
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document affected by Public Law 106-224 Section 241(b)]
[CITE: 42USC1755]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                    CHAPTER 13--SCHOOL LUNCH PROGRAMS
 
Sec. 1755. Direct expenditures for agricultural commodities and 
        other foods
        

(a) Administrative expenses; nutritional education; pilot projects; 
        cash-in-lieu of commodities study; refusal of commodities and 
        receipt of other commodities available to the State in lieu of 
        the refused commodities

    The funds provided by appropriation or transfer from other accounts 
for any fiscal year for carrying out the provisions of this chapter, and 
for carrying out the provisions of the Child Nutrition Act of 1966 [42 
U.S.C. 1771 et seq.], other than section 3 thereof [42 U.S.C. 1772] less
        (1) not to exceed 3\1/2\ per centum thereof which per centum is 
    hereby made available to the Secretary for the Secretary's 
    administrative expenses under this chapter and under the Child 
    Nutrition Act of 1966 [42 U.S.C. 1771 et seq.];
        (2) the amount apportioned by the Secretary pursuant to section 
    1753 of this title and the amount appropriated pursuant to sections 
    1759a and 1761 of this title and sections 4 and 7 of the Child 
    Nutrition Act of 1966 [42 U.S.C. 1773 and 1776]; and
        (3) not to exceed 1 per centum of the funds provided for 
    carrying out the programs under this chapter and the programs under 
    the Child Nutrition Act of 1966 [42 U.S.C. 1771 et seq.], other than 
    section 3 [42 U.S.C. 1772], which per centum is hereby made 
    available to the Secretary to supplement the nutritional benefits of 
    these programs through grants to States and other means for 
    nutritional training and education for workers, cooperators, and 
    participants in these programs, for pilot projects and the cash-in-
    lieu of commodities study required to be carried out under section 
    1769 of this title, and for necessary surveys and studies of 
    requirements for food service programs in furtherance of the 
    purposes expressed in section 1751 of this title, and section 2 of 
    the Child Nutrition Act of 1966 [42 U.S.C. 1771],

shall be available to the Secretary during such year for direct 
expenditure by the Secretary for agricultural commodities and other 
foods to be distributed among the States and schools and service 
institutions participating in the food service programs under this 
chapter and under the Child Nutrition Act of 1966 [42 U.S.C. 1771 et 
seq.] in accordance with the needs as determined by the local school and 
service institution authorities. Except as provided in the next 2 
sentences, any school participating in food service programs under this 
chapter may refuse to accept delivery of not more than 20 percent of the 
total value of agricultural commodities and other foods tendered to it 
in any school year; and if a school so refuses, that school may receive, 
in lieu of the refused commodities, other commodities to the extent that 
other commodities are available to the State during that year. Any 
school food authority may refuse some or all of the fresh fruits and 
vegetables offered to the school food authority in any school year and 
shall receive, in lieu of the offered fruits and vegetables, other more 
desirable fresh fruits and vegetables that are at least equal in value 
to the fresh fruits and vegetables refused by the school food authority. 
The value of any fresh fruits and vegetables refused by a school under 
the preceding sentence for a school year shall not be used to determine 
the 20 percent of the total value of agricultural commodities and other 
foods tendered to the school food authority in the school year under the 
second sentence. The provisions of law contained in the proviso of 
section 713c of title 15, facilitating operations with respect to the 
purchase and disposition of surplus agricultural commodities under 
section 612c of title 7, shall, to the extent not inconsistent with the 
provision of this chapter, also be applicable to expenditures of funds 
by the Secretary under this chapter. In making purchases of such 
agricultural commodities and other foods, the Secretary shall not issue 
specifications which restrict participation of local producers unless 
such specifications will result in significant advantages to the food 
service programs authorized by this chapter and the Child Nutrition Act 
of 1966.

