[Federal Register Volume 77, Number 57 (Friday, March 23, 2012)]
[Notices]
[Pages 17004-17006]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-7036]


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DEPARTMENT OF AGRICULTURE

Food and Nutrition Service


Child Nutrition Programs--Income Eligibility Guidelines

AGENCY: Food and Nutrition Service, USDA.

ACTION: Notice.

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SUMMARY: This Notice announces the Department's annual adjustments to 
the Income Eligibility Guidelines to be used in determining eligibility 
for free and reduced price meals and free milk for the period from July 
1, 2012 through June 30, 2013. These guidelines are used by schools, 
institutions, and facilities participating in the National School Lunch 
Program (and Commodity School Program), School Breakfast Program, 
Special Milk Program for Children, Child and Adult Care Food Program 
and Summer Food Service Program. The annual adjustments are required by 
section 9 of the Richard B. Russell National School Lunch Act. The 
guidelines are intended to direct benefits to those children most in 
need and are revised annually to account for changes in the Consumer 
Price Index.

DATES: Effective Date: July 1, 2012.

FOR FURTHER INFORMATION CONTACT: William Wagoner, Supervisory Program 
Analyst, School Programs Section, Child Nutrition Division, Food and 
Nutrition Service (FNS), USDA, Alexandria, Virginia 22302, or by phone 
at (703) 305-2590.

SUPPLEMENTARY INFORMATION:
    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.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
3507), no recordkeeping or reporting requirements have been included 
that are subject to approval from the Office of Management and Budget.
    This notice has been determined to be not significant and was 
reviewed by the Office of Management and Budget in conformance with 
Executive Order 12866.
    The affected programs are listed in the Catalog of Federal Domestic 
Assistance under No. 10.553, No. 10.555, No. 10.556, No. 10.558 and No. 
10.559 and are 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 the final rule related 
notice published at 48 FR 29114, June 24, 1983.)

Background

    Pursuant to sections 9(b)(1) and 17(c)(4) of the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1758(b)(1) and 42 U.S.C. 
1766(c)(4)), and sections 3(a)(6) and 4(e)(1)(A) of the Child Nutrition 
Act of 1966 (42 U.S.C. 1772(a)(6) and 1773(e)(1)(A)), the Department 
annually issues the Income Eligibility Guidelines for free and reduced 
price meals for the National

[[Page 17005]]

School Lunch Program (7 CFR part 210), the Commodity School Program (7 
CFR part 210), School Breakfast Program (7 CFR part 220), Summer Food 
Service Program (7 CFR part 225) and Child and Adult Care Food Program 
(7 CFR part 226) and the guidelines for free milk in the Special Milk 
Program for Children (7 CFR part 215). These eligibility guidelines are 
based on the Federal income poverty guidelines and are stated by 
household size. The guidelines are used to determine eligibility for 
free and reduced price meals and free milk in accordance with 
applicable program rules.

Definition of Income

    In accordance with the Department's policy as provided in the Food 
and Nutrition Service publication Eligibility Manual for School Meals, 
``income,'' as the term is used in this Notice, means income before any 
deductions such as income taxes, Social Security taxes, insurance 
premiums, charitable contributions and bonds. It includes the 
following: (1) Monetary compensation for services, including wages, 
salary, commissions or fees; (2) net income from nonfarm self-
employment; (3) net income from farm self-employment; (4) Social 
Security; (5) dividends or interest on savings or bonds or income from 
estates or trusts; (6) net rental income; (7) public assistance or 
welfare payments; (8) unemployment compensation; (9) government 
civilian employee or military retirement, or pensions or veterans 
payments; (10) private pensions or annuities; (11) alimony or child 
support payments; (12) regular contributions from persons not living in 
the household; (13) net royalties; and (14) other cash income. Other 
cash income would include cash amounts received or withdrawn from any 
source including savings, investments, trust accounts and other 
resources that would be available to pay the price of a child's meal.
    ``Income,'' as the term is used in this Notice, does not include 
any income or benefits received under any Federal programs that are 
excluded from consideration as income by any statutory prohibition. 
Furthermore, the value of meals or milk to children shall not be 
considered as income to their households for other benefit programs in 
accordance with the prohibitions in section 12(e) of the Richard B. 
Russell National School Lunch Act and section 11(b) of the Child 
Nutrition Act of 1966 (42 U.S.C. 1760(e) and 1780(b)).

The Income Eligibility Guidelines

    The following are the Income Eligibility Guidelines to be effective 
from July 1, 2012 through June 30, 2013. The Department's guidelines 
for free meals and milk and reduced price meals were obtained by 
multiplying the year 2012 Federal income poverty guidelines by 1.30 and 
1.85, respectively, and by rounding the result upward to the next whole 
dollar. This Notice displays only the annual Federal poverty guidelines 
issued by the Department of Health and Human Services because the 
monthly and weekly Federal poverty guidelines are not used to determine 
the Income Eligibility Guidelines. The chart details the free and 
reduced price eligibility criteria for monthly income, income received 
twice monthly (24 payments per year), income received every two weeks 
(26 payments per year) and weekly income.
    Income calculations are made based on the following formulas: 
Monthly income is calculated by dividing the annual income by 12; twice 
monthly income is computed by dividing annual income by 24; income 
received every two weeks is calculated by dividing annual income by 26; 
and weekly income is computed by dividing annual income by 52. All 
numbers are rounded upward to the next whole dollar. The numbers 
reflected in this notice for a family of four in the 48 contiguous 
states, the District of Columbia, Guam and the territories represent an 
increase of 3.1% over last year's level for a family of the same size.

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[GRAPHIC] [TIFF OMITTED] TN23MR12.001


    Authority:  42 U.S.C. 1758(b)(1).

    Dated: March 19, 2012.
Jeffrey J. Tribiano,
Acting Administrator.
[FR Doc. 2012-7036 Filed 3-22-12; 8:45 am]
BILLING CODE 3410-30-P