[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5731 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 5731
To amend the Richard B. Russell National School Lunch Act to require
the Secretary of Agriculture to make loan guarantees and grants to
finance certain improvements to school lunch facilities, to train
school food service personnel, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
October 10, 2025
Mr. DeSaulnier (for himself and Mr. Thompson of Pennsylvania)
introduced the following bill; which was referred to the Committee on
Education and Workforce, and in addition to the Committees on
Agriculture, and Appropriations, for a period to be subsequently
determined by the Speaker, in each case for consideration of such
provisions as fall within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To amend the Richard B. Russell National School Lunch Act to require
the Secretary of Agriculture to make loan guarantees and grants to
finance certain improvements to school lunch facilities, to train
school food service personnel, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``School Food Modernization Act''.
SEC. 2. LOAN GUARANTEES AND GRANTS TO FINANCE CERTAIN IMPROVEMENTS TO
SCHOOL LUNCH FACILITIES.
The Richard B. Russell National School Lunch Act is amended by
inserting after section 26 (42 U.S.C. 1769g) the following:
``SEC. 27. LOAN GUARANTEES AND GRANTS TO FINANCE CERTAIN IMPROVEMENTS
TO SCHOOL LUNCH FACILITIES.
``(a) Definitions.--In this section:
``(1) Durable equipment.--The term `durable equipment'
means durable food preparation, handling, cooking, serving, and
storage equipment greater than $500 in value.
``(2) Eligible entity.--The term `eligible entity' means--
``(A) a local educational agency or a school food
authority administering or operating a school meal
program;
``(B) a tribal organization; or
``(C) a consortium that includes a local
educational agency or school food authority described
in subparagraph (A), a tribal organization, or both.
``(3) Infrastructure.--The term `infrastructure' means a
food storage facility, kitchen, food service facility,
cafeteria, dining room, or food preparation facility.
``(4) Local educational agency.--The term `local
educational agency' has the meaning given the term in section
8101 of the Elementary and Secondary Education Act of 1965 (20
U.S.C. 7801).
``(5) School food authority.--The term `school food
authority' has the meaning given the term in section 210.2 of
title 7, Code of Federal Regulations (or any successor
regulation).
``(6) Tribal organization.--The term `tribal organization'
has the meaning given the term in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 5304).
``(b) Loan Guarantees for Assistance to Schools for Infrastructure
Improvements and Durable Equipment Necessary To Provide Healthy Meals
Through School Meal Programs.--
``(1) Authority to guarantee loans.--The Secretary shall
issue a loan guarantee to an eligible lender for purposes of
financing the construction, remodeling, or expansion of
infrastructure or the purchase of durable equipment that the
Secretary determines will assist the eligible entity in
providing healthy meals through a school meal program
authorized under this Act.
``(2) Preferences.--In issuing a loan guarantee under this
subsection, the Secretary shall give a preference to an
eligible entity that, as compared with other eligible entities
seeking a loan guarantee under this subsection, the Secretary
determines demonstrates substantial or disproportionate--
``(A) need for infrastructure improvement; or
``(B) durable equipment need or impairment.
``(3) Oversight.--The Secretary, acting through the Under
Secretary for Rural Development, shall establish procedures to
oversee any project or purchase for which a loan guarantee is
issued under this subsection.
``(4) Guarantee amount.--A loan guarantee issued under this
subsection may not guarantee more than 80 percent of the
principal amount of the loan.
``(5) Fees and costs.--
``(A) In general.--The Secretary shall establish
fees for loan guarantees under this subsection that
are, to the maximum extent practicable, equal to all
costs of the loan guarantees as determined under the
Federal Credit Reform Act of 1990 (2 U.S.C. 661 et
seq.), as determined by the Secretary.
``(B) Fee shortfall.--To the extent that the
Secretary determines that fees described in
subparagraph (A) are not sufficient to pay for all of
the costs for the loan guarantees pursuant to the
Federal Credit Reform Act of 1990 (2 U.S.C. 661 et
seq.), the Secretary may use funds described in
paragraph (6) to pay for the costs of loan guarantees
not paid for by the fees.