(b) Delivery of commodities

    The Secretary shall deliver, to each State participating in the 
school lunch program under this chapter, commodities valued at the total 
level of assistance authorized under subsection (c) \1\ of this section 
for each school year for the school lunch program in the State, not 
later than September 30 of the following school year.
---------------------------------------------------------------------------
    \1\ See References in Text note below.
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(c) Level of commodity assistance; computation of index; calculation of 
        total assistance to each State; emphasis on high protein foods; 
        per meal value of donated foods

    (1)(A) The national average value of donated foods, or cash payments 
in lieu thereof, shall be 11 cents, adjusted on July 1, 1982, and each 
July 1 thereafter to reflect changes in the Price Index for Food Used in 
Schools and Institutions. The Index shall be computed using 5 major food 
components in the Bureau of Labor Statistics' Producer Price Index 
(cereal and bakery products, meats, poultry and fish, dairy products, 
processed fruits and vegetables, and fats and oils). Each component 
shall be weighed using the same relative weight as determined by the 
Bureau of Labor Statistics.
    (B) The value of food assistance for each meal shall be adjusted 
each July 1 by the annual percentage change in a 3-month average value 
of the Price Index for Foods Used in Schools and Institutions for March, 
April, and May each year. Such adjustment shall be computed to the 
nearest \1/4\ cent.
    (C) For each school year, the total commodity assistance or cash in 
lieu thereof available to a State for the school lunch program shall be 
calculated by multiplying the number of lunches served in the preceding 
school year by the rate established by subparagraph (B). After the end 
of each school year, the Secretary shall reconcile the number of lunches 
served by schools in each State with the number of lunches served by 
schools in each State during the preceding school year and increase or 
reduce subsequent commodity assistance or cash in lieu thereof provided 
to each State based on such reconciliation.
    (D) Among those commodities delivered under this section, the 
Secretary shall give special emphasis to high protein foods, meat, and 
meat alternates (which may include domestic seafood commodities and 
their products).
    (E) Notwithstanding any other provision of this section, not less 
than 75 percent of the assistance provided under this subsection shall 
be in the form of donated foods for the school lunch program.
    (2) To the maximum extent feasible, each State agency shall offer to 
each school food authority under its jurisdiction that participates in 
the school lunch program and receives commodities, agricultural 
commodities and their products, the per meal value of which is not less 
than the national average value of donated foods established under 
paragraph (1). Each such offer shall include the full range of such 
commodities and products that are available from the Secretary to the 
extent that quantities requested are sufficient to allow efficient 
delivery to and within the State.

(d) Termination of commodity assistance based upon school breakfast 
        program

    Beginning with the school year ending June 30, 1981, the Secretary 
shall not offer commodity assistance based upon the number of breakfasts 
served to children under section 4 of the Child Nutrition Act of 1966 
[42 U.S.C. 1773].

(e) Minimum percentage of commodity assistance

    (1) Subject to paragraph (2), in each school year the Secretary 
shall ensure that not less than 12 percent of the assistance provided 
under section 1753 of this title, this section, and section 1759a of 
this title shall be in the form of--
        (A) commodity assistance provided under this section, including 
    cash in lieu of commodities and administrative costs for procurement 
    of commodities under this section; or
        (B) during the period beginning October 1, 2000, and ending 
    September 30, 2009, commodities provided by the Secretary under any 
    provision of law.

    (2) If amounts available to carry out the requirements of the 
sections described in paragraph (1) are insufficient to meet the 
requirement contained in paragraph (1) for a school year, the Secretary 
shall, to the extent necessary, use the authority provided under section 
1762a(a) of this title to meet the requirement for the school year.

