[Federal Register Volume 76, Number 125 (Wednesday, June 29, 2011)]
[Rules and Regulations]
[Pages 37979-37983]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-16282]



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  Federal Register / Vol. 76, No. 125 / Wednesday, June 29, 2011 / 
Rules and Regulations  

[[Page 37979]]



DEPARTMENT OF AGRICULTURE

Food and Nutrition Service

7 CFR Parts 210, 215, 220, 225, 226, 235, 246, and 248

[FNS-2011-0031]
RIN 0584-AE20


Cooperation in USDA Studies and Evaluations, and Full Use of 
Federal Funds in Nutrition Assistance Programs Nondiscretionary 
Provisions of the Healthy, Hunger-Free Kids Act of 2010, Public Law 
111-296

AGENCY: Food and Nutrition Service (FNS), USDA

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: This final rule incorporates into the regulations governing 
the Programs authorized under the Richard B. Russell National School 
Lunch Act (NSLA) and the Child Nutrition Act of 1966 (CNA) two 
nondiscretionary provisions of the Healthy, Hunger-Free Kids Act of 
2010 (HHFK Act). The HHFK Act requires State and local cooperation in 
Department of Agriculture studies and evaluations related to Programs 
authorized under the NSLA and the CNA. The HHFK Act also amends the 
NSLA to stipulate that Federal funds must not be subject to State 
budget restrictions or limitations, including hiring freezes, work 
furloughs, and travel restrictions. This final rule amends regulations 
for the National School Lunch Program; the Special Milk Program for 
Children; the School Breakfast Program; the Summer Food Service 
Program; the Child and Adult Care Food Program; State Administrative 
Expense Funds ; the Special Supplemental Nutrition Program for Women, 
Infants and Children; and the WIC Farmers' Market Nutrition Program.
    These provisions will strengthen program integrity by ensuring that 
sufficient data is made available for studies and evaluations. 
Additionally, exempting Federal funds from State budgetary restrictions 
or limitations is intended to increase the ability of State agencies to 
administer USDA's nutrition assistance programs effectively.

DATES: Effective Date: This rulemaking becomes effective on July 29, 
2011.

FOR FURTHER INFORMATION CONTACT: For more information contact Julie 
Brewer, Chief, Policy and Program Development Branch, Child Nutrition 
Division, Food and Nutrition Service, Department of Agriculture, 3101 
Park Center Drive, Room 640, Alexandria, Virginia 22302; (703) 305-
2590.

SUPPLEMENTARY INFORMATION:

