[Federal Register Volume 59, Number 1 (Monday, January 3, 1994)] [Notices] [Pages 59-60] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 93-32047] [[Page Unknown]] [Federal Register: January 3, 1994] ----------------------------------------------------------------------- DEPARTMENT OF AGRICULTURE Food and Nutrition Service Food Distribution Program; Level of Assistance From October 1, 1993 to September 30, 1994 AGENCY: Food and Nutrition Service, USDA. ACTION: Notice. ----------------------------------------------------------------------- SUMMARY: This notice announces the initial level of per-meal assistance for the Nutrition Program for the Elderly (NPE) for Fiscal Year 1994. The initial level of assistance is set at $.6146 for each eligible meal in accordance with section 311(a)(4) of the Older Americans Act of 1965, as amended by section 310 of the Older Americans Act Amendments of 1992. EFFECTIVE DATE: October 1, 1993. FOR FURTHER INFORMATION CONTACT: Philip K. Cohen, Program Administration Branch, Food Distribution Division, Food and Nutrition Service, U.S. Department of Agriculture, 3101 Park Center Drive, Alexandria, Virginia 22302-1594 or telephone (703) 305-2660. SUPPLEMENTARY INFORMATION: Classification This program is listed in the Catalog of Federal Domestic Assistance under Nos. 10.550 and 10.570 and is subject to the provisions of Executive Order 12372, which requires intergovernmental consultation with State and local officials. (See 7 CFR part 3015, subpart V, and final rule related notice published at 48 FR 29114, June 24, 1983.) This notice imposes no new reporting or recordkeeping provisions that are subject to Office of Management and Budget review in accordance with the Paperwork Reduction Act of 1980 (44 U.S.C. 3507). This action is not a rule as defined by the Regulatory Flexibility Act (5 U.S.C. 601-612) and thus is exempt from the provisions of that Act. Legislative Background On September 30, 1992, the President signed Public Law 102-375, the Older Americans Act Amendments of 1992. Section 310 of this law amended section 311(a)(4) of the Older Americans Act of 1965, 42 U.S.C. 3030a(a)(4), to require the Secretary of Agriculture to maintain an annually programmed level of assistance equal to the greater of: (1) The current appropriation divided by the number of meals served in the preceding fiscal year; or (2) 61 cents per meal adjusted annually beginning with Fiscal Year 1993 to reflect changes in the Consumer Price Index (CPI). Section 311(c)(2) of the Older Americans Act was amended to provide that the final reimbursement claims shall be adjusted to use the full amount appropriated for the fiscal year. Notwithstanding the initial rates established by the Older Americans Act, the Department must comply with the spending clause of the U.S. Constitution and 31 U.S.C. 1341(a)(1)(A) (known as the Antideficiency Act), which prohibit the obligation or expenditure of funds in excess of the available appropriation. Thus the Department is required to establish (and, if necessary, adjust) rates in such a manner as to not exceed the program appropriation. In Fiscal Year 1994, a situation exists similar to that at the beginning of Fiscal Year 1993, i.e., the Fiscal Year 1994 appropriation will not sustain reimbursement at the mandated annually adjusted rate. However, the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Act of 1993 (Public Law 103-111), which appropriated NPE funding for Fiscal Year 1994, imposed additional rate management requirements for this year. Title IV, Domestic Food Programs, of the Act provides that `` * * * a maximum rate of reimbursement to States will be established by the Secretary, subject to reduction if obligations would exceed the amount of available funds, with any unobligated funds to remain available for obligation in the fiscal year beginning October 1, 1994.'' Thus the Department cannot increase the initially announced Fiscal Year 1994 rate, and can decrease this rate only if it cannot be sustained throughout the year. Fiscal Year 1994 Rate and Procedures Senate Report No. 102, 103rd Cong., 1st Sess., at 125 (July 20, 1993) clarifies the congressional intent of Public Law 103-111 with regard to the 1994 level of NPE funding by identifying the FY 1994 rate as `` * * * the maximum reimbursement per meal permitted by law as estimated by the Secretary at the beginning of the fiscal year within the level of available funds.'' Thus the Department is required to establish the highest initial per-meal reimbursement rate which it believes can be sustained throughout the fiscal year. Accordingly, the Department hereby announces an initial rate of $.6146 per meal, which will not be increased, and which can be decreased only if necessary to keep expenditures within the limit of the $150 million NPE appropriation established by Public Law 103-111. This consistent and stable rate will enable State agencies to better plan and budget their operations, and local project operators can, in turn, depend on a steady, uniform flow of meal service support during the fiscal year. Any funds not paid out for Fiscal Year 1994 reimbursement will, in accordance with legislative mandate, be carried over into Fiscal Year 1995 and expended in per-meal reimbursement for that year. In the unlikely event that the rate needs to be decreased, the adjustment will be announced in the Federal Register. Dated: December 10, 1993. George A. Braley, Acting Administrator, Food and Nutrition Service. [FR Doc. 93-32047 Filed 12-30-93; 8:45 am] BILLING CODE 3410-30-U