TEFAP Alliance Blog

July 2002

In This Issue:
• Administrative Funding Relief Approved
• Increased Funding Sought for 2003
• Farm Bill Puts More Food in the Pipeline

Administrative Funding Relief Approved

On July 18, the U.S. Department of Agriculture’s Food and Nutrition Service (FNS) finally received approval from the Office of Management and Budget to transfer $5 million of TEFAP fiscal year 2002 food purchase funds into the administrative account. That means more badly-needed funds will be available to transport and store the millions of pounds of food flooding into the program this year. The decision will allow the California Department of Social Services to program an additional $596,448 for transportation, processing, and food storage expenses.
The $5 million comes from the supplemental $40 million pumped into TEFAP in May through passage of the Farm Security and Rural Investment Act of 2002 (Public Law 107-171), commonly known as the Farm Bill. The other $35 million is being used to purchase additional food for TEFAP this year, though most of the product will not be shipped until fiscal year 2003.

Increased Funding Sought for 2003
Congress recognized the need for augmenting TEFAP funding in its passage of the Farm Bill a couple of months ago. Mandatory funding for TEFAP food purchases was increased from $100 million to $140 million annually, effective in 2002. In addition, the “administration” account was renamed “storage and processing” to more accurately reflect its uses and authorized at $60 million per year.
The fiscal year 2003 appropriations process is underway, but it is unclear whether TEFAP will get the resources it needs. On July 11, the House Appropriations Committee approved a funding bill for next year with $140 million for TEFAP food purchases and $50 million for storage and processing, with a provision allowing USDA to use an additional $10 million in food stamp funds for transportation and storage needs. However, bill language is still not available to the public, so the precise language of the provision on additional funding is unknown.
In the Senate, the full Appropriations Committee met on July 25 and approved S. 2801, its fiscal year 2003 spending bill for agriculture programs. The Senate bill provides $140 million for food and $55 million for storage/processing with authority to transfer another $5 million for the latter account included. However, floor votes on the appropriations bill will not occur in either the House or the Senate until September.

Farm Bill Puts More Food in the Pipeline
In addition to direct funding for the program, the Farm Bill contains other provisions that may have some impact on TEFAP. One provision, directing USDA to purchase $200 million annually worth of “specialty crops,” primarily fruits and vegetables, should increase the amount of produce headed for TEFAP. The legislation also increases funding and creates an administrative funding scheme for the Commodity Supplemental Food Program (CSFP) and reauthorizes the Food Distribution Program on Indian Reservations. Funding for farmers’ market coupon programs for women and children in WIC and the elderly received additional support in the Farm Bill, which also established a fruit and vegetable pilot program that will offer free produce to snack on all day long for children in 25 schools each in Indiana, Iowa, Michigan, and Ohio.

************
WASHINGTON UPDATE is published for the TEFAP Alliance by Weinberg & Vauthier Consulting, 419 West Broad Street, Suite 204, Falls Church, VA 22046; telephone: (703) 532-5700; fax: (703) 532-5780; email: zyweinberg@earthlink.net.

mvauthier :: Jul.18.2002 :: Washington Update :: No Comments »:: Print This Post

Trackback this post | Feed on Comments to this post