Background

    The Healthy, Hunger-Free Kids Act of 2010, Public Law 111-296, (the 
HHFK Act), was signed into law on December 13, 2010. The HHFK Act 
includes Section 305 and 361, which are nondiscretionary and directly 
affect a number of nutrition assistance programs authorized under the 
NSLA (42 U.S.C. 1751 et seq.) and the CNA (42 U.S.C. 1771 et seq.), 
including: The Special Supplemental Nutrition Program for Women, 
Infants and Children (WIC); the WIC Farmers' Market Nutrition Program 
(FMNP); the National School Lunch Program (NSLP); the School Breakfast 
Program (SBP); the Special Milk Program for Children (SMP); State 
Administrative Expense (SAE) Funds; the Summer Food Service Program 
(SFSP); and the Child and Adult Care Food Program (CACFP). The 
provisions of sections 305 and 361 also apply to the Fresh Fruit and 
Vegetable Program. Proposed regulations for that Program are expected 
to be issued shortly.
    First, Section 305 of the HHFK Act added a new provision Section 
28(c) of the NSLA, 42 U.S.C. 1760(c), requiring State and local 
entities and their contractors participating in the programs under the 
NSLA and the CNA to cooperate in studies and evaluations conducted by 
or on behalf of the Department of Agriculture (USDA) related to 
programs authorized under the NSLA or the CNA. USDA conducts studies 
related to Program operations in order to comply with existing laws or 
to provide Program information for program management and improvement. 
It is essential that such studies reflect an accurate portrait of these 
Programs on a Program-wide basis. In accordance with Section 445 of the 
HHFK Act, Section 305 became effective October 1, 2010, and has been 
implemented via memoranda to Child Nutrition, WIC, and FMNP State 
agencies, issued March, 2011. This rule amends 7 CFR 210.23(e), 
215.7(f), 215.11(f), 220.7(g), 220.13(m), 225.18(j), 226.25(h), 
246.26(k), and 248.24(d) to reflect this nondiscretionary statutory 
requirement.
    Second, Section 361 of the HHFK Act amended Section 12(b) of the 
NSLA by establishing expectations for the use of Federal funds 
supporting the administration of Programs authorized under the NSLA and 
the CNA. Specifically, all agreements between FNS and a State agency to 
administer the Programs affected by this rule must include a provision 
that supports full use of Federal funds for the administration of the 
Programs and excludes such funds from State budget restrictions or 
limitations including, at a minimum, hiring freezes, work furloughs, 
and travel restrictions. Section 361 also became effective on October 
1, 2010, in accordance with Section 445 of the HHFK Act and has been 
implemented via memoranda to all Child Nutrition, WIC, and FMNP State 
agencies.
    In this final rule, the Department excludes from State budget 
restrictions State-imposed cost-saving measures of hiring freezes, work 
furloughs, and travel restrictions affecting USDA Programs under the 
NSLA and CNA. These limits are the exclusions specified in Section 361 
of the HHFK Act. Should the Department determine that expansion of 
these restrictions is necessary to ensure the ability of State agencies 
to administer USDA's nutrition assistance Programs effectively, we will 
initiate a separate rulemaking process.
    Because the Federal/State agreement for the Child Nutrition 
Programs is permanent, the amendment signed in FY 2011 conforms to the 
requirements of Section 361 for FY 2011 and all subsequent fiscal 
years. The Federal/State annual agreements for WIC and the FMNP were 
amended for FY 2011. FNS has begun revising the Federal/State Agreement 
forms for the WIC and FMNP to include the necessary statement related 
to the full use of Federal funds in accordance with

[[Page 37980]]

Section 361 of the HHFK Act. The revised form is expected to be ready 
for use for FY 2012. This rule amends 7 CFR 225.5(a)(5), 226.8(e), 
235.6(i), 246.3(c)(3), and 248.3(c)(2) to reflect this requirement.

Notice and Comment

    In accordance with the Secretary's Statement of Policy (36 FR 
13804), it is found and determined upon good cause that it is 
unnecessary to engage in the Notice and Comment provisions of 5 U.S.C. 
553 normally required before the adoption of final regulations in an 
FNS-sponsored program. As indicated earlier, Sections 305 and 361 of 
the HHFK Act adopted as final rules in this rulemaking are 
nondiscretionary. These provisions are being incorporated as 
regulations using language taken verbatim from the Act. The 
nondiscretionary nature of Sections 305 and 361 means that notice and 
comment would serve no useful purpose in the promulgation of these 
regulations.

Executive Order 12866 and Executive Order 13563

    Executive Orders 12866 and 13563 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, of reducing costs, of harmonizing rules, and of promoting 
flexibility.
    This rule has been designated a ``not significant regulatory 
action.'' Accordingly, the rule will not be reviewed by the Office of 
Management and Budget.

Regulatory Impact Analysis

    This rule has been designated as non-significant by the Office of 
Management and Budget; therefore, no Regulatory Impact Analysis is 
required.

