,,ii #aacth ,,congress #ast ,session ,s4 #hba ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,april #be1 #bjac ,mrs4 ,gillibrand 7for herself1 ,mr4 ,brown1 ,mr4 ,cowan1 ,mr4 ,casey1 ,mr4 ,sanders1 ,mr4 ,schumer1 ,mr4 ,harkin1 and ,mr4 ,franken7 introduced the following bill2 which was read twice and referred to the ,committee on ,agriculture1 ,nutrition1 and ,forestry ,a ,,bill ,to amend the ,department of ,agriculture ,reorganization ,act of #aiid to establish in the ,department of ,agriculture a ,healthy ,food ,financing ,initiative4 #a4 ,short title ,this ,act may be cited as the ,healthy ,food ,financing ,initiative4 #b4 ,findings ,congress finds that-- 7#a7 7,a7 developing high-quality fresh food retail outlets creates jobs1 expands markets for agricultural producers in the ,united ,states1 advances health1 and supports economic vitality in underserved communities2 7,b7 model programs in several ,states and cities 7including the ,states of ,california1 ,illinois1 ,new ,york1 and ,pennsylvania and the city of ,new ,orleans7 have shown success in creating public_/private partnerships that leverage millions in private capital and grant funds to establish successful retail outlets in low-income underserved communities2 7,c7 as a result of those programs1 thousands of jobs have been developed1 hundreds of thousands of people are gaining access to healthy food1 and sustainable businesses have been developed2 7,d7 despite those successes1 more than #be1jjj1jjj people in the ,united ,states live in low-income communities with very limited access to supermarkets1 grocery stores1 and healthy food2 7#b7 7,a7 with an increasing demand for fresh local foods1 regional food hubs are rapidly expanding1 with well over #bjj food hubs operating in the ,united ,states as of the date of enactment of this ,act2 7,b7 regional food hubs are part of a growing local food system that strengthens rural economies by lowering entry barriers and improving infrastructure to establish1 as well as expand1 regional food markets2 and 7,c7 many food hubs are designed to move locally produced food into underserved communities2 7#c7 7,a7 supermarkets and grocery stores often face barriers to opening stores in communities with very limited access to healthy food1 also known as food deserts2 7,b7 the supermarket industry operates on a historically thin profit margin2 7,c7 according to the #bjaa ,national ,grocers ,association ,independent ,grocers ,survey1 the average net profit margin before taxes for independent grocers in #bjaj was #a4jh percent2 7,d7 urban operators face barriers1 including-- 7i7 increased real estate costs or limited availability of suitable commercial real estate in the community2 7ii7 increased employee training needs and costs2 7iii7 elevated security expenses2 and 7iv7 often zoning restrictions2 and 7,e7 supermarkets and grocery stores in rural food deserts also face barriers1 including increased food delivery costs due to distance from distributers1 dispersed customer base1 and low volume2 7#d7 7,a7 the ,united ,states faces an obesity epidemic in which #cj4e percent of children ages #aj through #ag are overweight or obese2 7,b7 the obesity epidemic contributes to increasing rates of chronic illness1 including diabetes1 heart disease1 and cancer2 and 7,c7 the obesity epidemic cost the ,united ,states #adg1jjj1jjj in medical expenses in #bjjh1 and this cost is expected to rise in the future2 7#e7 more than #agj studies show that-- 7,a7 access to healthy food is particularly a problem in hundreds of low-income1 rural1 and urban communities1 as well as communities of color in the ,united ,states2 and 7,b7 the opportunity to access healthy food is linked to lower levels of obesity1 diabetes1 and other food-related chronic illnesses1 leading to better health outcomes2 7#f7 7,a7 children from low-income families are twice as likely to be overweight as children from higher income families2 and 7,b7 ,african-,american and ,hispanic children are more likely than ,caucasian children to be obese2 7#g7 studies show that when healthy foods are available1 people will increase consumption of fruits and vegetables2 7#h7 leading public health experts1 including the ,centers for ,disease ,control and ,prevention1 the ,american ,heart ,association1 the ,institute of ,medicine1 and the ,american ,public ,health ,association1 agree that providing improved access to supermarkets and grocery stores is needed to improve public health and prevent obesity2 7#i7 access to affordable capital is a significant problem for rural