§ 1431e. — Distribution of surplus commodities to special nutrition projects; reprocessing agreements with private companies.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC1431e]
TITLE 7--AGRICULTURE
CHAPTER 35A--PRICE SUPPORT OF AGRICULTURAL COMMODITIES
SUBCHAPTER I--GENERAL PROVISIONS
Sec. 1431e. Distribution of surplus commodities to special
nutrition projects; reprocessing agreements with private
companies
(1) Notwithstanding any other provision of law, whenever Government
stocks of commodities are acquired under the price support programs and
are not likely to be sold by the Commodity Credit Corporation or
otherwise used in programs of commodity sale or distribution, such
commodities shall be made available without charge or credit to
nutrition projects under the authority of the Older Americans Act of
1965 (42 U.S.C. 3001 et seq.), to child nutrition programs providing
food service, and to food banks participating in the special nutrition
projects established under section 4004 of this title. Such distribution
may include bulk distribution to congregate nutrition sites and to
providers of home delivered meals under the Older Americans Act of 1965.
The Commodity Credit Corporation is authorized to use available funds to
operate the program under this subsection and to further process
products to facilitate bonus commodity use. Commodities made available
under this section shall include, but not be limited to, dairy products,
wheat or the products thereof, rice, honey, and cornmeal.
(2)(A) Effective through September 30, 2007, whenever a commodity is
made available without charge or credit under any nutrition program
administered by the Secretary of Agriculture, the Secretary shall
encourage consumption of such commodity through agreements with private
companies under which the commodity is reprocessed into end-food
products for use by eligible recipient agencies. The expense of
reprocessing shall be paid by such eligible recipient agencies.
(B) To maintain eligibility to enter into, and to continue, any
agreement with the Secretary of Agriculture under subparagraph (A), a
private company shall annually settle all accounts with the Secretary
and any appropriate State agency regarding commodities processed under
such agreements.
(C) Whenever commodities are made available to agencies pursuant to
section 311(a)(4) \1\ of the Older Americans Act of 1965, the Secretary
shall encourage access to processed end products containing the
commodities when in the Secretary's judgment it is cost effective. The
requirements of this subparagraph shall be met in the most efficient and
effective way possible. The Secretary may, among other alternatives, use
direct purchase, State option contracts authorized under section 3A of
the Commodity Distribution Reform Act and WIC Amendments of 1987 (Public
Law 100-237; 7 U.S.C. 612c note), State processing programs, and
(beginning in fiscal year 1994) agreements with private companies
operated as a part of the national commodity processing program.
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\1\ See References in Text note below.
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(D) In each of fiscal years 1992, 1993, and 1994, the Secretary
shall conduct a pilot project in not more than three States under which
any commodity made available to agencies pursuant to section 311(a)(4)
\1\ of the Older Americans Act of 1965 that the Secretary determines to
be appropriate for reprocessing is made available to the agencies as
reprocessed end products. The reprocessing shall be performed pursuant
to agreements with private companies, at the expense of the agencies,
and operated as part of the national commodity processing program
established under subparagraph (A). In determining the appropriateness
of the commodities to be reprocessed under the pilot project, the
Secretary shall consider the common needs of the agencies and the
availability of processors.
(Pub. L. 97-98, title XI, Sec. 1114(a), Dec. 22, 1981, 95 Stat. 1269;
Pub. L. 99-198, title XV, Sec. 1567(a), (b), Dec. 23, 1985, 99 Stat.
1591, 1592; Pub. L. 100-237, Sec. 6, Jan. 8, 1988, 101 Stat. 1740; Pub.
L. 101-624, title XVII, Sec. 1775, Nov. 28, 1990, 104 Stat. 3813; Pub.
L. 102-237, title IX, Sec. 921, Dec. 13, 1991, 105 Stat. 1887; Pub. L.
104-127, title IV, Sec. 405, Apr. 4, 1996, 110 Stat. 1029; Pub. L. 107-
171, title IV, Sec. 4203, May 13, 2002, 116 Stat. 330.)
References in Text
The Older Americans Act of 1965, referred to in text, is Pub. L. 89-
73, July 14, 1965, 79 Stat. 218, as amended, which is classified
generally to chapter 35 (Sec. 3001 et seq.) of Title 42, The Public
Health and Welfare. Section 311 of the Act, which is classified to
section 3030a of Title 42, was amended by Pub. L. 106-501, title III,
Sec. 309, Nov. 13, 2000, 114 Stat. 2246, and, as so amended, provisions
which formerly appeared in subsec. (a)(4) were struck out. For complete
classification of this Act to the Code, see Short Title note set out
under section 3001 of Title 42 and Tables.
Codification
Section was enacted as part of the Agriculture and Food Act of 1981,
and not as part of the Agricultural Act of 1949 which is classified
principally to this chapter. For complete classification of the 1949 Act
to the Code, see Short Title note set out under section 1421 of this
title and Tables.
Amendments
2002--Par. (2)(A). Pub. L. 107-171 substituted ``2007'' for
``2002''.
1996--Par. (2)(A). Pub. L. 104-127 substituted ``2002'' for
``1995''.
1991--Par. (2)(D). Pub. L. 102-237 substituted ``1992, 1993, and
1994'' for ``1992 and 1993''.
1990--Par. (2)(A). Pub. L. 101-624, Sec. 1775(a), substituted
``1995'' for ``1990''.
Par. (2)(C), (D). Pub. L. 101-624, Sec. 1775(b), added subpars. (C)
and (D).
1988--Par. (2)(A). Pub. L. 100-237 substituted ``September 30,
1990'' for ``June 30, 1987''.
1985--Pub. L. 99-198 designated existing provisions as par. (1),
inserted provision directing that commodities made available under this
section include, but not be limited to, dairy products, wheat or the
products thereof, rice, honey, and cornmeal, and added par. (2).
Effective Date of 2002 Amendment
Amendment by Pub. L. 107-171 effective Oct. 1, 2002, except as
otherwise provided, see section 4405 of Pub. L. 107-171, set out as an
Effective Date note under section 1161 of Title 2, The Congress.
Effective Date of 1991 Amendment
Amendment by Pub. L. 102-237 effective and to be implemented no
later than Feb. 1, 1992, see section 1101(d)(1) of Pub. L. 102-237, set
out as a note under section 1421 of this title.
Effective Date
Section effective Dec. 22, 1981, see section 1801 of Pub. L. 97-98,
set out as a note under section 4301 of this title.
National Donated Commodity Processing Programs
Pub. L. 99-500, title III, Sec. 364, Oct. 18, 1986, 100 Stat. 1783-
368, and Pub. L. 99-591, title III, Sec. 364, Oct. 30, 1986, 100 Stat.
3341-371; Pub. L. 99-661, div. D, title IV, Sec. 4404, Nov. 14, 1986,
100 Stat. 4079, provided that: ``In accordance with the terms and
conditions of section 1114(a)(2) of the Agriculture and Food Act of 1981
(7 U.S.C. 1431e(a)(2)), whenever a commodity is made available without
charge or credit under any nutrition program administered by the
Secretary of Agriculture, the Secretary shall encourage consumption of
the commodity through agreements with private companies under which the
commodity is reprocessed into end-food products for use by eligible
recipient agencies.''
