Mr. WELLS. We think next year we will pass the billion dollar mark. The largest portion of that comes from the children and their parents.

DONATIONS OF PRICE-SUPPORTED COMMODITIES

Mr. MICHEL. On the same train of thought, the school lunch program, do I understand this hundred million dollars, includes the roughly $74 million of donated-commodities or exclusive of them? Mr. MILLER. That is exclusive of the donations of surplus commodities.

Mr. MICHEL. All right. In this $74 million of donated items, we find butter, cheese, dried milk, beans, wheat flour, cornmeal, and rice. So there are seven.

Mr. MILLER. There could be less and there could be more, Congressman. As our inventories fluctuate, that is.

Mr. MICHEL. Now, are these particular items distributed throughout the country pretty equally? In other words, take for instance, dairy products; butter, cheese, and dried milk. Is there a wider distribution of these in the dairy States of Wisconsin and New York, or does most of theses commodities go to the nondairy States?

Mr. WELLS. First of all, Mr. Michel, these items which the CCC has in surplus and is able to donate, we give first priority to the school lunch program in donating them. Secondly, they are donated in response to requests from the State school lunch directors. In other words, we don't tell them you must take this much-they say we would like to have this much—although we do in all fairness have rules as to maximum amounts which we suggest to them as about as much as you can put into a school-lunch program.

Now, your last question let me refer to Mr. Howard Davis, and see if he knows whether the dairy States request more than the nondairy States.

Mr. DAVIS. I wouldn't want to be held specifically to this, but there have been cases where the dairy States have requested less of the dairy commodities than some of the other States. But, by and large, it depends on how well the schools are able to utilize the commodities. And as Mr. Wells has said, we give them whatever they ask for, as long as we have enough to give.

Mr. MICHEL. I would, frankly, expect that someone who is further away from the dairy region would purchase dairy foods through the school lunch program, and get the benefit of cheaper cost by virtue of the Government picking up the tab for the transportation cost. Mr. WELLS. There would be a tendency for the children in the dairy region to have more dairy products at home, too.

Mr. MICHEL. Right. Now, would you provide for the record the requests by States of those particular items?

Mr. WELLS. You really want the amounts supplied?

Mr. MICHEL. Right.

Mr. WELLS. And the number of children and the amount per child? Mr. MICHEL. Right.

Mr. WELLS. We can do that. We will pick a representative period and tell you how much was shipped and about what the participation was per child.

(The information referred to follows:)

Quantity of dairy products distributed to schools, fiscal year 1958

NOTE. Since data are not available on the beginning and ending inventories of these commodities in schools in the States, the amounts distributed may not coincide with actual use during the year. The data by State on number of children participating in the program in the peak month of fiscal year 1958 are reflected later in this record. Because of lack of comparability in the data, calculations on a per capita basis have not been made.

Mr. MICHEL. All right. Now, of these items that would be included in the $100 million, what is the list of products there? Is that an elongated list?

Mr. LENNARTSON. No, the list of section 6 items is not long. I could name them here.

Mr. MICHEL. Roughly, it is how many items?

Mr. LENNARTSON. Eight items.

Mr. MICHEL. Would you supply a list of those for the record.

And then would you break that down by States as to how that is distributed?

Mr. LENNARTSON. That can be done.

(The information referred to follows:)

National school lunch program-Cost of section 6 commodities distributed to schools 1

fiscal year 1958

1

1 Represents total cost to the Government. Includes commodity cost and transportation on carload lots to central receiving points in each State.

*Less than $500.

Mr. SANTANGELO. Would the gentleman yield?

Mr. MICHEL. Yes.

BREAKDOWN OF THE SCHOOL LUNCH APPROPRIATION

Mr. SANTANGELO. The $100 million, as I understand it, of actual money, part of that is for the purchase of items of food by the Department of Agriculture, and the rest of the money is distributed to the States where they purchase their own foods, is that correct? Mr. MILLER. The $100 million all goes to the States.

Mr. LENNARTSON. No, excuse me.

Mr. MILLER. I am sorry.

Mr. MICHEL. Let's have a clarification.

Mr. HOLMAAS. $83.6 million of the $100 million goes in terms of cash assistance. Then the section 6 money, which is approximately $15 million goes in terms of commodities that are procured and distributed from the national level. The remainder of the $100 million goes for operating expenses.

Mr. MICHEL. Is that roughly $98.6 million, then, distributed to the States on the basis of what kind of formula? Population only?

Mr. WELLS. No, the law provides that the cash contribution shall be distributed in proportion to school-age population and inversely to income per capita in the States. It has two factors to it. The low income States-low income per capita-get proportionately more, in relation to the school population.

Mr. MICHEL. Can we have that list in the record by States, as to which State actually in a sense then is getting more on the basis of per capita income, or at least in that order, if you get what I mean? Mr. WELLS. Yes.

(The information referred to follows:)

NATIONAL SCHOOL LUNCH ACT

(Public Law 396, 79th Cong., June 4, 1946, 60 Stat. 231)

APPORTIONMENTS TO STATES

Apportionment among the States shall be made on the basis of two factors: (1) The number of school children in the State and (2) the need for assistance in the State as indicated by the relation of the per capita income in the United States to the per capita income in the State. The amount of the initial apportionment to any State shall be determined by the following method: First, determine an index for the State by multiplying factors (1) and (2); second, divide this index by the sum of the indices for all the States; and, finally, apply the figure thus obtained to the total funds to be apportioned. For the purpose of this section, the number of school children in the State shall be the number of children therein between the ages of 5 and 17, inclusive; such figures and per capita income figures shall be the latest figures certified by the Department of Commerce. For the purposes of this act, "school" means any public or nonprofit private school of high school grade or under and, with respect to Puerto Rico, shall also include nonprofit child care centers certified as such by the Governor of Puerto Rico. If any State cannot utilize all funds so apportioned to it, or if additional funds are available under this act for apportionment among the States, the Secretary shall make further apportionments to the remaining States in the same manner.

Following is the initial apportionment by States of funds available for the national school lunch program, fiscal year 1958, which reflects the application of the formula to the cash payment portion of the $100 million appropriation: