[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 4061 Introduced in Senate (IS)]

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116th CONGRESS
  2d Session
                                S. 4061

  To provide emergency nutrition assistance to States, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 24, 2020

Mr. Cornyn (for himself and Mr. Murphy) introduced the following bill; 
  which was read twice and referred to the Committee on Agriculture, 
                        Nutrition, and Forestry

_______________________________________________________________________

                                 A BILL


 
  To provide emergency nutrition assistance to States, 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.

    This Act may be cited as the ``State Emergency Restaurant and 
Vendor Enhancement and COVID-19 Anti-hunger Restaurant Relief for You 
Act'' or the ``SERVE and CARRY Act''.

SEC. 2. DEFINITION OF SECRETARY.

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

SEC. 3. EMERGENCY NUTRITION ASSISTANCE TO STATES.

    (a) State Emergency Restaurant and Vendor Enhancement Program 
(SERVE) Program.--The Food and Nutrition Act of 2008 (7 U.S.C. 2011 et 
seq.) is amended by adding at the end the following:

``SEC. 31. STATE EMERGENCY RESTAURANT AND VENDOR ENHANCEMENT (SERVE) 
              PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Electronic benefit transfer transaction.--The term 
        `electronic benefit transfer transaction' means the use of a 
        credit or debit card service, point-of-sale terminal (including 
        a contactless payment system), digital or paperless voucher 
        system (excluding manual vouchers), or online system for the 
        processing of a payment for the purchase of food.
            ``(2) Emergency.--The term `emergency' means--
                    ``(A) a national emergency declared by the 
                President under the National Emergencies Act (50 U.S.C. 
                1601 et seq.) based on an outbreak of SARS-CoV-2 or 
                another coronavirus with pandemic potential;
                    ``(B) a public health emergency declared under 
                section 319 of the Public Health Service Act (42 U.S.C. 
                247d) based on an outbreak of SARS-CoV-2 or another 
                coronavirus with pandemic potential;
                    ``(C) an emergency declared by the President under 
                section 501 of the Robert T. Stafford Disaster Relief 
                and Emergency Assistance Act (42 U.S.C. 5191) based on 
                an outbreak of SARS-CoV-2 or another coronavirus with 
                pandemic potential; and
                    ``(D) an emergency invoked under section 506(a)(1) 
                of the Foreign Assistance Act of 1961 (22 U.S.C. 
                2318(a)(1)) based on an outbreak of SARS-CoV-2 or 
                another coronavirus with pandemic potential.
            ``(3) Food.--Notwithstanding section 3(k), the term `food' 
        means an article used for food or drink (except an alcoholic 
        beverage or tobacco) that is prepared for human consumption and 
        served by a participating restaurant.
            ``(4) Participating restaurant.--The term `participating 
        restaurant' means a restaurant that is authorized to 
        participate in the SERVE program of the State in which the 
        restaurant is located by--
                    ``(A) the State; or
                    ``(B) the electronic benefit transfer vendor of the 
                State.
            ``(5) Restaurant.--
                    ``(A) In general.--The term `restaurant' means--
                            ``(i) a food service and drinking place of 
                        business (including a small- or midsized-food 
                        service and drinking place of business, and a 
                        place of business classified under North 
                        American Industry Classification System Code 
                        722) that is registered to do business in the 
                        State in which the restaurant is located as of 
                        the date on which an emergency is declared or 
                        invoked, as applicable;
                            ``(ii) a faith-based or other charitable 
                        organization that serves meals to the public 
                        and meets all applicable State and local food 
                        safety and public health requirements;
                            ``(iii) a soup kitchen that meets all 
                        applicable State and local food safety and 
                        public health requirements;
                            ``(iv) an entity that offers a congregate 
                        meal setting and is certified to serve meals 
                        under a Federal nutrition program; and
                            ``(v) a vendor that sells prepared food and 
                        is authorized to conduct electronic benefit 
                        transfer transactions at a farmer's market.
                    ``(B) Exclusion.--The term `restaurant' shall not 
                include any establishment described in clauses (i) 
                through (iii) of section 408(a)(12)(A) of the Social 
                Security Act (42 U.S.C. 608(a)(12)(A)) and defined 
                under subparagraph (B) of that section (42 U.S.C. 
                608(a)(12)(B)).
            ``(6) State emergency restaurant and vendor enhancement 
