RL33299 -- Child Nutrition and WIC Legislation in the 108th and 109th Congresses
Updated July 13, 2006
CONTENTS
Summary
Child nutrition programs (e.g., school meal programs, summer food service, child care food
programs) and the Special Supplemental Nutrition Program for Women, Infants, and Children (the
WIC Program) are subject to periodic comprehensive reviews, when appropriations and other
authorities expire and have to be reauthorized. They were up for reauthorization review in the 108th
Congress, and the only substantial child nutrition-WIC legislation in the 108th Congress, and so far
in the 109th Congress, has been the 2004 reauthorization law -- the Child Nutrition and WIC
Reauthorization Act of 2004, P.L. 108-265, enacted June 30, 2004.
The 2004 law extended virtually all expiring authorities through FY2009 and contained
important, but incremental, changes in child nutrition programs and the WIC program; the
Congressional Budget Office estimated that it will generate net new spending totaling about $230
million through FY2009. Its major feature was a set of amendments aimed at improving the integrity
and administration of the school meal programs. Significant changes were made in procedures
relating to the way children's eligibility for free and reduced-price school meals is certified and
verified, and new initiatives to upgrade schools' administration of their meal programs were put in
place. However, minimal revisions were made to the school meal programs themselves -- for
example, expansion of eligibility for homeless, runaway, and migrant children, loosened rules for
certain higher school breakfast subsidies -- and a major proposal to phase in higher income eligibility
limits for free school meals was limited to an authorization for a pilot project. Relatively minor
amendments also affected the Summer Food Service and Child and Adult Care Food programs --
for example, making permanent and expanding coverage of "Lugar" rules facilitating participation
by summer program sponsors and making permanent and nationally applicable a rule loosening
Child and Adult Care Food program eligibility rules for for-profit child care centers.
Another area of concern addressed by the reauthorization law was nutrition, health, and
nutrition education. Here, the biggest initiative was a requirement that all schools participating in
school meal programs establish locally designed "wellness policies" to set nutrition, physical activity,
and other goals and strategies for meeting them. Coupled with it were (1) authorizations for new
nutrition education efforts, (2) an expansion of the program offering free fresh fruit and vegetables
in selected schools, and (3) significant changes in food safety rules.
Finally, a large number of revisions were made to the law governing the WIC program. The
most important among them were amendments aimed at strengthening rules that help contain food
costs incurred by the program; these included provisions placing substantial limits on vendors
receiving the majority of their revenue from WIC vouchers (so-called "WIC-only" stores).
This report will be updated as events and legislation warrant.
Background
Child nutrition programs and the Special Supplemental Nutrition Program for Women,
Infants, and Children (the WIC program) are governed by three basic federal laws:(1)
- The Richard B. Russell National School Lunch Act. This law was originally
enacted in 1946 as the National School Lunch Act; it was renamed in 1999. It provides authority
for the School Lunch program, the Child and Adult Care Food program, the Summer Food Service
program, after-school programs (those run under both the aegis of the School Lunch program and
the Child and Adult Care Food program), food commodity support for child nutrition programs,
training and technical assistance (including the Food Service Management Institute), compliance,
program integrity, and accountability activities, and an information clearinghouse. It also includes
a number of general-purpose provisions governing the operation of multiple child nutrition programs
(e.g., income eligibility and inflation indexing rules, nutrition requirements for meals, general rules
participating schools must follow).
- The Child Nutrition Act. This law was originally enacted in 1966. It provides
authority for the School Breakfast program, the WIC program, the Special Milk program, assistance
for state administrative expenses related to child nutrition programs, and nutrition education
activities.
- Section 32 of the act of August 24, 1935 (7 U.S.C. 612c). Section 32 authority
provides funding for cash child nutrition subsidies (permanent appropriations under Section 32 are
transferred to the child nutrition account annually as part of the appropriations process). It also
includes additional authority (to that in the Richard B. Russell National School Lunch Act) and
funding for the acquisition of food commodities for distribution to child nutrition programs (Section
32 money is used to buy and distribute surplus commodities).(2)
Prior to the 108th Congress, the most recent comprehensive amendments to child nutrition
and WIC law were made by the 1998 William F. Goodling Child Nutrition Reauthorization Act (P.L.
105-336).(3) And, under
the reauthorization schedule, the next wide-ranging review of child nutrition and WIC programs was
set for 2003. However, a number of significant laws affecting the child nutrition and WIC programs
were enacted in the 106th and 107th Congresses (1999 through 2002). These are covered in the
immediate predecessor to this report -- CRS Report RL31578(pdf), Child Nutrition and WIC Legislation
in the 106th and 107th Congresses, by [author name scrubbed]. Information on the programs covered by child
nutrition and WIC legislation is contained in CRS Report RL33307, Child Nutrition and WIC
Programs: Background and Recent Funding, by [author name scrubbed].
Only one significant law governing child nutrition programs (e.g., school meal
programs) and the WIC program has been (or is likely to be) enacted in the 108th and 109th
Congresses -- the Child Nutrition and WIC Reauthorization Act of 2004 (P.L. 108-265;
signed on June 30, 2004).