(June 4, 1946, ch. 281, Sec. 6, 60 Stat. 231; Pub. L. 87-823, Sec. 3(b), 
Oct. 15, 1962, 76 Stat. 945; Pub. L. 90-302, Sec. 2(a), May 8, 1968, 82 
Stat. 117; Pub. L. 91-248, Sec. 3, May 14, 1970, 84 Stat. 209; Pub. L. 
93-13, Sec. 2, Mar. 30, 1973, 87 Stat. 10; Pub. L. 93-150, Sec. 5, Nov. 
7, 1973, 87 Stat. 562; Pub. L. 93-326, Sec. 3, June 30, 1974, 88 Stat. 
286; Pub. L. 94-105, Secs. 4, 11, Oct. 7, 1975, 89 Stat. 511, 515; Pub. 
L. 95-166, Secs. 5, 7, 10(1), 19(a), Nov. 10, 1977, 91 Stat. 1334-1336, 
1345; Pub. L. 95-627, Secs. 5(b), 12(a), Nov. 10, 1978, 92 Stat. 3619, 
3625; Pub. L. 96-499, title II, Sec. 202(b), Dec. 5, 1980, 94 Stat. 
2600; Pub. L. 97-35, title VIII, Secs. 802, 819(h), Aug. 13, 1981, 95 
Stat. 524, 533; Pub. L. 99-500, title III, Secs. 321, 371(c)(2), Oct. 
18, 1986, 100 Stat. 1783-360, 1783-369, and Pub. L. 99-591, title III, 
Secs. 321, 371(c)(2), Oct. 30, 1986, 100 Stat. 3341-364, 3341-372; Pub. 
L. 99-661, div. D, title II, Sec. 4201, title V, Sec. 4501(c)(2), Nov. 
14, 1986, 100 Stat. 4071, 4080; Pub. L. 100-237, Sec. 3(j), Jan. 8, 
1988, 101 Stat. 1738; Pub. L. 101-147, title I, Sec. 131(a), title III, 
Sec. 302, Nov. 10, 1989, 103 Stat. 906, 913; Pub. L. 103-448, title I, 
Secs. 101-103, Nov. 2, 1994, 108 Stat. 4700, 4701; Pub. L. 105-336, 
title I, Sec. 101(a), Oct. 31, 1998, 112 Stat. 3144; Pub. L. 106-170, 
title IV, Sec. 411, Dec. 17, 1999, 113 Stat. 1917.)

                       References in Text

    The Child Nutrition Act of 1966, referred to in subsec. (a), is Pub. 
L. 89-642, Oct. 11, 1966, 80 Stat. 885, as amended, which is classified 
generally to chapter 13A (Sec. 1771 et seq.) of this title. For complete 
classification of this Act to the Code, see Short Title note set out 
under section 1771 of this title and Tables.
    Subsection (c) of this section, referred to in subsec. (b), was 
repealed and subsec. (e) was redesignated (c) by Pub. L. 105-336, title 
I, Sec. 101(a), Oct. 31, 1998, 112 Stat. 3144.

                          Codification

    Pub. L. 99-591 is a corrected version of Pub. L. 99-500.


