[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 3307 Engrossed in Senate (ES)]

111th CONGRESS
  2d Session
                                S. 3307

_______________________________________________________________________

                                 AN ACT


 
    To reauthorize child nutrition programs, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

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

Sec. 1. Short title; table of contents.
Sec. 2. Definition of Secretary.
                TITLE I--A PATH TO END CHILDHOOD HUNGER

               Subtitle A--National School Lunch Program

Sec. 101. Improving direct certification.
Sec. 102. Categorical eligibility of foster children.
Sec. 103. Direct certification for children receiving Medicaid 
                            benefits.
Sec. 104. Eliminating individual applications through community 
                            eligibility.
Sec. 105. Grants for expansion of school breakfast programs.
                Subtitle B--Summer Food Service Program

Sec. 111. Alignment of eligibility rules for public and private 
                            sponsors.
Sec. 112. Outreach to eligible families.
Sec. 113. Summer food service support grants.
             Subtitle C--Child and Adult Care Food Program

Sec. 121. Simplifying area eligibility determinations in the child and 
                            adult care food program.
Sec. 122. Expansion of afterschool meals for at-risk children.
Subtitle D--Special Supplemental Nutrition Program for Women, Infants, 
                              and Children

Sec. 131. Certification periods.
                       Subtitle E--Miscellaneous

Sec. 141. Childhood hunger research.
Sec. 142. State childhood hunger challenge grants.
Sec. 143. Review of local policies on meal charges and provision of 
                            alternate meals.
    TITLE II--REDUCING CHILDHOOD OBESITY AND IMPROVING THE DIETS OF 
                                CHILDREN

               Subtitle A--National School Lunch Program

Sec. 201. Performance-based reimbursement rate increases for new meal 
                            patterns.
Sec. 202. Nutrition requirements for fluid milk.
Sec. 203. Water.
Sec. 204. Local school wellness policy implementation.
Sec. 205. Equity in school lunch pricing.
Sec. 206. Revenue from nonprogram foods sold in schools.
Sec. 207. Reporting and notification of school performance.
Sec. 208. Nutrition standards for all foods sold in school.
Sec. 209. Information for the public on the school nutrition 
                            environment.
Sec. 210. Organic food pilot program.
             Subtitle B--Child and Adult Care Food Program

Sec. 221. Nutrition and wellness goals for meals served through the 
                            child and adult care food program.
Sec. 222. Interagency coordination to promote health and wellness in 
                            child care licensing.
Sec. 223. Study on nutrition and wellness quality of child care 
                            settings.
Subtitle C--Special Supplemental Nutrition Program for Women, Infants, 
                              and Children

Sec. 231. Support for breastfeeding in the WIC Program.
Sec. 232. Review of available supplemental foods.
                       Subtitle D--Miscellaneous

Sec. 241. Nutrition education and obesity prevention grant program.
Sec. 242. Procurement and processing of food service products and 
                            commodities.
Sec. 243. Access to Local Foods: Farm to School Program.
Sec. 244. Research on strategies to promote the selection and 
                            consumption of healthy foods.
 TITLE III--IMPROVING THE MANAGEMENT AND INTEGRITY OF CHILD NUTRITION 
                                PROGRAMS

               Subtitle A--National School Lunch Program

Sec. 301. Privacy protection.
Sec. 302. Applicability of food safety program on entire school campus.
Sec. 303. Fines for violating program requirements.
Sec. 304. Independent review of applications.
Sec. 305. Program evaluation.
Sec. 306. Professional standards for school food service.
Sec. 307. Indirect costs.
Sec. 308. Ensuring safety of school meals.
                Subtitle B--Summer Food Service Program

Sec. 321. Summer food service program permanent operating agreements.
Sec. 322. Summer food service program disqualification.
             Subtitle C--Child and Adult Care Food Program

Sec. 331. Renewal of application materials and permanent operating 
                            agreements.
Sec. 332. State liability for payments to aggrieved child care 
                            institutions.
Sec. 333. Transmission of income information by sponsored family or 
                            group day care homes.
Sec. 334. Simplifying and enhancing administrative payments to 
                            sponsoring organizations.
Sec. 335. Child and adult care food program audit funding.
Sec. 336. Reducing paperwork and improving program administration.
Sec. 337. Study relating to the child and adult care food program.
Subtitle D--Special Supplemental Nutrition Program for Women, Infants, 
                              and Children

Sec. 351. Sharing of materials with other programs.
Sec. 352. WIC program management.
                       Subtitle E--Miscellaneous

Sec. 361. Full use of Federal funds.
Sec. 362. Disqualified schools, institutions, and individuals.
                        TITLE IV--MISCELLANEOUS

           Subtitle A--Reauthorization of Expiring Provisions

          PART I--Richard B. Russell National School Lunch Act

Sec. 401. Commodity support.
Sec. 402. Food safety audits and reports by States.
Sec. 403. Procurement training.
Sec. 404. Authorization of the summer food service program for 
                            children.
Sec. 405. Year-round services for eligible entities.
Sec. 406. Training, technical assistance, and food service management 
                            institute.
Sec. 407. Federal administrative support.
Sec. 408. Compliance and accountability.
Sec. 409. Information clearinghouse.
                  PART II--Child Nutrition Act of 1966

Sec. 421. Technology infrastructure improvement.
Sec. 422. State administrative expenses.
Sec. 423. Special supplemental nutrition program for women, infants, 
                            and children.
Sec. 424. Farmers market nutrition program.
                    Subtitle B--Technical Amendments

Sec. 441. Technical amendments.
Sec. 442. Use of unspent future funds from the American Recovery and 
                            Reinvestment Act of 2009.
Sec. 443. Equipment assistance technical correction.
Sec. 444. Budgetary effects.
Sec. 445. Effective date.

SEC. 2. DEFINITION OF SECRETARY.

