Discussion draft - F&V purchases

Here is another section of the House Agriculture Committee's horticulture subcommittee's draft. As I understand it, the fruit and vegetable snack program at schools would be accounted for in the nutrition subcommittee, so don't look for it here in the hort subcommittee language.

SEC. 13. ADDITIONAL SECTION 32 FUNDS FOR PURCHASE OF FRUITS, VEGETABLES, AND NUTS TO SUPPORT DOMESTIC NUTRITION ASSISTANCE PROGRAMS. (a ) FUNDING FOR ADDITIONAL PURCHASES OF FRUITS, VEGETABLES, AND NUTS.—In addition to the purchases of fruits, vegetables, and nuts required by section 10603 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 612c–4), the Secretary of Agriculture shall purchase fruits, vegetables, and nuts for the purpose of providing nutritious foods for use in domestic nutrition assistance programs, using, of the funds made available under section 32 of the Act of August 24, 1935 (7 U.S.C. 612c), the following amounts: (1) $190,000,000 in fiscal year 2008. (2) $193,000,000 in fiscal year 2009. (3) $199,000,000 in fiscal year 2010. (4) $203,000,000 in fiscal year 2011. (5) $206,000,000 in fiscal year 2012 and each fiscal year thereafter.
(b) FORM OF PURCHASES.—Fruits, vegetables, and nuts may be purchased under this section in the form of frozen, canned, dried, or fresh fruits, vegetables, and nuts.
(c) VALUE ADDED PRODUCTS.—The Secretary may consider offering value-added products containing fruits,vegetables or nuts under this section, taking into account— (1) whether demand exists for the value-added product; and (2) the interests of entities that receive fruits, vegetables, and nuts under this section.


TK: Section 32 funding is one of the more arcane aspects of the budget. One lobbyist with limited familiarity with Section 32 said this language may add to mandated levels of f/v spending in the farm bill. However, in reality, the funds represented in the language are already being spent on fruit and vegetable purchases for nutrition program (annual purchases of f/v by USDA for feeding programs are close to $400 million, one lobbyist told me; I'm trying to find agency numbers). So this does not apparently represent "new" money, but it would represent an increase in mandated spending.

The 2002 farm bill allocates $200 million of Section 32 money to purchases fruits and vegetables for feeding programs, and the USDA's farm bill proposal this year provided $200 million in additional funds for fiscal 2008, escalating to $300 million by FY 2012. The House language falls short of the USDA's proposal.

No official on the record response yet from United or any other organization on the overall document. But suffice it to say the industry is not doing handstands over this offering from the horticulture subcommittee. Evidently subcommittee chair Rep. Dennis Cardoza was getting his marching orders from Ag Committee chairman Peterson.