Any food service management company
shall, in its bid, provide the service institution information as
to its meal capacity.
(2) Each State may provide for the registration of food service
management companies.
(3) In accordance with regulations issued by the Secretary,
positive efforts shall be made by service institutions to use small
businesses and minority-owned businesses as sources of supplies and
services. Such efforts shall afford those sources the maximum
feasible opportunity to compete for contracts using program funds.
(4) Each State, with the assistance of the Secretary, shall
establish a standard form of contract for use by service
institutions and food service management companies. The Secretary
shall prescribe requirements governing bid and contract procedures
for acquisition of the services of food service management
companies, including, but not limited to, bonding requirements
(which may provide exemptions applicable to contracts of $100,000
or less), procedures for review of contracts by States, and
safeguards to prevent collusive bidding activities between service
institutions and food service management companies.
(m) Accounts and records
States and service institutions participating in programs under
this section shall keep such accounts and records as may be
necessary to enable the Secretary to determine whether there has
been compliance with this section and the regulations issued
hereunder. Such accounts and records shall be available at any
reasonable time for inspection and audit by representatives of the
Secretary and shall be preserved for such period of time, not in
excess of five years, as the Secretary determines necessary.
(n) Management and administration plan; notification and submittal
to Secretary; specific provisions
Each State desiring to participate in the program shall notify
the Secretary by January 1 of each year of its intent to administer
the program and shall submit for approval by February 15 a
management and administration plan for the program for the fiscal
year, which shall include, but not be limited to, (1) the State's
administrative budget for the fiscal year, and the State's plans to
comply with any standards prescribed by the Secretary under
subsection (k) of this section; (2) the State's plans for use of
program funds and funds from within the State to the maximum extent
practicable to reach needy children; (3) the State's plans for
providing technical assistance and training eligible service
institutions; (4) the State's plans for monitoring and inspecting
service institutions, feeding sites, and food service management
companies and for ensuring that such companies do not enter into
contracts for more meals than they can provide effectively and
efficiently; (5) the State's plan for timely and effective action
against program violators; and (6) the State's plan for ensuring
fiscal integrity by auditing service institutions not subject to
auditing requirements prescribed by the Secretary.
(o) Violations and penalties
(1) Whoever, in connection with any application, procurement,
recordkeeping entry, claim for reimbursement, or other document or
statement made in connection with the program, knowingly and
willfully falsifies, conceals, or covers up by any trick, scheme,
or device a material fact, or makes any false, fictitious, or
fraudulent statements or representations, or makes or uses any
false writing or document knowing the same to contain any false,
fictitious, or fraudulent statement or entry, or whoever, in
connection with the program, knowingly makes an opportunity for any
person to defraud the United States, or does or omits to do any act
with intent to enable any person to defraud the United States,
shall be fined not more than $10,000 or imprisoned not more than
five years, or both.
(2) Whoever being a partner, officer, director, or managing agent
connected in any capacity with any partnership, association,
corporation, business, or organization, either public or private,
that receives benefits under the program, knowingly or willfully
embezzles, misapplies, steals, or obtains by fraud, false
statement, or forgery, any benefits provided by this section or any
money, funds, assets, or property derived from benefits provided by
this section, shall be fined not more than $10,000 or imprisoned
for not more than five years, or both (but, if the benefits, money,
funds, assets, or property involved is not over $200, then the
penalty shall be a fine of not more than $1,000 or imprisonment for
not more than one year, or both).
(3) If two or more persons conspire or collude to accomplish any
act made unlawful under this subsection, and one or more of such
persons do any act to effect the object of the conspiracy or
collusion, each shall be fined not more than $10,000 or imprisoned
for not more than five years, or both.
(p) Monitoring of participating private nonprofit organizations
(1) In addition to the normal monitoring of organizations
receiving assistance under this section, the Secretary shall
establish a system under which the Secretary and the States shall
monitor the compliance of private nonprofit organizations with the
requirements of this section and with regulations issued to
implement this section.
(2) In the fiscal year 1990 and each succeeding fiscal year, the
Secretary may reserve for purposes of carrying out paragraph (1)
not more than 1/2 of 1 percent of amounts appropriated for
purposes of carrying out this section.
(q) Authorization of appropriations
For the period beginning October 1, 1977, and ending September
30, 2009, there are hereby authorized to be appropriated such sums
as are necessary to carry out the purposes of this section.