§ 1758.
(b)
Eligibility
(1)
(A)
Not later than June 1 of each fiscal year, the Secretary shall prescribe income guidelines for determining eligibility for free and reduced price lunches during the 12-month period beginning July 1 of such fiscal year and ending June 30 of the following fiscal year. The income guidelines for determining eligibility for free lunches shall be 130 percent of the applicable family size income levels contained in the nonfarm income poverty guidelines prescribed by the Office of Management and Budget, as adjusted annually in accordance with subparagraph (B). The income guidelines for determining eligibility for reduced price lunches for any school year shall be 185 percent of the applicable family size income levels contained in the nonfarm income poverty guidelines prescribed by the Office of Management and Budget, as adjusted annually in accordance with subparagraph (B). The Office of Management and Budget guidelines shall be revised at annual intervals, or at any shorter interval deemed feasible and desirable.
(B)
The revision required by subparagraph (A) of this paragraph shall be made by multiplying—
(i)
the official poverty line (as defined by the Office of Management and Budget); by
(ii)
the percentage change in the Consumer Price Index during the annual or other interval immediately preceding the time at which the adjustment is made.
Revisions under this subparagraph shall be made not more than 30 days after the date on which the consumer price index data required to compute the adjustment becomes available.
(2)
(A)
Following the determination by the Secretary under paragraph (1) of this subsection of the income eligibility guidelines for each school year, each State educational agency shall announce the income eligibility guidelines, by family size, to be used by schools in the State in making determinations of eligibility for free and reduced price lunches. Local school authorities shall, each year, publicly announce the income eligibility guidelines for free and reduced price lunches on or before the opening of school.
(B)
(i)
In general.—
Applications for free and reduced price lunches, in such form as the Secretary may prescribe or approve, and any descriptive material, shall be distributed to the parents or guardians of children in attendance at the school, and shall contain only the family size income levels for reduced price meal eligibility with the explanation that households with incomes less than or equal to these values would be eligible for free or reduced price lunches.
(ii)
Income eligibility guidelines.—
Forms and descriptive material distributed in accordance with clause (i) may not contain the income eligibility guidelines for free lunches.
(iii)
Contents of descriptive material.—
(I)
In general.—
Descriptive material distributed in accordance with clause (i) shall contain a notification that—
(aa)
participants in the programs listed in subclause (II) may be eligible for free or reduced price meals; and
(bb)
documentation may be requested for verification of eligibility for free or reduced price meals.
(II)
Programs.—
The programs referred to in subclause (I)(aa) are—
(aa)
the special supplemental nutrition program for women, infants, and children established by section 17 of the Child Nutrition Act of 1966 (
42 U.S.C. 1786);
(bb)
the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 (
7 U.S.C. 2011 et seq.);
(cc)
the food distribution program on Indian reservations established under section 4(b) of the Food and Nutrition Act of 2008 (
7 U.S.C. 2013(b)); and
(dd)
a State program funded under the program of block grants to States for temporary assistance for needy families established under part A of title IV of the Social Security Act (
42 U.S.C. 601 et seq.).
(3)
Household applications.—
(A)
Definition of household application.—
In this paragraph, the term “household application” means an application for a child of a household to receive free or reduced price school lunches under this chapter, or free or reduced price school breakfasts under the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.), for which an eligibility determination is made other than under paragraph (4) or (5).
(B)
Eligibility determination.—
(i)
In general.—
An eligibility determination shall be made on the basis of a complete household application executed by an adult member of the household or in accordance with guidance issued by the Secretary.
(ii)
Electronic signatures and applications.—
A household application may be executed using an electronic signature if—
(I)
the application is submitted electronically; and
(II)
the electronic application filing system meets confidentiality standards established by the Secretary.
(C)
Children in household.—
(i)
In general.—
The household application shall identify the names of each child in the household for whom meal benefits are requested.
(ii)
Separate applications.—
A State educational agency or local educational agency may not request a separate application for each child in the household that attends schools under the same local educational agency.
(D)
Verification of sample.—
(i)
Definitions.—
In this subparagraph:
(I)
Error prone application.—
The term “error prone application” means an approved household application that—
(aa)
indicates monthly income that is within $100, or an annual income that is within $1,200, of the income eligibility limitation for free or reduced price meals; or
(bb)
in lieu of the criteria established under item (aa), meets criteria established by the Secretary.
(II)
Non-response rate.—
The term “non-response rate” means (in accordance with guidelines established by the Secretary) the percentage of approved household applications for which verification information has not been obtained by a local educational agency after attempted verification under subparagraphs (F) and (G).