The Child Nutrition and WIC Reauthorization Act of 2004: P.L. 108-265
History
The authorization of appropriations for several child nutrition programs and the WIC
program, as well as authority to carry out certain child nutrition activities, were scheduled
to expire September 30, 2003, under the terms of the previous reauthorization law (P.L.
105-336).(4)
Anticipating renewal of these authorizations, Congress began consideration of child
nutrition/WIC reauthorization legislation in the Spring of 2003. However, primarily because
of budget-related concerns as to how much, if any, new funding might be available to be
spent on new or expanded initiatives, no action was taken in 2003 (other than hearings and
the introduction of bills proposing various individual program changes). Instead, a
short-term extension of expiring authorizations (P.L.108-134) was enacted, pushing most
expiration dates to March 31, 2004, and giving Congress time to act.
On March 24, 2004, the House passed an amended version of its child nutrition-WIC
reauthorization bill (the Child Nutrition Improvement and Integrity Act; H.R. 3873; H.Rept. 108-445), which included provisions that would have resulted in estimated
net new mandatory spending of $235 million through FY2009. However, with the March
31st deadline approaching (and no definitive Senate action), another stopgap law extending
most expiring authorities through June 30, 2004, was enacted -- P.L. 108-211.
While there was no formal action in the Senate, the House and Senate committees of
jurisdiction (the House Education and the Workforce Committee and the Senate Agriculture,
Nutrition, and Forestry Committee), with the Administration's participation, informally
discussed a potential final bill through March, April, May, and into June 2004. On May 19,
2004, the Senate Agriculture, Nutrition, and Forestry Committee ordered reported the Child
Nutrition and WIC Reauthorization Act of 2004 (S. 2507; S.Rept. 108-279;
reported June 7, 2004). This bill, as amended with unanimous consent on the Senate floor,
passed the Senate on June 23, 2004. It reflected agreements that had been reached in the
House-Senate discussions that had been taking place over the past several months and
included many House (and Administration) proposals and perspectives. On June 24, 2004,
the House passed it without objection. This final measure encompassed changes in law
estimated to result in $232 million in net new mandatory spending (outlays, slightly more in
budget authority) through FY2009 (the end of the reauthorization period). It was enacted as
the Child Nutrition and WIC Reauthorization Act of 2004 (P.L. 108-265) on June 30, 2004.
The New Law
Much of the debate over and content of the 2004 reauthorization law was driven by
the availability (or lack of availability) of funding for new initiatives or program expansions.
Budget reconciliation agreements offered little new mandatory money (a total of about $230
million through FY2009), and, if House and Senate legislators wanted to fund new initiatives
or expansions with mandatory dollars beyond these budget constraints, they effectively were
forced to use savings from changes they made within child nutrition programs.(5) In the alternative, they
could (and did) authorize appropriations for new initiatives/expansions or establish pilot
projects rather than create or expand entitlement/mandatory programs. The final product
encompassed some $395 million in new gross spending through FY2009; however, this was
financed with an estimated $163 million in savings achieved primarily by revisions to the
system for certifying and verifying eligibility for free and reduced-price school meals (see
immediately below).
Perhaps the biggest issue confronted by Congress was concern over
"overcertification" -- the degree to which ineligible children are judged eligible for free or
reduced-price school meals. Though estimates and perceptions differed as to the extent and
seriousness of the problem, overcertification was widely judged a significant issue and
provoked accompanying questions as to schools' administrative strength and how to ensure
that eligible children were not disadvantaged by any legislative solution. As a result, the
most important amendments in the 2004 law dealt with program integrity -- improvements
to rules governing certification and verification of eligibility, new procedures to upgrade
administration of school meal programs, and new technical assistance and training.
As to school meal program operations, few changes were made (e.g., expansion of
eligibility for homeless, runaway, and migrant children and youth, loosened rules for higher
"severe need" school breakfast subsidies). And, a major (and costly) proposal to phase in
higher income eligibility limits for free school meals was limited to authorization for a small
pilot project.
Another major set of issues involved nutrition, health, and nutrition education aspects
of child nutrition programs, particularly childhood obesity trends and the role of child
nutrition programs and school environments (like physical activities) in dealing with this, the
rules governing the offering of milk and milk substitutes, foods sold in competition with
school meals, food safety, and the desire of some to substantially increase funding
commitments for nutrition education. While a number of federally led options were offered,
in the end, the most significant change was a requirement that all schools participating in
school meal programs establish locally designed "wellness policies" to tackle obesity- and
nutrition/health-related issues (like competitive foods and students' physical activity), with
federal technical assistance and other support. Nutrition education provisions encompassed
a series of authorizations, but no new funding. In related amendments, the program offering
free fresh fruit and vegetables operating in selected schools in a few states was expanded and
made permanent, and important changes were made to food safety rules.
Small changes also were made in the Summer Food Service and Child and Adult Care
Food programs -- for example, making permanent and expanding the coverage of
pre-existing "simplified summer program" (so-called "Lugar") rules that make it easier for
summer program sponsors to participate, making permanent and nationally applicable a
pre-existing rule loosening eligibility requirements for for-profit child care centers wishing
to participate in the Child and Adult Care Food program.