Regulatory Flexibility Act

    Pursuant to section 605(b) of the Regulatory Flexibility Act at 5 
U.S.C. 601-612, FNS certifies that this final rule will not have a 
significant economic impact on a substantial number of small entities. 
This final rule incorporates into the regulations governing the 
Programs authorized under the Richard B. Russell National School Lunch 
Act and the Child Nutrition Act of 1966, as amended, two statutory 
provisions set forth in the Healthy, Hunger-Free Kids Act of 2010. The 
HHFK Act requires State and local cooperation in USDA studies and 
evaluations related to programs authorized under the NSLA and the CNA. 
The HHFK Act also amends the NSLA by stipulating that Federal funds 
available for Programs authorized in the NSLA and CNA must not be 
subject to State budget restrictions or limitations, including hiring 
freezes, work furloughs, and travel restrictions.
    The provision implementing Section 305 is applicable to States, WIC 
and FMNP State agencies, State educational agencies, local educational 
agencies, local WIC and FMNP agencies, schools, institutions, 
facilities, and contractors; however, the provision simply requires 
cooperation with studies and evaluations and will not have a 
significant economic impact on affected parties. The provision 
implementing Section 361 are applicable to all State agencies, and, in 
the case of the WIC Program and the FMNP, local agencies that 
administer the Programs authorized under the NSLA or the CNA and will 
not have a significant economic impact on a substantial number of small 
entities.

Unfunded Mandates Reform Act

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Public 
Law 104-4, establishes requirements for Federal agencies to assess the 
effects of their regulatory actions on State, local, and tribal 
governments and the private sector. Under Section 202 of the UMRA, FNS 
generally must prepare a written statement, including a cost-benefit 
analysis, for proposed and final rules with ``Federal mandates'' that 
may result in expenditures by State, local, or tribal governments in 
the aggregate, or to the private sector, of $100 million or more in any 
one year. When such a statement is needed for a rule, Section 205 of 
the UMRA generally requires FNS to identify and consider a reasonable 
number of regulatory alternatives and adopt the least costly, more 
cost-effective or least burdensome alternative that achieves the 
objectives of the rule.
    This final rule contains no Federal mandates (under the regulatory 
provisions of Title II of the UMRA) for State, local or tribal 
governments or the private sector of $100 million or more in any one 
year. Thus, the rule is not subject to the requirements of Sections 202 
and 205 of the UMRA.

Executive Order 12372

    The nutrition assistance programs affected by this rulemaking are 
listed in the Catalog of Federal Domestic Assistance as follows:
     WIC No. 10.557
     FMNP No. 10.572
     NSLP No. 10.555
     SBP No. 10.553
     SAE No. 10.560
     SMP No. 10.556
     CACFP No. 10.558
     SFSP No. 10.559
    For the reasons set forth in the final rule at 7 CFR part 3015, 
Subpart V and related Notice (48 FR 29115, June 24, 1983), these 
programs are included in the scope of Executive Order 12372 that 
requires intergovernmental consultation with State and local officials.

Federalism Summary Impact Statement

    Executive Order 13132 requires Federal agencies to consider the 
impact of their regulatory actions on State and local governments. 
Where such actions have federalism implications, agencies are directed 
to provide a statement for inclusion in the preamble to the regulations 
describing the agency's considerations in terms of the three categories 
called for under Section 6(b)(2)(B) of Executive Order 13132. FNS has 
considered the impact of this rule on State and local governments and 
has determined that this rule does not have federalism implications. 
Therefore, under Section 6(b) of the Executive Order, a federalism 
summary impact statement is not required.

Executive Order 12988

    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. This rule is intended to have preemptive effect with 
respect to any State or local laws, regulations or policies which 
conflict with its provisions or which would otherwise impede its full 
implementation. This rule is not intended to have retroactive effect 
unless specified in the DATES section of the final rule. Prior to any 
judicial challenge to the provisions of this rule or the application of 
its provisions, all applicable administrative procedures must be 
exhausted.