    In this Act, the term ``Secretary'' means the Secretary of 
Agriculture.

                TITLE I--A PATH TO END CHILDHOOD HUNGER

               Subtitle A--National School Lunch Program

SEC. 101. IMPROVING DIRECT CERTIFICATION.

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

SEC. 102. CATEGORICAL ELIGIBILITY OF FOSTER CHILDREN.

    (a) Discretionary Certification.--Section 9(b)(5) of the Richard B. 
Russell National School Lunch Act (42 U.S.C. 1758(b)(5)) is amended--
            (1) in subparagraph (C), by striking ``or'' at the end;
            (2) in subparagraph (D), by striking the period at the end 
        and inserting ``; or''; and
            (3) by adding at the end the following:
                    ``(E)(i) a foster child whose care and placement is 
                the responsibility of an agency that administers a 
                State plan under part B or E of title IV of the Social 
                Security Act (42 U.S.C. 621 et seq.); or
                    ``(ii) a foster child who a court has placed with a 
                caretaker household.''.
    (b) Categorical Eligibility.--Section 9(b)(12)(A) of the Richard B. 
Russell National School Lunch Act (42 U.S.C. 1758(b)(12)(A)) is 
amended--
            (1) in clause (iv), by adding ``)'' before the semicolon at 
        the end;
            (2) in clause (v), by striking ``or'' at the end;
            (3) in clause (vi), by striking the period at the end and 
        inserting ``; or''; and
            (4) by adding at the end the following:
                            ``(vii)(I) a foster child whose care and 
                        placement is the responsibility of an agency 
                        that administers a State plan under part B or E 
                        of title IV of the Social Security Act (42 
                        U.S.C. 621 et seq.); or
                            ``(II) a foster child who a court has 
                        placed with a caretaker household.''.
    (c) Documentation.--Section 9(d)(2) of the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1758(d)(2)) is amended--
            (1) in subparagraph (D), by striking ``or'' at the end;
            (2) in subparagraph (E), by striking the period at the end 
        and inserting ``; or''; and
            (3) by adding at the end the following:
                    ``(F)(i) documentation has been provided to the 
                appropriate local educational agency showing the status 
                of the child as a foster child whose care and placement 
                is the responsibility of an agency that administers a 
                State plan under part B or E of title IV of the Social 
                Security Act (42 U.S.C. 621 et seq.); or
                    ``(ii) documentation has been provided to the 
                appropriate local educational agency showing the status 
                of the child as a foster child who a court has placed 
                with a caretaker household.''.

SEC. 103. DIRECT CERTIFICATION FOR CHILDREN RECEIVING MEDICAID 
              BENEFITS.

