[Federal Register Volume 81, Number 118 (Monday, June 20, 2016)]
[Rules and Regulations]
[Pages 39869-39870]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-14498]



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 Rules and Regulations
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  Federal Register / Vol. 81, No. 118 / Monday, June 20, 2016 / Rules 
and Regulations  

[[Page 39869]]



DEPARTMENT OF AGRICULTURE

Food and Nutrition Service

7 CFR Parts 250 and 251

[FNS-2014-0040]
RIN 0584-AE29


Requirements for the Distribution and Control of Donated Foods 
and The Emergency Food Assistance Program: Implementation of the 
Agricultural Act of 2014

AGENCY: Food and Nutrition Service (FNS), USDA.

ACTION: Final rule; correction.

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

SUMMARY: This document contains corrections to the final rule published 
in the Federal Register on April 19, 2016, ``Requirements for the 
Distribution and Control of Donated Foods--The Emergency Food 
Assistance Program: Implementation of the Agricultural Act of 2014.''

DATES: This document is effective June 20, 2016.

FOR FURTHER INFORMATION CONTACT: Carolyn Smalkowski, Program Analyst, 
Policy Branch, Food Distribution Division, Food and Nutrition Service, 
3101 Park Center Drive, Room 500, Alexandria, Virginia 22302, or by 
telephone (703) 305-2680.

SUPPLEMENTARY INFORMATION: The Food and Nutrition Service published a 
final rule in the Federal Register, 81 FR 23086, on April 19, 2016, to 
amend Food Distribution regulations at 7 CFR part 250 and 7 CFR part 
251 to revise and clarify requirements to ensure that USDA donated 
foods are distributed, stored, and managed in the safest, most 
efficient, and cost-effective manner, at State and recipient agency 
levels. The final rule misstated the title of the rule and misspelled 
the word ``Territories'' in the title of 7 CFR part 250 of the 
regulatory text. This final rule correction resolves these errors by 
providing the correct title and regulatory text for 7 CFR part 250. 
This final rule correction also makes a technical correction in 7 CFR 
250.30(c)(1)(vi) by removing parts (A) and (B) and combining these 
sections to ensure readers clearly understand the requirements for 
processing contracts set forth in this section. All other information 
in the final rule remains unchanged.

Corrections

0
1. In the final rule title:
0
a. On page 23086, in the first column, revise the final rule subject 
heading.
    The revision reads as follows:

Requirements for the Distribution and Control of Donated Foods and The 
Emergency Food Assistance Program: Implementation of the Agricultural 
Act of 2014

0
2. In 7 CFR part 250, on page 23100, in the second column, revise the 
part heading to read as follows:

PART 250--DONATION OF FOODS FOR USE IN THE UNITED STATES, ITS 
TERRITORIES AND POSSESSIONS AND AREAS UNDER ITS JURISDICTION

0
3. In Sec.  250.30:
0
a. On page 23110, in the second and third columns, remove (c)(1)(vi)(A) 
and (B).
0
b. On page 23110, in the second column, add a new instruction d1 to 
read as follows:
0
``d1. Redesignate paragraphs (c)(2) through (c)(4) as (c)(3) through 
(c)(5).''
0
c. On page 23110, in the second column, add a new instruction d2 to 
read as follows:
0
``d2. In paragraph (c)(1), remove the words ``(c)(3), (c)(4)(ii), and 
(c)(4)(viii)(B)'' and add in their place ``(c)(4), (c)(5)(ii), and 
(c)(5)(viii)(B).'' ''
0
d. On page 23110, in the second column, add a new instruction d3 to 
read as follows:
0
``d3. In paragraph (c)(1), remove the words ``(c)(4)(xi)'' and add in 
their place ``(c)(5)(xi).'' ''
0
e. On page 23110, in the second column, revise instructions 4e, 4f, and 
4g to read as follows:
0
``e. Amend newly redesignated paragraphs (c)(5)(iii) and (f)(1) by 
removing the reference ``Sec.  250.3'' and adding in its place the 
reference ``Sec.  250.2''.
0
f. Revise newly redesignated paragraphs (c)(5)(viii)(G) and (c)(4)(xi).
0
g. Remove newly redesignated paragraph (c)(5)(xiv) and redesignate 
newly redesignated paragraphs (c)(5)(xv) through (xviii) as paragraphs 
(c)(5)(xiv) through (xvii).''
0
f. On page 23110, in the third column, add new paragraph (c)(2).
0
g. On page 23110, in the second column, add a new instruction d4 to 
read as follows:
0
``d4. In newly redesignated paragraph (c)(5)(ii), remove the words 
``(c)(4)(iii)'' and add in their place ``(c)(5)(iii).''
    The addition reads as follows:


Sec.  250.30  State processing of donated foods.

* * * * *
    (c) * * *
    (2) These criteria will be reviewed by the appropriate FNS Regional 
Office during the management evaluation review of the distributing 
agency. Distributing agencies and subdistributing agencies which enter 
into contracts on behalf of recipient agencies but which do not limit 
the types of end products which can be sold or the number of processors 
which can sell end products within the State are not required to follow 
the selection criteria. In addition to utilizing these selection 
criteria, when a contracting agency enters into a contract both for the 
processing of donated food and the purchase of the end products 
produced from the donated food, the procurement standards set forth in 
2 CFR part 200, subpart D and Appendix II, Contract Provisions for Non-
Federal Entity Contracts Under Federal Awards and USDA implementing 
regulations at 2 CFR part 400 and Part 416 must be followed. Recipient 
agencies which purchase end products produced under Statewide 
agreements are also required to comply with 2 CFR part 200, subpart D 
and USDA implementing regulations at 2 CFR part 400 and Part 416. 
Contracting agencies shall not enter into contracts with processors 
which cannot demonstrate the ability to meet the terms and conditions 
of the regulations and the distributing agency agreements; furnish 
prior to the delivery of any donated foods for processing, a 
performance bond, an irrevocable letter of credit or an escrow account 
in an amount sufficient to protect the contract value of donated food 
on hand and on order; demonstrate the ability to

[[Page 39870]]

distribute end products to eligible recipient agencies; provide a 
satisfactory record of integrity, business ethics and performance and 
provide adequate storage.
* * * * *

    Dated: June 15, 2016.
Telora T. Dean,
Acting Administrator, Food and Nutrition Service.
[FR Doc. 2016-14498 Filed 6-17-16; 8:45 am]
 BILLING CODE 3410-30-P