USDA 2007 Farm Bill Proposals - US Department of Agriculture

FOOD DISTRIBUTION PROGRAM ON INDIANRESERVATIONS (FDPIR)Recommendation in BriefIncrease funding by $27 million over 10 years to better reflect the actual administrative costs ofthe Food Distribution Program on Indian Reservations (FDPIR) and provide a structured methodfor allocating administrative funds among the Indian Tribal Organizations (ITO). Align nutritionassistance program disqualification policies to ensure that those barred from participation inFDPIR for intentional program violations are also disqualified from participation in the foodstamp program.ProblemThe current allocation of FDPIR administrative funding does not correlate with participationlevels. As a result, ITOs with higher FDPIR participation levels may not receive administrativefunds proportionate to the number of persons served.Individuals who are disqualified from FDPIR for intentional violations may be eligible for theFSP, which provides comparable benefits to participants.Recommended SolutionThe Administration proposes revising the current FDPIR formula to provide a structured andequitable method for allocating administrative funds among ITOs and States participating inFDPIR. Additionally, an increase in funding is proposed for FDPIR administrative costs to betterreflect the actual participation rates in FDPIR. This proposal is consistent with therecommendations from a FDPIR work group charged with identifying plans to reduce regionaldisparities in the administrative funding provided per participant. Re-allocating funds basedprimarily on program participation has wide support. An estimated $26 million increase over 10years in the level of FDPIR funding for administrative costs would ensure that any change to thecurrent funding formula would allow all states or ITOs to continue their current allotments orreceive a modest increase depending on their level of participation.This proposal would ensure a more consistent level of service across FDPIR programs and wouldimprove program access, promote healthy eating, and enhance program integrity. Currently,some tribes are better capable of serving their participants because they benefit from thehistorical inequity in the distribution of existing administrative resources. Many ITOs cannotprovide a wide variety of foods or readily serve eligible participants because they lack fundsneeded to buy and maintain expensive equipment and other items. For example, some programsdo not offer fruits, vegetables and meats because they lack the ability to properly store them, andtheir participants are not receiving as nutritious a food package as they could be. Some programscannot serve homebound or individuals living in remote areas because they do not have reliabledelivery equipment. FDPIR was designed to serve participants who may be located in areaswhere access to stores is difficult so it is important to be able to effectively transport foods. Foodsafety also is a concern; programs that cannot maintain adequate storage facilities risk providingspoiled or damaged foods to participants.USDA 2007 Farm Bill Proposals Page 99 of 183