(ii)
Verification of sample.—
Each school year, a local educational agency shall verify eligibility of the children in a sample of household applications approved for the school year by the local educational agency, as determined by the Secretary in accordance with this subsection.
(iii)
Sample size.—
Except as otherwise provided in this paragraph, the sample for a local educational agency for a school year shall equal the lesser of—
(I)
3 percent of all applications approved by the local educational agency for the school year, as of October 1 of the school year, selected from error prone applications; or
(II)
3,000 error prone applications approved by the local educational agency for the school year, as of October 1 of the school year.
(iv)
Alternative sample size.—
(I)
In general.—
If the conditions described in subclause (IV) are met, the verification sample size for a local educational agency shall be the sample size described in subclause (II) or (III), as determined by the local educational agency.
(II)
3,000/3 percent option.—
The sample size described in this subclause shall be the lesser of 3,000, or 3 percent of, applications selected at random from applications approved by the local educational agency for the school year, as of October 1 of the school year.
(III)
1,000/1 percent plus option.—
(aa)
In general.—
The sample size described in this subclause shall be the sum of—
(AA)
the lesser of 1,000, or 1 percent of, all applications approved by the local educational agency for the school year, as of October 1 of the school year, selected from error prone applications; and
(BB)
the lesser of 500, or ½ of 1 percent of, applications approved by the local educational agency for the school year, as of October 1 of the school year, that provide a case number (in lieu of income information) showing participation in a program described in item (bb) selected from those approved applications that provide a case number (in lieu of income information) verifying the participation.
(bb)
Programs.—
The programs described in this item are—
(AA)
the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 (
7 U.S.C. 2011 et seq.);
(BB)
the food distribution program on Indian reservations established under section 4(b) of the Food and Nutrition Act of 2008 (
7 U.S.C. 2013(b)); and
(CC)
a State program funded under the program of block grants to States for temporary assistance for needy families established under part A of title IV of the Social Security Act (
42 U.S.C. 601 et seq.) that the Secretary determines complies with standards established by the Secretary that ensure that the standards under the State program are comparable to or more restrictive than those in effect on
June 1, 1995.
(IV)
Conditions.—
The conditions referred to in subclause (I) shall be met for a local educational agency for a school year if—
(aa)
the nonresponse rate for the local educational agency for the preceding school year is less than 20 percent; or
(bb)
the local educational agency has more than 20,000 children approved by application by the local educational agency as eligible for free or reduced price meals for the school year, as of October 1 of the school year, and—
(AA)
the nonresponse rate for the preceding school year is at least 10 percent below the nonresponse rate for the second preceding school year; or
(BB)
in the case of the school year beginning July 2005, the local educational agency attempts to verify all approved household applications selected for verification through use of public agency records from at least 2 of the programs or sources of information described in subparagraph (F)(i).
(v)
Additional selected applications.—
A sample for a local educational agency for a school year under clauses (iii) and (iv)(III)(AA) shall include the number of additional randomly selected approved household applications that are required to comply with the sample size requirements in those clauses.
(E)
Preliminary review.—
(i)
Review for accuracy.—
(I)
In general.—
Prior to conducting any other verification activity for approved household applications selected for verification, the local educational agency shall ensure that the initial eligibility determination for each approved household application is reviewed for accuracy by an individual other than the individual making the initial eligibility determination, unless otherwise determined by the Secretary.
(II)
Waiver.—
The requirements of subclause (I) shall be waived for a local educational agency if the local educational agency is using a technology-based solution that demonstrates a high level of accuracy, to the satisfaction of the Secretary, in processing an initial eligibility determination in accordance with the income eligibility guidelines of the school lunch program.
(ii)
Correct eligibility determination.—
If the review indicates that the initial eligibility determination is correct, the local educational agency shall verify the approved household application.
(iii)
Incorrect eligibility determination.—
If the review indicates that the initial eligibility determination is incorrect, the local educational agency shall (as determined by the Secretary)—
(I)
correct the eligibility status of the household;
(II)
notify the household of the change;
(III)
in any case in which the review indicates that the household is not eligible for free or reduced-price meals, notify the household of the reason for the ineligibility and that the household may reapply with income documentation for free or reduced-price meals; and
(IV)
in any case in which the review indicates that the household is eligible for free or reduced-price meals, verify the approved household application.
