Page:United States Statutes at Large Volume 124.djvu/3276

124 STAT. 3250 PUBLIC LAW 111–296—DEC. 13, 2010 ‘‘(III) has serious management problems, as identified in a prior review, or is at risk of having serious management problems; or ‘‘(IV) meets such other criteria as are defined by the Secretary. ‘‘(D) DETECTION AND DETERRENCE OF ERRONEOUS PAY- MENTS AND FALSE CLAIMS.— ‘‘(i) IN GENERAL.—The Secretary may develop a policy to detect and deter, and recover erroneous pay- ments to, and false claims submitted by, institutions, sponsored child and adult care centers, and family or group day care homes participating in the program under this section. ‘‘(ii) BLOCK CLAIMS.— ‘‘(I) DEFINITION OF BLOCK CLAIM.—In this clause, the term ‘block claim’ has the meaning given the term in section 226.2 of title 7, Code of Federal Regulations (or successor regulations). ‘‘(II) PROGRAM EDIT CHECKS.—The Secretary may not require any State agency, sponsoring organization, or other institution to perform edit checks or on-site reviews relating to the detection of block claims by any child care facility. ‘‘(III) ALLOWANCE.—Notwithstanding sub- clause (II), the Secretary may require any State agency, sponsoring organization, or other institu- tion to collect, store, and transmit to the appro- priate entity information necessary to develop any other policy developed under clause (i).’’. (c) AGREEMENTS.—Section 17(j)(1) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1766(j)(1)) is amended— (1) by striking ‘‘may’’ and inserting ‘‘shall’’; (2) by striking ‘‘family or group day care’’ the first place it appears; and (3) by inserting ‘‘or sponsored day care centers’’ before ‘‘participating’’. SEC. 332. STATE LIABILITY FOR PAYMENTS TO AGGRIEVED CHILD CARE INSTITUTIONS. Section 17(e) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1766(e)) is amended— (1) in paragraph (3), by striking ‘‘(3) If a State’’ and inserting the following: ‘‘(5) SECRETARIAL HEARING.—If a State’’; and (2) by striking ‘‘(e) Except as provided’’ and all that follows through ‘‘(2) A State’’ and inserting the following: ‘‘(e) HEARINGS.— ‘‘(1) IN GENERAL.—Except as provided in paragraph (4), each State agency shall provide, in accordance with regulations promulgated by the Secretary, an opportunity for a fair hearing and a prompt determination to any institution aggrieved by any action of the State agency that affects— ‘‘(A) the participation of the institution in the program authorized by this section; or ‘‘(B) the claim of the institution for reimbursement under this section. Regulations.