and urban supermarkets1 grocery stores1 regional food hubs1 farmers markets1 and healthy food retail business enterprises2 7#aj7 by providing seed capital and technical assistance1 the ,federal ,government1 through time-limited investments1 can-- 7,a7 attract private sector investment to create and retain much-needed jobs2 and 7,b7 provide long-term1 sustainable solutions to the decades-old problem of limited access to healthy food in underserved1 low-income urban and rural communities2 and 7#aa7 legislation establishing a national fund modeled on successful programs in ,pennsylvania and other ,states and localities will help create much-needed jobs and economic revitalization1 address an important part of the obesity epidemic1 and solve the healthy food access problem in hundreds of communities across the ,united ,states4 #c4 ,healthy food financing initiative 7a7 ,in general ,subtitle ,d of the ,department of ,agriculture ,reorganization ,act of #aiid 7#g ,u4,s4,c4 #fiea7 is amended by adding at the end the following3 #bdb4 ,healthy food financing initiative 7a7 ,purpose ,the purpose of this section is to establish a program to improve access to healthy foods in underserved areas1 to create and preserve quality jobs1 and to revitalize low-income communities by providing loans and grants to eligible healthy food retailers to overcome the higher costs and initial barriers to entry in underserved1 urban1 suburban1 and rural areas4 7b7 ,definitions ,in this section3 7#a7 ,community development financial institution ,the term community development financial institution has the meaning given the term in section #ajc of the ,community ,development ,banking and ,financial ,institutions ,act of #aiid 7#ab ,u4,s4,c4 #dgjb74 7#b7 ,farmers market ,the term farmers market means a common facility or area where several agricultural producers gather on a regular1 recurring basis to sell a variety of fresh fruits and vegetables and other locally grown farm products directly to consumers4 7#c7 ,food access organization ,the term food access organization means a nonprofit organization with expertise in improving access to healthy food in underserved communities4 7#d7 ,healthy food retailer ,the term healthy food retailer means a commercial1 cooperative1 and nonprofit seller of fresh or healthy food1 including a grocery store1 mobile healthy food retailer1 farmers market1 cooperative1 corner store1 bodega1 or other store that sells other food and non-food options along with a full range of fresh or healthy foods4 7#e7 ,initiative ,the term ,initiative means the ,healthy ,food ,financing ,initiative established in the ,department by subsection 7c77#a74 7#f7 ,local funds ,the term local funds means the allocation of national funds and any other forms of financial assistance 7including grants1 loans1 and equity investments7 that are raised by partnerships to carry out the purposes of this section4 7#g7 ,national funds ,the term national funds means any ,federal appropriation made to carry out this section and any other forms of financial assistance 7including grants1 loans1 and equity investments7 that are raised by the national fund manager to carry out the purposes of this section4 7#h7 ,national fund manager ,the term national fund manager means a community development financial institution in existence as of the date of enactment of this section and certified by the ,community ,development ,financial ,institutions ,fund of the ,department of the ,treasury that is designated by the ,secretary to manage the ,initiative for purposes of-- 7,a7 raising private capital2 7,b7 providing financial and technical assistance to partnerships2 and 7,c7 funding eligible projects directly at the request of partnerships to attract healthy food retailers to underserved urban1 suburban1 and rural areas1 in accordance with this section4 7#i7 ,partnership 7,a7 ,in general ,the term partnership means a regional1 ,state1 or local public and private partnership that is organized to improve access to fresh1 healthy foods by providing financial and technical assistance to eligible projects4 7,b7 ,inclusions ,the term partnership includes-- 7i7 an unit of ,state1 local1 or tribal government or a quasi-public ,state or local government agency2 7ii7 a food access or community health organization committed to improving access to healthy foods2 7iii7 a community development financial institution or other organization that is capable of administering a loan and grant program in accordance with this section2 and 7iv7 other organizations interested