                               Amendments

    1999--Subsec. (e)(1). Pub. L. 106-170 designated existing provisions 
as introductory provisions and subpar. (A) and added subpar. (B).
    1998--Subsecs. (c) to (g). Pub. L. 105-336 redesignated subsecs. (e) 
to (g) as (c) to (e), respectively, and struck out former subsecs. (c) 
and (d) which read as follows:
    ``(c) Notwithstanding any other provision of law, the Secretary, 
until such time as a supplemental appropriation may provide additional 
funds for the purpose of subsection (b) of this section, shall use funds 
appropriated by section 612c of title 7 to make any payments to States 
authorized under such subsection. Any section 612c of title 7 funds 
utilized to make such payments shall be reimbursed out of any 
supplemental appropriation hereafter enacted for the purpose of carrying 
out subsection (b) of this section and such reimbursement shall be 
deposited into the fund established pursuant to section 612c of title 7 
to be available for the purpose of said section 612c of title 7.
    ``(d) Any funds made available under subsection (b) or (c) of this 
section shall not be subject to the State matching provisions of section 
1756 of this title.''
    1994--Subsec. (a). Pub. L. 103-448, Sec. 101, substituted in second 
sentence ``Except as provided in the next 2 sentences, any school'' for 
``Any school'' and inserted after second sentence ``Any school food 
authority may refuse some or all of the fresh fruits and vegetables 
offered to the school food authority in any school year and shall 
receive, in lieu of the offered fruits and vegetables, other more 
desirable fresh fruits and vegetables that are at least equal in value 
to the fresh fruits and vegetables refused by the school food authority. 
The value of any fresh fruits and vegetables refused by a school under 
the preceding sentence for a school year shall not be used to determine 
the 20 percent of the total value of agricultural commodities and other 
foods tendered to the school food authority in the school year under the 
second sentence.''
    Subsec. (b). Pub. L. 103-448, Sec. 102, amended subsec. (b) 
generally. Prior to amendment, subsec. (b) related to cash donations in 
lieu of commodity donations during school year for school food service 
programs and withholding of funds for States administered by Secretary 
for disbursement to participating schools to be used to purchase 
commodities and other food for their food service programs.
    Subsec. (g). Pub. L. 103-448, Sec. 103, added subsec. (g).
    1989--Subsec. (a). Pub. L. 101-147, Sec. 302, substituted ``the 
Secretary's'' for ``his'' in par. (1), substituted ``the Secretary'' for 
``him'' in par. (2), and, in concluding provisions, substituted 
``expenditure by the Secretary'' for ``expenditure by him'' and made 
technical amendments to the references to section 713c of title 15 and 
section 612c of title 7 involving underlying provisions of original act 
and requiring no change in text.
    Subsec. (e)(1). Pub. L. 101-147, Sec. 131(a)(1), amended par. (1) 
generally. Prior to amendment, par. (1) read as follows: ``The national 
average value of donated foods, or cash payments in lieu thereof, shall 
be 11 cents, adjusted on July 1, 1982, and each July 1 thereafter to 
reflect changes in the Price Index for Food Used in Schools and 
Institutions. The Index shall be computed using five major food 
components in the Bureau of Labor Statistics' Producer Price Index 
(cereal and bakery products, meats, poultry and fish, dairy products, 
processed fruits and vegetables, and fats and oils). Each component 
shall be weighted using the same relative weight as determined by the 
Bureau of Labor Statistics. The value of food assistance for each meal 
shall be adjusted each July 1 by the annual percentage change in a 
three-month simple average value of the Price Index for Foods Used in 
Schools and Institutions for March, April, and May each year. Such 
adjustment shall be computed to the nearest one-fourth cent. Among those 
commodities delivered under this section, the Secretary shall give 
special emphasis to high protein foods, meat, and meat alternates (which 
may include domestic seafood commodities and their products). 
Notwithstanding any other provision of this section, not less than 75 
per centum of the assistance provided under this subsection (e) shall be 
in the form of donated foods for the school lunch program.''
    Subsec. (e)(2). Pub. L. 101-147, Sec. 131(a)(2), substituted ``To 
the maximum extent feasible, each State agency'' for ``Each State 
agency''.
    1988--Subsec. (e). Pub. L. 100-237 designated existing provisions as 
par. (1) and added par. (2).
    1986--Subsecs. (a)(3), (b). Pub. L. 99-500, Pub. L. 99-591, and Pub. 
L. 99-661, amended section identically, in subsec. (a)(3), making 
technical amendment to reference to section 1769 of this title to 
reflect renumbering of corresponding section of original act and, in 
subsec. (b), substituting ``June 1'' for ``May 15'' and ``July 1'' for 
``June 15''.
    1981--Subsec. (a)(2). Pub. L. 97-35, Sec. 819(h), struck out 
references to section 1754 of this title, and section 5 of the Child 
Nutrition Act of 1966.
    Subsec. (e). Pub. L. 97-35, Sec. 802, substituted provisions 