    (a) In General.--Section 9(b) of the Richard B. Russell National 
School Lunch Act (42 U.S.C. 1758(b)) is amended by adding at the end 
the following:
            ``(15) Direct certification for children receiving medicaid 
        benefits.--
                    ``(A) Definitions.--In this paragraph:
                            ``(i) Eligible child.--The term `eligible 
                        child' means a child--
                                    ``(I)(aa) who is eligible for and 
                                receiving medical assistance under the 
                                Medicaid program; and
                                    ``(bb) who is a member of a family 
                                with an income as measured by the 
                                Medicaid program before the application 
                                of any expense, block, or other income 
                                disregard, that does not exceed 133 
                                percent of the poverty line (as defined 
                                in section 673(2) of the Community 
                                Services Block Grant Act (42 U.S.C. 
                                9902(2), including any revision 
                                required by such section)) applicable 
                                to a family of the size used for 
                                purposes of determining eligibility for 
                                the Medicaid program; or
                                    ``(II) who is a member of a 
                                household (as that term is defined in 
                                section 245.2 of title 7, Code of 
                                Federal Regulations (or successor 
                                regulations) with a child described in 
                                subclause (I).
                            ``(ii) Medicaid program.--The term 
                        `Medicaid program' means the program of medical 
                        assistance established under title XIX of the 
                        Social Security Act (42 U.S.C. 1396 et seq.).
                    ``(B) Demonstration project.--
                            ``(i) In general.--The Secretary, acting 
                        through the Administrator of the Food and 
                        Nutrition Service and in cooperation with 
                        selected State agencies, shall conduct a 
                        demonstration project in selected local 
                        educational agencies to determine whether 
                        direct certification of eligible children is an 
                        effective method of certifying children for 
                        free lunches and breakfasts under section 
                        9(b)(1)(A) of this Act and section 4(e)(1)(A) 
                        of the Child Nutrition Act of 1966 (42 U.S.C. 
                        1773(e)(1)(A)).
                            ``(ii) Scope of project.--The Secretary 
                        shall carry out the demonstration project under 
                        this subparagraph--
                                    ``(I) for the school year beginning 
                                July 1, 2012, in selected local 
                                educational agencies that collectively 
                                serve 2.5 percent of students certified 
                                for free and reduced price meals 
                                nationwide, based on the most recent 
                                available data;
                                    ``(II) for the school year 
                                beginning July 1, 2013, in selected 
                                local educational agencies that 
                                collectively serve 5 percent of 
                                students certified for free and reduced 
                                price meals nationwide, based on the 
                                most recent available data; and
                                    ``(III) for the school year 
                                beginning July 1, 2014, and each 
                                subsequent school year, in selected 
                                local educational agencies that 
                                collectively serve 10 percent of 
                                students certified for free and reduced 
                                price meals nationwide, based on the 
                                most recent available data.
                            ``(iii) Purposes of the project.--At a 
                        minimum, the purposes of the demonstration 
                        project shall be--
                                    ``(I) to determine the potential of 
                                direct certification with the Medicaid 
                                program to reach children who are 
                                eligible for free meals but not 
                                certified to receive the meals;
                                    ``(II) to determine the potential 
                                of direct certification with the 
                                Medicaid program to directly certify 
                                children who are enrolled for free 
                                meals based on a household application; 
                                and
                                    ``(III) to provide an estimate of 
                                the effect on Federal costs and on 
                                participation in the school lunch 
                                program under this Act and the school 
                                breakfast program established by 
                                section 4 of the Child Nutrition Act of 
                                1966 (42 U.S.C. 1773) of direct 
                                certification with the Medicaid 
                                program.
                            ``(iv) Cost estimate.--For each of 2 school 
                        years of the demonstration project, the 
                        Secretary shall estimate the cost of the direct 
                        certification of eligible children for free 
                        school meals through data derived from--
                                    ``(I) the school meal programs 
                                authorized under this Act and the Child 
                                Nutrition Act of 1966 (42 U.S.C. 1771 
                                et seq.);
                                    ``(II) the Medicaid program; and
                                    ``(III) interviews with a 
                                statistically representative sample of 
                                households.
                    ``(C) Agreement.--
                            ``(i) In general.--Not later than July 1 of 
                        the first school year during which a State 
                        agency will participate in the demonstration 
                        project, the State agency shall enter into an 
                        agreement with the 1 or more State agencies 
                        conducting eligibility determinations for the 
                        Medicaid program.
                            ``(ii) Without further application.--
                        Subject to paragraph (6), the agreement 
                        described in subparagraph (D) shall establish 
                        procedures under which an eligible child shall 
                        be certified for free lunches under this Act 
                        and free breakfasts under section 4 of the 
                        Child Nutrition Act of 1966 (42 U.S.C. 1773), 
                        without further application (as defined in 
                        paragraph (4)(G)).
                    ``(D) Certification.--For the school year beginning 
                on July 1, 2012, and each subsequent school year, 
                subject to paragraph (6), the local educational 
                agencies participating in the demonstration project 
                shall certify an eligible child as eligible for free 
                lunches under this Act and free breakfasts under the 
                Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.), 
                without further application (as defined in paragraph 
                (4)(G)).
                    ``(E) Site selection.--
                            ``(i) In general.--To be eligible to 
                        participate in the demonstration project under 
                        this subsection, a State agency shall submit to 
                        the Secretary an application at such time, in 
                        such manner, and containing such information as 
                        the Secretary may require.
                            ``(ii) Considerations.--In selecting States 
                        and local educational agencies for 
                        participation in the demonstration project, the 
                        Secretary may take into consideration such 
                        factors as the Secretary considers to be 
                        appropriate, which may include--
                                    ``(I) the rate of direct 
                                certification;
                                    ``(II) the share of individuals who 
                                are eligible for benefits under the 
                                supplemental nutrition assistance 
                                program established under the Food and 
                                Nutrition Act of 2008 (7 U.S.C. 2011 et 
                                seq.) who participate in the program, 
                                as determined by the Secretary;
                                    ``(III) the income eligibility 
                                limit for the Medicaid program;
                                    ``(IV) the feasibility of matching 
                                data between local educational agencies 
                                and the Medicaid program;
                                    ``(V) the socioeconomic profile of 
                                the State or local educational 
                                agencies; and
                                    ``(VI) the willingness of the State 
                                and local educational agencies to 
                                comply with the requirements of the 
                                demonstration project.
                    ``(F) Access to data.--For purposes of conducting 
                the demonstration project under this paragraph, the 
                Secretary shall have access to--
                            ``(i) educational and other records of 
                        State and local educational and other agencies 
                        and institutions receiving funding or providing 
                        benefits for 1 or more programs authorized 
                        under this Act or the Child Nutrition Act of 
                        1966 (42 U.S.C. 1771 et seq.); and
                            ``(ii) income and program participation 
                        information from public agencies administering 
                        the Medicaid program.
                    ``(G) Report to congress.--
                            ``(i) In general.--Not later than October 
                        1, 2014, the Secretary shall submit to the 
                        Committee on Education and Labor of the House 
                        of Representatives and the Committee on 
                        Agriculture, Nutrition, and Forestry of the 
                        Senate, an interim report that describes the 
                        results of the demonstration project required 
                        under this paragraph.
                            ``(ii) Final report.--Not later than 
                        October 1, 2015, the Secretary shall submit a 
                        final report to the committees described in 
                        clause (i).
                    ``(H) Funding.--
                            ``(i) In general.--On October 1, 2010, out 
                        of any funds in the Treasury not otherwise 
                        appropriated, the Secretary of the Treasury 
                        shall transfer to the Secretary to carry out 
                        subparagraph (G) $5,000,000, to remain 
                        available until expended.
                            ``(ii) Receipt and acceptance.--The 
                        Secretary shall be entitled to receive, shall 
                        accept, and shall use to carry out subparagraph 
                        (G) the funds transferred under clause (i), 
                        without further appropriation.''.
    (b) Documentation.--Section 9(d)(2) of the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1758(d)(2)) (as amended by section 
102(c)) is amended--
            (1) in subparagraph (E), by striking ``or'' at the end;
            (2) in subparagraph (F)(ii), by striking the period at the 
        end and inserting ``; or''; and
            (3) by adding at the end the following:
                    ``(G) documentation has been provided to the 
                appropriate local educational agency showing the status 
                of the child as an eligible child (as defined in 
                subsection (b)(15)(A)).''.
    (c) Agreement for Direct Certification and Cooperation by State 
Medicaid Agencies.--
            (1) In general.--Section 1902(a)(7) of the Social Security 
        Act (42 U.S.C. 1396a(a)(7)) is amended to read as follows:
            ``(7) provide--
                    ``(A) safeguards which restrict the use or 
                disclosure of information concerning applicants and 
                recipients to purposes directly connected with--
                            ``(i) the administration of the plan; and
                            ``(ii) the exchange of information 
                        necessary to certify or verify the 
                        certification of eligibility of children for 
                        free or reduced price breakfasts under the 
                        Child Nutrition Act of 1966 and free or reduced 
                        price lunches under the Richard B. Russell 
                        National School Lunch Act, in accordance with 
                        section 9(b) of that Act, using data standards 
                        and formats established by the State agency; 
                        and
                    ``(B) that, notwithstanding the Express Lane option 
                under subsection (e)(13), the State may enter into an 
                agreement with the State agency administering the 
                school lunch program established under the Richard B. 
                Russell National School Lunch Act under which the State 
                shall establish procedures to ensure that--
                            ``(i) a child receiving medical assistance 
                        under the State plan under this title whose 
                        family income does not exceed 133 percent of 
                        the poverty line (as defined in section 673(2) 
                        of the Community Services Block Grant Act, 
                        including any revision required by such 
                        section), as determined without regard to any 
                        expense, block, or other income disregard, 
                        applicable to a family of the size involved, 
                        may be certified as eligible for free lunches 
                        under the Richard B. Russell National School 
                        Lunch Act and free breakfasts under the Child 
                        Nutrition Act of 1966 without further 
                        application; and
                            ``(ii) the State agencies responsible for 
                        administering the State plan under this title, 
                        and for carrying out the school lunch program 
                        established under the Richard B. Russell 
                        National School Lunch Act (42 U.S.C. 1751 et 
                        seq.) or the school breakfast program 
                        established by section 4 of the Child Nutrition 
                        Act of 1966 (42 U.S.C. 1773), cooperate in 
                        carrying out paragraphs (3)(F) and (15) of 
                        section 9(b) of that Act;''.
            (2) Effective date.--
                    (A) In general.--Except as provided in subparagraph 
                (B), the amendments made by this subsection shall take 
                effect on the date of enactment of this Act.
                    (B) Extension of effective date for state law 
                amendment.--In the case of a State plan under title XIX 
                of the Social Security Act (42 U.S.C. 1396 et seq.) 
                which the Secretary of Health and Human Services 
                determines requires State legislation in order for the 
                plan to meet the additional requirements imposed by the 
                amendments made by this section, the State plan shall 
                not be regarded as failing to comply with the 
                requirements of the amendments made by this section 
                solely on the basis of its failure to meet such 
                additional requirements before the first day of the 
                first calendar quarter beginning after the close of the 
                first regular session of the State legislature that 
                begins after the date of the enactment of this Act. For 
                purposes of the previous sentence, in the case of a 
                State that has a 2-year legislative session, each year 
                of the session is considered to be a separate regular 
                session of the State legislature.
    (d) Conforming Amendments.--Section 444(b)(1) of the General 
Education Provisions Act (20 U.S.C. 1232g(b)(1)) is amended--
            (1) in subparagraph (I), by striking ``and'' at the end;
            (2) in subparagraph (J)(ii), by striking the period at the 
        end and inserting ``; and'';
            (3) by adding at the end the following:
            ``(K) the Secretary of Agriculture, or authorized 
        representative from the Food and Nutrition Service or 
        contractors acting on behalf of the Food and Nutrition Service, 
        for the purposes of conducting program monitoring, evaluations, 
        and performance measurements of State and local educational and 
        other agencies and institutions receiving funding or providing 
        benefits of 1 or more programs authorized under the Richard B. 
        Russell National School Lunch Act (42 U.S.C. 1751 et seq.) or 
        the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) for 
        which the results will be reported in an aggregate form that 
        does not identify any individual, on the conditions that--
                    ``(i) any data collected under this subparagraph 
                shall be protected in a manner that will not permit the 
                personal identification of students and their parents 
                by other than the authorized representatives of the 
                Secretary; and
                    ``(ii) any personally identifiable data shall be 
                destroyed when the data are no longer needed for 
                program monitoring, evaluations, and performance 
                measurements.''.

