Page:United States Statutes at Large Volume 92 Part 3.djvu/977

 PUBLIC LAW 95-627—NOV. 10, 1978

92 STAT. 3609

care food program under this section. The value of such commodities (or cash in lieu of commodities) donated to each State for each school year shall be, at a minimum, the amount obtained by multiplying the number of lunches and suppers served in participating institutions in that State during that school year by the rate for commodities or cash in lieu thereof established for that school year under section 6(e) of this Act. Any State receiving assistance under this section for institutions participating in the child care food program may, upon application to the Secretary, receive cash in lieu of some or all of the commodities to which it would otherwise be entitled under this subsection. In determining whether to request cash in lieu of commodities, the State shall base its decision on the preferences of individual participating institutions within the State, unless this proves impracticable due to the small number of institutions preferring donated commodities. "(i) For the child care food program, the State plan required under section 11(e) of this Act shall provide, in addition to other informa- 42 USC 1759a. tion required by regulation or available from regular reporting: "(1) the number of institutions and the number of family or group day care homes participating in the program, together with the average daily attendance in such institutions; "(2) the number of institutions and the number of family or group day care homes in the State that are licensed, approved, or registered or that receive funds under title X X of the Social Security Act, and the number of such institutions and homes that participate in the program authorized under this section; "(3) the action program, the State proposes to undertake to use the Federal funds provided under this section, including the State's plans to (A) extend the program to all eligible institutions (placing priority on reaching institutions in needy areas first), (B) assist family or group day care homes in obtaining sponsoring organizations, and (C) encourage eligible institutions to participate in the program; "(4) a plan for the conduct of audits; and "(5) a plan to monitor program performance and measure progress in achieving program goals. " (j) The Secretary shall make available for each fiscal year to States administering the child care food program, for the purpose of conducting audits of participating institutions, an amount up to 2 percent of the funds used by each State in the program under this section, during the second preceding fiscal year. "(k) The Secretary may issue regulations directing States to Regulations, develop and provide for the use of a standard form of agreement between each family or group day care sponsoring organization and the family or group day care homes participating in the program under such organization, for the purpose of specifying the rights and responsibilities of each party. "(1)(1) The Secretary shall study the administrative coste of insti- Studies, tutions participating in the program under this section, including the cost effect of such factors as the types of institutions, the number of children served, and the location of institutions in urban or rural areas. The Secretary may prescribe maximum allowable levels of administrative payments that reflect the costs of institutions participating in the program.

39-194 O—80—pt. 3

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