To explore the suitability of off-line electronic benefits transfer (EBT) as an alternative to paper issuance and on-line EBT issuance systems, USDA’s Food and Nutrition Service has supported the Ohio Department of Human Services in expanding off-line EBT issuance to all Food Stamp Program recipients in the state. A pilot project in Dayton, Ohio and a demonstration of a combined WIC-EBT off-line system in Wyoming have clearly established the technical feasibility of off-line EBT for FSP benefit issuance. 

From October 1, 1993 to September 30, 1996, the Food and Nutrition Service of the U.S. Department of Agriculture sponsored demonstration projects in Georgia, Hawaii, Missouri, South Dakota, and Texas to demonstrate the feasibility and effectiveness of operating the Food Stamp Employment and Training (E&T) program under the same legislative and regulatory terms as the Job Opportunities and Basic Skills (JOBS) program for Aid to Families with Dependent Children (AFDC) recipients. Common objectives of the demonstrations were to increase compliance with E&T participation requirements among mandatory work registrants, target services to individuals most at risk of long-term dependency and those most likely to benefit from E&T services, improve participant outcomes, and improve the cost efficiency of welfare to work services.

This study evaluates the Retailer Compliance Management Demonstrations in EBT-ready States. In these demonstrations, the State food stamp agencies in New Mexico (NM) and South Carolina (SC) assumed responsibility for managing the participation of food retailers in the FSP, a task previously managed exclusively by the federal government.

The objectives of the demonstration were to determine the technological feasibility of offline EBT; whether it would be accepted by stakeholder groups; and whether it would be cost-effective.