in improving access to healthy foods in underserved areas4 7#aj7 ,regional food hub ,the term regional food hub means a business or organization that actively manages the aggregation1 distribution1 and marketing of source-identified food products primarily from local and regional producers to strengthen the ability of the producers to satisfy wholesale1 retail1 and institutional demand4 7c7 ,establishment 7#a7 ,in general ,there is established in the ,department a ,healthy ,food ,financing ,initiative4 7#b7 ,management ,not later than #a year after the date of enactment of this section1 the ,secretary shall select and enter into a grant agreement with a national fund manager who shall be responsible for the management of the ,initiative nationally4 7#c7 ,eligible projects 7,a7 ,in general ,subject to the requirements of this paragraph1 the national fund manager shall establish the eligibility criteria for projects to be assisted by the ,initiative4 7,b7 ,requirements ,to be eligible to receive assistance through the ,initiative1 a project shall-- 7i7 include a supermarket1 grocery store1 regional food hub1 farmers market1 or other healthy food retailer2 7ii7 consist of a for-profit business enterprise1 a member- or worker-owned cooperative1 or a nonprofit organization2 7iii7 meet the eligibility criteria established under this section2 7iv7 continue to be a viable business enterprise with a financial viability plan2 7v7 require an investment of public funding to move forward and be competitive2 7vi7 operate on a self-service basis2 7vii7 in accordance with subparagraph 7,c71 expand or preserve the availability of healthy1 fresh1 high quality unprepared foods1 particularly fresh fruits and vegetables1 in underserved areas2 and 7viii7 7,i7 agree to accept benefits under the supplemental nutrition assistance program established under the ,food and ,nutrition ,act of #bjjh 7#g ,u4,s4,c4 #bjaa et seq472 or 7,,ii7 in the case of a regional food hub1 serve those retailers that accept supplemental nutrition assistance program benefits4 7,c7 ,requirements 7i7 ,definitions ,in this subparagraph3 7,i7 ,perishable food 7aa7 ,in general ,the term perishable food means food that is fresh1 refrigerated1 or frozen4 7bb7 ,exclusion ,the term perishable food does not include canned goods4 7,,ii7 ,staple food 7aa7 ,in general ,the term staple food means food that is a basic dietary item1 including bread1 flour1 fruits1 vegetables1 and meat4 7bb7 ,exclusions ,the term staple food does not include snack or accessory food 7such as chips1 soda1 coffee1 condiments1 and spices7 or ready-to-eat1 prepared food4 7,,iii7 ,variety ,the term variety means an assortment of different types of food items4 7ii7 ,availability of fresh fruits and vegetables ,for purposes of subparagraph 7,b77vii71 to expand or preserve the availability of fresh fruits and vegetables in underserved areas shall mean that the project-- 7,i7 carries a variety of fresh produce1 as defined by the national fund manager to reflect differences in project size and type2 7,,ii7 sells food for home preparation and consumption2 and 7,,iii7 at a minimum-- 7aa7 offers for sale at least #c different varieties of food in each of the #d staple food groups 7bread and grains1 dairy1 fruits and vegetables1 and meat1 poultry1 and fish71 with perishable food in at least #b categories1 on a daily basis2 or 7bb7 has a store at which at least #ej percent of the total sales of the store 7including food and nonfood items or services7 are from the sale of eligible staple food4 7iii7 ,regional food hubs ,for purposes of subparagraph 7,b77vii71 to expand or preserve the availability of fresh fruits and vegetables in underserved areas shall mean that the project supplies a variety of fresh produce to a healthy food retailer that is-- 7,i7 located in an underserved1 low and moderate income area2 and 7,,ii7 participating in the supplemental nutrition assistance program established under the ,food and ,nutrition ,act of #bjjh 7#g ,u4,s4,c4 #bjaa et seq474 7,d7 ,income criteria ,each eligible project shall be located in or1 in the case of a regional food hub1 serve-- 7i7 a low- or moderate-income census tract1 as determined by the ,bureau of the ,census of the ,department of ,commerce2 7ii7 a population census tract that is treated as a low-income community under section #de;,d7e7 of the ,internal ,revenue ,code of #aihf2 or 7iii7 an area that significantly serves an adjacent area that meets the criteria described in clause 7i7 or 7ii71 as approved by the national fund manager4 