COMMODITY DISTRIBUTION.

SEC. 707. COMMODITY DISTRIBUTION. (a) Cereal and Shortening in Commodity Donations.—Section 14(b) of the National School Lunch Act (42 U.S.C. 1762a(b)) is amended— (1) by striking paragraph (1); and (2) by redesignating paragraphs (2) and (3) as paragraphs (1) and (2), respectively. (b) State Advisory Council.—Section 14(e) of the National School Lunch Act (42 U.S.C. 1762a(e)) is amended to read as follows: “(e) Each State agency that receives food assistance payments under this section for any school year shall consult with representatives of schools in the State that participate in the school lunch program with respect to the needs of such schools relating to the manner of selection and distribution of commodity assistance for such program.” . (c) Cash Compensation for Pilot Project Schools.—Section 14(g) of the National School Lunch Act (42 U.S.C. 1762a(g)) is amended by striking paragraph (3).