USC Subchapter III

USC Subchapter III
in effect

7 U.S.C. § 1721 General authority

The President shall establish a program under this subchapter (to be implemented by the Administrator) to provide agricultural commodities to foreign countries on behalf of the people of the United States to— (1) address famine and food crises, and respond to emergency food needs, arising from man-made and natural disasters; (2) combat malnutrition, especially in children and mothers; (3) carry out activities that attempt to alleviate the causes of hunger, mortality and morbidity; (4) promote economic and community development; (5) promote food security and support sound environmental practices; (6) carry out feeding programs; and (7) build resilience to mitigate and prevent food crises and reduce the future need for emergency aid.

7 U.S.C. § 1722 Provision of agricultural commodities

(a) Emergency assistanceNotwithstanding any other provision of law, the Administrator may provide agricultural commodities to meet emergency food needs under this subchapter through governments and public or private agencies, including intergovernmental organizations such as the World Food Program and other multilateral organizations, in such manner and on such terms and conditions as the Administrator determines appropriate to respond to the emergency. (b) Nonemergency assistance(1) In generalThe Administrator may provide agricultural commodities for nonemergency assistance under this subchapter through eligible organizations (as described in subsection (d)) that have entered into an agreement with the Administrator to use the commodities in accordance with this subchapter. (2) LimitationThe Administrator may not use as a sole rationale for denying a request for funds submitted under this subsection because the program for which the funds are requested—(A) would be carried out by the eligible organization in a foreign country in which the Agency for International Development does not have a mission, office, or other presence; or (B) is not part of a development plan for the country prepared by the Agency. (3) Program diversityThe Administrator shall—(A) encourage eligible organizations to propose and implement program plans to address 1 or more aspects of the program under section 1721 of this title; and (B) consider proposals that incorporate a variety of program objectives and strategic plans based on the identification by eligible organizations of appropriate activities, consistent with section 1721 of this title, to assist development of foreign countries. (c) Uses of assistanceAgricultural commodities provided under this subchapter may be made available for direct distribution, sale, barter, or other appropriate disposition. (d) Eligible organizationsTo be eligible to receive assistance under subsection (b) an organization shall be—(1) a private voluntary organization or cooperative that is, to the extent practicable, registered with the Administrator; or (2) an intergovernmental organization, such as the World Food Program. (e) Support for eligible organizations(1) In generalOf the funds made available in each fiscal year under this subchapter to the Administrator, not less than 7.5 percent nor more than 20 percent of the funds shall be made available in each fiscal year to eligible organizations described in subsection (d), to assist the organizations in—(A) establishing and enhancing programs under this subchapter; (B) meeting specific administrative, management, personnel, transportation, storage, and distribution costs for carrying out programs in foreign countries under this subchapter; (C) implementing income-generating, community development, health, nutrition, cooperative development, agricultural, and other developmental activities within 1 or more recipient countries or within 1 or more countries in the same region; and (D) improving and implementing methodologies for food aid programs, including needs assessments (upon the request of the Administrator), monitoring, and evaluation. (2) Request for fundsTo receive funds made available under paragraph (1), an eligible organization described in subsection (d) shall submit a request for the funds that is subject to approval by the Administrator. (3) Assistance with respect to saleUpon the request of an eligible organization, the Administrator may provide assistance to the eligible organization with respect to the sale of agricultural commodities made available to it under this subchapter. (4) Investment authorityAn eligible organization that receives funds made available under paragraph (1) may invest the funds pending the eligible organization’s use of the funds. Any interest earned on such investment may be used for the purposes for which the assistance was provided to the eligible organization without further appropriation by Congress. (f) Effective use of commoditiesTo ensure that agricultural commodities made available under this subchapter are used effectively and in the areas of greatest need, organizations or cooperatives through which such commodities are distributed shall—(1) to the extent feasible, work with indigenous institutions and employ indigenous workers; (2) assess and take into account nutritional and other needs of beneficiary groups; (3) help such beneficiary groups design and carry out mutually acceptable projects; (4) recommend to the Administrator methods of making assistance available that are the most appropriate for each local setting; (5) supervise the distribution of commodities provided and the implementation of programs carried out under this subchapter; and (6) periodically evaluate the effectiveness of projects undertaken under this subchapter. (g) Labeling of assistanceAgricultural commodities and other assistance provided under this subchapter shall, to the extent practicable, be clearly identified with appropriate markings on the package or container of such agricultural commodities or food procured outside of the United States, or on printed material that accompanies other assistance, in the language of the locality in which such commodities and other assistance are distributed, as being furnished by the people of the United States of America. (h) Food aid quality(1) In generalThe Administrator shall use funds made available for fiscal year 2014 and subsequent fiscal years to carry out this subchapter—(A) to assess the types and quality of agricultural commodities and products donated for food aid; (B) to adjust products and formulations, including potential introduction of new fortificants and products, as necessary to cost-effectively meet nutrient needs of target populations; (C) to test prototypes; (D) to adopt new specifications or improve existing specifications for micronutrient fortified food aid products, based on the latest developments in food and nutrition science, and in coordination with other international partners; (E) to develop new program guidance to facilitate improved matching of products to purposes having nutritional intent, in coordination with other international partners; (F) to develop improved guidance for implementing partners on how to address nutritional deficiencies that emerge among recipients for whom food assistance is the sole source of diet in emergency programs that extend beyond 1 year, in coordination with other international partners; and (G) to evaluate, in appropriate settings and as necessary, the performance and cost-effectiveness of new or modified specialized food products and program approaches designed to meet the nutritional needs of the most vulnerable groups, such as pregnant and lactating mothers, and children under the age of 5. (2) AdministrationThe Administrator—(A) shall carry out this subsection in consultation with and through independent entities with proven expertise in food aid commodity quality enhancements; (B) may enter into contracts to obtain the services of such entities; and (C) shall consult with the Food Aid Consultative Group on how to carry out this subsection. (3) Funding limitationOf the funds made available under section 1726a(f) of this title,11 So in original. The comma probably should not appear. for fiscal years 2014 through 2023, not more than $4,500,000 may be used to carry out this subsection.