Finally, a large number of revisions were made to the WIC program, but the most
significant were several aimed at strengthening rules containing food costs incurred by the
program. Of these, the most controversial was a new provision placing substantial limits on
vendors receiving the majority of their revenue from WIC vouchers (so-called "WIC-only"
stores).
The 2004 reauthorization law extended virtually all expiring child nutrition and WIC
appropriations authorizations and other authorities through FY2009.(6) In addition, it made
a wide range of changes to child nutrition and WIC law as described in the following
sections.
Program Integrity in School Meal Programs: Certification
and Verification of Eligibility.
- Role of Local Educational Agencies (LEAs). Stipulates that LEAs are
effectively responsible for certification and verification of eligibility for free and
reduced-price school meals -- as opposed to local "school food authorities," which conduct
school meal program day-to-day operations and also were in charge of certification and
verification under pre-existing law.
- Descriptive Materials and Communications with Families. Requires
that descriptive materials provided to parents contain notification that (1) participants in
certain other income-tested programs may be eligible for free or reduced-price school meals
and (2) documentation may be requested for verification of eligibility. Also directs that any
communications with families for eligibility determination or verification purposes be in an
understandable format in a language that parents can understand (to the extent possible).
Grants explicit permission for Internet applications and descriptive materials. Individual
applications for each child in a family are, in most cases, barred.
- Direct Certification of Eligibility. In order to reduce the number of
paper applications that need to be reviewed, by relying on verification already conducted in
other venues, requires that LEAs use direct certification -- certification of eligibility for free
and reduced-price school meals (without application) by direct communication with
appropriate state or local agencies -- for any child who is member of a food stamp household.
This direct certification mandate is phased in, beginning with the largest LEAs, through the
2007-2008 school year. In addition, permissive authority is granted to employ direct
certification for children in Temporary Assistance for Needy Families (TANF) households,
homeless children, children served by programs under the Runaway and Homeless Youth
Act, and migrant children. [Note: Under pre-existing law, direct certification was permitted
for children in food stamp and TANF households.]
- Verification of a Sample of Applications. For those not directly
certified eligible for free or reduced-price school meals, mandates that a sample of approved
applications be selected for verification of their eligibility by directly communicating with
the family (or direct verification, see below). [Note: Prior to verifying with the family, the
application must be reviewed by an individual other than the person who approved it.] The
required sample size for each LEA varies, but, in most cases, the new law calls for it to be
significantly larger than under pre-existing (regulatory) rules.
- Direct Verification. In conducting eligibility verification of the sample
of approved applications, permits LEAs to first use direct verification -- obtain and use
income and program participation information about the applicant family from certain public
agencies -- before contacting the family. Direct verification is to be evaluated and, if found
to be effective in obtaining adequate information and reducing the number of applications
that must be verified by contacting families directly, may be made
mandatory.
- Individual Family Verification. For families not directly certified or
directly verified, requires LEAs to conduct verification through contact with the family. This
includes a written request for information and phone contact if necessary. In the case of
families not responding to a verification request, LEAs are required to make at least one
additional attempt to obtain information and may use a third party to assist them in these
"follow-up" activities. [Note: Nonresponse results in disqualification.]
- Funding. Provides mandatory funding (1) to assist in carrying out
direct certification and verification activities and (2) to evaluate direct
verification.
Program Integrity in School Meal Programs:
Administrative Error Reduction.
- Federal Administrative Support. Provides mandatory funding to the
Agriculture Department to (1) provide training and technical assistance and materials related
to improving program integrity and administrative accuracy in school meal programs and (2)
assist state agencies in reviewing the administrative practices of local agencies. Requires the
development and distribution of materials representative of "best management and
administrative practices."
- Additional Administrative Reviews. Mandates that state agencies
conduct special administrative reviews -- beyond those carried out as part of the regular
"Coordinated Review Effort" (CRE) compliance and accountability reviews -- of local
agencies that have demonstrated a high level of, or a high risk for, administrative error in
application, certification, verification, meal counting, and meal claiming procedures. Those
local agencies failing to meet performance criteria would be required to develop and carry
out corrective action plans (with the state agency's assistance). If they fail to meet the criteria
in both initial and follow-up reviews, local agencies could be subject to financial penalties
(retention of funds otherwise due them).
- Training. Requires state agencies to provide training in administrative
practices to local agency administrative personnel. The Agriculture Department may support
this training or provide it directly.
- Funds for Administrative Reviews and Training. Provides mandatory
funding to the Agriculture Department to assist state agencies in carrying out additional
administrative reviews and training in administrative practices.
- Technology. Requires that state child nutrition plans submitted for
state administrative expense funding include information as to how technology and
information management systems will be used to improve program integrity. Also requires
a study of the use of computer technology to reduce eligibility certification errors and other
"waste, fraud, and abuse." Authorizes the Agriculture Department to provide competitive
grants to state agencies to award to local agencies to defray the cost of purchasing/upgrading
technology and information systems.