(F)
Direct verification.—
(i)
In general.—
Subject to clauses (ii) and (iii), to verify eligibility for free or reduced price meals for approved household applications selected for verification, the local educational agency may (in accordance with criteria established by the Secretary) first obtain and use income and program participation information from a public agency administering—
(I)
the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 (
7 U.S.C. 2011 et seq.);
(II)
the food distribution program on Indian reservations established under section 4(b) of the Food and Nutrition Act of 2008 (
7 U.S.C. 2013(b));
(III)
the temporary assistance for needy families program funded under part A of title IV of the Social Security Act (
42 U.S.C. 601 et seq.);
(IV)
the State medicaid program under title XIX of the Social Security Act (
42 U.S.C. 1396 et seq.); or
(V)
a similar income-tested program or other source of information, as determined by the Secretary.
(ii)
Free meals.—
Public agency records that may be obtained and used under clause (i) to verify eligibility for free meals for approved household applications selected for verification shall include the most recent available information (other than information reflecting program participation or income before the 180-day period ending on the date of application for free meals) that is relied on to administer—
(I)
a program or source of information described in clause (i) (other than clause (i)(IV)); or
(II)
the State plan for medical assistance under title XIX of the Social Security Act (
42 U.S.C. 1396 et seq.) in—
(aa)
a State in which the income eligibility limit applied under section 1902(
l)(2)(C) of that Act (
42 U.S.C. 1396a(
l)(2)(C)) is not more than 133 percent of the official poverty line described in section 1902(
l)(2)(A) of that Act (
42 U.S.C. 1396a(
l)(2)(A)); or
(bb)
a State that otherwise identifies households that have income that is not more than 133 percent of the official poverty line described in section 1902(
l)(2)(A) of that Act (
42 U.S.C. 1396a(
l)(2)(A)).
(iii)
Reduced price meals.—
Public agency records that may be obtained and used under clause (i) to verify eligibility for reduced price meals for approved household applications selected for verification shall include the most recent available information (other than information reflecting program participation or income before the 180-day period ending on the date of application for reduced price meals) that is relied on to administer—
(I)
a program or source of information described in clause (i) (other than clause (i)(IV)); or
(II)
the State plan for medical assistance under title XIX of the Social Security Act (
42 U.S.C. 1396 et seq.) in—
(aa)
a State in which the income eligibility limit applied under section 1902(
l)(2)(C) of that Act (
42 U.S.C. 1396a(
l)(2)(C)) is not more than 185 percent of the official poverty line described in section 1902(
l)(2)(A) of that Act (
42 U.S.C. 1396a(
l)(2)(A)); or
(bb)
a State that otherwise identifies households that have income that is not more than 185 percent of the official poverty line described in section 1902(
l)(2)(A) of that Act (
42 U.S.C. 1396a(
l)(2)(A)).
(iv)
Evaluation.—
Not later than 3 years after June 30, 2004, the Secretary shall complete an evaluation of—
(I)
the effectiveness of direct verification carried out under this subparagraph in decreasing the portion of the verification sample that must be verified under subparagraph (G) while ensuring that adequate verification information is obtained; and
(II)
the feasibility of direct verification by State agencies and local educational agencies.
(v)
Expanded use of direct verification.—
If the Secretary determines that direct verification significantly decreases the portion of the verification sample that must be verified under subparagraph (G), while ensuring that adequate verification information is obtained, and can be conducted by most State agencies and local educational agencies, the Secretary may require a State agency or local educational agency to implement direct verification through 1 or more of the programs described in clause (i), as determined by the Secretary, unless the State agency or local educational agency demonstrates (under criteria established by the Secretary) that the State agency or local educational agency lacks the capacity to conduct, or is unable to implement, direct verification.
(G)
Household verification.—
(i)
In general.—
If an approved household application is not verified through the use of public agency records, a local educational agency shall provide to the household written notice that—
(I)
the approved household application has been selected for verification; and
(II)
the household is required to submit verification information to confirm eligibility for free or reduced price meals.
(ii)
Phone number.—
The written notice in clause (i) shall include a toll-free phone number that parents and legal guardians in households selected for verification can call for assistance with the verification process.
(iii)
Followup activities.—
If a household does not respond to a verification request, a local educational agency shall make at least 1 attempt to obtain the necessary verification from the household in accordance with guidelines and regulations promulgated by the Secretary.
(iv)
Contract authority for school food authorities.—
A local educational agency may contract (under standards established by the Secretary) with a third party to assist the local educational agency in carrying out clause (iii).
(H)
Verification deadline.—
(i)
General deadline.—
(I)
In general.—
Subject to subclause (II), not later than November 15 of each school year, a local educational agency shall complete the verification activities required for the school year (including followup activities).
(II)
Extension.—
Under criteria established by the Secretary, a State may extend the deadline established under subclause (I) for a school year for a local educational agency to December 15 of the school year.
(ii)
Eligibility changes.—
Based on the verification activities, the local educational agency shall make appropriate modifications to the eligibility determinations made for household applications in accordance with criteria established by the Secretary.