7 U.S.C. § 1723 Generation and use of currencies by private voluntary organizations and cooperatives

(a) Local sale and barter of commoditiesAn agreement entered into between the Administrator and a private voluntary organization or cooperative to provide food assistance through such organization or cooperative under this subchapter may provide for the sale or barter in 1 or more recipient countries, or 1 or more countries in the same region, of the commodities to be provided under such agreement to generate proceeds to be used as provided in this section. (b) Description of intended usesA private voluntary organization or cooperative submitting a proposal to enter into a non-emergency food assistance agreement under this subchapter shall include in such proposal a description of the intended uses of any proceeds that may be generated through the sale, in 1 or more recipient countries, or in 1 or more countries in the same region, of any commodities provided under an agreement entered into between the Administrator and the organization or cooperative. (c) UseProceeds generated from any partial or full sale or barter of commodities by a private voluntary organization or cooperative under a non-emergency food assistance agreement under this subchapter may—(1) be used to transport, store, distribute, and otherwise enhance the effectiveness of the use of agricultural commodities provided under this subchapter; (2) be used to implement income-generating, community development, health, nutrition, cooperative development, agricultural, and other developmental activities within 1 or more recipient countries or within 1 or more countries in the same region; or (3) be invested, and any interest earned on such investment may be used, for the purposes for which the assistance was provided to that organization, without further appropriation by Congress.

7 U.S.C. § 1724 Levels of assistance

(a) Minimum levels(1) Minimum assistanceExcept as provided in paragraph (3), the Administrator shall make agricultural commodities available for food distribution under this subchapter in an amount that for each of fiscal years 2008 through 2023 is not less than 2,500,000 metric tons. (2) Minimum non-emergency assistanceOf the amounts specified in paragraph (1), and except as provided in paragraph (3), the Administrator shall make agricultural commodities available for non-emergency food distribution through eligible organizations under section 1722 of this title in an amount that for each of fiscal years 2008 through 2023 is not less than 1,875,000 metric tons. (3) ExceptionThe Administrator may waive the requirements of paragraphs (1) and (2) for any fiscal year if the Administrator determines that such quantities of commodities cannot be used effectively to carry out this subchapter or in order to meet an emergency. In making a waiver under this paragraph, the Administrator shall prepare and submit to the Committees on International Relations, Agriculture and Appropriations of the House of Representatives, and the Committees on Appropriations and Agriculture, Nutrition, and Forestry of the Senate a report containing the reasons for the waiver. No waiver shall be made before the beginning of the applicable fiscal year. (b) Use of value-added commodities(1) Minimum levelsExcept as provided in paragraph (2), in making agricultural commodities available under this subchapter, the Administrator shall ensure that not less than 75 percent of the quantity of such commodities required to be distributed during each fiscal year under subsection (a)(2) be in the form of processed, fortified, or bagged commodities and that not less than 50 percent of the quantity of the bagged commodities that are whole grain commodities be bagged in the United States. (2) Waiver of minimumThe Administrator may waive the requirement of paragraph (1) for any fiscal year in which the Administrator determines that the requirements of the programs established under this subchapter will not be best served by the enforcement of such requirement under such paragraph.