7,e7 ,underserved criteria 7i7 ,in general ,each eligible project shall be located in or1 in the case of a regional food hub1 serve an underserved area1 as determined by the partnerships according to criteria established by the national fund manager4 7ii7 ,factors ,in determining whether an area is an underserved area1 the following factors shall be taken into consideration3 7,i7 ,population density4 7,,ii7 ,below average supermarket density or sales4 7,,iii7 ,car ownership4 7,,iv7 ,geographical or physical barriers1 such as highways1 mountains1 major parks1 or bodies of water4 7iii7 ,locations ,on an annual basis1 the national fund manager shall collect data and publish maps that show the location of underserved areas4 7,f7 ,serving an underserved area ,for the purposes of subparagraphs 7,d7 and 7,e71 to serve an underserved area shall mean that the project to which the regional food hub supplies fresh produce or other healthy foods includes-- 7i7 healthy food retailers that participate in the supplemental nutrition assistance program established under the ,food and ,nutrition ,act of #bjjh 7#g ,u4,s4,c4 #bjaa et seq472 7ii7 healthy food retailers that are located in low and moderate income areas described in subparagraph 7,d72 and 7iii7 institutions such as hospitals1 schools1 and food banks that largely serve low and moderate income areas as so described4 7#d7 ,priority projects 7,a7 ,in general ,priority shall be given to projects that-- 7i7 are located in severely distressed low-income communities1 as defined by the ,community ,development ,financial ,institutions ,fund of the ,department of the ,treasury2 and 7ii7 include #a or more of the following characteristics3 7,i7 ,the project will create or retain quality jobs in the community1 as determined in accordance with subparagraph 7,b74 7,,ii7 ,the project has community support in terms of store quality1 affordability1 site location1 and coordination with local community plans or other programs promoting community and economic development4 7,,iii7 ,the project supports regional food systems and locally grown foods1 to the extent available4 7,,iv7 ,in major metropolitan areas1 the project is associated with a transit-oriented development project4 7,v7 ,in areas with public transit1 the project is accessible by public transit4 7,,vi7 ,the project involves the reuse of a building that is listed in or eligible for the ,national ,register of ,historic ,places4 7,,vii7 ,the project involves a brownfield or grayfield 7as those terms are used in the ,comprehensive ,environmental ,response1 ,compensation1 and ,liability ,act of #aihj 7#db ,u4,s4,c4 #ifja et seq4774 7,,viii7 ,the estimated energy consumption of the project1 calculated using building energy software approved by the ,department of ,energy1 will qualify the project for designation under the ,energy ,star program established by section #cbd;,a of the ,energy ,policy and ,conservation ,act 7#db ,u4,s4,c4 #fbid;a74 7,,ix7 ,the project involves women- and minority-owned businesses4 7,b7 ,quality jobs ,for purposes of subparagraph 7,a77ii77,i71 a quality job is a job that-- 7i7 provides wages that are comparable to or better than similar positions in existing businesses of similar size in similar local economies2 7ii7 offers benefits that are comparable to or better than what is offered for similar positions in existing local businesses of similar size in similar local economies2 and 7iii7 is targeted for residents of neighborhoods with a high proportion of persons of low income 7as that term is defined in section #ajb7;a7 of the ,housing and ,community ,development ,act of #aigd 7#db ,u4,s4,c4 #ecjb7;a777 through local targeted hiring programs4 7d7 ,duties of the ,secretary 7#a7 ,in general ,the ,secretary shall-- 7,a7 designate a national fund manager to manage national funds2 7,b7 oversee the ,initiative nationally2 7,c7 work closely with the designated national fund manager-- 7i7 to ensure that funds are used appropriately and in the most effective manner practicable2 and 7ii7 to develop the program strategy into a detailed work plan1 program1 and operating budget2 7,d7 review and approve the operating budget for the national fund manager to ensure that the administrative costs are-- 7i7 reasonable 7not more than #e percent of the total budget72 7ii7 connected to the costs of operations2 and 7iii7 reflect efficient operations by the national fund manager2 and 7,e7 make available to the public an annual report1 using data obtained from the ,department of ,agriculture1 the ,department of ,health and ,human ,services1 and the ,community ,development ,financial ,institutions1 that describes the impacts of the ,initiative1 including tracking health and economic development indicators at the local1 ,state1 and national levels to determine the impacts of individual projects and the collective impact in local areas and statewide of funded projects and the ,initiative overall4 7#b7 ,national fund manager ,the ,secretary shall-- 7,a7 select the national fund manager through a competitive process from among community development financial institutions that have a proven and recent track record of success and effectiveness in-- 7i7 attracting private capital2 7ii7 developing and managing programs that provide grants and loans to support supermarkets and other healthy food retailer business enterprises in low- and moderate-income communities1 including the development of grocery stores1 farmers markets1 and other healthy food retailer models2 7iii7 making and servicing loans that are similar to loans proposed in the ,initiative or having a record of otherwise successfully investing in healthy food retailer development projects2 7iv7 effectively managing multiple contracts and subcontractors2 7v7 effectively managing large capital pools1 of at least #ajj1jjj1jjj2 and 7vi7 providing or contracting for the provision of technical assistance2 and 7,b7 administer the ,initiative by approving the disbursement of funds to the national fund manager in a manner that facilitates the implementation of the overall ,initiative4 7#c7 ,coordination 7,a7 ,in general ,not later than #de days after the date of receipt of an award1 the national fund manager shall develop1 with guidance from and in consultation with the ,secretary1 and submit to the ,secretary1 a detailed work plan4 7,b7 ,approval required ,the ,secretary shall review and approve the work plan1 program budget1 and administrative costs under subsection 7e77#d77;,c7 prior to entering into an agreement with the national fund manager to administer the ,initiative4 7#d7 ,performance targets 7,a7 ,in general ,the ,secretary shall conduct financial audits of1 and establish performance targets for1 the national fund manager1 which shall include1 at a minimum1 the requirements described in this paragraph4 7,b7 ,geographic spread ,partnerships funded by the ,initiative shall be geographically diverse and representative of the underserved areas across the ,united ,states4 7,c7 ,focus on low-income communities ,a substantial portion of the projects funded by partnerships shall serve very low- and low-income communities1 as defined by the ,bureau of the ,census of the ,department of ,commerce4 7,d7 ,financial effectiveness of the national fund manager ,the national fund manager and any local financial institution involved in a partnership shall demonstrate on-going capacity and timeliness in raising private capital and disbursing funds as required under the ,initiative4 7,e7 ,technical assistance effectiveness of the national fund manager ,the provision of technical assistance by the national fund manager shall be evaluated based on-- 7i7 the responsiveness of the national fund manager to requests for assistance2 and 7ii7 the ability of the national fund manager to craft programs that develop needed new capacities in partnerships4 7,f7 ,impact ,performance targets shall address the allocation of funds by the national fund manager to partnerships and the tracking and reporting of the impacts of the funds in improving access to fresh1 healthy foods and in achieving other related impacts4 7e7 ,duties of the national fund manager 7#a7 ,allocation of funds 7,a7 ,in general ,the national fund manager shall-- 7i7 allocate at least #gj percent of any ,federal appropriation made to carry out this section to partnerships that are selected based on the criteria described in paragraph 7#c72 7ii7 retain not more than #cj percent of any ,federal appropriation made to carry out this section to undertake financing activities described in subparagraph 7,c71 including a reasonable amount for administrative costs 7not to exceed #e percent7 approved by the ,secretary in accordance with paragraph 7#d77;,c72 7iii7 use not more than #be percent of any ,federal appropriation made to carry out this section to establish regional food hubs4 7,b7 ,use of the national funds by partnership programs 7i7 ,in general ,as a condition on the receipt of funds1 each partnership shall use-- 7,i7 the national funds received from the national fund manager under subparagraph 7,a77i7 to create #a