Civil Rights Impact Analysis

    FNS has reviewed this rule in accordance with Departmental 
Regulations 4300-4, ``Civil Rights Impact Analysis,'' and 1512-1, 
``Regulatory Decision Making Requirements.'' After a careful review of 
the rule's intent and provisions, FNS has determined that this rule is 
not intended to limit or reduce in any way the ability of protected 
classes of individuals to receive benefits on the basis of their race, 
color, national origin, sex, age or disability, nor is it intended to 
have a differential impact on minority-owned or operated business

[[Page 37981]]

establishments, and woman-owned or operated business establishments 
that participate in the Programs affected by this rulemaking.
    Federal WIC regulations specifically prohibit State agencies that 
administer the WIC Program, and their cooperators, from engaging in 
actions that discriminate against any individual in any of the 
protected classes (see 7 CFR 246.8 for the nondiscrimination policy in 
the WIC Program; 7 CFR 248.7 for the nondiscrimination policy in the 
FMNP).
    In the NSLP, the regulation in 7 CFR 210.23(b) seeks to ensure non-
discrimination in the operation of the school meals programs by 
prohibiting the denial of meal benefits to any child because of race, 
color, national origin, age, sex, or disability. It also requires State 
agencies and school food authorities to comply with the requirements 
of: Title VI of the Civil Rights Act of 1964; title IX of the Education 
Amendments of 1972; section 504 of the Rehabilitation Act of 1973; the 
Age Discrimination Act of 1975; Department of Agriculture regulations 
on nondiscrimination (7 CFR parts 15, 15a, and 15b); and FNS 
Instruction 113-6. Other regulatory provisions (7 CFR 210.9(b)(11), 7 
CFR 210.18(h)(1)(iii), 7 CFR 220.7(e)(5), 7 CFR 220.7(e)(15), and 7 CFR 
220.13(f)(4)) also require nondiscrimination in the operation of the 
lunch and breakfast programs or refer to the Department's 
nondiscrimination regulations (7 CFR part 15b).
    In the Special Milk Program, 7 CFR 215.13a(d)(5) requires program 
operators to have a free milk policy statement that includes an 
assurance that there will be no discrimination against free milk 
recipients and no discrimination against any child on the basis of 
race, color, or national origin. In addition, 7 CFR 215.14 requires 
that the school food authority's agreement with the State agency 
contain the assurances required by Department's regulations on 
nondiscrimination (7 CFR part 15b). Other regulatory provisions (7 CFR 
215.7(d)(3), 215.11(b)(2)) also require nondiscrimination in the 
operation of the milk program or refer to the Department's 
nondiscrimination regulations (7 CFR part 15b).
    In the SFSP, the regulations at 7 CFR 225.7(g)(1) require 
institutions to agree to operate the Program in compliance with 
applicable Federal civil rights laws, including title VI of the Civil 
Rights Act of 1964, title IX of the Education Amendments of 1972, 
section 504 of the Rehabilitation Act of 1973; the Age Discrimination 
Act of 1975, and the Department's regulations concerning 
nondiscrimination (7 CFR parts 15, 15a and 15b). At 7 CFR 
225.6(c)(4)(i), each sponsor applying to participate in the SFSP must 
submit a statement of nondiscrimination in its policy for serving meals 
to children.
    In the CACFP, the regulations at 7 CFR 226.6(b)(4)(iv) require that 
sponsors comply with all requirements of title VI of the Civil Rights 
Act of 1964, title IX of the Education Amendments of 1972, section 504 
of the Rehabilitation Act of 1973; the Age Discrimination Act of 1975, 
and the Department's regulations concerning nondiscrimination (7 CFR 
parts 15, 15a and 15b).
    The provisions in this rule have no direct impact upon or 
involvement with Program participants.

Executive Order 13175--Consultation and Coordination With Indian Tribal 
Governments

    E.O. 13175 requires Federal agencies to consult and coordinate with 
tribes on a government-to-government basis on policies that have tribal 
implications, including regulations, legislative comments or proposed 
legislation, and other policy statements or actions that have 
substantial direct effects on one or more Indian tribes, on the 
relationship between the Federal Government and Indian tribes, or on 
the distribution of power and responsibilities between the Federal 
Government and Indian tribes. In early 2011, USDA engaged in a series 
of consultative sessions to obtain input by Tribal officials or their 
designees concerning the impact of this rule on the tribe or Indian 
Tribal governments, or whether this rule may preempt Tribal law. 
Reports from these consultations will be made part of the USDA annual 
reporting on Tribal Consultation and Collaboration. USDA will respond 
in a timely and meaningful manner to all Tribal government requests for 
consultation concerning this rule and will provide additional venues, 
such as Webinars and teleconferences, to periodically host 
collaborative conversations with Tribal officials or their designees 
concerning ways to improve this rule in Indian country.
    We are not aware of any current Tribal laws that could be in 
conflict with this final rule.