7 U.S.C. § 1725 Food Aid Consultative Group

(a) EstablishmentThere is established a Food Aid Consultative Group (hereinafter referred to in this section as the “Group”) that shall meet regularly to review and address issues concerning the effectiveness of the regulations and procedures that govern food assistance programs established and implemented under this subchapter, and the implementation of other provisions of this subchapter that may involve eligible organizations described in section 1722(d)(1) of this title. (b) MembershipThe Group shall be composed of—(1) the Administrator; (2) the Under Secretary of Agriculture for Trade and Foreign Agricultural Affairs; (3) the Inspector General of the Agency for International Development; (4) a representative of each private voluntary organization and cooperative participating in a program under this subchapter, or receiving planning assistance funds from the Agency to establish programs under this subchapter; (5) representatives from African, Asian and Latin American indigenous non-governmental organizations determined appropriate by the Administrator; (6) representatives from agricultural producer groups in the United States; (7) representatives from the United States agricultural processing sector involved in providing agricultural commodities for programs under this chapter; and (8) representatives from the maritime transportation sector involved in transporting agricultural commodities overseas for programs under this chapter. (c) ChairpersonThe Administrator shall be the chairperson of the Group. (d) Consultations(1) Consultation in advance of issuance of implementation regulations, handbooks, and guidelinesNot later than 30 days before a proposed regulation, handbook, or guideline implementing this subchapter, or a proposed significant revision to a regulation, handbook, or guideline implementing this subchapter, becomes final, the Administrator shall provide the proposal to the Group for review and comment. The Administrator shall consult and, when appropriate (but at least twice per year), meet with the Group regarding such proposed regulations, handbooks, guidelines, or revisions thereto prior to the issuance of such. (2) Consultation regarding food aid quality effortsThe Administrator shall seek input from and consult with the Group on the implementation of section 1722(h) of this title. (e) Chapter 10 of title 5Chapter 10 of title 5 shall not apply to the Group. (f) TerminationThe Group shall terminate on December 31, 2023.

7 U.S.C. § 1726a Administration

(a) Proposals(1) Recipient countriesA proposal to enter into a nonemergency food assistance agreement under this subchapter shall identify the recipient country or countries that are the subject of the agreement. (2) TimingNot later than 120 days after the date of receipt by the Administrator of a proposal submitted by an eligible organization under this subchapter, the Administrator shall determine whether to accept the proposal. (3) DenialIf a proposal under paragraph (1) is denied, the response shall specify the reasons for denial. (b) Notice and commentNot later than 30 days prior to the issuance of a final guideline or annual policy guidance to carry out this subchapter, the Administrator shall—(1) provide notice of the existence of a proposed guideline or annual policy guidance, and that such guideline or annual policy guidance is available for review and comment, to eligible organizations that participate in programs under this subchapter, and to other interested persons; (2) make the proposed guideline or annual policy guidance available, on request, to the eligible organizations and other persons referred to in paragraph (1); and (3) take any comments received into consideration prior to the issuance of the final guideline or annual policy guidance. (c) Regulations and guidance(1) In generalThe Administrator shall promptly issue all necessary regulations and make revisions to agency guidelines with respect to changes in the operation or implementation of the program established under this subchapter. Not later than 270 days after the date of the enactment of the Agriculture Improvement Act of 2018, the Administrator shall issue all regulations and revisions to agency guidance necessary to implement the amendments made to this subchapter by such Act. (2) RequirementsThe Administrator shall develop regulations and guidance with the intent of—(A) simplifying procedures for participation in the programs established under this subchapter; (B) reducing paperwork requirements under such programs; (C) establishing reasonable and realistic accountability standards to be applied to eligible organizations participating in the programs established under this subchapter, taking into consideration the problems associated with carrying out programs in developing countries; and (D) providing flexibility for carrying out programs under this subchapter. (d) Timely provision of commoditiesThe Administrator, in consultation with the Secretary, shall develop procedures that ensure expedited processing of commodity call forwards in order to provide commodities overseas in a timely manner and to the extent feasible, according to planned delivery schedules. (e) Timely approvalThe Administrator is encouraged to finalize program agreements and resource requests for programs under this section before the beginning of each fiscal year. (f) Program oversight, monitoring, and evaluation(1) Duties of AdministratorThe Administrator, in consultation with the Secretary, shall establish systems and carry out activities—(A) to determine the need for assistance provided under this subchapter; and (B) to improve, monitor, and evaluate the effectiveness and efficiency of the assistance provided under this subchapter to maximize the impact of the assistance. (2) Requirements of systems and activitiesThe systems and activities described in paragraph (1) shall include—(A) program monitors in countries that receive assistance under this subchapter; (B) country and regional food aid impact evaluations; (C) the identification and implementation of best practices for food aid programs; (D) the evaluation of monetization programs; (E) early warning assessments and systems to help prevent famines; and (F) maintenance of information technology systems. (3) Contract authority(A) In generalSubject to subparagraphs (B) and (C), in carrying out administrative and management activities relating to each activity carried out by the Administrator under paragraph (1), the Administrator may enter into contracts with 1 or more individuals for personal service to be performed in recipient countries or neighboring countries. (B) ProhibitionAn individual who enters into a contract with the Administrator under subparagraph (A) shall not be considered to be an employee of the Federal Government for the purpose of any law (including regulations) administered by the Office of Personnel Management. (C) Personal serviceSubparagraph (A) does not limit the ability of the Administrator to enter into a contract with any individual for personal service under section 1722(a) of this title. (4) Funding(A) In generalSubject to section 1722(h)(3) of this title, in addition to other funds made available to the Administrator to carry out the monitoring of emergency food assistance, the Administrator may implement this subsection using up to 1.5 percent, but not less than $17,000,000, of the funds made available under this subchapter for each of fiscal years 2014 through 2023, except for paragraph (2)(F), for which not more than $500,000 shall be made available for each of the fiscal years 2014 through 2023. (B) Limitations(i) In generalSubject to clause (ii), of the funds made available under subparagraph (A), for each of fiscal years 2009 through 2023, not more than $8,000,000 may be used by the Administrator to carry out paragraph (2)(E). (ii) ConditionNo funds shall be made available under subparagraph (A), in accordance with clause (i), unless not less than $8,000,000 is made available under the Foreign Assistance Act of 1961 (22 U.S.C. 2151 et seq.) for such purposes for such fiscal year. (g) Project reporting(1) In generalIn submitting project reports to the Administrator, a private voluntary organization or cooperative shall provide a copy of the report in such form as is necessary for the report to be displayed for public use on the website of the United States Agency for International Development. (2) Confidential informationAn organization or cooperative described in paragraph (1) may omit any confidential information from the copy of the report submitted for public display under that paragraph.