or more revolving loan programs or other revolving pools of capital or other products to facilitate financing of local projects as determined by the agreement between the partnership and the national fund manager2 and 7,,ii7 any remaining funds for grants1 or1 as approved1 for innovative financing mechanisms4 7ii7 ,limitations 7,i7 ,in general ,use of funds for administrative costs and other purposes shall be-- 7aa7 limited in accordance with the terms of the agreement negotiated between the national fund manager and partnerships2 7bb7 based on whether administrative costs are reasonable1 connected to the costs of operation1 and reflect efficient operations by the partnership2 and 7cc7 determined using criteria including geographic coverage1 program duration1 and total funding amount4 7,,ii7 ,goal ,the goal of this clause to limit administrative costs to the maximum extent practicable1 but in no case may the amount used for administrative costs exceed #aj percent of the ,federal funds allocated4 7,c7 ,use of the national funds by the national fund manager ,the national fund manager shall use national funds described in subparagraph 7,a77ii7 to undertake financing and other activities to enhance and maximize the effectiveness of the ,initiative1 as determined by the agreement with the ,secretary1 including-- 7i7 attracting other forms of financial assistance to match or leverage the national funds2 7ii7 awarding national funds to partnerships in accordance with paragraph 7#c72 7iii7 creating and managing pools of grant or loan capital that blend or leverage national funds with other forms of financial assistance1 including capital in the form of tax credits under section #de;,d of the ,internal ,revenue ,code of #aihf1 for the benefit of partnerships2 7iv7 creating and managing pools of grant or loan capital that blend or leverage the national funds with other forms of financial assistance1 including capital in the form of tax credits under section #de;,d of the ,internal ,revenue ,code of #aihf1 to finance eligible local projects identified by partnerships or the national fund manager that have special or unique characteristics2 7v7 providing loans or grants directly to eligible local projects as matching funds if requested by a partnership2 7vi7 providing credit enhancement or other financial products and instruments for the benefit of partnerships or eligible local projects2 7vii7 providing technical assistance2 and 7viii7 funding reasonable administrative costs approved by the ,secretary in accordance with paragraph 7#d77;,c74 7#b7 ,responsibilities of the national fund manager ,the designated national fund manager shall-- 7,a7 raise other forms of financial assistance to match or leverage the national funds2 7,b7 use administrative funds to develop appropriate training programs and offer technical assistance services to-- 7i7 partnerships2 7ii7 ,state1 local1 and tribal governments2 7iii7 the food retail industry2 and 7iv7 food access and health advocacy organizations to augment local capacities2 7,c7 develop financial products such as loans1 grants1 and credit enhancement tools that can be used by partnerships to incentivize and support the development and retention of supermarkets and other healthy food retailers in underserved areas2 7,d7 award ,initiative funds to eligible partnerships through an annual competitive process in accordance with paragraph 7#c72 7,e7 contract with a national food access organization to assist in the review of applications from partnerships and to provide technical assistance to local food access organizations in the proposed partnerships2 7,f7 award and disburse funds to partnerships or eligible local projects in a timely manner2 7,g7 create and meet performance benchmarks and reporting guidelines1 as approved by the ,secretary1 including for-- 7i7 the amount of capital raised and leveraged from financial institutions1 partnerships1 and other resources2 7ii7 the geographic diversity of partnerships2 and 7iii7 the proportion of projects funded by the partnership that are in severely distressed low-income communities2 7,h7 develop program guidelines and operating procedures for the ,initiative1 including-- 7i7 maximum grant and loan amounts for projects2 7ii7 eligible uses of funds2 7iii7 prudent underwriting criteria2 7iv7 performance targets2 7v7 reporting guidelines2 7vi7 limits on administrative costs2 and 7vii7 implementation milestones2 7,i7 monitor the performance of partnerships2 and 7,j7 collect data1 compile information1 and conduct such research