(I)
Local conditions.—
In the case of a natural disaster, civil disorder, strike, or other local condition (as determined by the Secretary), the Secretary may substitute alternatives for—
(i)
the sample size and sample selection criteria established under subparagraph (D); and
(ii)
the verification deadline established under subparagraph (H).
(J)
Individual review.—
In accordance with criteria established by the Secretary, the local educational agency may, on individual review—
(i)
decline to verify no more than 5 percent of approved household applications selected under subparagraph (D); and
(ii)
replace the approved household applications with other approved household applications to be verified.
(K)
Feasibility study.—
(i)
In general.—
The Secretary shall conduct a study of the feasibility of using computer technology (including data mining) to reduce—
(I)
overcertification errors in the school lunch program under this chapter;
(II)
waste, fraud, and abuse in connection with this paragraph; and
(III)
errors, waste, fraud, and abuse in other nutrition programs, as determined to be appropriate by the Secretary.
(ii)
Report.—
Not later than 180 days after June 30, 2004, the Secretary shall submit to the Committee on Education and the Workforce of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report describing—
(I)
the results of the feasibility study conducted under this subsection;
(II)
how a computer system using technology described in clause (i) could be implemented;
(III)
a plan for implementation; and
(IV)
proposed legislation, if necessary, to implement the system.
(4)
Direct certification for children in supplemental nutrition assistance program households.—
(A)
In general.—
Subject to subparagraph (D), each State agency shall enter into an agreement with the State agency conducting eligibility determinations for the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 (
7 U.S.C. 2011 et seq.).
(B)
Procedures.—
Subject to paragraph (6), the agreement shall establish procedures under which a child who is a member of a household receiving assistance under the supplemental nutrition assistance program shall be certified as eligible for free lunches under this chapter and free breakfasts under the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.), without further application.
(C)
Certification.—
Subject to paragraph (6), under the agreement, the local educational agency conducting eligibility determinations for a school lunch program under this chapter and a school breakfast program under the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.) shall certify a child who is a member of a household receiving assistance under the supplemental nutrition assistance program as eligible for free lunches under this chapter and free breakfasts under the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.), without further application.
(D)
Applicability.—
This paragraph applies to—
(i)
in the case of the school year beginning July 2006, a school district that had an enrollment of 25,000 students or more in the preceding school year;
(ii)
in the case of the school year beginning July 2007, a school district that had an enrollment of 10,000 students or more in the preceding school year; and
(iii)
in the case of the school year beginning July 2008 and each subsequent school year, each local educational agency.
(E)
Performance awards.—
(i)
In general.—
Effective for each of the school years beginning July 1, 2011, July 1, 2012, and July 1, 2013, the Secretary shall offer performance awards to States to encourage the States to ensure that all children eligible for direct certification under this paragraph are certified in accordance with this paragraph.
(ii)
Requirements.—
For each school year described in clause (i), the Secretary shall—
(I)
consider State data from the prior school year, including estimates contained in the report required under
section 1758a of this title; and
(II)
make performance awards to not more than 15 States that demonstrate, as determined by the Secretary—
(aa)
outstanding performance; and
(bb)
substantial improvement.
(iii)
Use of funds.—
A State agency that receives a performance award under clause (i)—
(I)
shall treat the funds as program income; and
(II)
may transfer the funds to school food authorities for use in carrying out the program.
(iv)
Funding.—
(I)
In general.—
On October 1, 2011, and each subsequent October 1 through October 1, 2013, out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary—
(aa)
$2,000,000 to carry out clause (ii)(II)(aa); and
(bb)
$2,000,000 to carry out clause (ii)(II)(bb).
(II)
Receipt and acceptance.—
The Secretary shall be entitled to receive, shall accept, and shall use to carry out this clause the funds transferred under subclause (I), without further appropriation.
(v)
Payments not subject to judicial review.—
A determination by the Secretary whether, and in what amount, to make a performance award under this subparagraph shall not be subject to administrative or judicial review.
(F)
Continuous improvement plans.—
(i)
Definition of required percentage.—
In this subparagraph, the term “required percentage” means—
(I)
for the school year beginning July 1, 2011, 80 percent;
(II)
for the school year beginning July 1, 2012, 90 percent; and
(III)
for the school year beginning July 1, 2013, and each school year thereafter, 95 percent.
(ii)
Requirements.—
Each school year, the Secretary shall—
(I)
identify, using data from the prior year, including estimates contained in the report required under
section 1758a of this title, States that directly certify less than the required percentage of the total number of children in the State who are eligible for direct certification under this paragraph;
(II)
require the States identified under subclause (I) to implement a continuous improvement plan to fully meet the requirements of this paragraph, which shall include a plan to improve direct certification for the following school year; and
(III)
assist the States identified under subclause (I) to develop and implement a continuous improvement plan in accordance with subclause (II).
