[Code of Federal Regulations]

[Title 7, Volume 4]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 7CFR226.25]



[Page 253]

 

                          TITLE 7--AGRICULTURE

 

    CHAPTER II--FOOD AND NUTRITION SERVICE, DEPARTMENT OF AGRICULTURE

 

PART 226_CHILD AND ADULT CARE FOOD PROGRAM--Table of Contents

 

                       Subpart G_Other Provisions

 

Sec. 226.25  Other provisions.





    (a) Grant closeout procedures. Grant closeout procedures for the 

Program shall be in accordance with the Uniform Federal Assistance 

Regulations.

    (b) State requirements. Nothing contained in this part shall prevent 

a State agency from imposing additional requirements for participation 

in the Program which are not inconsistent with the provisions of this 

part; however, any additional requirements shall be approved by FNSRO 

and may not deny the Program to an eligible institution.

    (c) Value of assistance. The value of assistance to participants 

under the Program shall not be considered to be income or resources for 

any purposes under any Federal or State laws, including, but not limited 

to laws relating to taxation, welfare, and public assistance programs.

    (d) Maintenance of effort. Expenditure of funds from State and local 

sources for the maintenance of food programs for children shall not be 

diminished as a result of funds received under the Act.

    (e) Fraud penalty. Whoever embezzles, willfully misapplies, steals, 

or obtains by fraud any funds, assets, or property that are the subject 

of a grant or other form of assistance under this part, whether received 

directly or indirectly from the Department or whoever receives, 

conceals, or retains such funds, assets, or property to his use or gain, 

knowing such funds, assets, or property have been embezzled, willfully 

misapplied, stolen, or obtained by fraud shall, if such funds, assets, 

or property are of the value of $100 or more, be fined not more than 

$10,000 or imprisoned not more than five years, or both, or, if such 

funds, assets, or property are of value of less than $100, shall be 

fined not more than $1,000 or imprisoned for not more than one year, or 

both.

    (f) Claims adjustment authority. The Secretary shall have the 

authority to determine the amount of, to settle, and to adjust any claim 

arising under the Program, and to compromise or deny such claim or any 

part thereof. The Secretary shall also have the authority to waive such 

claims if the Secretary determines that to do so would serve the 

purposes of the program. This provision shall not diminish the authority 

of the Attorney General of the United States under section 516 of title 

28, U.S. Code, to conduct litigation on behalf of the United States.



[47 FR 36527, Aug. 20, 1982, as amended at 53 FR 52597, Dec. 28, 1988; 

54 FR 13049, Mar. 30, 1989; 69 FR 53547, Sept. 1, 2004]