studies as the national fund manager determines to be relevant to the successful implementation of the ,initiative1 including-- 7i7 to assess national and local market conditions2 7ii7 to determine barriers to market entry2 and 7iii7 to identify opportunities for the development or retention of supermarkets and other healthy food retailers in underserved communities4 7#c7 ,criteria for awarding national funds to partnerships 7,a7 ,in general ,the national fund manager shall award national funds to partnerships through a competitive process on an annual basis4 7,b7 ,first round priority ,in the first round of funding1 the national fund manager shall give priority to a limited number of existing partnerships that have demonstrable capacity to implement fresh food financing programs in underserved areas quickly1 and for which there is demonstrable1 significant need for improved access to healthy food4 7,c7 ,additional rounds ,additional rounds shall be designed to promote geographic diversity4 7,d7 ,criteria ,in awarding national funds to partnerships1 the national fund manager shall consider-- 7i7 the amount of funds and other resources pledged by a partnership to match or leverage national funds2 7ii7 the degree of ,state1 local1 or tribal government support of the partnership as evidenced by matching grant and loan funds or other types of support1 such as allocation of tax-exempt bonds1 loan guarantees1 and coordination of resources from other ,state or local economic development programs2 7iii7 the capacity of the partnership to successfully develop and manage loan and grant programs2 7iv7 the lack of supermarkets and other healthy food retailers in low- and moderate-income areas that would be served by the partnership2 7v7 the experience of the food access or community health organization of the partnership in outreach about access to healthy foods and local healthy food access issues2 7vi7 the degree of community engagement and support in the development and retention of supermarkets and other healthy food retailers2 and 7vii7 the contribution of the program of the partnership to the overall geographic diversity of the ,initiative4 7#d7 ,administrative costs 7,a7 ,in general ,not later than #de days after the date of receipt of an award1 the national fund manager shall submit to the ,secretary for approval a #c-year program and operating budget and detailed work plan that shall include-- 7i7 costs for research and evaluation1 technical assistance1 and training2 and 7ii7 program and operating costs4 7,b7 ,earned revenues ,earned revenues from loan fees and interest may be expended on program and operating costs in accordance with the budget approved by the ,secretary4 7,c7 ,basis of review ,the ,secretary shall base the review under subparagraph 7,a7 on-- 7i7 the likelihood of the plan and expenditures to further the purposes of this section2 and 7ii7 whether the administrative costs are reasonable1 connected to the costs of operation1 and reflect efficient operations by the national fund manager4 7f7 ,partnerships 7#a7 ,in general ,each partnership that receives assistance through the ,initiative shall provide financial and technical assistance to eligible healthy food retailer projects in underserved areas within the defined communities of the partnership4 7#b7 ,administration ,each partnership shall designate a community development financial institution or other organization that is capable of administering a loan and grant program-- 7,a7 to execute grant agreements with the national fund manager2 and 7,b7 to serve as the manager of local funds4 7#c7 ,responsibilities of partnerships ,a partnership shall-- 7,a7 raise other forms of financial assistance to match the national funds received by the partnership2 7,b7 provide marketing and outreach to communities1 the supermarket industry1 other healthy food retailers1 ,state and local government officials1 and civic and public interest organizations-- 7i7 to solicit applications from underserved areas from across the ,state or locality to be served by the partnership2 and 7ii7 to inform the communities and other persons about the availability of grants1 loans1 training1 and technical assistance2 7,c7 review and underwrite projects to determine whether-- 7i7 a proposed project meets the criteria for eligible projects under subsection 7c77#c72 and 7ii7 a proposed project meets the criteria for priority projects under subsection 7c77#d72 7,d7 provide technical assistance services to eligible healthy food retail operators and developers2 7,e7 track