(iii)
Failure to meet performance standard.—
(I)
In general.—
A State that is required to develop and implement a continuous improvement plan under clause (ii)(II) shall be required to submit the continuous improvement plan to the Secretary, for the approval of the Secretary.
(II)
Requirements.—
At a minimum, a continuous improvement plan under subclause (I) shall include—
(aa)
specific measures that the State will use to identify more children who are eligible for direct certification, including improvements or modifications to technology, information systems, or databases;
(bb)
a timeline for the State to implement those measures; and
(cc)
goals for the State to improve direct certification results.
(G)
Without further application.—
(i)
In general.—
In this paragraph, the term “without further application” means that no action is required by the household of the child.
(ii)
Clarification.—
A requirement that a household return a letter notifying the household of eligibility for direct certification or eligibility for free school meals does not meet the requirements of clause (i).
(5)
Discretionary certification.—
Subject to paragraph (6), any local educational agency may certify any child as eligible for free lunches or breakfasts, without further application, by directly communicating with the appropriate State or local agency to obtain documentation of the status of the child as—
(A)
a member of a family that is receiving assistance under the temporary assistance for needy families program funded under part A of title IV of the Social Security Act (
42 U.S.C. 601 et seq.) that the Secretary determines complies with standards established by the Secretary that ensure that the standards under the State program are comparable to or more restrictive than those in effect on
June 1, 1995;
(C)
served by the runaway and homeless youth grant program established under the Runaway and Homeless Youth Act (
42 U.S.C. 5701 et seq.);
1
See References in Text note below.
(E)
(i)
a foster child whose care and placement is the responsibility of an agency that administers a State plan under part B or E of title IV of the Social Security Act [
42 U.S.C. 620 et seq., 670 et seq.]; or
(ii)
a foster child who a court has placed with a caretaker household.
(6)
Use or disclosure of information.—
(A)
In general.—
The use or disclosure of any information obtained from an application for free or reduced price meals, or from a State or local agency referred to in paragraph (3)(F), (4), or (5), shall be limited to—
(i)
a person directly connected with the administration or enforcement of this chapter or the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.) (including a regulation promulgated under either this chapter or that Act);
(ii)
a person directly connected with the administration or enforcement of—
(I)
a Federal education program;
(II)
a State health or education program administered by the State or local educational agency (other than a program carried out under title XIX or XXI of the Social Security Act (
42 U.S.C. 1396 et seq.;
42 U.S.C. 1397aa et seq.)); or
(III)
a Federal, State, or local means-tested nutrition program with eligibility standards comparable to the school lunch program under this chapter;
(iii)
(I)
the Comptroller General of the United States for audit and examination authorized by any other provision of law; and
(II)
notwithstanding any other provision of law, a Federal, State, or local law enforcement official for the purpose of investigating an alleged violation of any program covered by this paragraph or paragraph (3)(F), (4), or (5);
(iv)
a person directly connected with the administration of the State medicaid program under title XIX of the Social Security Act (
42 U.S.C. 1396 et seq.) or the State children’s health insurance program under title XXI of that Act (
42 U.S.C. 1397aa et seq.) solely for the purposes of—
(I)
identifying children eligible for benefits under, and enrolling children in, those programs, except that this subclause shall apply only to the extent that the State and the local educational agency or school food authority so elect; and
(II)
verifying the eligibility of children for programs under this chapter or the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.); and
(v)
a third party contractor described in paragraph (3)(G)(iv).
(B)
Limitation on information provided.—
Information provided under clause (ii) or (v) of subparagraph (A) shall be limited to the income eligibility status of the child for whom application for free or reduced price meal benefits is made or for whom eligibility information is provided under paragraph (3)(F), (4), or (5), unless the consent of the parent or guardian of the child for whom application for benefits was made is obtained.
(C)
Criminal penalty.—
A person described in subparagraph (A) who publishes, divulges, discloses, or makes known in any manner, or to any extent not authorized by Federal law (including a regulation), any information obtained under this subsection shall be fined not more than $1,000 or imprisoned not more than 1 year, or both.
