This report explores the feasibility and potential cost of enabling EBT systems to differentiate between program-eligible and ineligible items. It considers the cost of upgrading systems in stores that now have scanners and the cost of installing new systems in stores without scanners. The report also examines the potential for the purchase of ineligible items even with the introduction of new technological controls.
The National School Lunch Program operates in over 94,000 schools and institutions. More than 26 million children receive meals through the program on any given day; about half of these meals are provided free of charge. The School Breakfast Program operates in approximately two-thirds of the schools and institutions that offer the NSLP, most commonly in schools that serve large numbers of economically disadvantaged children.