SEC. 104. ELIMINATING INDIVIDUAL APPLICATIONS THROUGH COMMUNITY 
              ELIGIBILITY.

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

SEC. 105. GRANTS FOR EXPANSION OF SCHOOL BREAKFAST PROGRAMS.

    The Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) is amended 
by adding at the end the following:

``SEC. 23. GRANTS FOR EXPANSION OF SCHOOL BREAKFAST PROGRAMS.

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

                Subtitle B--Summer Food Service Program

SEC. 111. ALIGNMENT OF ELIGIBILITY RULES FOR PUBLIC AND PRIVATE 
              SPONSORS.

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

SEC. 112. OUTREACH TO ELIGIBLE FAMILIES.

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

SEC. 113. SUMMER FOOD SERVICE SUPPORT GRANTS.

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

             Subtitle C--Child and Adult Care Food Program

SEC. 121. SIMPLIFYING AREA ELIGIBILITY DETERMINATIONS IN THE CHILD AND 
              ADULT CARE FOOD PROGRAM.

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

SEC. 122. EXPANSION OF AFTERSCHOOL MEALS FOR AT-RISK CHILDREN.

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

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

SEC. 131. CERTIFICATION PERIODS.

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

                       Subtitle E--Miscellaneous

SEC. 141. CHILDHOOD HUNGER RESEARCH.

    The Richard B. Russell National School Lunch Act is amended by 
inserting after section 22 (42 U.S.C. 1769c) the following:

``SEC. 23. CHILDHOOD HUNGER RESEARCH.

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

SEC. 142. STATE CHILDHOOD HUNGER CHALLENGE GRANTS.

    The Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et 
seq.) is amended by inserting after section 23 (as added by section 
141) the following:

``SEC. 24. STATE CHILDHOOD HUNGER CHALLENGE GRANTS.

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

SEC. 143. REVIEW OF LOCAL POLICIES ON MEAL CHARGES AND PROVISION OF 
              ALTERNATE MEALS.

