FY 1998 Annual Report of the Secretary of Agriculture
USDA: Preparing for a New Millennium
Mission
The Food and Nutrition Service (FNS) reduces hunger and food insecurity in partnership with cooperating organizations by providing children and needy families access to food, a healthful diet, and nutrition education in a manner that supports American agriculture and inspires public confidence.

Millions of Americans Receive Nutrition Benefits Through FNS Programs
Sheer numbers attest to the impact of FNS programs on people: In FY 1998, about $17 billion in food benefits was provided to an average of nearly 20 million people each month through the Food Stamp Program (FSP); more than 5 billion (yes, billion) nutritious meals were served by the National School Lunch and School Breakfast Programs to more than 27 million children each day, over 60 percent of them free or at reduced price; and more than $2 billion in nutritious supplemental food was provided to 7.4 million women, infants, and children every month through the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC).
Passage of the WIC-Child Nutrition Reauthorization Legislation, Public Law 105-336
The passage of Public Law 105-336 represents the most significant expansion of child nutrition programs in decades, and the first reauthorization legislation proposed by the Executive Branch in more than 20 years. Signed by President Clinton on October 31, 1998, Public Law 105-336 expands childrens access to nutrition assistance and improves program operation, management, integrity, and safety. Public Law 105-336 will allow youths aged 13 to 18 to receive nutritious snacks in after-school care programs, providing a strong incentive to draw low-income, at-risk youths into safe, constructive after-school activities. Expansion of availability of nutritious meals and snacks to older children is expected to draw 1 million children a day into after-school programs.
Outreach for Childrens Health Insurance
By a simple check-off on their applications for free and reduced-price school meals, low-income parents will be able to receive information about health benefits through Medicaid or CHIPthe Childrens Health Insurance Programcreated under the Balanced Budget Act of 1997. More than 15 million children in the United States qualify for free or reduced-price meals through the school programs. Many of those children are also eligible for one of the insurance programs. The insurance check-off is meant to reach parents of the 10 million American children who currently are not covered, including 4.7 million who are eligible for Medicaid but are not enrolled.
| USDA Helps Storm Victims Following the April 18, 1998, tornado that hit Birmingham, Alabama, USDA approved a modified food stamp program for Jefferson County, Alabama, providing assistance to individuals whose homes were destroyed or damaged. |
Gleaning Remains a Priority
FNS in July provided grants to 13 school districts around the country to help them find ways to increase their food donations to needy people. FNS also worked with the National Restaurant Association to publish a food recovery guide for restaurants, and coordinated efforts of other Federal agencies to facilitate food donations. All of these efforts contribute to USDAs goal of increasing food recovery by 33 percent.
Implementing Welfare Reform
FNS has been active on a number of fronts to help States implement the 1996 welfare reform law, and subsequent legislation that modified the 1996 law:

Some 225,000 immigrants who lost food stamp benefits under the welfare reform law had those benefits restored as of November 1 because of FNSs work with the Administration on the agricultural research bill, which passed in May 1998. FNS also developed guidance for States on implementation and bilingual informational material for immigrants.
Prior to passage of the benefits restoration, FNS provided technical support for 13 States to establish State-funded food stamp programs to provide benefits to more than 170,000 of the most vulnerable of those who lost their Federal benefits.
Improving Management of the Food Stamp Program
September 1998 marked a major milestone in the development of Electronic Benefit Transfer (EBT) nationwide: more than 50 percent of all food stamp benefits issued are now issued through EBT systems. Today, 36 States and the District of Columbia are operating EBT systems, up from 25 a year ago. Twenty-nine of these States are now using EBT statewide, while only 16 were statewide at this time last year.
| Food Recovery in Illinois USDA officials in Illinois and the Illinois Council of Churches co-hosted a gleaning and food recovery workshop June 26 in Springfield, Illinois, to help interested groups learn needed skills and share information. Topics included How to start a gleaning or food recovery project, What workswhat doesnt, and Getting the community involved. It also included sessions on farmers markets, transportation issues, and interstate partnership possibilities. |
Continuing its commitment to fighting fraud, FNS implemented tough new integrity provisions for food stamp retailers, including pre-authorization screening, tougher post-authorization controls, and stiffer penalties for violators. During FY 1998, the Food Stamp Program investigated 5,178 retailers, and fined or disqualified 1,201 for program violations. Of those, 719 retailers, with redemptions of $49.5 million, were identified as having engaged in trafficking (the exchange of food stamps for cash).
Continuing its series of compliance sweeps, the Food Stamp Program Compliance Branch in April 1998 mounted a 3-week intensive nationwide effort, dubbed Operation Spring Clean, that focused on seven areas of the country. In all, 717 food stamp retailers were investigated in the seven sweep areas; 115 were caught trafficking and were immediately removed from the program pending further investigation. Immediate removal from the program in trafficking cases was among the new authorities granted to FNS under the welfare reform law. A total of 290 retailers were caught in program violations of all kinds.