- Compliance and Accountability. Increases the appropriations
authorization for compliance and accountability reviews of local school meal program
agencies.(7)
School Meal Programs (School Lunches and
Breakfasts).(8)
- Runaway, Homeless, and Migrant Youth. Establishes in law (as
opposed to administrative guidance) the automatic (categorical) eligibility of homeless
children for free school meals. Also makes youth served by grant programs under the
Runaway and Homeless Youth Act and migrant children automatically eligible for free
school meals.
- Duration of Eligibility. Mandates that eligibility for free or
reduced-price school meals remains valid for one year for most
students.
- Military Housing Allowances. Makes permanent a rule disregarding
military housing allowances for those living in "privatized" housing when judging eligibility
for free or reduced- price school meals.
- "Severe Need" School Breakfast Program Subsidies. Removes a
requirement that schools document their costs in order to receive higher "severe need" school
breakfast subsidies, allowing them to receive the maximum subsidy rather than the lesser of
documented costs or the severe need rate.(9)
- Pilot Expansion of Eligibility for Free School Meals. Authorizes a
pilot project in all or parts of 5 states under which the income limit for free school meals
would be raised from 130% of the federal poverty income guidelines to 185% of the
guidelines (the current limit for reduced-price meals).
- Evaluation. Authorizes funds for annual national performance
assessments of child nutrition meal service programs.
- "Best Practices." Authorizes funding for a review of "best practices"
in the School Breakfast program so as to assist schools in addressing impediments to the
growth of the program.
Nutrition, Health, and Nutrition
Education.
- Local Wellness Policies. Requires local educational agencies
participating in school meal programs to establish local "school wellness" policies, as they
determine appropriate. These policies would include goals for nutrition education, physical
activity, and other school-based activities, nutrition guidelines for all foods available on
campus during the school day, a plan for measuring implementation of the policy, and
involvement of parents, students, school and school meal administrators, and the public. The
Agriculture Department is directed to make available information and technical assistance
to support this initiative and is given mandatory funding to provide it.
- Nutrition Education/Promotion. Replaces (unfunded) authority for
a nutrition education and training program with authorization for grants to states to
implement "team nutrition networks" that support nutrition education through a wide variety
of means, such as the use of nutrition education messages, promotion of active lifestyles,
pilot projects, model curricula, data gathering, health and physical activity guidelines.
Authorizes funds to promote improved nutrition through the dissemination and use of
nutrition messages and materials developed by the Agriculture Department. Authorizes
grants to entities with expertise in health education programs for limited-English-proficient
individuals to enhance obesity prevention activities. Requires the Agriculture Department
to issue recommendations for the increased consumption of foods in school meal programs
based on the most recent Dietary Guidelines for Americans. Authorizes grants to local
educational agencies to create healthy school nutrition environments, promote healthy eating
habits, and increase physical activity among elementary and secondary students. In support
of nutrition education goals, authorizes technical assistance and grants to improve the quality
of school meals.
- Milk. Places into law rules governing the offering of milk and milk
substitutes that differ minimally from pre-existing law and regulations. Schools must offer
fluid milk in a variety of fat contents, may offer flavored, unflavored, and lactose-free milk,
and must provide a milk substitute for students whose "disability" restricts their diet (on
written request of a physician). In addition, schools may substitute a non-dairy beverage that
is nutritionally equivalent to milk for students who cannot consume milk because of a
"medical or other special dietary need" (on the written request of a medical authority or
parent).
- "Weighted Averages." Reinstates a waiver of a requirement that
schools use "weighted averages" -- that measure the nutrient content of meals according to
food items actually chosen by students -- when doing a nutrient analysis of their school meal
programs.
- Food Safety. Increases the number of required food safety inspections,
requires state and federal audits of the inspections, and mandates that school food safety
programs comply with any "hazard analysis and critical control point" (HACCP) system
established by the Agriculture Department.
- Irradiated Foods. Requires the Agriculture Department to establish
procedures relating to irradiated food products distributed by the Department to school meal
programs. They must ensure that irradiated foods are provided only on request, that schools
receive information about irradiation technology and its relation to safe food handling, that
schools get models for providing information about irradiated foods to parents and students,
that irradiated products are appropriately labeled and not commingled with other foods, and
that schools are encouraged to offer alternatives.
- Technology. Requires state child nutrition plans to contain information
as to how they may use their state administrative expense grant for information management
systems that monitor the nutrient content of meals and authorizes funds for competitive
grants to defray the cost of purchasing/upgrading technology and information systems doing
this task.
Fresh Fruit and Vegetables, WIC Farmers' Markets, and
Locally Produced Food.
- Free Fresh Fruit and Vegetable Program. Requires the Agriculture
Department to operate a permanent fresh fruit and vegetable program under which free fresh
fruit and vegetables are made available to students in participating schools. This expands on
a pre-existing pilot project available in five states and one Indian reservation and adds three
states and two Indian reservations. In both the pilot and the expanded permanent program,
the program is available in only a very small number of schools in each state or Indian
reservation. Mandatory annual funding is provided for this permanent program.(10)
- WIC Farmers' Market Program. Reduces the state match to 30% of
administrative costs (rather than 30% of total costs), increases the limit on the federal share
of benefits from $20 to $30 per participant per year, and makes roadside stands eligible to
participate at state option. This program provides vouchers to WIC recipients to buy fresh
fruit and vegetables at participating farmers' markets.