and report outcomes1 including-- 7i7 the number of jobs created or retained2 7ii7 the quantity of healthy food retail space created or retained and regional food hub capacity developed2 and 7iii7 such other health and economic indicators as are required by the national fund manager2 7,f7 monitor and audit funded projects to ensure compliance with the ,initiative1 the national fund manager1 and partnership program requirements for a period of at least #c years2 7,g7 submit an annual report to the national fund manager that describes-- 7i7 the activities of the partnership2 7ii7 the expenditure of local funds2 and 7iii7 success in meeting performance targets and satisfying such other terms and conditions as are specified in the agreement between the partnership and the national fund manager2 and 7,h7 coordinate with the national fund manager for the smooth operation of the ,initiative4 7#d7 ,administrative costs 7,a7 ,in general ,as a condition on the receipt of assistance under this section1 each partnership shall submit to the national fund manager for approval a #c-year budget and plan for all program and operating costs1 including-- 7i7 costs for research and evaluation1 technical assistance1 and training2 and 7ii7 administrative and operating costs4 7,b7 ,earned revenues ,earned revenues from loan fees and interest may be expended on program and operating costs in accordance with the budget approved by the national fund manager4 7,c7 ,basis of review ,the national fund manager shall base the review under subparagraph 7,a7 on the likelihood of the budget and plan to further the purposes of this section4 7g7 ,evaluation and monitoring 7#a7 ,in general ,program evaluation and financial audits shall occur at all levels of the ,initiative to ensure that-- 7,a7 national and local funds are used properly2 and 7,b7 the objectives of the ,initiative are met4 7#b7 ,program evaluation and financial audits 7,a7 ,in general ,the ,secretary shall-- 7i7 conduct periodic program evaluations and financial audits of the national fund manager1 partnerships1 and projects funded by the ,initiative2 and 7ii7 share with the national fund manager the results of the evaluations and audits4 7,b7 ,funded projects ,the ,secretary or the national fund manager shall evaluate partnerships to assess the health and economic impacts of projects funded by the ,initiative4 7,c7 ,other impacts 7i7 ,secretary of health and human services ,the ,secretary of ,health and ,human ,services shall conduct research studies and evaluate the health impacts of the ,initiative4 7ii7 ,community development financial institutions ,representatives of the ,community ,development ,financial ,institutions shall conduct research studies and evaluate the economic impacts of the ,initiative4 7,d7 ,partnerships 7i7 ,in general ,each partnership shall-- 7,i7 conduct periodic administrative and financial audits of projects funded by the ,initiative2 and 7,,ii7 share with the national fund manager the results of the audits4 7ii7 ,failure of partnership ,in a case in which a partnership fails1 the national fund manager shall take over the portfolio of the failed partnership4 7h7 ,administrative provisions 7#a7 ,in general ,not later than #ahj days after the date of enactment of this section1 the ,secretary shall promulgate regulations-- 7,a7 for the conduct of a rigorous performance evaluation to determine the impact of the ,initiative at the end of the initial #e-year period1 which the ,secretary shall submit to ,congress2 7,b7 to establish metrics for evaluating the effectiveness of the ,initiative2 and 7,c7 under which the ,secretary shall assess whether the ,initiative should be extended at the end of the initial #e-year period4 7#b7 ,termination of contracts for cause ,the ,secretary may promulgate regulations under which the ,secretary may terminate contracts for cause if the ,secretary determines that to be necessary4 7i7 ,authorization of appropriations ,there is authorized to be appropriated to the ,secretary to carry out this section #abe1jjj1jjj1 to remain available until expended4 4 7b7 ,conforming amendment ,section #bif7;b7 of the ,department of ,agriculture ,reorganization ,act of #aiid 7#g ,u4,s4,c4 #gjad7;b77 is amended-- 7#a7 in paragraph 7#f77;,c71 by striking or at the end2 7#b7 in paragraph 7#g71 by striking the period at the end and inserting 2 or2 and 7#c7 by adding at the end the following3 7#h7 the authority of the ,secretary to establish in the ,department the ,healthy ,food ,financing ,initiative in accordance with section #bdb4 4