Paperwork Reduction Act

    The Paperwork Reduction Act of 1995 (44 U.S.C. Chap. 35; see 5 CFR 
part 1320), requires that the Office of Management and Budget (OMB) 
approve all collections of information by a Federal agency from the 
public before they can be implemented. Respondents are not required to 
respond to any collection of information unless it displays a current, 
valid OMB control number. This final rule has no new information 
collection requirements. The information collection burdens associated 
with the signing of Federal-State agreements in this final rule have 
been previously approved under OMB No. 0584-0332, Form FNS-339, 
Federal-State Supplemental Nutrition Programs Agreement, and OMB No. 
0584-0006, 0584-0005, 0584-0012, 0584-0280, 0584-0055, 0584-0067, Form 
FNS-74. The information collection burdens associated with 
participating in a study or an evaluation will be covered under 
separate Information Collection Packages that are specific to a 
particular study or evaluation that will be submitted to OMB for 
approval.

E-Government Act Compliance

    FNS is committed to complying with the E-Government Act to promote 
the use of the Internet and other information technologies to provide 
increased opportunities to provide for citizen access to government 
information and services, and for other purposes. Also, State agencies 
may provide Program information, as well as their financial reports, to 
FNS electronically.

List of Subjects

7 CFR Part 210

    Grant programs--education, Grant programs--health, Infants and 
children, Nutrition, Penalties, Reporting and recordkeeping 
requirements, School breakfast and lunch programs, Surplus agricultural 
commodities.

7 CFR Part 215

    Food assistance programs, Grant programs--education, Grant 
programs--health, Infants and children, Milk, Reporting and 
recordkeeping requirements.

7 CFR Part 220

    Grant programs--education, Grant programs--health, Infants and 
children, Nutrition, Reporting and recordkeeping requirements, School 
breakfast and lunch programs.

7 CFR Part 225

    Food assistance programs, Grant programs health, Infants and 
children, Labeling, Reporting.

7 CFR Part 226

    Accounting, Aged, Day care, Food assistance programs, Grant 
programs, Grant programs--health, American Indians, Individuals with 
disabilities, Infants and children, Intergovernmental relations, Loan 
programs, Reporting and

[[Page 37982]]

recordkeeping requirements, Surplus agricultural commodities.

7 CFR Part 235

    Administrative practice and procedure, Food assistance programs, 
Grant programs--education, Grant programs--health, Infants and 
children, Reporting and recordkeeping requirements, School breakfast 
and lunch programs.

7 CFR Part 246

    Food assistance programs, Food donations, Grant programs--Social 
programs, Indians, Nutrition education, Public assistance programs, 
WIC.

7 CFR Part 248

    Food assistance programs, Food donations, Grant programs--Social 
programs, Indians, Infants and children, Maternal and child health, 
Nutrition education, Public assistance programs, WIC, Women.

    Accordingly, 7 CFR parts 210, 215, 220, 225, 226, 235, 246 and 248 
are amended as follows:

PART 210--NATIONAL SCHOOL LUNCH PROGRAM

0
1. The authority citation for 7 CFR Part 210 continues to read as 
follows:

    Authority:  42 U.S.C. 1751-1760, 1779.


0
2. Section 210.23 is amended to add a new paragraph (e) as follows:


Sec.  210.23  Other responsibilities.