- Locally Produced Foods. Authorizes funding for the Agriculture
Department to encourage schools to purchase locally produced foods, including grants to
defray initial infrastructure costs incurred in carrying out this policy. Authorizes the
Agriculture Department to provide competitive matching grants and technical assistance for
projects that improve access to local foods through "farm-to-cafeteria" activities,
procurement from small- and medium-size farms, support for school garden programs, and
farm-based nutrition education projects. Authorizes the Agriculture Department to provide
technical assistance and grants to improve access to local foods in
schools.
- Fruit and Vegetables in the WIC Program. Authorizes the Secretary
to award grants to evaluate the feasibility of including fresh, frozen, or canned fruit and
vegetables as an addition to food items in regular WIC food packages.
Summer Food Service Program.
- Simplified Summer Programs ("Lugar" Rules). Makes permanent
rules that allow summer program sponsors to receive the maximum summer program subsidy
rates without providing documentation of costs and expands their application to 6 additional
states (beyond 13 states and Puerto Rico covered under pre-existing
law).
- "Seamless Summer Option." Creates, in law (as opposed to
administrative policy), an option that allows schools to administer summer or school vacation
food service using the rules (and subsidy rates) of regular school meal
programs.
- Pilot Projects. Establishes and funds four pilot projects -- (1) a project
that, in rural parts of Pennsylvania, makes it easier for the area to qualify for "open-site"
summer program status (in which all participating children are served free meals), (2) grants
to increase participation in the summer program through innovative approaches to
transportation in rural areas, (3) modification of eligibility criteria for residential summer
camps serving low-income children in order to evaluate alternative means of judging camps'
eligibility to participate in the summer program, and (4) a project in California whereby local
governments and private nonprofit organizations could receive summer program subsidy
rates for up to 2 meals a day during the summer, school breaks, after-school hours, and
weekends (as an alternative to after-school nutrition projects, the regular summer program
and the seamless summer option noted above).
Child and Adult Care Food Program
(CACFP).
- For-Profit Day Care Centers. Makes permanent (and nationally
applicable) a pre-existing rule that allows for-profit day care centers to qualify for CACFP
assistance if at least 25% of the children they serve are eligible for free or reduced-price
school meals (have family income below 185% of the federal poverty income
guidelines).
- Emergency Homeless Shelters: Age Limit. Allows CACFP subsidies
to be paid for free meals/snacks served by emergency homeless shelters to all children not
more than 18 years old and to children with disabilities -- up from an age limit of 12 years
(15 for children of migrant workers).
- Management Support Initiative. Reinstates and provides mandatory
funding (in FY2005 and FY2006 only) for an initiative offering training and technical
assistance to aid state agencies in improving their management and oversight of the
CACFP.
- Pilot Project. In rural areas of Nebraska, lowers the eligibility
threshold applied to family day care homes wishing to qualify for "Tier I" (higher CACFP
subsidy rates) status -- for fiscal years FY2006 and FY2007.
- Paperwork Reduction. Requires the Agriculture Department to
examine the feasibility of reducing paperwork associated with CACFP regulations and
recordkeeping requirements for state agencies, day care homes and sponsors, and child care
centers.
Special Supplemental Nutrition Program for Women,
Infants, and Children (the WIC Program).
Eligibility
- Breastfeeding Women. Increases the potential eligibility period for
breastfeeding women.
- Physical Presence. Expands authority for state agencies to waive the
requirement that each individual seeking WIC benefits be physically present to determine
eligibility to cover certain infants under eight weeks of age.
- Review of Food Packages. Requires the Agriculture Department to
conduct future periodic scientific reviews of foods included in WIC food packages and
change them as necessary. Also requires an update of WIC food packages within 18 months
after the most current review (initiated in September 2003) is
completed.
- "Rounding Up." Allows state agencies to round up to the next whole
can size of infant formula when issuing WIC vouchers in order to ensure that all infants
receive the full authorized nutritional benefit specified by regulation.
- Use of WIC Vouchers. Requires state agencies to permit WIC
recipients to transact their vouchers at any authorized store in the
state.
Cost Containment Policies
- "WIC-Only Stores." Substantially revises procedures aimed at
containing the cost of WIC vouchers by instituting new rules state agencies must follow to
control costs charged by vendors whose revenue is derived primarily (50%+) from the sale
of WIC food items, effectively constraining (or ending) their participation depending on the
prices they charge for WIC items.(12)
- State Alliances. Limits the size of alliances through which state
agencies join together to solicit sole-source bids from infant formula manufacturers, in order
to bolster competition in the bidding process.
- "Primary Contract" Infant Formula. Requires state agencies to use
the "primary" infant formula they have contracted with manufacturers to supply, with all
other infant formulas issued as an alternative.
- Uncoupling Milk- and Soy-based Infant Formula Bids. Requires that
large state agencies/alliances solicit sole-source bids from infant formula manufacturers using
procedures under which bids and discounts (rebates) are solicited separately for milk-based
and soy-based formula.