WIC Farmers Market Nutrition Program Gets Funding Increase
Funding for the Farmers Market Nutrition Program was increased to $12 million in 1998, an increase of $5.25 million from last year, allowing the program to expand in current States and into five more State WIC agencies, bringing the total to 32 States, the District of Columbia, and two Indian tribal organizations. More than 1 million WIC participants currently receive farmers market benefits to purchase fresh foods from over 8,200 farmers nationwide.
Breastfeeding Promotion
More than 50 WIC State agencies are now participating in USDAs national breastfeeding promotion effort, the Loving Support Makes Breastfeeding Work campaign kicked off by Secretary Glickman in 1997. Promotional materials geared to various ethnic groups, TV and radio spots in English and Spanish, and banners and other promotional items are available for purchase by WIC State agencies, the medical and health community, and the public to educate not only mothers but the entire community about breastfeeding.
| Hammer Award Goes to South Carolina
Combined Application Project (SCCAP) Working together, employees in the Social Security Administration (SSA) and FNS in South Carolina improved the way they deliver food assistance to elderly and disabled individuals. Eligible applicants may apply for food stamps jointly with supplemental security income (SSI) at the Social Security office. SSA determines FSP eligibility at the same time it determines eligibility for SSI. In the past, SSA employees completed a paper food stamp application (usually 8 to 11 pages) and sent it to the food stamp office for the State to process. But they no longer use a long paper form. This team developed a one-stop computer-based, online program, which eliminates two interviews and the need to visit several offices. So far, SCCAP has brought in approximately 840 new SSI/FSP recipients each year of the demonstration, and outreach efforts have brought in over 8,500 new FSP cases. The project has also allowed the States to reallocate the equivalent of 40 full-time caseworkersa savings of over $700,000. |
Improving Child Nutrition
In the autumn of 1998, FNS introduced yourSELF, a nutrition education kit aimed at middle school-age children. This represents a major expansion of the nutrition education initiative, which has been focused heretofore on elementary-age children. Introduction of yourSELF will increase the number of healthy-eating messages children receive.
FDPIR Food Package Improvements
People participating in USDAs Food Distribution Program on Indian Reservations (FDPIR) began receiving a better, more healthful food package in 1998. Working with Native American tribal leaders, FNS developed a food package with more variety and choices without increasing the cost. Changes include more user-friendly products, such as frozen, cut-up chicken and sliced cheese rather than blocks. More low-fat and high-fiber products are included, such as bran cereal and low-fat refried beans. Other new products include egg noodles, quick oats, and more fruits and vegetables.
Memorandum of Understanding With HUD for Co-Location of Programs
People in federally supported housing developments will have better access to USDAs nutrition, education, and child care programs because of a pilot program announced in May by Agriculture Secretary Dan Glickman and Housing and Urban Development (HUD) Secretary Andrew Cuomo. At pilot program sites in eight cities, USDA nutrition programs such as food stamps, WIC, child care, summer food service, and education programs offered through USDAs Cooperative State Research, Education, and Extension Service will be available to residents through offices located in their housing complex.
Mission
The mission of the Center for Nutrition Policy and Promotion (CNPP) is to improve the nutritional status of Americans by serving as the focal point within USDA for linking scientific research to the consumer. CNPP provides direction and coordination for USDAs nutrition education and policy activities. The center helps enhance the nutritional status of Americans by serving as the focal point for the Department in translating nutrition research into information materials to increase public understanding of the importance of good nutrition and a healthful diet.
Dietary Guidelines for the 21st Century
CNPP launched the Year 2000 update of the Dietary Guidelines for Americans with the first public meeting of the Dietary Guidelines Advisory Committee in September 1998. Every 5 years, the advisory committee, composed of experts in the fields of nutrition and health, meets to review the current dietary guidelines. During the review, the latest scientific evidence is considered in determining whether to recommend to the Secretaries of Agriculture and Health and Human Services that the guidelines be modified.
The Cost of Raising a Child in America
This CNPP report, published annually, outlines the cost of raising a child to age 18. As in years past, this years report received a great deal of attention in the news media, including a March 1998 cover story in U.S. News and World Report. Issuing the report from CNPP helps to solidify CNPPs standing as the governments best source of information on nutrition, health, and family economics.
The Healthy Eating Index: A Report Card on the American Diet
In July, CNPP issued its report card on the American diet, the Healthy Eating Index (HEI). The 1998 index showed that Americans in general are eating betternutritionally speakingthan in past years, with the average HEI score rising about 2 points to 64 (still in the needs improvement range). USDA is using the demographic results of the HEI survey to target nutritionally at-risk populations with nutrition education programs through the FNS food assistance programs. CNPP will continue to analyze the results of food intake studies conducted by USDAs Agricultural Research Service, publicizing the results and raising awareness among the general public of the importance of a healthy diet.
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