(D)
Requirements for waiver of confidentiality.—
A State that elects to exercise the option described in subparagraph (A)(iv)(I) shall ensure that any local educational agency or school food authority acting in accordance with that option—
(i)
has a written agreement with 1 or more State or local agencies administering health programs for children under titles XIX and XXI of the Social Security Act (
42 U.S.C. 1396 et seq. and 1397aa et seq.) that requires the health agencies to use the information obtained under subparagraph (A) to seek to enroll children in those health programs; and
(ii)
(I)
notifies each household, the information of which shall be disclosed under subparagraph (A), that the information disclosed will be used only to enroll children in health programs referred to in subparagraph (A)(iv); and
(II)
provides each parent or guardian of a child in the household with an opportunity to elect not to have the information disclosed.
(E)
Use of disclosed information.—
A person to which information is disclosed under subparagraph (A)(iv)(I) shall use or disclose the information only as necessary for the purpose of enrolling children in health programs referred to in subparagraph (A)(iv).
(7)
Free and reduced price policy statement.—
(A)
In general.—
After the initial submission, a local educational agency shall not be required to submit a free and reduced price policy statement to a State educational agency under this chapter unless there is a substantive change in the free and reduced price policy of the local educational agency.
(B)
Routine change.—
A routine change in the policy of a local educational agency (such as an annual adjustment of the income eligibility guidelines for free and reduced price meals) shall not be sufficient cause for requiring the local educational agency to submit a policy statement.
(8)
Communications.—
(A)
In general.—
Any communication with a household under this subsection or subsection (d) shall be in an understandable and uniform format and, to the maximum extent practicable, in a language that parents and legal guardians can understand.
(B)
Electronic availability.—
In addition to the distribution of applications and descriptive material in paper form as provided for in this paragraph, the applications and material may be made available electronically via the Internet.
(9)
Eligibility for free and reduced price lunches.—
(A)
Free lunches.—
Any child who is a member of a household whose income, at the time the application is submitted, is at an annual rate which does not exceed the applicable family size income level of the income eligibility guidelines for free lunches, as determined under paragraph (1), shall be served a free lunch.
(B)
Reduced price lunches.—
(i)
In general.—
Any child who is a member of a household whose income, at the time the application is submitted, is at an annual rate greater than the applicable family size income level of the income eligibility guidelines for free lunches, as determined under paragraph (1), but less than or equal to the applicable family size income level of the income eligibility guidelines for reduced price lunches, as determined under paragraph (1), shall be served a reduced price lunch.
(ii)
Maximum price.—
The price charged for a reduced price lunch shall not exceed 40 cents.
(C)
Duration.—
Except as otherwise specified in paragraph (3)(E), (3)(H)(ii), and
section 1759a(a) of this title, eligibility for free or reduced price meals for any school year shall remain in effect—
(i)
beginning on the date of eligibility approval for the current school year; and
(ii)
ending on a date during the subsequent school year determined by the Secretary.
(10)
No physical segregation of or other discrimination against any child eligible for a free lunch or a reduced price lunch under this subsection shall be made by the school nor shall there by
2
So in original. Probably should be “be”.
any overt identification of any child by special tokens or tickets, announced or published lists of names, or by other means.
(11)
Any child who has a parent or guardian who (A) is responsible for the principal support of such child and (B) is unemployed shall be served a free or reduced price lunch, respectively, during any period (i) in which such child’s parent or guardian continues to be unemployed and (ii) the income of the child’s parents or guardians during such period of unemployment falls within the income eligibility criteria for free lunches or reduced price lunches, respectively, based on the current rate of income of such parents or guardians. Local educational agencies shall publicly announce that such children are eligible for a free or reduced price lunch, and shall make determinations with respect to the status of any parent or guardian of any child under clauses (A) and (B) of the preceding sentence on the basis of a statement executed in such form as the Secretary may prescribe by such parent or guardian. No physical segregation of, or other discrimination against, any child eligible for a free or reduced price lunch under this paragraph shall be made by the school nor shall there be any overt identification of any such child by special tokens or tickets, announced or published lists of names, or by any other means.
(12)
(A)
A child shall be considered automatically eligible for a free lunch and breakfast under this chapter and the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.), respectively, without further application or eligibility determination, if the child is—
(i)
a member of a household receiving assistance under the supplemental nutrition assistance program authorized under the Food and Nutrition Act of 2008 (
7 U.S.C. 2011 et seq.);
(ii)
a member of a family (under the State program funded under part A of title IV of the Social Security Act (
42 U.S.C. 601 et seq.)) that the Secretary determines complies with standards established by the Secretary that ensure that the standards under the State program are comparable to or more restrictive than those in effect on
June 1, 1995;
(iii)
enrolled as a participant in a Head Start program authorized under the Head Start Act (
42 U.S.C. 9831 et seq.), on the basis of a determination that the child meets the eligibility criteria prescribed under section 645(a)(1)(B) of the Head Start Act (
42 U.S.C. 9840(a)(1)(B));
(v)
served by the runaway and homeless youth grant program established under the Runaway and Homeless Youth Act (
42 U.S.C. 5701 et seq.);
1(vii)
(I)
a foster child whose care and placement is the responsibility of an agency that administers a State plan under part B or E of title IV of the Social Security Act [
42 U.S.C. 620 et seq., 670 et seq.]; or
(II)
a foster child who a court has placed with a caretaker household.