requiring value to be set at 11 cents, as adjusted on July 1, 1982, and 
each July 1, thereafter, for provisions requiring value to be set at not 
less than 10 cents, as adjusted on an annual basis each school year 
after June 30, 1975.
    1980--Subsec. (f). Pub. L. 96-499 added subsec. (f).
    1978--Subsec. (e). Pub. L. 95-627, Sec. 5(b), substituted provision 
relating to Price Index for Food Used in Schools and Institutions for 
provision relating to Consumer Price Index.
    Pub. L. 95-627, Sec. 12(a), which provided for inserting ``(which 
may include domestic seafood commodities and their products)'' after 
``alternatives'' was executed by inserting that parenthetical after 
``alternates'' as the probable intent of Congress.
    1977--Subsec. (a). Pub. L. 95-166, Secs. 7, 10(1), inserted 
provision which authorized refusal of commodities and receipt of other 
commodities available to State, in lieu of refused commodities, and in 
cl. (3) authorized grants for pilot projects and cash-in-lieu of 
commodities study required to be carried out under section 1769 of this 
title.
    Subsec. (b). Pub. L. 95-166, Sec. 5, in revising subsec. (b), 
changed commodity distribution program to a school year from a fiscal 
year basis, and among other changes, extended deadline for estimated 
valuation and payment to May 15 and June 15 from February 15 and March 
15, and struck out provision respecting apportionment among State 
educational agencies on basis of meals served in all the States during 
the fiscal year and specific reference to regulations of the Department 
of Agriculture under title 7, subtitle (b), chapter II, subchapter (a), 
parts 210 and 220.
    Subsec. (e). Pub. L. 95-166, Sec. 19(a), substituted ``school 
years'' and ``school year after June 30, 1975'' for ``fiscal years'' and 
``fiscal year after June 30, 1975'', respectively.
    1975--Subsec. (a). Pub. L. 94-105, Sec. 11(a), inserted provision 
prohibiting issuance of specifications in purchase of agricultural 
commodities and other foods unless such specifications result in 
significant advantages to the authorized food service programs.
    Subsec. (b). Pub. L. 94-105, Sec. 4, substituted references to all 
schools of States for references to only nonprofit private schools of 
States in provisions covering Secretary's direct administration of 
school food service programs.
    Subsec. (e). Pub. L. 94-105, Sec. 11(b), inserted provision 
mandating that not less than 75 per centum of assistance under this 
subsection shall be in form of donated foods for the school lunch 
program.
    1974--Subsec. (e). Pub. L. 93-326 added subsec. (e).
    1973--Subsec. (a). Pub. L. 93-13 designated existing provisions as 
subsec. (a).
    Subsec. (b). Pub. L. 93-150, in revising text to make provisions 
applicable each fiscal year rather than only for fiscal year ending June 
30, 1973, substituted in: first sentence, ``As of February 15 of each 
fiscal year'' and ``during that fiscal year'' for ``As of March 15, 
1973'' and ``during the fiscal year ending June 30, 1973''; second 
sentence, ``for that fiscal year'', ``March 15 of that fiscal year'', 
and ``as of February 15 of such fiscal year'' for ``for the fiscal year 
ending June 30, 1973'', ``April 15, 1973'', and ``as of March 15, 
1973''; third sentence, ``during the preceding fiscal year'' for 
``during the fiscal year ending June 30, 1972''; and proviso of third 
sentence, ``during that fiscal year'' for ``during the fiscal year 
ending June 30, 1972,''.
    Pub. L. 93-13 added subsec. (b).
    Subsec. (c). Pub. L. 93-150 reenacted provisions without change.
    Pub. L. 93-13 added subsec. (c).
    Subsec. (d). Pub. L. 93-150 reenacted provisions without change.
    Pub. L. 93-13 added subsec. (d).
    1970--Pub. L. 91-248 increased amount authorized for administrative 
expenses by 3\1/2\ percent of the amount appropriated to carry out this 
chapter and the Child Nutrition Act of 1966, other than section 1772 of 
this title, made such amount available for the Secretary's 
administrative expenses, authorized use of up to 1 percent of the funds 
appropriated for this chapter and the Child Nutrition Act of 1966, other 
than section 1772 of this title, for nutritional training and education 
and studies of food service requirements in connection with those 
programs, reduced, to the extent funds were used for administrative 
expenses other than for this chapter or nutritional training or 
education or studies, the share of this chapter's appropriations which 
may be used for direct expenditure by the Secretary for agricultural 
commodities and other foods, and authorized distribution of such foods 
to schools and service institutions participating in food service 
programs under this chapter and the Child Nutrition Act of 1966.
    1968--Pub. L. 90-302 inserted ``except section 1761 of this title'' 
after ``The funds appropriated for any fiscal year for carrying out the 
provisions of this chapter,''.
    1962--Pub. L. 87-823 substituted ``, less the amount apportioned by 
him pursuant to sections 1753, 1754, and 1759 of this title, and less 
the amount appropriated pursuant to section 1759a of this title'' for 
``and less the amount apportioned to him pursuant to sections 1753, 
1754, and 1759 of this title''.