        program; serve program.--The terms `State Emergency Restaurant 
        and Vendor Enhancement Program' and `SERVE Program' mean a 
        State-based program described in subsection (b).
    ``(b) Establishment.--On request of a State, the Secretary shall 
provide funds, if made available under subsection (g), to a State to 
carry out a program, to be known as a `SERVE program', during an 
emergency applicable to the State, under which a State shall--
            ``(1) issue financial assistance in the form of benefits to 
        eligible recipients described in subsection (c) for use at 
        participating restaurants through electronic benefit transfer 
        transactions; and
            ``(2) authorize restaurants in the State to accept and 
        redeem those benefits for the purchase of meals and food 
        through electronic benefit transfer transactions.
    ``(c) Eligible Recipients.--
            ``(1) In general.--An individual in a State is eligible to 
        receive benefits under the SERVE program of that State if that 
        individual receives benefits under another Federal nutrition 
        assistance program.
            ``(2) Other assistance programs.--Benefits received by an 
        individual under the SERVE program shall not be considered 
        income for determining the eligibility of that individual under 
        any means-tested Federal assistance program.
    ``(d) State Eligibility.--
            ``(1) State plan.--To be eligible to receive funds under 
        subsection (b), a State shall submit to the Secretary a plan 
        describing the SERVE program to be implemented in the State 
        using those funds.
            ``(2) Determination.--The Secretary shall approve a plan 
        submitted under paragraph (1) not later than 30 days after the 
        date on which the plan is submitted if the plan meets the 
        requirements established by the Secretary, including the 
        minimum requirements described in paragraph (3).
            ``(3) Minimum requirements for state plan.--A plan 
        submitted by a State under paragraph (1) shall include--
                    ``(A) the maximum concessional meal price to be 
                charged by participating restaurants;
                    ``(B) a description of how the State intends to 
                make use of electronic benefit transfer transactions, 
                including the availability and use of--
                            ``(i) point-of-sale machines (including 
                        contactless payment systems);
                            ``(ii) existing low-income benefit 
                        programs, such as the Lifeline program set 
                        forth in subpart E of part 54 of title 47, Code 
                        of Federal Regulations (or successor 
                        regulations); and
                            ``(iii) digital or paperless voucher 
                        systems;
                    ``(C) a standard form that the State will use to 
                contract with participating restaurants;
                    ``(D) a description of the restrictions that a 
                State will impose on alternative forms of benefits 
                issued under the SERVE Program in any form other than 
                electronic benefit transfer, including manual vouchers, 
                cash, or in-kind benefits;
                    ``(E) a plan for termination of the SERVE program;
                    ``(F) a plan for maintaining integrity of the SERVE 
                program to prevent fraud, waste, and abuse;
                    ``(G) minimum criteria that the State will use to 
                authorize restaurants to participate in the SERVE 
                program; and
                    ``(H) the total amount of funding requested by the 
                State, based on, at a minimum, the product obtained by 
                multiplying--
                            ``(i) the estimated number of individuals 
                        eligible to receive benefits under the SERVE 
                        program in the State, in accordance with 
                        subsection (b);
                            ``(ii) the maximum concessional meal price 
                        described in subparagraph (A); and
                            ``(iii) the number of meals that the State 
                        estimates will be provided to each eligible 
                        recipient.
    ``(e) SERVE Program Administration.--
            ``(1) Restaurant identification number.--Under a SERVE 
        program, a State shall assign a unique identification number to 
        each participating restaurant, which may be identical to the 
        number assigned to that restaurant under another Federal 
        nutrition program.
            ``(2) Termination date.--A State shall terminate a SERVE 
        program not later than the later of--
                    ``(A) 60 days after the date on which the 
                applicable emergency is lifted; and
                    ``(B) the date on which funds provided to the State 
                under subsection (b) are expended.
            ``(3) Funds.--
                    ``(A) Return of federal funds.--On termination of a 
                SERVE program, a State may elect to return to the 
                Treasury any unused funds of the funds received under 
                subsection (b).
                    ``(B) Administrative costs.--
                            ``(i) In general.--Subject to clause (ii), 