(B)
Proof of receipt of supplemental nutrition assistance program benefits or assistance under the State program funded under part A of title IV of the Social Security Act (
42 U.S.C. 601 et seq.) that the Secretary determines complies with standards established by the Secretary that ensure that the standards under the State program are comparable to or more restrictive than those in effect on
June 1, 1995, or of enrollment or participation in a Head Start program on the basis described in subparagraph (A)(iii), shall be sufficient to satisfy any verification requirement imposed under this subsection.
(13)
Exclusion of certain military housing allowances.—
The amount of a basic allowance provided under
section 403 of title 37 on behalf of a member of a uniformed service for housing that is acquired or constructed under subchapter IV of chapter 169 of title 10, or any related provision of law, shall not be considered to be income for the purpose of determining the eligibility of a child who is a member of the household of the member of a uniformed service for free or reduced price lunches under this chapter.
(14)
Combat pay.—
(A)
Definition of combat pay.—
In this paragraph, the term “combat pay” means any additional payment under chapter 5 of title 37, or otherwise designated by the Secretary to be appropriate for exclusion under this paragraph, that is received by or from a member of the United States Armed Forces deployed to a designated combat zone, if the additional pay—
(i)
is the result of deployment to or service in a combat zone; and
(ii)
was not received immediately prior to serving in a combat zone.
(B)
Exclusion.—
Combat pay shall not be considered to be income for the purpose of determining the eligibility for free or reduced price meals of a child who is a member of the household of a member of the United States Armed Forces.
(15)
Direct certification for children receiving medicaid benefits.—
(A)
Definitions.—
In this paragraph:
(i)
Eligible child.—
The term “eligible child” means a child—
(I)
(aa)
who is eligible for and receiving medical assistance under the Medicaid program; and
(bb)
who is a member of a family with an income as measured by the Medicaid program before the application of any expense, block, or other income disregard, that does not exceed 133 percent of the poverty line (as defined in
section 9902(2) of this title, including any revision required by such section) applicable to a family of the size used for purposes of determining eligibility for the Medicaid program; or
(II)
who is a member of a household (as that term is defined in section 245.2 of title 7, Code of Federal Regulations (or successor regulations)
3
So in original. Another closing parenthesis probably should appear.
with a child described in subclause (I).
(ii)
Medicaid program.—
The term “Medicaid program” means the program of medical assistance established under title XIX of the Social Security Act (
42 U.S.C. 1396 et seq.).
(B)
Demonstration project.—
(i)
In general.—
The Secretary, acting through the Administrator of the Food and Nutrition Service and in cooperation with selected State agencies, shall conduct a demonstration project in selected local educational agencies to determine whether direct certification of eligible children is an effective method of certifying children for free lunches and breakfasts under subsection (b)(1)(A) and section 4(e)(1)(A) of the Child Nutrition Act of 1966 (
42 U.S.C. 1773(e)(1)(A)).
(ii)
Scope of project.—
The Secretary shall carry out the demonstration project under this subparagraph—
(I)
for the school year beginning July 1, 2012, in selected local educational agencies that collectively serve 2.5 percent of students certified for free and reduced price meals nationwide, based on the most recent available data;
(II)
for the school year beginning July 1, 2013, in selected local educational agencies that collectively serve 5 percent of students certified for free and reduced price meals nationwide, based on the most recent available data; and
(III)
for the school year beginning July 1, 2014, and each subsequent school year, in selected local educational agencies that collectively serve 10 percent of students certified for free and reduced price meals nationwide, based on the most recent available data.
(iii)
Purposes of the project.—
At a minimum, the purposes of the demonstration project shall be—
(I)
to determine the potential of direct certification with the Medicaid program to reach children who are eligible for free meals but not certified to receive the meals;
(II)
to determine the potential of direct certification with the Medicaid program to directly certify children who are enrolled for free meals based on a household application; and
(III)
to provide an estimate of the effect on Federal costs and on participation in the school lunch program under this chapter and the school breakfast program established by section 4 of the Child Nutrition Act of 1966 (
42 U.S.C. 1773) of direct certification with the Medicaid program.
(iv)
Cost estimate.—
For each of 2 school years of the demonstration project, the Secretary shall estimate the cost of the direct certification of eligible children for free school meals through data derived from—
(I)
the school meal programs authorized under this chapter and the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.);
(II)
the Medicaid program; and
(III)
interviews with a statistically representative sample of households.