``(6) Funding.--
``(A) In general.--To provide loan guarantees under
this subsection, the Secretary shall reserve
$300,000,000 of the loan guarantee authority remaining
and unobligated as of the date of enactment of the
School Food Modernization Act under the program of
community facility guaranteed loans under section
306(a) of the Consolidated Farm and Rural Development
Act (7 U.S.C. 1926(a)).
``(B) Technical assistance.--The Secretary may use
not more than 5 percent of the amount made available to
carry out this subsection for each fiscal year to
provide technical assistance to applicants and
prospective applicants in preparing applications and
creating financing packages that leverage a mix of
public and private funding sources.
``(c) Equipment Grants.--
``(1) Authority to make grants.--Beginning in fiscal year
2026 and subject to the availability of appropriations, provide
grants to State agencies for competitive subgrants to local
educational agencies and schools (tribes) to purchase the
equipment needed to serve healthy meals, improve food safety,
and to help support the establishment, maintenance and
expansion of the school.
``(2) Preferences.--In issuing a grant under this
subsection, the State agency shall give a preference to an
eligible entity that, as compared with other eligible entities
seeking a loan guarantee under this subsection, the State
agency determines demonstrates substantial or
disproportionate--
``(A) need for infrastructure improvement; or
``(B) durable equipment need or impairment.
``(3) Authorization of appropriations.--
``(A) In general.--There are authorized to be
appropriated $35,000,000 as may be necessary to carry
out this subsection for each of fiscal years 2026
through 2031.
``(B) Technical assistance.--The Secretary may use
not more than 5 percent of the amount made available to
carry out this subsection for each fiscal year to
provide technical assistance to applicants and
prospective applicants in preparing applications and
creating financing packages that leverage a mix of
public and private funding sources.''.
SEC. 3. TRAINING AND TECHNICAL ASSISTANCE FOR SCHOOL FOOD SERVICE
PERSONNEL.
The Richard B. Russell National School Lunch Act is amended by
inserting after section 21 (42 U.S.C. 1769b-1) the following:
``SEC. 21A. TRAINING AND TECHNICAL ASSISTANCE FOR SCHOOL FOOD SERVICE
PERSONNEL.
``(a) In General.--The Secretary shall carry out a grant program
under which the Secretary shall award grants, on a competitive basis,
to provide support to eligible third-party training institutions
described in subsection (b) to develop and administer training and
technical assistance for school food service personnel to meet or
exceed nutrition standards under section 4(b)(3) and improve efficacy
and efficiency of the school lunch program under this Act and the
school breakfast program established by section 4 of the Child
Nutrition Act of 1966 (42 U.S.C. 1773).
``(b) Eligible Third-Party Institutions Defined.--For purposes of
this section, the term `eligible third-party institution' means--
``(1) a nonprofit organization with demonstrated experience
in food or nutrition services training and technical
assistance;
``(2) an institution of higher education as defined in
section 102 of the Higher Education Act of 1965 (20 U.S.C.
1002);
``(3) an area career and technical education school as
defined in section 3 of the Carl D. Perkins Career and
Technical Education Act of 2006 (20 U.S.C. 2302); or
``(4) a consortium of entities described in paragraphs (1),
(2), and (3).
``(c) Criteria for Eligible Third-Party Institutions.--The
Secretary shall establish specific criteria that eligible third-party
training institutions shall meet to qualify to receive grants under
this section, which shall include--
``(1) a demonstrated capacity to administer effective
training and technical assistance programming to school food
service personnel;
``(2) prior, successful experience in providing or engaging
in training and technical assistance programming or applied
research activities involving eligible entities, school food
service administrators, or directors;
``(3) prior, successful experience in developing relevant
educational training tools or course materials or curricula on
topics addressing child and school nutrition or the updated
nutrition standards under section 4(b)(3); and
``(4) the ability to deliver effective and cost-efficient
training and technical assistance programming to school food
service personnel--
``(A) at training sites that are located within a
proximate geographic distance to schools, central
kitchens, or other worksites; or
``(B) through an online training and assistance
program on topics that do not require in-person
attendance.