- "Cent-for-Cent" Adjustments. Mandates a cent-for-cent decrease in
rebates received by states from infant formula manufacturers if there is a decrease in the
lowest national wholesale price for a full truckload of a particular formula -- just as
pre-existing law required cent-for-cent increases when wholesale prices
increase.
- Accelerated Approval. Requires that state agencies have procedures
for accepting and processing vendor applications outside the agency's normal time-frame if
there will be inadequate access to the WIC program.
- Notification of Violations. Directs state agencies to notify vendors of
an initial violation of WIC rules if they are found to have committed a violation that requires
a pattern of occurrences in order to impose a penalty.
- List of Infant Formula Providers. Requires state agencies to maintain
lists of infant formula food wholesalers, distributors, and retailers approved to provide infant
formula for the WIC program and mandates that vendors purchase infant formula from those
on the state agency's list.
- EBT Costs. Bars the imposition of any costs related to electronic
benefit transfer (EBT) systems on vendors.
Use of Funds and Administration
- Earmarked Funding. Requires the use of $64 million a year (or the
amount of WIC funding for the prior year that has not been obligated, if less) for program
infrastructure, special projects to promote breastfeeding or of regional/national significance,
management information systems, and special nutrition education activities (such as
breastfeeding peer counselors).
- "Spend-forward." Increases the limit on the proportion of the nutrition
services and administration component of their WIC grant that state agencies may spend in
the following fiscal year -- from 1% to 3%.
- Universal Product Codes. Mandates that the Agriculture Department
establish and maintain a national universal product code (UPC) database for states' use in
carrying out the WIC program.
State Administrative Expenses.
- Minimum State Grants. Increases the minimum state grant for child
nutrition program administrative expenses from $100,000 to $200,000 (indexed after
FY2008).
Technical Assistance and Training.(14)
- Food Service Management Institute (FSMI). Adds four areas in
which the FSMI is required to provide technical assistance and training -- "hazard analysis
and critical point plan" (HACCP) implementation by schools carrying out new food safety
requirements, emergency readiness, responding to food recalls, and food bio-security
training. Increases mandatory funding for the FSMI.
- Technology and School Breakfast Expansion. Adds two new
potential uses for training and technical assistance funding -- (1) aid to states (on a
competitive basis) for the purpose of helping schools with large populations of low-income
children in meeting the cost of acquiring/upgrading technology and information management
systems used for child nutrition programs and (2) assistance to states (on a competitive basis)
with low proportions of schools/children participating in the School Breakfast program in
meeting costs associated with initiating/expanding the breakfast
program.
- Procurement Training. Authorizes the Agriculture Department to
provide technical assistance and training in the procurement of goods and services for child
nutrition programs, including help in ensuring compliance with "Buy American"
requirements and procuring safe foods (e.g., model specifications).
- Information Clearinghouse. Reinstates, extends, and increases the
appropriations authorization for a small nongovernmental information clearinghouse that
provides information to nongovernmental groups that assist low-income individuals and
communities with food assistance and self-help activities to reduce reliance on government
agencies.
Commodity Support.
- Permanent Authority. Makes permanent two pre-existing commodity
support authorities -- (1) the requirement that the Agriculture Department use Section 32 and
Commodity Credit Corporation funds to maintain annually programmed levels of commodity
support for child nutrition programs and (2) permission to use Section 32 funds to remove
and dispose of unsafe foods donated to child nutrition programs by the Agriculture
Department.
Other Legislated Changes
In addition to the 2004 child nutrition reauthorization (and the two related short-term
extensions of expiring authorities noted in the earlier History section), several relatively
minor changes to the laws and policies governing child nutrition and WIC programs have
been enacted in the 108th and 109th Congresses:
- P.L. 108-30. Extended the availability of funds for the project
providing fresh fruit and vegetables in schools through the 2003-2004 school year.(15)
- P.L. 108-375. Included in the FY2005 National Defense Authorization
Act was a provision requiring that child nutrition and WIC programs disregard "supplemental
subsistence allowances" received by military families when judging
eligibility.
- P.L. 108-447. Included in the Agriculture Department component of
this omnibus FY2005 appropriations measure were two child nutrition/WIC provisions: (1)
permission for the Department to reallocate among states unused Child and Adult Care Food
Program (CACFP) audit funds and (2) a rule barring approval of any new retailers under the
WIC program whose major source of revenue is derived from WIC program vouchers
("WIC-only" stores).
- P.L. 109-97. Included in this FY2006 Agriculture Department
appropriations law were five child nutrition/WIC provisions: (1) continued permission to
reallocate CACFP audit funds, (2) continuation of the rule barring approval of any new
WIC-only stores, (3) an amendment speeding up the availability of funds to be used by the
Agriculture Department to support development of local school "wellness policies" (to be
available immediately instead of July 2006), (4) expansion of simplified summer program
("Lugar") rules to cover seven more states (allowing sponsors to receive maximum subsidy
rates without cost documentation), and (5) provision of $6 million to expand the program
offering free fresh fruit and vegetables in selected schools to six additional
states.
