PolicyBrief
S. 993
119th CongressMar 12th 2025
School Lunch Debt Cancellation Act of 2025
IN COMMITTEE

The "School Lunch Debt Cancellation Act of 2025" cancels school meal debt, extends food programs, and utilizes Commodity Credit Corporation funds for nutrition assistance.

John Fetterman
D

John Fetterman

Senator

PA

LEGISLATION

Proposed Bill Taps Farm Fund to Erase School Meal Debt, Bolsters Food Aid Programs

A new bill called the 'School Lunch Debt Cancellation Act of 2025' is on the table, aiming to zero out all existing school meal debt owed by families across the country. As outlined in Section 2, this covers outstanding balances for both the national school lunch and breakfast programs accrued up to the date the bill becomes law. The core idea is to provide immediate financial relief to households struggling with these costs.

Clearing the Cafeteria Tab

The main action here is straightforward: Section 2 mandates the cancellation of all current school meal debt. If you've got an unpaid balance for your kid's school lunches or breakfasts, this bill intends to wipe it clean. It directs the Secretary of Agriculture to pay off these debts owed to local school districts. Schools would get reimbursed, and families would receive confirmation that their debt is gone, taking the burden off both parents and school administrators who often have to chase these payments.

The Funding Shuffle: Enter the CCC

So, where does the money come from? The bill specifies using funds from the Commodity Credit Corporation (CCC), a government entity typically used to stabilize farm income and prices. Section 2 explicitly grants the Secretary of Agriculture the authority to use CCC funds for this debt cancellation. This is a notable shift, using a fund traditionally focused on agricultural support to cover nutrition program debts. The potential impact here is that funds used for debt relief might otherwise have been available for the CCC's usual agricultural stabilization activities, raising questions about how this redirection affects farmers or overall taxpayer costs.

Beyond the Lunch Line: Expanding Food Aid

This bill isn't just about past debt; it also looks to bolster other food assistance efforts using the same CCC funding mechanism, as detailed in Section 3. It extends the Commodity Supplemental Food Program (CSFP) – which provides food packages, often to seniors – through 2030 and allows it to draw from CCC funds. Similarly, it permits The Emergency Food Assistance Program (TEFAP), which supplies food banks and local organizations, to access CCC money. This could mean more resources for these vital programs, but again, hinges on expanding the CCC's role into broader nutrition assistance funding.