* * * * *
    (e) Program evaluations. States, State agencies, local educational 
agencies, school food authorities, schools and contractors must 
cooperate in studies and evaluations conducted by or on behalf of the 
Department, related to programs authorized under the Richard B. Russell 
National School Lunch Act and the Child Nutrition Act of 1966.

PART 215--SPECIAL MILK PROGRAM FOR CHILDREN

0
3. The authority citation for 7 CFR Part 215 continues to read as 
follows:

    Authority:  42 U.S.C. 1772 and 1779.

0
4. Section 215.7 is amended by adding a new paragraph (f) to read as 
follows:


Sec.  215.7  Requirements for participation.

* * * * *
    (f) Program evaluations. Local educational agencies, school food 
authorities, schools, child care institutions and contractors must 
cooperate in studies and evaluations conducted by or on behalf of the 
Department, related to programs authorized under the Richard B. Russell 
National School Lunch Act and the Child Nutrition Act of 1966.


0
5. Section 215.11 is amended by adding a new paragraph (f) to read as 
follows:


Sec.  215.11  Special responsibilities of State agencies.

* * * * *
    (f) Program evaluations. States, State agencies, and contractors 
must cooperate in studies and evaluations conducted by or on behalf of 
the Department, related to programs authorized under the Richard B. 
Russell National School Lunch Act and the Child Nutrition Act of 1966.

PART 220--SCHOOL BREAKFAST PROGRAM

0
6. The authority citation for 7 CFR Part 220 continues to read as 
follows:

    Authority:  42 U.S.C. 1773, 1779, unless otherwise noted.


0
7. Section 220.7 is amended by adding a new paragraph (g) to read as 
follows:


Sec.  220.7  Requirements for participation.

* * * * *
    (g) Program evaluations. Local educational agencies, school food 
authorities, schools, and contractors must cooperate in studies and 
evaluations conducted by or on behalf of the Department, related to 
programs authorized under the Richard B. Russell National School Lunch 
Act and the Child Nutrition Act of 1966.

0
8. Section 220.13 is amended by adding a new paragraph (m) to read as 
follows:


Sec.  220.13  Special responsibilities of State agencies.

* * * * *
    (m) Program evaluations. States, State agencies, and contractors 
must cooperate in studies and evaluations conducted by or on behalf of 
the Department, related to programs authorized under the Richard B. 
Russell National School Lunch Act and the Child Nutrition Act of 1966.

PART 225--SUMMER FOOD SERVICE PROGRAM

0
9. The authority citation for 7 CFR Part 225 continues to read as 
follows:

    Authority:  Secs. 9, 13 and 14, Richard B. Russell National 
School Lunch Act, as amended (42 U.S.C. 1758, 1761 and 1762a).


0
10. Section 225.5 is amended by adding a new paragraph (a)(5) to read 
as follows:


Sec.  225.5  Payments to State agencies and use of Program funds.

* * * * *
    (a) * * *
    (5) Full use of Federal funds. States and State agencies must 
support the full use of Federal funds provided to State agencies for 
the administration of Child Nutrition Programs, and exclude such funds 
from State budget restrictions or limitations including, hiring 
freezes, work furloughs, and travel restrictions.
* * * * *

0
11. Section 225.18 is amended by adding a new paragraph (j) to read as 
follows:


Sec.  225.18  Miscellaneous administrative provisions.

* * * * *
    (j) Program evaluations. States, State agencies, sponsors, sites 
and contractors must cooperate in studies and evaluations conducted by 
or on behalf of the Department, related to programs authorized under 
the Richard B. Russell National School Lunch Act and the Child 
Nutrition Act of 1966, as amended.

PART 226--CHILD AND ADULT CARE FOOD PROGRAM

0
12. The authority citation for 7 CFR Part 226 continues to read as 
follows:

    Authority:  Secs. 9, 11, 14, 16, and 17, Richard B. Russell 
National School Lunch Act, as amended (42 U.S.C. 1758, 1759a, 1762a, 
1765 and 1766).


