FOOD AND NUTRITION SERVICE

WITNESSES

RICHARD E. LYNG, ASSISTANT SECRETARY OF AGRICULTURE EDWARD J. HEKMAN, ADMINISTRATOR, FOOD AND NUTRITION SERVICE

HOWARD P. DAVIS, DEPUTY ADMINISTRATOR FOR PROGRAM OPERATIONS

JAMES E. SPRINGFIELD, DEPUTY ADMINISTRATOR FOR MANAGEMENT

GEORGE W. HALL, DEPUTY BUDGET OFFICER, FOOD AND NUTRITION SERVICE

JEROME A. MILES, DIRECTOR OF FINANCE, DEPARTMENT OF AGRICULTURE

Mr. WHITTEN. We have with us at this time Mr. Hekman and his associates of the Food and Nutrition Service.

I need not repeat the statements made heretofore. This program has grown tremendously, especially that part of it which has to do with the distribution of surplus foods. I personally feel that the Nation should always see that it does produce surplus foods, because that is the only way to have an adequate supply. But when you have more than enough, you have to move it so as to keep the people producing, in order that the indigent and needy and poor benefit.

The program, however, has gone far afield from limiting itself to distributing surplus foods. It seems we now have accepted as national policy the provision of school lunches with very few, if any, limitations. The same is true with the breakfast program.

FOOD STAMP PROGRAM

Then to that has been added the food stamp program, whose eligibility standards have been widened constantly. Even this committee a few years ago put in a provision that the Secretary of Agriculture could pay the total cost of food for an individual where it was found

necessary.

The committee did say it should be in or around the community in which he usually lives. We did not think the Secretary should have to carry a cookstove up and down the highway so he would be present at mealtime.

In last year's bill, funds were added for school lunches, and this committee had to restore the special milk program which had not been included in the budget request.

Included in the bill also was the food stamp program. I have just finished saying following the development of the record by the members of this subcommittee that the food stamp program is the issuance of stamps, the eligibility almost without exception being determined by the welfare agency, and it is becoming more and more evident that it is a serious question, at least in my mind, as to whether Agriculture should be conducting this program, since you have the complete responsibility.

I mentioned that earlier, and again we have through Mr. Kossack, the Inspector General, had the record filled with the experience you have had in thefts and in the handling of these programs.

He testified that you had finally directed, at the request of the committee, that in cases of violation, the information be submitted to the welfare agency for their use, in addition to being placed before the appropriate authorities in the Department of Justice.

I mention that before you make your discussion here, Mr. Hekman. I would like pages 179 through 209 of volume 3 of the justifications inserted in the record at this point.

(The justifications follow :)

FOOD AND NUTRITION SERVICE

Purpose Statement

The Food and Nutrition Service was established August 8, 1969, by Secretary's Memorandum No. 1659 and Supplement 1 pursuant to the authority contained in 5 U.S.C. 301 and the Reorganization Plan No. 2 of 1953.

The most comprehensive attack on the problem of hunger and malnutrition ever made in this country is being undertaken by the Food and Nutrition Service through the following programs:

Child Nutrition Programs. Federal assistance is provided to the
States, Puerto Rico, the Virgin Islands, American Samoa, and Guam
for use in serving nutritious meals to children while in school,
in service institutions, or other organized activities away from
home, in order to improve the health and well-being of the Nation's
children. These programs include the school lunch, school break-
fast, nonfood assistance, and nonschool food programs; nutritional
training and surveys; and grents for State administrative expenses.
These programs are carried out with funds made available by the Child
Nutrition appropriation; with cash and commodities made available
from Sec. 32; and with donated commodities made available by the
Commodity Credit Corporation under Sec. 416 of the Agricultural Act
of 1949, as amended.

Special Milk Program. Federal assistance is given to States to
reimburse eligible schools and child-care institutions which
inaugurate or expand milk services in order to increase the consumption
of fluid milk by children. Funds for this program are provided by
direct appropriation.

Food Stamp Program. In cooperation with the States, additional food
purchasing power is provided to low-income families through the
issuance of coupons with a face value greater than the price charged
to participants. These coupons are used to purchase eligible foods
at retail stores. Funds for this program are provided by direct
appropriation.

Direct Distribution of Commodities to Families. In cooperation with
the States, food is distributed to low-income families to improve
their dicts. Also, a special supplemental food program is made
available to mothers and infants in some areas. The program is
carried out with cash and commodities made available from Sec. 32
and with commodities donated by CCC under Sec. 416.

Direct Distribution of Commodities to Institutions. In cooperation
with the States, commodities are distributed to eligible non-profit
residential institutions such as orphanages, and homes for the
elderly, in order to improve the diets of needy residents. The
program is carried out with commodities made available from Sec. 32,
and by CCC under Sec. 416.

These programs are administered in the field by FNS employees located in five regional offices and approximately 275 field locations. This field staff works closely with State and local authorities in the cooperative operation of these

programs.