7 U.S.C. § 1726b International food relief partnership

(a) In generalThe Administrator may provide grants to—(1) United States nonprofit organizations (described in section 501(c)(3) of title 26 and exempt from tax under section 501(a) of title 26) for the preparation of shelf-stable prepackaged foods requested by eligible organizations and the establishment and maintenance of stockpiles of the foods in the United States; and (2) private voluntary organizations and international organizations for the rapid transportation, delivery, and distribution of shelf-stable prepackaged foods described in paragraph (1) to needy individuals in foreign countries. (b) Grants for establishment of stockpiles(1) In generalNot more than 70 percent of the amount made available to carry out this section shall be used to provide grants under subsection (a)(1). (2) PriorityIn providing grants under subsection (a)(1), the Administrator shall provide a preference to a United States nonprofit organization that agrees to provide—(A) non-Federal funds in an amount equal to 50 percent of the amount of funds received under a grant under subsection (a)(1); (B) an in-kind contribution in an amount equal to that percentage; or (C) a combination of such funds and an in-kind contribution, for the preparation of shelf-stable prepackaged foods and the establishment and maintenance of stockpiles of the foods in the United States in accordance with subsection (a)(1). (c) Grants for rapid transportation, delivery, and distributionNot less than 20 percent of the amount made available to carry out this section shall be used to provide grants under subsection (a)(2). (d) AdministrationNot more than 10 percent of the amount made available to carry out this section may be used by the Administrator for the administration of grants under subsection (a). (e) Regulations or guidelinesNot later than 180 days after November 9, 2000, the Administrator, in consultation with the Secretary, shall issue such regulations or guidelines as the Administrator determines to be necessary to carry out this section, including regulations or guidelines that provide to United States nonprofit organizations eligible to receive grants under subsection (a)(1) guidance with respect to the requirements for qualified shelf-stable prepackaged foods and the quantity of the foods to be stockpiled by the organizations. (f) Authorization of appropriationsThere is authorized to be appropriated to the Administrator to carry out this section, in addition to amounts otherwise available to carry out this section, $10,000,000 for each of fiscal years 2014 through 2023, to remain available until expended.