                    Effective Date of 1998 Amendment

    Pub. L. 105-336, title IV, Sec. 401, Oct. 31, 1998, 112 Stat. 3170, 
provided that: ``Except as otherwise provided in this Act [see Short 
Title of 1998 Amendment note set out under section 1751 of this title], 
this Act and the amendments made by this Act shall take effect on 
October 1, 1998.''


                    Effective Date of 1994 Amendment

    Section 401 of Pub. L. 103-448 provided that: ``Except as otherwise 
provided in this Act [see Short Title of 1994 Amendment note set out 
under section 1751 of this title], this Act and the amendments made by 
this Act shall become effective on October 1, 1994.''


                    Effective Date of 1989 Amendment

    Section 131(c) of Pub. L. 101-147 provided that: ``The amendments 
made by this section [amending this section and section 1766 of this 
title] shall become effective on July 1, 1989.''


                    Effective Date of 1981 Amendment

    Amendment by sections 802 and 819(h) of Pub. L. 97-35 effective July 
1, 1981, and Oct. 1, 1981, respectively, see section 820(a)(2), (4) of 
Pub. L. 97-35, set out as a note under section 1753 of this title.


                    Effective Date of 1978 Amendment

    Section 14 of Pub. L. 95-627 provided that: ``The provisions of this 
Act [enacting section 1769c of this title, amending this section and 
sections 1757, 1760, 1761, 1762a, 1766, 1769, 1773, 1774, 1776, 1784, 
and 1786 of this title and enacting provisions set out as notes under 
this section, sections 1773 and 1786 of this title], except sections 4, 
5, and 8, shall become effective October 1, 1978. The provisions of 
section 4 of this Act [amending section 1759a of this title] shall 
become effective Jan[u]ary 1, 1979. The provisions of sections 5 
[amending this section and sections 1759a, 1761, and 1772 of this title] 
and 8 [amending section 1758 of this title] of this Act shall become 
effective July 1, 1979, except that the Secretary may make the necessary 
changes in the income poverty guidelines for the special supplemental 
food program under section 17 of the Child Nutrition Act of 1966 
[section 1786 of this title] not earlier than October 1, 1978, and not 
later than July 1, 1979.''


                    Effective Date of 1977 Amendment

    Section 19 of Pub. L. 95-166 provided that the amendment made by 
that section is effective July 1, 1977.


 Reduction in Commodity Assistance for Fiscal Year Ending September 30, 
                                  1981

    Section 202(a) of Pub. L. 96-499 provided that for the fiscal year 
ending Sept. 30, 1981, the national average value of donated foods or 
cash payments in lieu thereof, as determined under subsec. (e) of this 
section, shall be reduced by 2 cents, prior to repeal by Pub. L. 97-35, 
title VIII, Sec. 820(b)(2), Aug. 13, 1981, 95 Stat. 535, effective July 
1, 1981.


            Congressional Findings and Declaration of Purpose

    Section 1 of Pub. L. 93-13 provided that: ``The Congress finds that 
the volume and variety of Federal food donations to the school lunch and 
child nutrition programs are significantly below the amounts programed 
and budgeted for the fiscal year ending June 30, 1973, and that schools 
participating in these programs are confronted with serious financial 
problems in obtaining sufficient supplies of the foods required to meet 
the nutritional standards established by law for these programs. It is, 
therefore, the purpose of this Act [amending this section] to provide an 
effective and immediate solution to this nutritional crisis.''


                            Cross References

    Utilization of services and facilities of Commodity Credit 
Corporation in carrying out program under this section, see section 1424 
of Title 7, Agriculture.

                  Section Referred to in Other Sections

    This section is referred to in sections 1762a, 1765, 1766 of this 
title; title 7 section 1424.