                        a State may use some portion of the funds 
                        received under subsection (b) for the 
                        administrative costs of carrying out a SERVE 
                        program, including the cost of--
                                    ``(I) contracting with necessary 
                                entities to operate the SERVE program, 
                                including to update electronic benefit 
                                transfer transaction infrastructure;
                                    ``(II) carrying out activities to 
                                protect the integrity of the SERVE 
                                program and enforce against violations 
                                of waste, fraud, and abuse of funding 
                                under the SERVE program; and
                                    ``(III) providing technical 
                                assistance to participating 
                                restaurants.
                            ``(ii) Amount.--Of the funds received under 
                        subsection (b) by a State, the Secretary shall 
                        determine the amount that the State may use for 
                        administrative costs, which shall not exceed 10 
                        percent of the total funds received.
                    ``(C) State contribution.--A State may use State 
                funds to establish or contribute to a SERVE program.
            ``(4) Nondiscrimination.--A State shall ensure that an 
        individual shall not, on any basis prohibited under section 11, 
        be excluded from participation in, be denied the benefits of, 
        or be subjected to discrimination under a SERVE program.
            ``(5) Civil penalties.--A State that administers a SERVE 
        program shall establish a civil penalty for any participating 
        restaurant that knowingly and willfully carries out any act of 
        waste, fraud, or abuse of the SERVE program--
                    ``(A) in an amount of not more than $100,000 for 
                each violation; and
                    ``(B) if there is a pattern of violations by the 
                restaurant, as determined by the State, the revocation 
                of the license of the restaurant in that State.
    ``(f) Prorated Distribution.--If necessary, the Secretary shall 
reduce the amount provided to each State under subsection (b) on a 
prorated basis based on the amount requested by the State and the funds 
made available under subsection (g).
    ``(g) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary such sums as are necessary to carry out 
this section during an emergency.
    ``(h) Effect.--Nothing in this section waives, modifies, or 
otherwise affects the requirements of the supplemental nutrition 
assistance program, the special supplemental nutrition program for 
women, infants, and children established by section 17 of the Child 
Nutrition Act of 1966 (42 U.S.C. 1786), or any other Federal nutrition 
assistance program, as determined by the Secretary.''.
    (b) State-Based Coronavirus Food Assistance Purchase Program.--
            (1) Definitions.--In this subsection:
                    (A) Emergency.--The term ``emergency'' means--
                            (i) a national emergency declared by the 
                        President under the National Emergencies Act 
                        (50 U.S.C. 1601 et seq.) based on an outbreak 
                        of SARS-CoV-2 or another coronavirus with 
                        pandemic potential;
                            (ii) a public health emergency declared 
                        under section 319 of the Public Health Service 
                        Act (42 U.S.C. 247d) based on an outbreak of 
                        SARS-CoV-2 or another coronavirus with pandemic 
                        potential;
                            (iii) an emergency declared by the 
                        President under section 501 of the Robert T. 
                        Stafford Disaster Relief and Emergency 
                        Assistance Act (42 U.S.C. 5191) based on an 
                        outbreak of SARS-CoV-2 or another coronavirus 
                        with pandemic potential; and
                            (iv) an emergency invoked under section 
                        506(a)(1) of the Foreign Assistance Act of 1961 
                        (22 U.S.C. 2318(a)(1)) based on an outbreak of 
                        SARS-CoV-2 or another coronavirus with pandemic 
                        potential.
                    (B) State.--The term ``State'' has the meaning 
                given the term in section 3 of the Food and Nutrition 
                Act of 2008 (7 U.S.C. 2012).
            (2) Provision of funds to states.--On request of a State 
        during an emergency applicable to the State, the Secretary 
        shall provide funds, if made available under paragraph (3), to 
        the State to purchase, store, process, package, harvest, and 
        distribute locally grown commodities, fruits, vegetables, 
        specialty crops, dairy, and other consumable items, including 
        for donation to emergency feeding organizations (as defined in 
        section 201A of the Emergency Food Assistance Act of 1983 (7 
        U.S.C. 7501)).
            (3) Authorization of appropriations.--There are authorized 
        to be appropriated to the Secretary such sums as are necessary 
        to carry out this subsection during an emergency.