``(d) Program Assistance.--The Secretary shall assist the
institutions receiving grants under this section in publicizing and
disseminating training and other project materials and online tools to
the maximum extent practicable.
``(e) Federal Share.--
``(1) In general.--The Federal share of costs for training
and technical assistance funded through a grant awarded under
this section shall not exceed 80 percent of the total cost of
the training and technical assistance.
``(2) Matching.--As a condition of receiving a grant under
this section, the eligible third-party training institution
shall provide matching support in the form of cash or in-kind
contributions.
``(f) Oversight.--The Secretary shall establish procedures to
enable the Secretary--
``(1) to oversee the administration and operation of
training and technical assistance funded through grants awarded
under this section; and
``(2) to ensure that the training and assistance is
operated consistent with the goals and requirements of this
Act.
``(g) Authorization of Appropriations.--
``(1) In general.--There are authorized to be appropriated
$10,000,000 to carry out this section for each of fiscal years
2026 through 2031.
``(2) Technical assistance.--The Secretary may use not more
than 5 percent of the amount made available to carry out this
section for each fiscal year to provide technical assistance to
applicants and prospective applicants in preparing applications
and creating financing packages that leverage a mix of public
and private funding sources.''.
SEC. 4. REPORT TO CONGRESS.
Not later than 1 year after funds are made available to carry out
sections 21A and 27 of the Richard B. Russell National School Lunch Act
(as added by this Act), and annually thereafter, the Secretary of
Agriculture shall submit to Congress a report on the progress of the
Secretary in implementing such sections.
SEC. 5. STUDY AND REPORT TO CONGRESS ON THE USE OF STATE ADMINISTRATIVE
EXPENSE FUNDS.
(a) Study.--The Secretary of Agriculture shall conduct a study on--
(1) the use of State administrative expense funds by State
agencies;
(2) innovative, effective, replicable, model policies,
practices, and training methods that may be implemented using
State administrative expense funds;
(3) factors that interfere with the ability of State
agencies to use State administrative expense funds effectively;
and
(4) how State administrative expense funds may be used to
encourage the implementation of effective and consistent school
nutrition workforce training, with particular emphasis on
training and technical assistance to improve the implementation
of nutrition standards for all foods sold in schools
including--
(A) nutrition standards for foods sold in schools
other than foods provided under the Child Nutrition Act
of 1966 and the Richard B. Russell National School
Lunch Act;
(B) local school wellness policies;
(C) professional standards for school nutrition
professionals; and
(D) other school food service practices, standards,
and operational requirements as the Secretary may
identify as requiring additional assistance.
(b) Development and Use of Assessment Tool.--
(1) In general.--The Secretary of Agriculture shall develop
an assessment tool for the purpose of carrying out the study
under subsection (a). Such tool shall include a general
methodology for evaluating effectiveness of State agencies in
providing training and technical assistance using State
administrative expense funds.
(2) Coordination with other entities.--In developing the
assessment tool under paragraph (1), the Secretary shall
consider public research, stakeholder input, and direct
feedback from school nutrition personnel.
(c) Report to Congress.--Not later than 18 months after the date of
enactment of this Act, the Secretary shall prepare and submit to the
Committee on Agriculture, Nutrition, and Forestry of the Senate and the
Committee on Education and Labor of the House of Representatives a
report containing--
(1) a summary of the study conducted under subsection (a);
(2) any findings and recommendations resulting from such
study;
(3) a plan for disseminating to State agencies best
practices on the use of State administrative expense funds for
training and technical assistance; and
(4) recommendations, if any, for the ongoing monitoring and
improvement of training and technical assistance carried out by
State agencies using State administrative expense funds.
(d) Definitions.--In this section:
(1) State administrative expense funds.--The term ``State
administrative expense funds'' means the State administrative
expense funds described in part 235 of title 7, Code of Federal
Regulations (or any successor regulation).
(2) State agency.--The term ``State agency'' has the
meaning given the term in section 235.2 of title 7, Code of
Federal Regulations (or any successor regulation).
SEC. 6. OFFSET.
Of the unobligated balance available for administrative expenses of
the Department of Education, $45,000,000 is rescinded.
<all>