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

    TITLE II--REDUCING CHILDHOOD OBESITY AND IMPROVING THE DIETS OF 
                                CHILDREN

               Subtitle A--National School Lunch Program

SEC. 201. PERFORMANCE-BASED REIMBURSEMENT RATE INCREASES FOR NEW MEAL 
              PATTERNS.

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

SEC. 202. NUTRITION REQUIREMENTS FOR FLUID MILK.

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

SEC. 203. WATER.

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

SEC. 204. LOCAL SCHOOL WELLNESS POLICY IMPLEMENTATION.

    (a) In General.--The Richard B. Russell National School Lunch Act 
is amended by inserting after section 9 (42 U.S.C. 1758) the following:

``SEC. 9A. LOCAL SCHOOL WELLNESS POLICY.

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

SEC. 205. EQUITY IN SCHOOL LUNCH PRICING.

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

SEC. 206. REVENUE FROM NONPROGRAM FOODS SOLD IN SCHOOLS.

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

SEC. 207. REPORTING AND NOTIFICATION OF SCHOOL PERFORMANCE.

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

SEC. 208. NUTRITION STANDARDS FOR ALL FOODS SOLD IN SCHOOL.

    Section 10 of the Child Nutrition Act of 1966 (42 U.S.C. 1779) is 
amended--
            (1) by striking the section heading and all that follows 
        through ``(a) The Secretary'' and inserting the following:

``SEC. 10. REGULATIONS.

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

SEC. 209. INFORMATION FOR THE PUBLIC ON THE SCHOOL NUTRITION 
              ENVIRONMENT.

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

SEC. 210. ORGANIC FOOD PILOT PROGRAM.

    Section 18 of the Richard B. Russell National School Lunch Act (42 
U.S.C. 1769) is amended by adding at the end the following:
    ``(j) Organic Food Pilot Program.--
            ``(1) Establishment.--The Secretary shall establish an 
        organic food pilot program (referred to in this subsection as 
        the `pilot program') under which the Secretary shall provide 
        grants on a competitive basis to school food authorities 
        selected under paragraph (3).
            ``(2) Use of funds.--
                    ``(A) In general.--The Secretary shall use funds 
                provided under this section--
                            ``(i) to enter into competitively awarded 
                        contracts or cooperative agreements with school 
                        food authorities selected under paragraph (3); 
                        or
                            ``(ii) to make grants to school food 
                        authority applicants selected under paragraph 
                        (3).
                    ``(B) School food authority uses of funds.--A 
                school food authority that receives a grant under this 
                section shall use the grant funds to establish a pilot 
                program that increases the quantity of organic foods 
                provided to schoolchildren under the school lunch 
                program established under this Act.
            ``(3) Application.--
                    ``(A) In general.--A school food authority seeking 
                a contract, grant, or cooperative agreement under this 
                subsection shall submit to the Secretary an application 
                in such form, containing such information, and at such 
                time as the Secretary shall prescribe.
                    ``(B) Criteria.--In selecting contract, grant, or 
                cooperative agreement recipients, the Secretary shall 
                consider--
                            ``(i) the poverty line (as defined in 
                        section 673(2) of the Community Services Block 
                        Grant Act (42 U.S.C. 9902(2), including any 
                        revision required by that section)) applicable 
                        to a family of the size involved of the 
                        households in the district served by the school 
                        food authority, giving preference to school 
                        food authority applicants in which not less 
                        than 50 percent of the households in the 
                        district are at or below the Federal poverty 
                        line;
                            ``(ii) the commitment of each school food 
                        authority applicant--
                                    ``(I) to improve the nutritional 
                                value of school meals;
                                    ``(II) to carry out innovative 
                                programs that improve the health and 
                                wellness of schoolchildren; and
                                    ``(III) to evaluate the outcome of 
                                the pilot program; and
                            ``(iii) any other criteria the Secretary 
                        determines to be appropriate.
            ``(4) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this subsection 
        $10,000,000 for fiscal years 2011 through 2015.''.

             Subtitle B--Child and Adult Care Food Program

SEC. 221. NUTRITION AND WELLNESS GOALS FOR MEALS SERVED THROUGH THE 
              CHILD AND ADULT CARE FOOD PROGRAM.

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

SEC. 222. INTERAGENCY COORDINATION TO PROMOTE HEALTH AND WELLNESS IN 
              CHILD CARE LICENSING.

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

SEC. 223. STUDY ON NUTRITION AND WELLNESS QUALITY OF CHILD CARE 
              SETTINGS.

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

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

SEC. 231. SUPPORT FOR BREASTFEEDING IN THE WIC PROGRAM.

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

SEC. 232. REVIEW OF AVAILABLE SUPPLEMENTAL FOODS.

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

                       Subtitle D--Miscellaneous

SEC. 241. NUTRITION EDUCATION AND OBESITY PREVENTION GRANT PROGRAM.

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

``SEC. 28. NUTRITION EDUCATION AND OBESITY PREVENTION GRANT PROGRAM.

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

SEC. 242. PROCUREMENT AND PROCESSING OF FOOD SERVICE PRODUCTS AND 
              COMMODITIES.

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

SEC. 243. ACCESS TO LOCAL FOODS: FARM TO SCHOOL PROGRAM.

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

SEC. 244. RESEARCH ON STRATEGIES TO PROMOTE THE SELECTION AND 
              CONSUMPTION OF HEALTHY FOODS.

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

 TITLE III--IMPROVING THE MANAGEMENT AND INTEGRITY OF CHILD NUTRITION 
                                PROGRAMS

               Subtitle A--National School Lunch Program

SEC. 301. PRIVACY PROTECTION.

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

SEC. 302. APPLICABILITY OF FOOD SAFETY PROGRAM ON ENTIRE SCHOOL CAMPUS.

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

SEC. 303. FINES FOR VIOLATING PROGRAM REQUIREMENTS.

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

SEC. 304. INDEPENDENT REVIEW OF APPLICATIONS.

