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PUBLIC LAW 95-602—NOV. 6, 1978

(3) by striking out "an" before "objective criteria" in clause

(B) of subsection (b) (3).

(b) Section 134 is amended

(1) by striking out "CONSTRUCTION," in its heading,
(2) by striking out "(a)" in subsection (a), and

(3) by striking out subsection (b).

(c) Section 135 is amended

(1) by striking out "CONSTRUCTION," in its heading;
(2) by striking out "(a)" in subsection (a); and

(3) by striking out subsection (b).

(d) The heading to part C is amended to read as follows:

"PART C-GRANTS FOR PLANNING AND PROVISION OF SERVICES FOR PERSONS WITH DEVELOPMENTAL DISABILITIES".

EFFECTIVE DATE

SEC. 515. The amendments made by this title shall apply to payments under title I of the Mental Retardation Facilities and Community Mental Health Centers Construction Act for fiscal years beginning on and after October 1, 1978.

Approved November 6, 1978.

92 STAT. 3017

42 USC 6064.

42 USC 6065.

42 USC 6000
note.
42 USC 2661
note.

LEGISLATIVE HISTORY:

HOUSE REPORTS: No. 95–1149 (Comm. on Education and Labor) and No. 95-1780

(Comm. of Conference).

SENATE REPORT No. 95-890 accompanying S. 2600 (Comm. on Human Resources).
CONGRESSIONAL RECORD, Vol. 124 (1978):

May 16, considered and passed House.

Sept. 20, 21, S. 2600 considered in Senate; H.R. 12467, amended, passed in
lieu.

Sept. 26, House agreed to Senate amendments, with amendments.

Oct. 15, Senate and House agreed to conference report.

PUBLIC LAW 95-627–NOV. 10, 1978

92 STAT. 3603

Public Law 95-627

95th Congress

An Act

To extend and ainend the special supplemental food program and the child care food program, and for other purposes.

Nov. 10, 1978

[S. 3085]

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be Child Nutrition cited as the "Child Nutrition Amendments of 1978".

CHILD CARE FOOD PROGRAM

SEC. 2. Section 17 of the National School Lunch Act is amended to read as follows:

"CHILD CARE FOOD PROGRAM

Amendments of
1978.
42 USC 1771

note.

"SEC. 17. (a) The Secretary may carry out a program to assist 42 USC 1766. States through grants-in-aid and other means to initiate, maintain, and expand nonprofit food service programs for children in institutions

providing child care. For purposes of this section, the term 'institution' "Institution.” means any public or private nonprofit organization providing nonresidential child care, including, but not limited to, child care centers, settlement houses, recreational centers, Head Start centers, and institutions providing child care facilities for handicapped children. In addition, the term 'institution' shall include programs developed to provide day care outside school hours for schoolchildren, and public or nonprofit private organizations that sponsor family or group day care homes. The Secretary may establish separate guidelines for insti- Guidelines. tutions that provide care to school children outside of school hours. For purposes of determining eligibility

Eligibility.

"(1) no institution, other than a family or group day care home sponsoring organization, or family or group day care home shall be eligible to participate in the program unless it has Federal, State, or local licensing or approval, or is complying with appropriate renewal procedures as prescribed by the Secretary and the State has no information indicating that the institution's license will not be renewed; or where Federal, State, or local licensing or approval is not available, it receives funds under title XX of the Social Security Act or otherwise demonstrates that it meets either 42 USC 1397. any applicable State or local government licensing or approval standards or approval standards established by the Secretary after consultation with the Secretary of Health, Education, and Welfare; and

"(2) no institution shall be eligible to participate in the program unless it satisfies the following criteria:

"(A) accepts final administrative and financial responsibility for management of an effective food service;

"(B) has not been seriously deficient in its operation of the

child care food program, or any other program under this

Act or the Child Nutrition Act of 1966, for a period of time 42 USC 1771 specified by the Secretary; and

"(C) will provide adequate supervisory and operational personnel for overall monitoring and management of the child care food program.

note.

92 STAT. 3604

42 USC 1779.

42 USC 1758.

42 USC 1773.

42 USC 1759a.

National average payment rate.

42 USC 1754.

PUBLIC LAW 95–627–NOV. 10, 1978

"(b) For the fiscal year ending September 30, 1979, and for each subsequent fiscal year, the Secretary shall provide cash assistance to. States for meals served in the manner specified in subsection (c) of this section, except that, in any fiscal year, the aggregate amount of assistance provided to a State by the Secretary under this section shall not exceed the sum of (1) the Federal funds provided by the State to participating institutions within the State for that fiscal year and (2) any funds used by the State under section 10 of the Child Nutrition Act of 1966.

"(c) The Secretary shall provide assistance to each State in the following manner:

"(1) For meals served to children in institutions, other than family or group day care home sponsoring organizations, where no less than two-thirds of the children enrolled are members of families that satisfy the income standards for free and reducedprice school meals under section 9 of this Act, each State shall receive an amount equal to the sum of the products obtained by multiplying

"(A)(i) the total number of breakfasts served in the State in these institutions by (ii) the sum of the national average payment rate for breakfasts and the national average payment rate for free breakfasts under section 4 of the Child Nutrition Act of 1966;

"(B) (i) the total number of lunches and suppers served in the State in these institutions by (ii) the sum of the national average payment rate for lunches under section 4 of this Act, and the national average payment rate for free lunches under section 11 of this Act; and

"(C)(i) the total number of supplements served in the State in these institutions by (ii) the national average payment rate for supplements served in such institutions. For the six-month period ending June 30, 1978, the national average payment rate for supplements served in these institutions shall be 23.75 cents. For supplements served in these institutions thereafter, the Secretary shall prescribe adjustments to this national average payment rate on July 1 and January 1 of each year. Such adjustments shall be computed to the nearest onefourth cent based on changes, measured over the most recent sixmonth period for which data are available, in the series for food away from home of the Consumer Price Index for All Urban Consumers.

