To amend the Richard B. Russell National School Lunch Act to reauthorize and expand the fruit and vegetable pilot program.

To amend the Richard B. Russell National School Lunch Act to reauthorize and expand the fruit and vegetable pilot program.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. FRUIT AND VEGETABLE PILOT PROGRAM.

Section 18 of the Richard B. Russell National School Lunch Act (42 U.S.C. 1769) is amended by striking subsection (g) and inserting the following:

`(g) FRUIT AND VEGETABLE PILOT PROGRAM-

`(1) IN GENERAL- For each of the school years beginning July 2003, July 2004, July 2005, July 2006, and July 2007 the Secretary shall carry out a pilot program to make free fresh and dried fruits and free fresh vegetables available, throughout the school day in 1 or more areas designated by the school, to--

`(A) students in the 25 elementary or secondary schools in each of the 4 States, and in the elementary or secondary schools on the reservation, authorized to participate in the program under this subsection (as in effect on the day before the date of enactment of this subparagraph);

`(B) to the maximum extent practicable, an additional 10,000 students in each State authorized to participate in the program under this subsection (as in effect on the day before the enactment of the this subparagraph);

`(C) to the maximum extent practicable, 20,000 students enrolled in schools in each of the States not participating in the program under this subsection on the day before the date of enactment of this subparagraph, as selected by the Secretary; and

`(D) to the maximum extent practicable, 20,000 students enrolled in schools operated by tribal organizations.

`(2) SELECTION OF SCHOOLS-

`(A) IN GENERAL- In selecting schools to participate in the pilot program, the Secretary shall--

`(i) to the maximum extent practicable, ensure that not less than 75 percent of students selected are from schools in which not less than 50 percent of students are eligible for free or reduced price meals under this Act;

`(ii) solicit applications from interested schools that include--

`(I) information pertaining to the percentage of students enrolled in the school submitting the application who are eligible for free or reduced price school lunches under this Act;

`(II) a certification of support for participation in the pilot program signed by the school food manager, the school principal, and the district superintendent (or their equivalent positions, as determined by the school); and

`(III) such other information as may be requested by the Secretary; and

`(iii) for each application received, determine whether the application is from a school in which not less than 50 percent of students are eligible for free or reduced price meals under this Act.

`(B) LOTTERY-

`(i) SCHOOLS WITH SUBSTANTIAL FREE OR REDUCED PRICE MEAL ELIGIBILITY- Subject to clauses (iii) and (iv), the Secretary shall randomly select, from among the schools in a participating State determined under subparagraph (A)(iii) to have at least 50 percent of students eligible for free or reduced price meals under this Act, schools to participate in the program under this subsection so as to ensure, to the maximum extent practicable, that the aggregate number of students represented by those schools in the State meets the requirements of this subsection.

`(ii) OTHER SCHOOLS- Subject to clauses (iii) and (iv), the Secretary shall

`(iii) INSUFFICIENT APPLICATIONS- If, for any State, the Secretary determines that the number of schools described in subparagraph (A)(i) is insufficient to meet the requirements of this subsection, the Secretary may randomly select such additional applications from schools submitting applications under this subsection as are necessary to meet the requirements.

`(iv) APPLICABILITY TO EXISTING PARTICIPANTS-

`(I) IN GENERAL- Except as provided in subclause (II), the schools, States, and reservation authorized to participate in the pilot program under this subsection (as in effect on the date before the date of enactment of this subparagraph) shall not be subject to this subparagraph.

`(II) NEW STUDENTS- Subclause (I) shall not apply to students authorized to participate in the program under paragraph (1)(B).

`(3) NOTICE OF AVAILABILITY- To participate in the program under this subsection, a school shall widely publicize within the school the availability of free fresh and dried fruits and free fresh vegetables under the pilot program.

`(4) REPORTS-

`(A) INTERIM REPORTS- Not later than September 30 of each of fiscal years 2004, 2005, 2006, and 2007, the Secretary, acting through the Administrator of the Food and Nutrition Service, 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 an interim report that describes the activities carried out under this subsection during the fiscal year covered by the report.

`(B) FINAL REPORT- Not later than December 31, 2007, the Secretary, acting through the Administrator of the Food and Nutrition Service, 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 that describes the results of the pilot program under this subsection.

`(5) PER STUDENT GRANT-

`(A) IN GENERAL- For each school year during which a school participates in the program under this subsection, the Secretary shall provide to the school $75 for each student, as adjusted under subparagraph (B).

`(B) ADJUSTMENT- The amount of the grant for each student under subparagraph (A) shall be adjusted on July 1, 2004, and each July 1 thereafter, to reflect changes in the Consumer Price Index of the Bureau of Labor Statistics for fresh fruits and vegetables, with the adjustment--

`(i) rounded down to the nearest dollar increment; and

`(ii) based on the unrounded amounts for the preceding 12-month period.

`(6) FUNDING-

`(A) EXISTING FUNDS- The Secretary shall use to carry out this subsection any funds that remain under this subsection (in effect on the day before the date of enactment of this subparagraph).

`(B) NEW FUNDS- The Secretary shall use such funds made available under section 32 of the Act of August 24, 1935 (7 U.S.C. 612c) as are necessary to carry out this subsection (other than paragraph 4).

`(C) RECEIPT AND ACCEPTANCE- The Secretary shall be entitled to receive, shall accept, and shall use to carry out this subsection the funds made available under this paragraph, without further appropriation.

`(D) AVAILABILITY OF FUNDS- Funds made available under this paragraph shall remain available until expended.

`(E) REALLOCATION- The Secretary may reallocate any amounts made available to carry out this subsection that are not obligated or expended, as determined by the Secretary.'.