7 U.S.C. § 1726c Local and regional food aid procurement projects

(a) DefinitionsIn this section:(1) AdministratorThe term “Administrator” means the Administrator of the Agency for International Development. (2) Appropriate committee of CongressThe term “appropriate committee of Congress” means—(A) the Committee on Agriculture, Nutrition, and Forestry of the Senate; (B) the Committee on Agriculture of the House of Representatives; and (C) the Committee on Foreign Affairs of the House of Representatives. (3) Eligible commodityThe term “eligible commodity” means an agricultural commodity (or the product of an agricultural commodity) that—(A) is produced in, and procured from, a developing country; and (B) at a minimum, meets each nutritional, quality, and labeling standard of the country that receives the agricultural commodity, as determined by the Secretary. (4) Eligible organizationThe term “eligible organization” means an organization that is—(A) described in section 1722(d) of this title; and (B) with respect to nongovernmental organizations, subject to regulations promulgated or guidelines issued to carry out this section, including United States audit requirements that are applicable to nongovernmental organizations. (b) Field-based projects(1) In generalIn accordance with paragraph (2), the Secretary shall provide grants to, or enter into cooperative agreements with, eligible organizations to carry out field-based projects that consist of local or regional procurements of eligible commodities to respond to food crises and disasters in accordance with this section. (2) Consultation with AdministratorIn carrying out the development and implementation of field-based projects under paragraph (1), the Secretary shall consult with the Administrator. (c) Procurement(1) In generalAny eligible commodity that is procured for a field-based project carried out under subsection (b) shall be procured through any approach or methodology that the Secretary considers to be an effective approach or methodology to provide adequate information regarding the manner by which to expedite, to the maximum extent practicable, the provision of food aid to affected populations without significantly increasing commodity costs for low-income consumers who procure commodities sourced from the same markets at which the eligible commodity is procured. (2) Requirements(A) Impact on local farmers and countriesThe Secretary shall ensure that the local or regional procurement of any eligible commodity under this section will not have a disruptive impact on farmers located in, or the economy of—(i) the recipient country of the eligible commodity; or (ii) any country in the region in which the eligible commodity may be procured. (B) TransshipmentThe Secretary shall, in accordance with such terms and conditions as the Secretary considers to be appropriate, require from each eligible organization commitments designed to prevent or restrict—(i) the resale or transshipment of any eligible commodity procured under this section to any country other than the recipient country; and (ii) the use of the eligible commodity for any purpose other than food aid. (C) World prices(i) In generalIn carrying out this section, the Secretary shall take any precaution that the Secretary considers to be reasonable to ensure that the procurement of eligible commodities will not unduly disrupt—(I) world prices for agricultural commodities; or (II) normal patterns of commercial trade with foreign countries. (ii) Procurement priceThe procurement of any eligible commodity shall be made at a reasonable market price with respect to the economy of the country in which the eligible commodity is procured, as determined by the Secretary. (d) Field-based project grants or cooperative agreements(1) In generalThe Secretary shall award grants to, or enter into cooperative agreements with, eligible organizations to carry out field-based projects. (2) Requirements of eligible organizations(A) In generalTo be eligible to receive a grant from, or enter into a cooperative agreement with, the Secretary under this subsection, an eligible organization shall submit to the Secretary an application by such date, in such manner, and containing such information as the Secretary may require. (B) Other applicable requirementsAny other applicable requirement relating to the submission of proposals for consideration shall apply to the submission of an application required under subparagraph (A), as determined by the Secretary. (3) Requirements of Secretary(A) Project diversity(i) In generalSubject to clause (ii) and subparagraph (B), in selecting proposals for field-based projects to fund under this section, the Secretary shall select a diversity of projects, including projects located in—(I) food surplus regions; (II) food deficit regions (that are carried out using regional procurement methods); and (III) multiple geographical regions. (ii) PriorityIn selecting proposals for field-based projects under clause (i), the Secretary shall ensure that the majority of selected proposals are for field-based projects that—(I) are located in Africa; and (II) procure eligible commodities that are produced in Africa. (B) Development assistanceA portion of the funds provided under this subsection shall be made available for field-based projects that provide development assistance for a period of not less than 1 year. (e) Funding(1) Authorization of appropriationsThere is authorized to be appropriated to the Secretary to carry out this section $80,000,000 for each of fiscal years 2019 through 2023. (2) PreferenceIn carrying out this section, the Secretary may give a preference to eligible organizations that have, or are working toward, projects under the McGovern-Dole International Food for Education and Child Nutrition Program established under section 1736o–1 of this title. (3) ReportingEach year, the Secretary shall submit to the appropriate committees of Congress a report that describes the use of funds under this section, including—(A) the impact of procurements and projects on—(i) local and regional agricultural producers; and (ii) markets and consumers, including low-income consumers; and (B) implementation time frames and costs.

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