"(2) For meals served to children in institutions, other than family or group day care home sponsoring organizations, where less than two-thirds but not less than one-third of the children enrolled are members of families that satisfy the income standards for free and reduced-price school meals under section 9 of this Act, each State shall receive an amount equal to the sum of the products obtained by multiplying

"(A) (i) the total number of breakfasts served in the State in these institutions by (ii) the sum of the national average payment rate for reduced-price breakfasts under section 4 of the Child Nutrition Act of 1966;

"(B) (i) the total number of lunches and suppers served in the State in these institutions by (ii) the sum of the national average payment rate for lunches under section 4 of this Act

PUBLIC LAW 95-627–NOV. 10, 1978

and the national average payment rate for reduced-price lunches under section 11 of this Act; and

"(C)(i) the total number of supplements served in the State in these institutions by (ii) the national average payment rate for supplements served in such institutions. For the six-month period ending June 30, 1978, the national average payment rate for supplements served in these institutions shall be 18 cents. The Secretary shall prescribe adjustments to this national average payment rate on July 1 and January 1 of each year. Such adjustments shall be computed to the nearest onefourth cent based on changes, measured over the most recent sixmonth period for which data are available, in the series for food away from home of the Consumer Price Index for All Urban Consumers.

92 STAT. 3605

42 USC 1759a.

National average

payment rate.

"(3) For meals served to children in institutions, other than family or group day care home sponsoring organizations and institutions electing to use the optional reimbursement procedures under subsection (f) (3) of this section, where less than one-third of the enrolled children are members of families that satisfy the income standards for free and reduced-price school meals under section 9 of this Act, each State shall receive an amount equal to 42 USC 1758. the sum of the products obtained by multiplying

"(A) (i) the total number of breakfasts served in the State in these institutions by (ii) the national average payment rate for breakfasts under section 4 of the Child Nutrition Act of 1966;

"(B) (i) the total number of lunches and suppers served in the State in these institutions by (ii) the national average payment rate for lunches under section 4 of this Act; and

(C) (i) the total number of supplements served in the State in these institutions by (ii) the national average payment rate for supplements in such institutions. For the six-month period ending June 30, 1978, the national average payment rate for supplements served in these institutions shall be 6 cents. The Secretary shall prescribe adjustments to this national average payment rate on July 1 and January 1 of each year. Such adjustments shall be computed to the nearest onefourth cent based on changes, measured over the most recent sixmonth period for which data are available, in the series for food away from home of the Consumer Price Index for All Urban Consumers.

"(4) For meals served to children in institutions electing to use the reimbursement procedures under subsection (f)(3) of this section, each State shall receive assistance in the following

manner:

"(A) for meals served to children who are members of families that satisfy the income standards for free school meals under section 9 of this Act, each State shall receive an amount equal to the sum of the products obtained by multiplying

"(i) (I) the number of breakfasts served by (II) the sum of the national average payment rate for breakfasts and the national average payment rate for free breakfasts under section 4 of the Child Nutrition Act of 1966; “(ii) (I) the number of lunches and suppers served by

42 USC 1773.

National average payment rate.

92 STAT. 3606

42 USC 1754.

42 USC 1758.

42 USC 1773.

42 USC 1759a.

26 USC 1 et seq.

PUBLIC LAW 95-627-NOV. 10, 1978

(II) the sum of the national average payment rate for lunches under section 4 of this Act and the national average payment rate for free lunches under section 11 of this Act; and

"(iii) (I) the number of supplements served by (II) the national average payment rate for supplements determined under clause (C) of paragraph (1) of this subsection;

"(B) for meals served to children who are members of families that satisfy the income standards for reduced-price meals under section 9 of this Act, each State shall receive an amount equal to the sum of the products obtained by multiplying

(i)(I) the number of breakfasts served by (II) the sum of the national average payment rate for breakfasts and the national average payment rate for reducedprice breakfasts under section 4 of the Child Nutrition Act of 1966;

"(ii) (I) the number of lunches and suppers served by (II) the sum of the national average payment rate for lunches under section 4 of this Act and the national average payment rate for reduced-price lunches under section 11 of this Act;

"(iii) (I) the number of supplements served by (II) the national average payment rate for supplements determined under clause (C) of paragraph (2) of this subsection; and

"(C) for meals served to all other children in these institutions, each State shall receive an amount equal to the sum of the products obtained by multiplying

'(i) (I) the number of breakfasts served to such children by (II) the national average payment rate for breakfasts under section 4 of the Child Nutrition Act of 1966;

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(ii) (I) the number of lunches and suppers served to such children by (II) the national average payment rate for lunches under section 4 of this Act; and

"(iii) (I) the number of supplements served to such children by (II) the national average payment rate for supplements determined under clause (C) of paragraph (3) of this subsection.

"(5) For meals served in family or group day care homes, each State shall receive amounts sufficient to make payments for such meals under subsection (f) (4) of this section.

"(d) Any eligible public institution shall be approved for participation in the child care food program upon its request. Any eligible private institution shall be approved for participation if it (1) has tax exempt status under the Internal Revenue Code of 1954 or, under conditions established by the Secretary, is moving toward compliance with the requirements for tax exempt status, or (2) is currently operating a Federal program requiring nonprofit status. Family or group day care homes need not have individual tax exempt certification if they are sponsored by an institution that has tax exempt status, or, under conditions established by the Secretary, such institution is moving toward compliance with the requirements for tax exempt status or

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