SEC. 4. RESTAURANT MEALS PROGRAM UNDER THE SUPPLEMENTAL NUTRITION 
              ASSISTANCE PROGRAM.

    (a) Definitions.--In this section:
            (1) Covered period.--The term ``covered period'' means the 
        period beginning on the first day of the first month that 
        begins after the date of enactment of this Act and ending on 
        the last day of the month that follows the month in which the 
        public health emergency declared by the Secretary of Health and 
        Human Services under section 319 of the Public Health Service 
        Act (42 U.S.C. 247d) on January 31, 2020, with respect to 
        COVID-19, is lifted.
            (2) Program.--The term ``program'' means the supplemental 
        nutrition assistance program established under the Food and 
        Nutrition Act of 2008 (7 U.S.C. 2011 et seq.).
    (b) Definition of Food.--Section 3(k) of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2012(k)) is amended--
            (1) in paragraph (1), by striking ``clauses (3), (4), (5), 
        (7), (8), and (9) of this subsection'' and inserting 
        ``paragraphs (3), (4), (5), and (7) through (10)'';
            (2) in paragraph (8), by striking ``and'' at the end; and
            (3) in paragraph (9), by striking the period at the end and 
        inserting ``, and (10) in the case of households residing in an 
        area for which a major disaster has been declared by the 
        President under section 401 of the Robert T. Stafford Disaster 
        Relief and Emergency Assistance Act (42 U.S.C. 5170), 
        regardless of whether individual assistance has been authorized 
        under such major disaster declaration, or a public health 
        emergency has been declared by the Secretary of Health and 
        Human Services under section 319 of the Public Health Service 
        Act (42 U.S.C. 247d), meals prepared for and served by a public 
        or private nonprofit establishment (approved by an appropriate 
        State or local agency) that feeds such households and by 
        private establishments that contract with the appropriate 
        agency of the State to offer meals for such households at 
        concessional prices subject to section 9(h).''.
    (c) Temporary Streamlining of State Participation.--
            (1) In general.--Subject to paragraph (2), during the 
        covered period, the Secretary shall waive the requirements 
        under section 11(e)(25) of the Food and Nutrition Act of 2008 
        (7 U.S.C. 2020(e)(25)) for a State plan of operation required 
        under subsection (d) of that section.
            (2) Covered period.--The Secretary may extend the covered 
        period for the purpose of carrying out paragraph (1) if the 
        Secretary determines that such action is necessary to prevent 
        hunger in areas impacted by the Coronavirus Disease 2019 
        (COVID-19).
    (d) Authorization of New Retailers.--
            (1) In general.--During the covered period, for the sole 
        purpose of expanding the number and capacity of retail food 
        establishments, including restaurants, authorized to accept and 
        redeem program benefits in order to adequately serve households 
        that are eligible to receive program benefits, the Secretary 
        may waive any requirements under section 9 of the Food and 
        Nutrition Act of 2008 (7 U.S.C. 2018).
            (2) No fees.--Nothing in this subsection permits any retail 
        food establishment, including a restaurant, authorized to 
        accept and redeem program benefits to charge fees for the 
        redemption of those benefits, including fees described in 
        section 7(h)(13) of the Food and Nutrition Act of 2008 (7 
        U.S.C. 2016(h)(13)).
    (e) Contracts With Private Establishments.--In the case of a 
contract that a State or the Federal Government enters into with a 
private establishment to offer meals at concessional prices under the 
Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) that is 
effective on the day before the public health emergency described in 
subsection (a)(1) is lifted, if the Secretary determines, on or after 
the date on which the public health emergency described in subsection 
(a)(1) is lifted, that the participation of the private establishment 
is not necessary to meet a documented need in accordance with section 
11(e)(25) of the Food and Nutrition Act of 2008 (7 U.S.C. 2020(e)(25)), 
the Secretary may--
            (1) allow the operation of the private establishment to 
        continue without that determination of need for not more than 
        180 days following the date of that determination by the 
        Secretary; or
            (2) terminate the contract and provide justification for 
        the termination to the State in which the private establishment 
        is located.
    (f) Report to Congress.--Not later than 180 days after the public 
health emergency described in subsection (a)(1) is lifted, the 
Secretary shall submit to the Committee on Agriculture, Nutrition, and 
Forestry of the Senate and the Committee on Agriculture of the House of 
Representatives a report that includes--
            (1) a description of the effectiveness of this section in--
                    (A) increasing access to concessional meals during 
                the public health emergency; and
                    (B) preventing hunger and improving health and 
                safety among program recipients described in paragraphs 
                (3), (4), and (9) of section 3(k) of the Food and 
                Nutrition Act of 2008 (7 U.S.C. 2012(k)); and
            (2) recommendations for additional statutory authority 
        needed by the Secretary--
                    (A) to prevent hunger among program recipients 
                during any public health emergency or major disaster; 
                and
                    (B) to improve health and safety among program 
                recipients during ongoing social distancing policies 
                relating to the Coronavirus Disease 2019 (COVID-19).
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