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  Food Stamp Program

The Food Stamp Program is the cornerstone of the USDA nutrition assistance programs. Initiated as a pilot program in 1961 and made permanent in 1964, the program issues monthly allotments of coupons that are redeemable at retail food stores, or provides benefits through electronic benefit transfer (EBT). Eligibility and allotments are based on household size, income, assets, and other factors.

USDA is committed to absolute integrity in all of its programs, but the Food Stamp Program has received particular attention because of its size and importance. USDA carefully screens food retailers who apply to accept food stamps, and has the authority to examine retailers’ records and to quickly remove those who are believed to have violated program rules. State food stamp agencies oversee the authorization of individual food stamp recipients, and can revoke the eligibility of those who violate the rules.All the States are converting their food stamp issuance to electronic benefit transfer (EBT) systems. The welfare reform act of 1996 requires all States to convert to EBT issuance by the year 2002. EBT allows food stamp customers, using a plastic card similar to a bank card, to buy groceries by transferring funds directly from a food stamp benefit account to a retailer's account.

EBT can enhance program integrity by creating an electronic record of every food stamp transaction, and can also contribute to administrative cost savings for retailers, banks, and for State and Federal governments. Thirty-two States plus the District of Columbia are using EBT to issue at least part of their food stamp benefits. All others are in some stage of planning or implementing EBT.

The welfare reform law of 1996 also made major changes in food stamp eligibility requirements, most notably by limiting benefits to legal immigrants and to able-bodied adults without dependents. The law also changed some eligibility and income criteria, and scaled back benefits across the board.

The Food Stamp Program served an average of 22.9 million people in Fiscal Year 1997, and average benefits were more than $71 per person per month. The Federal government pays for the benefits issued through the Food Stamp Program and shares with the States the cost of administrative expenses. Congress appropriated $25.1 billion for the Food Stamp Program for FY 1998.

  Special Supplemental Nutrition Program for Women, Infants and Children (WIC)

WIC's goal is to improve the health of low-income pregnant, breastfeeding and non-breastfeeding postpartum women, and infants and children up to 5 years old. WIC provides supplemental foods, nutrition education, and access to health services. Participants receive vouchers that can be redeemed at retail food stores for specific foods that are rich sources of the nutrients frequently lacking in the diet of low-income mothers and children.

The WIC program has been shown to be effective in improving the health of pregnant women, new mothers and their infants. A 1990 study showed that women who participated in the program during their pregnancies had lower Medicaid costs for themselves and their babies than did women who did not participate. In the five States studied, savings in Medicaid dollars ranged from $1.77 to $3.13 for each dollar spent in prenatal WIC benefits.

The FY 1999 appropriation for WIC is $3.924 billion. WIC participation averaged more than 7.4 million people each month in FY 1997.

  The WIC Farmers' Market Nutrition Program

The Farmers' Market Nutrition Program was established in 1992 to provide WIC participants with increased access to fresh produce. WIC participants are given coupons to purchase fresh fruits and vegetables at authorized local farmers markets. The program is funded through a legislatively mandated set-aside in the WIC program appropriation. Congress appropriated $15 million for the program in 1999.

  National School Lunch Program

The National School Lunch Program provides cash reimbursements and commodity foods to help support non-profit food services in elementary and secondary schools, and in residential child care institutions. Every school day, more than 26 million children in 94,000 schools across the country eat a lunch provided through the National School Lunch Program. More than half of these children receive the meal free or at a reduced price.

USDA recognizes the program's national health responsibility to provide school meals that meet nutrition objectives. Regulations require school meals to meet nutritional standards and to comply with the Dietary Guidelines for Americans, the Federal policy on what constitutes a healthful diet.
Congress appropriated $4.2 billion for the National School Lunch Program for FY 1998, in addition to funds carried over from FY 1997. 

  School Breakfast Program

Some 6.9 million children in more than 68,000 schools participated in the School Breakfast Program every day in FY 1997. As in the school lunch program, low-income children may qualify to receive school breakfast free or at a reduced price, and States are reimbursed according to the number of meals served in each category. Meals must meet nutritional standards similar to those in the National School Lunch Program.