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

SEC. 305. PROGRAM EVALUATION.

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

SEC. 306. PROFESSIONAL STANDARDS FOR SCHOOL FOOD SERVICE.

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

SEC. 307. INDIRECT COSTS.

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

SEC. 308. ENSURING SAFETY OF SCHOOL MEALS.

    The Richard B. Russell National School Lunch Act is amended by 
after section 28 (42 U.S.C. 1769i) the following:

``SEC. 29. ENSURING SAFETY OF SCHOOL MEALS.

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

                Subtitle B--Summer Food Service Program

SEC. 321. SUMMER FOOD SERVICE PROGRAM PERMANENT OPERATING AGREEMENTS.

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

SEC. 322. SUMMER FOOD SERVICE PROGRAM DISQUALIFICATION.

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

             Subtitle C--Child and Adult Care Food Program

SEC. 331. RENEWAL OF APPLICATION MATERIALS AND PERMANENT OPERATING 
              AGREEMENTS.

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

SEC. 332. STATE LIABILITY FOR PAYMENTS TO AGGRIEVED CHILD CARE 
              INSTITUTIONS.

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

SEC. 333. TRANSMISSION OF INCOME INFORMATION BY SPONSORED FAMILY OR 
              GROUP DAY CARE HOMES.

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

SEC. 334. SIMPLIFYING AND ENHANCING ADMINISTRATIVE PAYMENTS TO 
              SPONSORING ORGANIZATIONS.

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

SEC. 335. CHILD AND ADULT CARE FOOD PROGRAM AUDIT FUNDING.

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

SEC. 336. REDUCING PAPERWORK AND IMPROVING PROGRAM ADMINISTRATION.

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

SEC. 337. STUDY RELATING TO THE CHILD AND ADULT CARE FOOD PROGRAM.

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

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

SEC. 351. SHARING OF MATERIALS WITH OTHER PROGRAMS.

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

SEC. 352. WIC PROGRAM MANAGEMENT.

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

                       Subtitle E--Miscellaneous

SEC. 361. FULL USE OF FEDERAL FUNDS.

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

SEC. 362. DISQUALIFIED SCHOOLS, INSTITUTIONS, AND INDIVIDUALS.

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

                        TITLE IV--MISCELLANEOUS

           Subtitle A--Reauthorization of Expiring Provisions

          PART I--RICHARD B. RUSSELL NATIONAL SCHOOL LUNCH ACT

SEC. 401. COMMODITY SUPPORT.

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

SEC. 402. FOOD SAFETY AUDITS AND REPORTS BY STATES.

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

SEC. 403. PROCUREMENT TRAINING.

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

SEC. 404. AUTHORIZATION OF THE SUMMER FOOD SERVICE PROGRAM FOR 
              CHILDREN.

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

SEC. 405. YEAR-ROUND SERVICES FOR ELIGIBLE ENTITIES.

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

SEC. 406. TRAINING, TECHNICAL ASSISTANCE, AND FOOD SERVICE MANAGEMENT 
              INSTITUTE.

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

SEC. 407. FEDERAL ADMINISTRATIVE SUPPORT.

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

SEC. 408. COMPLIANCE AND ACCOUNTABILITY.

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

SEC. 409. INFORMATION CLEARINGHOUSE.

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

                  PART II--CHILD NUTRITION ACT OF 1966

SEC. 421. TECHNOLOGY INFRASTRUCTURE IMPROVEMENT.

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

SEC. 422. STATE ADMINISTRATIVE EXPENSES.

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

SEC. 423. SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS, 
              AND CHILDREN.

    Section 17(g)(1)(A) of the Child Nutrition Act of 1966 (42 U.S.C. 
1786(g)(1)(A)) is amended by striking ``each of fiscal years 2004 
through 2009'' and inserting ``each of fiscal years 2010 through 
2015''.

SEC. 424. FARMERS MARKET NUTRITION PROGRAM.

    Section 17(m)(9) of the Child Nutrition Act of 1966 (42 U.S.C. 
1786(m)(9)) is amended by striking subparagraph (A) and inserting the 
following:
                    ``(A) Authorization of appropriations.--There are 
                authorized to be appropriated to carry out this 
                subsection such sums as are necessary for each of 
                fiscal years 2010 through 2015.''.

                    Subtitle B--Technical Amendments

SEC. 441. TECHNICAL AMENDMENTS.

    (a) Richard B. Russell National School Lunch Act.--
            (1) Nutritional requirements.--Section 9(f) of the Richard 
        B. Russell National School Lunch Act (42 U.S.C. 1758(f)) is 
        amended--
                    (A) by striking ``(f)'' and all that follows 
                through the end of paragraph (1) and inserting the 
                following:
    ``(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.'';
                    (B) by striking paragraph (2); and
                    (C) by redesignating paragraphs (3) through (5) as 
                paragraphs (2) through (4), respectively.
            (2) Rounding rules for computation of adjustment.--Section 
        11(a)(3)(B) of the Richard B. Russell National School Lunch Act 
        (42 U.S.C. 1759a(a)(3)(B)) is amended by striking ``Rounding.--
        '' and all that follows through ``On July'' in subclause (II) 
        and inserting ``Rounding.--On July''.
            (3) Information and assistance concerning reimbursement 
        options.--Section 11 of the Richard B. Russell National School 
        Lunch Act (42 U.S.C. 1759a) is amended by striking subsection 
        (f).
            (4) 1995 regulations to implement dietary guidelines.--
        Section 12 of the Richard B. Russell National School Lunch Act 
        (42 U.S.C. 1760) is amended by striking subsection (k).
            (5) Summer food service program for children.--
                    (A) In general.--Section 13 of the Richard B. 
                Russell National School Lunch Act (42 U.S.C. 1761) is 
                amended by striking the section heading and all that 
                follows through the end of subsection (a)(1) and 
                inserting the following:

``SEC. 13. SUMMER FOOD SERVICE PROGRAM FOR CHILDREN.