Proposed Legislation
Proposals Since the 2004 Reauthorization Law
A number of bills that would directly affect child nutrition programs have been
introduced since the enactment of the 2004 Child Nutrition and WIC Reauthorization Act on
June 30,2004, primarily in the 109th Congress.(16) The following listing covers the 109th Congress and
includes notes where the same measure was introduced in the 108th Congress (after June
2004). It does not cover legislative proposals made by the Administration in its FY2007
budget submission; for details on those, refer to CRS Report RL33412, Agriculture and
Related Agencies: FY2007 Appropriations, coordinated by [author name scrubbed].
- H.R. 203. Expands the program providing free fresh fruit
and vegetables in selected schools to one additional state (New York), and includes Head
Start programs as potential participants.
- H.R. 204. Increases the amount of money for CACFP
audits from 1% to 1.5% of CACFP total funding.
- H.R. 844. Establishes automatic eligibility for free school
meals for children of active duty enlisted members of the Armed Forces and National
Guard.(17)
- H.R. 1589. Family and Workplace Balancing Act. Along
with changes to programs outside child nutrition programs, establishes a "universal" free
breakfast program, directs grants to schools to create "healthy school nutrition
environments," and expands the availability of CACFP subsidies for suppers served through
after-school programs to all states.(18)
- H.R. 5344. Summer Food Service Program Improvement
Act of 2006. Lowers the threshold that summer program sponsors must meet to gain
"open-site" status (where all meals/snacks are served free in projects located in low-income
neighborhoods). Extends applicability of "Lugar" rules to all states (see S. 1005,
below). Establishes a startup grant program to provide assistance to sponsors wishing to
initiate summer food service programs.
- S. 1005. Extends applicability of simplified summer
program ("Lugar") rules to all states; these rules allow summer sponsors to receive maximum
subsidy rates, without cost documentation, in 26 states and Puerto
Rico.
- S. 1556/H.R. 3562. Authorizes expansion
of the program providing free fruit and vegetables in selected schools to all states.(19)
- S. 1695. Hurricane Katrina Food Assistance Relief Act.
Establishes specific authority in child nutrition law to modify child nutrition program
conditions of operation in the case of natural disasters, and provides extra funding for the
WIC program in the wake of Hurricanes Katrina and Rita.
- S. 2592/H.R. 5167. Child Nutrition
Promotion and School Lunch Protection Act. Requires the Secretary of Agriculture to revise
(and effectively expand) the definition of "foods of minimal nutritional value" that may not
be offered in competition with school meals. Requires that the expanded definition bar these
food items from being offered on school campuses at any time.
Proposals Pending During Consideration of the 2004 Reauthorization
Law
In th 108th Congress, a number of bills were introduced to make changes in child
nutrition and WIC programs -- in addition to the omnibus bills reported by the House
Education and the Workforce Committee and the Senate Agriculture, Nutrition, and Forestry
Committee (H.R. 3873 and S. 2507), which formed the basis for
the final 2004 reauthorization law, and the two bills that became the laws extending child
nutrition and WIC authorizations while Congress considered reauthorization
(H.R. 3232 and S. 2241). Many of these initiatives (or variations)
were included in the House and Senate committee bills and the final law. They are as follows
--
- H.R. 1551. Safe School Food Act. Adds to food safety
requirements for schools participating in school meal programs.
- H.R. 2227. Obesity Prevention Act. Establishes grants
for local school nutrition and physical fitness ("wellness") projects.
- H.R. 2592. Healthy America Act. Expands the
availability of fruit and vegetables in child nutrition and WIC
programs.
- H.R. 2626/S. 1755. Farm-to-Cafeteria
Projects Act. Authorizes grants for farm-to-cafeteria projects.
- H.R. 2832. Healthy Nutrition for America's Children Act.
Expands the program providing free fresh fruit and vegetables in selected schools
nationwide.
- H.R. 2987/S. 1392. Establishes "healthy
school nutrition environment" grants and broadens rules regulating the offering of foods in
competition with school meals.
- H.R. 3022. School Nutrition Antibiotic Safety Act. Bars
the Agriculture Department from acquiring chickens that have been fed/administered
fluoroquinolone antibiotics for distribution to school meal programs.
- H.R. 3120. Right to Know School Nutrition Act.
Mandates the provision of information about the irradiation of foods used in school meal
programs.
- H.R. 3250/S. 1367. Child Nutrition
Improvement Act. Includes provisions to increase milk consumption in schools and support
for "healthy school environment" projects.
- H.R. 3416. Healthy Children Through Better Nutrition
Act. Omnibus alternative child nutrition/WIC reauthorization
proposal.
- H.R. 3869. Pride in the Lunch Line Act. Authorizes
grants to assist schools in upgrading technology and information systems used in operating
school meal programs.
- S. 448/H.R. 936. Leave No Child Left
Behind Act. Among other provisions, expands the CACFP.
- S. 995. Child Nutrition Initiatives Act. Provides for (1)
grants to encourage more nutritious school meals and (2) grants for farm-to-cafeteria projects.
