---
kind: "section"
citation: "7 U.S.C. § 6953"
title: "7"
title_heading: "Agriculture"
number: "6953"
heading: "Healthy food financing initiative"
release: "119-102"
url: "https://uscodex.org/usc/7/6953"
units:
  - "Chapter 98 — Department of Agriculture Reorganization"
  - "Subchapter IV — Food, Nutrition, and Consumer Services"
---

# §6953. Healthy food financing initiative

- (a) **Purpose—** The purpose of this section is to enhance the [authorities](/usc/7/2009aa.md?p=1) of the [Secretary](/usc/7/6902.md?p=3) to support efforts to provide access to healthy food by establishing an [initiative](#b-2) to improve access to healthy foods in underserved [areas](/usc/7/1471.md?p=5), to create and preserve [quality jobs](#b-6), and to revitalize low-income communities by providing loans and grants to eligible fresh, healthy food [retailers](/usc/7/1638.md?p=5) and enterprises to overcome the higher costs and initial barriers to entry in underserved [areas](/usc/7/1471.md?p=5).
- (b) **Definitions—** In this section:
  - (1) **Community development financial institution—** The term “community development financial institution” has the meaning given the term in [section 4702 of title 12](/usc/12/4702.md).
  - (2) **Initiative—** The term “Initiative” means the Healthy Food Financing Initiative established under [subsection (c)(1)](#c-1).
  - (3) **National fund manager—** The term “national fund manager” means a [community development financial institution](#b-1) that is—
    - (A) in existence on the date of enactment of this section; and
    - (B) certified by the [Community Development Financial Institution](#b-1) [Fund](/usc/7/4531.md?p=5) of the [Department](/usc/7/6902.md?p=1) of Treasury to manage the [Initiative](#b-2) for purposes of—
      - (i) raising private capital;
      - (ii) providing financial and technical assistance to [partnerships](#b-4); and
      - (iii) funding eligible projects to attract fresh, healthy food [retailers](/usc/7/1638.md?p=5) and enterprises to underserved [areas](/usc/7/1471.md?p=5), in accordance with this section.
  - (4) **Partnership—** The term “partnership” means a regional, [State](/usc/7/1359aa.md?p=5), or local public-private partnership that—
    - (A) is organized to improve access to fresh, healthy foods;
    - (B) provides financial and technical assistance to eligible projects; and
    - (C) meets such other criteria as the [Secretary](/usc/7/6902.md?p=3) may establish.
  - (5) **Perishable food—** The term “perishable food” means a [staple food](#b-7-A) that is fresh, refrigerated, or frozen.
  - (6) **Quality job—** The term “quality job” means a job that provides wages and other benefits comparable to, or better than, similar positions in existing businesses of similar size in similar local economies.
  - (7) **Staple food—**
    - (A) **In general—** The term “staple food” means food that is a basic dietary item.
    - (B) **Inclusions—** The term “[staple food](#b-7-A)” includes—
      - (i) bread or cereal;
      - (ii) flour;
      - (iii) fruits;
      - (iv) vegetables;
      - (v) meat; and
      - (vi) dairy products.
- (c) **Initiative—**
  - (1) **Establishment—** The [Secretary](/usc/7/6902.md?p=3) shall establish an [initiative](#b-2) to achieve the purpose described in [subsection (a)](#a) in accordance with this subsection.
  - (2) **Implementation—**
    - (A) **In general—**
      - (i) **In general—** In carrying out the [Initiative](#b-2), the [Secretary](/usc/7/6902.md?p=3) shall provide funding to entities with eligible projects, as described in [subparagraph (B)](#c-2-B), subject to the priorities described in [subparagraph (C)](#c-2-C).
      - (ii) **Use of funds—** [Funds](/usc/7/4531.md?p=5) provided to an entity pursuant to [clause (i)](#c-2-A-i) shall be used—
        - (I) to create revolving loan pools of capital or other products to provide loans to finance eligible projects or [partnerships](#b-4);
        - (II) to provide grants for eligible projects or [partnerships](#b-4);
        - (III) to provide technical assistance to funded projects and entities seeking [Initiative](#b-2) funding; and
        - (IV) to cover administrative expenses of the [national fund manager](#b-3) in an amount not to exceed 10 percent of the Federal [funds](/usc/7/4531.md?p=5) provided.
    - (B) **Eligible projects—** Subject to the approval of the [Secretary](/usc/7/6902.md?p=3), the [national fund manager](#b-3) shall establish eligibility criteria for projects under the [Initiative](#b-2), which shall include the existence or planned execution of agreements—
      - (i) to expand or preserve the availability of [staple foods](#b-7-A) in underserved [areas](/usc/7/1471.md?p=5) with moderate- and low-income populations by maintaining or increasing the number of retail outlets that offer an assortment of [perishable food](#b-5) and [staple food](#b-7-A) items, as determined by the [Secretary](/usc/7/6902.md?p=3), in those [areas](/usc/7/1471.md?p=5); and
      - (ii) as applicable, to accept benefits under the supplemental nutrition assistance program established under the Food and Nutrition Act of 2008 ([7 U.S.C. 2011](/usc/7/2011.md) et seq.).
    - (C) **Priorities—** In carrying out the [Initiative](#b-2), priority shall be given to projects that—
      - (i) are located in severely distressed low-income communities, as defined by the [Community Development Financial Institutions](#b-1) [Fund](/usc/7/4531.md?p=5) of the [Department](/usc/7/6902.md?p=1) of Treasury; and
      - (ii) include 1 or more of the following characteristics:
        - (I) The project will create or retain [quality jobs](#b-6) for low-income residents in the community.
        - (II) The project supports regional food systems and locally grown foods, to the maximum extent practicable.
        - (III) In [areas](/usc/7/1471.md?p=5) served by public transit, the project is accessible by public transit.
        - (IV) The project involves women- or minority-owned businesses.
        - (V) The project receives funding from other sources, including other Federal agencies.
        - (VI) The project otherwise advances the purpose of this section, as determined by the [Secretary](/usc/7/6902.md?p=3).
- (d) **Authorization of appropriations—** There is authorized to be appropriated to the [Secretary](/usc/7/6902.md?p=3) to carry out this section $125,000,000, to remain available until expended.

## Source credit

(Pub. L. 103–354, title II, § 243, as added Pub. L. 113–79, title IV, § 4206, Feb. 7, 2014, 128 Stat. 824; amended Pub. L. 115–334, title IV, § 4204, Dec. 20, 2018, 132 Stat. 4656.)

## Notes

### Editorial Notes

### References in Text

The Food and Nutrition Act of 2008, referred to in subsec. (c)(2)(B)(ii), is Pub. L. 88–525, Aug. 31, 1964, 78 Stat. 703, which is classified generally to chapter 51 (§ 2011 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under section 2011 of this title and Tables.

### Amendments

2018—Subsecs. (a), (b)(3)(B)(iii). Pub. L. 115–334, § 4204(1), (2), inserted “and enterprises” after “retailers”.

Subsec. (c)(2)(B)(ii). Pub. L. 115–334, § 4204(3), inserted “as applicable,” before “to accept”.