    ``(a) In General.--
            ``(1) Definitions.--In this section:
                    ``(A) Area in which poor economic conditions 
                exist.--
                            ``(i) In general.--Subject to clause (ii), 
                        the term `area in which poor economic 
                        conditions exist', as the term relates to an 
                        area in which a program food service site is 
                        located, means--
                                    ``(I) the attendance area of a 
                                school in which at least 50 percent of 
                                the enrolled children have been 
                                determined eligible for free or reduced 
                                price school meals under this Act and 
                                the Child Nutrition Act of 1966 (42 
                                U.S.C. 1771 et seq.);
                                    ``(II) a geographic area, as 
                                defined by the Secretary based on the 
                                most recent census data available, in 
                                which at least 50 percent of the 
                                children residing in that area are 
                                eligible for free or reduced price 
                                school meals under this Act and the 
                                Child Nutrition Act of 1966 (42 U.S.C. 
                                1771 et seq.);
                                    ``(III) an area--
                                            ``(aa) for which the 
                                        program food service site 
                                        documents the eligibility of 
                                        enrolled children through the 
                                        collection of income 
                                        eligibility statements from the 
                                        families of enrolled children 
                                        or other means; and
                                            ``(bb) at least 50 percent 
                                        of the children enrolled at the 
                                        program food service site meet 
                                        the income standards for free 
                                        or reduced price school meals 
                                        under this Act and the Child 
                                        Nutrition Act of 1966 (42 
                                        U.S.C. 1771 et seq.);
                                    ``(IV) a geographic area, as 
                                defined by the Secretary based on 
                                information provided from a department 
                                of welfare or zoning commission, in 
                                which at least 50 percent of the 
                                children residing in that area are 
                                eligible for free or reduced price 
                                school meals under this Act and the 
                                Child Nutrition Act of 1966 (42 U.S.C. 
                                1771 et seq.); or
                                    ``(V) an area for which the program 
                                food service site demonstrates through 
                                other means approved by the Secretary 
                                that at least 50 percent of the 
                                children enrolled at the program food 
                                service site are eligible for free or 
                                reduced price school meals under this 
                                Act and the Child Nutrition Act of 1966 
                                (42 U.S.C. 1771 et seq.).
                            ``(ii) Duration of determination.--A 
                        determination that an area is an `area in which 
                        poor economic conditions exist' under clause 
                        (i) shall be in effect for--
                                    ``(I) in the case of an area 
                                described in clause (i)(I), 5 years;
                                    ``(II) in the case of an area 
                                described in clause (i)(II), until more 
                                recent census data are available;
                                    ``(III) in the case of an area 
                                described in clause (i)(III), 1 year; 
                                and
                                    ``(IV) in the case of an area 
                                described in subclause (IV) or (V) of 
                                clause (i), a period of time to be 
                                determined by the Secretary, but not 
                                less than 1 year.
                    ``(B) Children.--The term `children' means--
                            ``(i) individuals who are 18 years of age 
                        and under; and
                            ``(ii) individuals who are older than 18 
                        years of age who are--
                                    ``(I) determined by a State 
                                educational agency or a local public 
                                educational agency of a State, in 
                                accordance with regulations promulgated 
                                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.
                    ``(C) Program.--The term `program' means the summer 
                food service program for children authorized by this 
                section.
                    ``(D) Service institution.--The term `service 
                institution' means a public or private nonprofit school 
                food authority, local, municipal, or county government, 
                public or private nonprofit higher education 
                institution participating in the National Youth Sports 
                Program, or residential public or private nonprofit 
                summer camp, that develops special summer or school 
                vacation programs providing food service similar to 
                food service made available to children during the 
                school year under the school lunch program under this 
                Act or the school breakfast program under the Child 
                Nutrition Act of 1966 (42 U.S.C. 1771 et seq.).
                    ``(E) State.--The term `State' means--
                            ``(i) each of the several States of the 
                        United States;
                            ``(ii) the District of Columbia;
                            ``(iii) the Commonwealth of Puerto Rico;
                            ``(iv) Guam;
                            ``(v) American Samoa;
                            ``(vi) the Commonwealth of the Northern 
                        Mariana Islands; and
                            ``(vii) the United States Virgin 
                        Islands.''.
                    (B) Conforming amendments.--Section 13(a) of the 
                Richard B. Russell National School Lunch Act (42 U.S.C. 
                1761(a)) is amended--
                            (i) in paragraph (2)--
                                    (I) by striking ``(2) To the 
                                maximum extent feasible,'' and 
                                inserting the following:
            ``(2) Program authorization.--
                    ``(A) In general.--The Secretary may carry out a 
                program to assist States, through grants-in-aid and 
                other means, to initiate and maintain nonprofit summer 
                food service programs for children in service 
                institutions.
                    ``(B) Preparation of food.--
                            ``(i) In general.--To the maximum extent 
                        feasible,''; and
                                    (II) by striking ``The Secretary 
                                shall'' and inserting the following:
                            ``(ii) Information and technical 
                        assistance.--The Secretary shall'';
                            (ii) in paragraph (3)--
                                    (I) by striking ``(3) Eligible 
                                service institutions'' and inserting 
                                the following:
            ``(3) Eligible service institutions.--Eligible service 
        institutions''; and
                                    (II) by indenting subparagraphs (A) 
                                through (D) appropriately;
                            (iii) in paragraph (4)--
                                    (I) by redesignating subparagraphs 
                                (A) through (D) as clauses (i) through 
                                (iv), respectively, and indenting 
                                appropriately;
                                    (II) by striking ``(4) The 
                                following'' and inserting the 
                                following:
            ``(4) Priority.--
                    ``(A) In general.--The following''; and
                                    (III) by striking ``The Secretary 
                                and the States'' and inserting the 
                                following:
                    ``(B) Rural areas.--The Secretary and the States'';
                            (iv) by striking ``(5) Camps'' and 
                        inserting the following:
            ``(5) Camps.--Camps''; and
                            (v) by striking ``(6) Service 
                        institutions'' and inserting the following:
            ``(6) Government institutions.--Service institutions''.
            (6) Report on impact of procedures to secure state school 
        input on commodity selection.--Section 14(d) of the Richard B. 
        Russell National School Lunch Act (42 U.S.C. 1762a(d)) is 
        amended by striking the matter that follows paragraph (5).
            (7) Rural area day care home pilot program.--Section 17 of 
        the Richard B. Russell National School Lunch Act (42 U.S.C. 
        1766) is amended by striking subsection (p).
            (8) Child and adult care food program training and 
        technical assistance.--Section 17(q) of the Richard B. Russell 
        National School Lunch Act (42 U.S.C. 1766(q)) is amended by 
        striking paragraph (3).
            (9) Pilot project for private nonprofit state agencies.--
        Section 18 of the Richard B. Russell National School Lunch Act 
        (42 U.S.C. 1769) is amended by striking subsection (a).
            (10) Meal counting and application pilot programs.--Section 
        18(c) of the Richard B. Russell National School Lunch Act (42 
        U.S.C. 1769(c)) is amended--
                    (A) by striking paragraphs (1) and (2);
                    (B) by redesignating paragraphs (3) and (4) as 
                paragraphs (1) and (2), respectively; and
                    (C) in paragraph (1) (as so redesignated), by 
                striking ``In addition to the pilot projects described 
                in this subsection, the Secretary may conduct other'' 
                and inserting ``The Secretary may conduct''.
            (11) Milk fortification pilot.--Section 18 of the Richard 
        B. Russell National School Lunch Act (42 U.S.C. 1769) is 
        amended by striking subsection (d).
            (12) Free breakfast pilot project.--Section 18 of the 
        Richard B. Russell National School Lunch Act (42 U.S.C. 1769) 
        is amended by striking subsection (e).
            (13) Summer food service residential camp eligibility.--
        Section 18 of the Richard B. Russell National School Lunch Act 
        (42 U.S.C. 1769) is amended by striking subsection (f).
            (14) Accommodation of the special dietary needs of 
        individuals with disabilities.--Section 27 of the Richard B. 
        Russell National School Lunch Act (42 U.S.C. 1769h) is 
        repealed.
    (b) Child Nutrition Act of 1966.--
            (1) State administrative expenses minimum levels for 2005 
        through 2007.--Section 7(a)(1) of the Child Nutrition Act of 
        1966 (42 U.S.C. 1776(a)(1)) is amended--
                    (A) in subparagraph (A), by striking ``Except as 
                provided in subparagraph (B), each fiscal year'' and 
                inserting ``Each fiscal year'';
                    (B) by striking subparagraph (B); and
                    (C) by redesignating subparagraph (C) as 
                subparagraph (B).
            (2) Fruit and vegetable grants under the special 
        supplemental nutrition program for women, infants, and 
        children.--Section 17(f)(11) of the Child Nutrition Act of 1966 
        (42 U.S.C. 1786(f)(11)) is amended--
                    (A) by striking subparagraph (C); and
                    (B) by redesignating subparagraph (D) as 
                subparagraph (C).