Increases child nutrition state administrative expense grants for small states and funding for
WIC farmers' markets. Provides funding for the Nutrition Education and Training (NET)
program.
- S. 996. Commodity Distribution Act. Increases federally
provided commodity support for school meal programs.
- S. 1007/H.R. 4519. Better Nutrition for
School Children Act. Broadens rules regulating the offering of foods in competition with
school meals.
- S. 1020. School Breakfast Improvement Act. Increases
School Breakfast program subsidies; provides for start-up and expansion grants for breakfast
programs; authorizes "universal" free breakfast pilot projects.
- S. 1021/H.R. 3930. Summer Food Service
Improvement Act. Provides for the expansion of the Summer Food Service
program.
- S. 1022. Child and Adult Care Food Program
Improvement Act. Provides for the expansion of the CACFP.
- S. 1393. Expands the program providing free fresh fruit
and vegetables in selected schools.
- S. 1549/H.R. 3441. Provides for the
phase-out of reduced-price school meals by raising the income eligibility test for free school
meals.
- S. 1750/S. 1829. Better Eating for Better
Living Act. Increases school lunch subsidies; requires periodic reviews of school meal
nutrition guidelines; modifies rules regulating milk served in schools; provides funding for
the Nutrition Education and Training (NET) program.
- S. 2183. Early Attention to Nutrition Act. Establishes
"Team Nutrition Network" grants to promote the nutritional health of
schoolchildren.
Footnotes
1. (back) In addition to these laws,
Congress has used annual appropriations measures and omnibus agriculture legislation to direct the
Agriculture Department to take actions affecting child nutrition and WIC programs. These directives
typically take the form of requirements related to commodity support for child nutrition efforts -- but
they also can encompass amendments to the underlying law or changes in program policies.
2. (back) For more information, see CRS Report RS20235, Farm and Food Support under USDA's Section 32 Program, by Geoffrey S.
Becker.
3. (back) For information on this law and
other child nutrition and WIC legislation in the 104th and 105th Congresses (1995 through 1998), see
CRS Report 96-987(pdf), Child Nutrition Legislation in the 104th Congress, and CRS Report 97-108(pdf),
Child Nutrition Issues in the 105th Congress, both by [author name scrubbed] (available on request).
4. (back) It should be noted that
appropriations for the majority of child nutrition programs (e.g., the school meal programs) are
permanently authorized.
5. (back) Virtually all child nutrition
programs are mandatory entitlements. On the other hand, the WIC program is discretionary.
6. (back) Five authorities were made
permanent: (1) a requirement to use Section 32 funds to maintain commodity support for child
nutrition programs, (2) simplified summer food programs, (3) certain rules governing the treatment
of for-profit child care centers, (4) the fresh fruit and vegetable program, and (5) permission to use
Section 32 funds to dispose of unsafe foods. One authority (a "management support initiative" in
the Child and Adult Care Food program) that expired with FY2003 was reinstated for FY2005 and
FY2006. A waiver of a requirement on how schools measure the nutrient content of their meals (use
of "weighted averages") that expired with FY2003 was reinstated, as was authority for an
Information Clearinghouse. One expiring authority (authorization of funds for certain training and
technical assistance activities) was extended through FY2008. One authority (for a nutrition
education and training program) was replaced with a new initiative. And one expiring authority --
a small effort funding food and nutrition projects that are integrated with elementary school curricula
-- was not renewed.
7. (back) Compliance and accountability
reviews also are referred to as the "Coordinated Review Effort" (CRE). The amendment increases
the authorization from $3 million to $6 million a year; however, these reviews have typically been
appropriated funds above the $3 million-a-year authorization.
8. (back) Also, see the "Program
Integrity" sections of this report.
9. (back) Schools receive severe-need
breakfast subsidies if they served 40%+ of their lunches free or at a reduced price in the second
preceding year.
10. (back) A later law, P.L. 109-97,
added and provided new funding for six more states under this program.
11. (back) Also, see the section of this
report entitled "Fresh Fruit and Vegetables, WIC Farmers' Markets, and Locally Produced Food."
12. (back) A separate provision generally
bars WIC-only stores that provide "incentive items" or other free merchandise to program
participants.
13. (back) Also see Cost Containment
Policies, "WIC-only" stores, above.
14. (back) Also, see the "Program
Integrity" sections of this report.
15. (back) This pilot project preceded
the permanent program established in the 2004 child nutrition reauthorization law.
16. (back) The bills noted here do not
include general "anti-hunger" measures and omnibus initiatives introduced in the 108th and 109th
Congresses to reduce/prevent childhood obesity and improve schoolchildren's health. A bill in the
109th Congress that would indirectly affect school meal program operations by authorizing funding
for vending machines offering healthy foods in schools (H.R. 2763, the Student
Nutrition and Health Act) also is not included.
17. (back) This bill is the same as
H.R. 5229 in the 108th Congress.
18. (back) These proposals also were put
forward in H.R. 3780 in the 108th Congress. CACFP subsidies for suppers are currently
offered in seven states.
19. (back) These provisions are
effectively the same as those put forward in H.R. 4800 in the 108th Congress.
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