0
13. Section 226.8 is amended by redesignating paragraphs (e) through 
(g) as paragraphs (f) through (h), respectively; and by adding a new 
paragraph (e) to read as follows:


Sec.  226.8  Audits.

* * * * *
    (e) Full use of Federal funds. States and State agencies must 
support the full use of Federal funds provided to State agencies under 
226.4(j) of this part to support State audit activities, and exclude 
such funds from State budget restrictions or limitations, including 
hiring freezes, work furloughs, and travel restrictions.
* * * * *

0
14. Section 226.25 is amended by adding a new paragraph (h) to read as 
follows:


Sec.  226.25  Other provisions.

* * * * *
    (h) Program evaluations. States, State agencies, institutions, 
facilities and contractors must cooperate in studies and evaluations 
conducted by or on behalf of the Department, related to programs 
authorized under the Richard

[[Page 37983]]

B. Russell National School Lunch Act and the Child Nutrition Act of 
1966.

PART 235--STATE ADMINISTRATIVE EXPENSE FUNDS

0
15. The authority citation for 7 CFR Part 235 continues to read as 
follows:

    Authority:  Secs. 7 and 10 of the Child Nutrition Act of 1966, 
80 Stat. 888, 889, as amended (42 U.S.C. 1776, 1779).


0
16. Section 235.6 is amended by adding a new paragraph (i) to read as 
follows:


Sec.  235.6  Use of funds.

* * * * *
    (i) Full use of Federal funds. States and State agencies must 
support the full use of Federal funds provided to State agencies for 
the administration of Child Nutrition Programs, and exclude such funds 
from State budget restrictions or limitations including hiring freezes, 
work furloughs, and travel restrictions.

PART 246--SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS 
AND CHILDREN

0
17. The authority citation for part 246 continues to read as follows:

    Authority:  42 U.S.C. 1786.


0
18. Section 246.3 is amended to add a new paragraph (c)(3), as follows:


Sec.  246.3  Administration.

* * * * *
    (c) * * *
    (3) The written agreement must include a statement that supports 
full use of Federal funds provided to State agencies for the 
administration of the WIC Program, and excludes such funds from State 
budget restrictions or limitations including hiring freezes, work 
furloughs, and travel restrictions.
* * * * *

0
19. Section 246.26 is amended by adding a new paragraph (k) to read as 
follows:


Sec.  246.26  Other provisions.

* * * * *
    (k) Program evaluations. State and local WIC agencies and 
contractors must cooperate in studies and evaluations conducted by or 
on behalf of the Department, related to programs authorized under the 
Richard B. Russell National School Lunch Act and the Child Nutrition 
Act of 1966 (42 U.S.C. 1786).

PART 248--WIC FARMERS' MARKET NUTRITION PROGRAM (FMNP)

0
20. The authority citation for part 248 continues to read as follows:

    Authority:  42 U.S.C. 1786.


0
21. Section 248.3 is amended by redesignating paragraph (c) 
introductory text as paragraph (c)(1) and adding a new paragraph (c)(2) 
to read as follows:


Sec.  248.3  Administration.

* * * * *
    (c) * * *
    (2) The written agreement must include a statement that supports 
full use of Federal funds provided to State agencies for the 
administration of the FMNP, and excludes such funds from State budget 
restrictions or limitations, including hiring freezes, work furloughs, 
and travel restrictions.
* * * * *

0
22. Section 248.24 is amended by adding a new paragraph (d) to read as 
follows:


Sec.  248.24  Other provisions.

* * * * *
    (d) Program evaluations. State and local FMNP agencies and 
contractors must cooperate in studies and evaluations conducted by or 
on behalf of the Department, related to programs authorized under the 
Richard B. Russell National School Lunch Act and the Child Nutrition 
Act of 1966 (42 U.S.C. 1786).

    Dated: June 23, 2011.
Audrey Rowe,
Administrator, Food and Nutrition Service.
[FR Doc. 2011-16282 Filed 6-28-11; 8:45 am]
BILLING CODE 3410-30-P