(C)
Agreement.—
(i)
In general.—
Not later than July 1 of the first school year during which a State agency will participate in the demonstration project, the State agency shall enter into an agreement with the 1 or more State agencies conducting eligibility determinations for the Medicaid program.
(ii)
Without further application.—
Subject to paragraph (6), the agreement described in subparagraph (D) shall establish procedures under which an eligible child shall be certified for free lunches under this chapter and free breakfasts under section 4 of the Child Nutrition Act of 1966 (
42 U.S.C. 1773), without further application (as defined in paragraph (4)(G)).
(D)
Certification.—
For the school year beginning on
July 1, 2012, and each subsequent school year, subject to paragraph (6), the local educational agencies participating in the demonstration project shall certify an eligible child as eligible for free lunches under this chapter and free breakfasts under the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.), without further application (as defined in paragraph (4)(G)).
(E)
Site selection.—
(i)
In general.—
To be eligible to participate in the demonstration project under this subsection, a State agency shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.
(ii)
Considerations.—
In selecting States and local educational agencies for participation in the demonstration project, the Secretary may take into consideration such factors as the Secretary considers to be appropriate, which may include—
(I)
the rate of direct certification;
(II)
the share of individuals who are eligible for benefits under the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 (
7 U.S.C. 2011 et seq.) who participate in the program, as determined by the Secretary;
(III)
the income eligibility limit for the Medicaid program;
(IV)
the feasibility of matching data between local educational agencies and the Medicaid program;
(V)
the socioeconomic profile of the State or local educational agencies; and
(VI)
the willingness of the State and local educational agencies to comply with the requirements of the demonstration project.
(F)
Access to data.—
For purposes of conducting the demonstration project under this paragraph, the Secretary shall have access to—
(i)
educational and other records of State and local educational and other agencies and institutions receiving funding or providing benefits for 1 or more programs authorized under this chapter or the Child Nutrition Act of 1966 (
42 U.S.C. 1771 et seq.); and
(ii)
income and program participation information from public agencies administering the Medicaid program.
(G)
Report to congress.—
(i)
In general.—
Not later than October 1, 2014, the Secretary shall submit to the Committee on Education and Labor of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate, an interim report that describes the results of the demonstration project required under this paragraph.
(ii)
Final report.—
Not later than October 1, 2015, the Secretary shall submit a final report to the committees described in clause (i).
(H)
Funding.—
(i)
In general.—
On October 1, 2010, out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary to carry out subparagraph (G) $5,000,000, to remain available until expended.
(ii)
Receipt and acceptance.—
The Secretary shall be entitled to receive, shall accept, and shall use to carry out subparagraph (G) the funds transferred under clause (i), without further appropriation.
([June 4, 1946, ch. 281, § 9], [60 Stat. 233]; [Pub. L. 90–302, § 2(b)], May 8, 1968, [82 Stat. 117]; [Pub. L. 91–248, § 6(a)], (b), (d), (e), May 14, 1970, [84 Stat. 210]; [Pub. L. 92–153, § 5], Nov. 5, 1971, [85 Stat. 420]; [Pub. L. 92–433, § 5], Sept. 26, 1972, [86 Stat. 726]; [Pub. L. 93–150, § 9], Nov. 7, 1973, [87 Stat. 564]; [Pub. L. 93–326, § 4], June 30, 1974, [88 Stat. 286]; [Pub. L. 94–105, § 6], Oct. 7, 1975, [89 Stat. 512]; [Pub. L. 95–166, § 8], Nov. 10, 1977, [91 Stat. 1335]; [Pub. L. 95–627, § 8], Nov. 10, 1978, [92 Stat. 3622]; [Pub. L. 97–35, title VIII], §§ 803(a), (b), 811, Aug. 13, 1981, [95 Stat. 524], 525, 529; [Pub. L. 99–500, title III], §§ 322–324, Oct. 18, 1986, [100 Stat. 1783–361], and [Pub. L. 99–591, title III], §§ 322–324, Oct. 30, 1986, [100 Stat. 3341–364]; [Pub. L. 99–661, div. D, title II], §§ 4202–4204, Nov. 14, 1986, [100 Stat. 4072]; [Pub. L. 100–356, § 1], June 28, 1988, [102 Stat. 669]; [Pub. L. 101–147, title I, § 101], title II, § 202(a)(1), (2)(A), (b), title III, §§ 305, 312(1), (2), Nov. 10, 1989, [103 Stat. 878]