Congress appropriated $1.3 billion for the School Breakfast Program for FY 1998. 

  Summer Food Service Program

More than 2 million low-income children receive meals during school vacation periods through the Summer Food Service Program. All SFSP meals are served free, and the Federal government reimburses local sponsoring organizations for meals served.
Congress appropriated $272 million for SFSP for FY 1998. 

  The Emergency Food Assistance Program (TEFAP)

TEFAP provides commodity foods to states for distribution to households, and to soup kitchens and food banks. First initiated in 1981 as the Temporary Emergency Food Assistance Program, TEFAP was designed to reduce inventories and storage costs of surplus commodities through distribution to needy households. While some surplus food is still distributed through TEFAP, Congress since 1989 has appropriated funds to purchase additional commodities for households.

Congress appropriated $145 million for TEFAP for FY 1998, including funds to purchase foods and funds to provide administrative support to distributing agencies. 

  Child and Adult Care Food Program

This program provides cash reimbursements and commodity foods for meals served in child and adult day care centers, and family and group day care homes for children.

In March 1998, CACFP provided meals to 2.6 million children and 58,000 adults. Congress appropriated $1.5 billion for the Child and Adult Care Food Program for FY 1998. 

  Commodity Supplemental Food Program

A direct food distribution program with a target population similar to WIC, CSFP also serves the elderly. As in WIC, food packages are tailored to the nutritional needs of participants. Average monthly CSFP participation for FY 1997 was more than 370,000 people. For FY 1998, Congress appropriated $96 million for CSFP. 

  Special Milk Program

Children in schools, summer camps and child care institutions that have no Federally supported meal program receive milk through the Special Milk Program. In 1997, more than 140 million half-pints of milk were served through SMP. Congress appropriated $18.2 million for the program in FY 1998.

  Food Distribution Program on Indian Reservations

Provides commodity foods to low-income families who live on Indian reservations, and to Native American families who live near reservations. The program evolved from the Needy Family Program, which was the primary source of Federal food assistance to needy people during the Great Depression of the 1930's.

An average of more than 123,000 people participated in the program each month in FY 1997. For FY 1998, Congress appropriated $75 million for FDPIR.

  Nutrition Services Incentive Program 
   (formerly Nutrition Program for the Elderly)

Provides cash and commodity foods to States for meals for senior citizens. The food is served in senior citizen centers or delivered by meals-on-wheels programs.
USDA provided reimbursement for an average of more than 20 million meals a month in FY 1997. Congress appropriated $140 million for the program for FY 1998.

  Nutrition Assistance Program: Puerto Rico, American Samoa, and 
   the Commonwealth of the Northern Marianas Islands

The Food Stamp Program in Puerto was replaced in 1982 by a block grant program. American Samoa and the Northern Marianas Islands in the Pacific also provide benefits under block grants. The territories provide cash and coupons to participants rather than food stamps or food distribution.
Congress appropriated $1.2 billion for the 1998 Puerto Rico NAP block grant. For the Pacific Islands, block grants totaled $1.2 billion

  Nutrition Education

FNS operates the Nutrition Education and Training (NET) Program to support nutrition education in the food assistance programs for children: the National School Lunch Program, School Breakfast, Summer Food Service, and Child and Adult Care Food Programs. The Secretary of Agriculture allocates NET funds to States each year in the form of grants. Congress appropriated $3.8 million for NET for FY 1998.

Through its Team Nutrition, FNS also provides schools with nutrition education materials and other support for children, technical assistance for food service professional staffs, and nutrition education materials for other food assistance programs such as food stamps and WIC. Congress appropriated $8 million for Team Nutrition in FY 1998.

For more information:

For more information, contact the USDA Food and Nutrition Service Public Information Staff at 703-305-2286, or by mail at 3101 Park Center Drive, Room 819, Alexandria, Virginia 22302. The Food and Nutrition Service was formerly known as the Food and Consumer Service. Fact sheets and other information on FNS programs are available on the FNS home page at http://www.usda.gov/fns  

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