This report responds to the requirement of PL 110-246 to assess the effectiveness of state and local efforts to directly certify children for free school meals. Direct certification is a process conducted by the states and by local educational agencies to certify eligible children for free meals without the need for household applications. 

Statistical models were designed to estimate national improper payments due to certification error on an annual basis using district-level data. This enables FNS to update its estimates of national improper payment rates for the NSLP and SBP in future years without having to conduct full rounds of primary data collection.

The second Access, Participation, Eligibility and Certification Study (APEC II) included a follow-on report that provided statistically-derived state-level estimates of school meals erroneous payments. However, while APEC II provided a rough indicator of relative risk for groups of states (e.g., higher than average, about average, lower than average), it was not a state-representative direct measure, and creating actual annual measures of such erroneous payments at the state level using APEC methodology is cost-prohibitive. This report explores alternative approaches to developing measurement-based state-specific estimates that are responsive to year-to-year changes in the actual underlying rate in each state. It also provides cost and burden estimates for the implementation of each of these methods.

This is the 11th in a series of annual reports that examines the administrative accuracy of eligibility determinations and benefit issuance for free or reduced-price meals in the National School Lunch Program.

National completion rates for SNAP QC reviews have generally declined since peak levels in the 1980s, and State-level completion rates vary widely. This study examines the factors contributing to incomplete reviews of cases and describes best practices associated with high SNAP QC completion rates.

From July to September 2002, FNS reviewed the free and reduced price eligibility determination process (i.e., application, verification, reapplication, meal ticket status) for each of 3,474 applications selected for verification in 14 large school food authorities in the 2001-02 school year. These SFAs enroll nearly one million children, among whom 45 percent were approved for free meals and 7 percent were approved for reduced price meals as of Oct. 31, 2001.

Food stamps are intended for food. When individuals sell their benefits for cash it violates the spirit and intent of the Food Stamp Program as well as the law. This practice, known as trafficking, diverts food stamp benefits away from their purpose. It reduces intended nutritional assistance and undermines public perceptions of the integrity and utility of the program. To combat trafficking, the Food and Nutrition Service conducts undercover investigations of authorized food stores. In addition, the agency has developed powerful new EBT-based administrative tools to identify and sanction traffickers.

FNS published “The WIC Vendor Management Study, 1998” in July 2001 which examined, in part, the extent to which retail grocers, defined as WIC “vendors” were violating program rules and regulations. The 1998 study is a follow-up to the “WIC Vendor Issues Study, 1991” published by FNS in May 1993.