SEC. 442. USE OF UNSPENT FUTURE FUNDS FROM THE AMERICAN RECOVERY AND 
              REINVESTMENT ACT OF 2009.

    Section 101(a) of division A of the American Recovery and 
Reinvestment Act of 2009 (Public Law 111-5; 123 Stat. 120) is amended--
            (1) in paragraph (1), by inserting before the period at the 
        end ``, if the value of the benefits and block grants would be 
        greater under that calculation than in the absence of this 
        subsection''; and
            (2) by striking paragraph (2) and inserting the following:
            ``(2) Termination.--The authority provided by this 
        subsection shall terminate after October 31, 2013.''.

SEC. 443. EQUIPMENT ASSISTANCE TECHNICAL CORRECTION.

    (a) In General.--Notwithstanding any other provision of law, school 
food authorities that received a grant for equipment assistance under 
the grant program carried out under the heading ``FOOD AND NUTRITION 
SERVICE CHILD NUTRITION PROGRAMS'' in title I of division A of the 
American Recovery and Reinvestment Act of 2009 (Public Law 111-5; 123 
Stat. 119) shall be eligible to receive a grant under section 749(j) of 
the Agriculture, Rural Development, Food and Drug Administration, and 
Related Agencies Appropriations Act, 2010 (Public Law 111-80; 123 Stat. 
2134).
    (b) Use of Grant.--A school food authority receiving a grant for 
equipment assistance described in subsection (a) may use the grant only 
to make equipment available to schools that did not previously receive 
equipment from a grant under the American Recovery and Reinvestment Act 
of 2009 (Public Law 111-5; 123 Stat. 115).

SEC. 444. BUDGETARY EFFECTS.

    The budgetary effects of this Act, for the purpose of complying 
with the Statutory Pay-As-You-Go-Act of 2010, shall be determined by 
reference to the latest statement titled ``Budgetary Effects of PAYGO 
Legislation'' for this Act, submitted for printing in the Congressional 
Record by the Chairman of the Senate Budget Committee, provided that 
such statement has been submitted prior to the vote on passage.

SEC. 445. EFFECTIVE DATE.

    Except as otherwise specifically provided in this Act or any of the 
amendments made by this Act, this Act and the amendments made by this 
Act take effect on October 1, 2010.

            Passed the Senate August 5, 2010.

            Attest:

                                                             Secretary.
111th CONGRESS

  2d Session

                                S. 3307

_______________________________________________________________________

                                 AN ACT

    To reauthorize child nutrition programs, and for other purposes.