Permanently authorized by the Child Nutrition Act of 1966. Federal funding is provided in the form of cash reimbursements for each breakfast served, varied in amount by the family income of the participating child. All children in participating schools and residential institutions are eligible for a federally subsidized meal, regardless of family income. However, free meals must be offered to children from families with incomes below 130% of the federal poverty income level, and reduced price meals to those with family incomes between 130 and 185% of the poverty level. The program is administered by the Food and Nutrition Service and funded by annual agricultural appropriations.