USDA is aware of increased reports of EBT theft due to card skimming, cloning, and similar fraudulent methods. On Dec. 29, 2022, President Joseph R. Biden signed into law the Consolidated Appropriations Act, 2023 (the Omnibus), which includes provisions for the replacement of stolen EBT benefits with federal funds.
USDA's FNS and ACF at the Department of Health and Human Services are aware of increasing reports of benefit theft by criminal actors through EBT card skimming schemes. After discussions with EBT processors and fraud prevention stakeholders, FNS and ACF have identified prevention measures that can be adopted to improve card security while we work towards longer-term strategies.
SNAP Questions and Answers Concerning the Trafficking Controls and Fraud Investigations Final Rule
Section 4 of the Richard B. Russell National School Lunch Act provides general cash for food assistance payments to states to assist schools in purchasing food. The NSLA provides two different section 4 payment levels for lunches served under the NSLP.
In February, 2013, FNS published final regulations revising the definition of trafficking. It subsequently came to our attention that some states were not clear that upon its effective date, federal law takes precedence and states were expected to implement the new federal trafficking definition.
This memorandum provides information regarding the state agencies’ quarterly reporting requirements associated with identifying the number of school food authorities certified to receive the performance-based reimbursement for each lunch served in compliance with the new meal pattern requirements for the National School Lunch and School Breakfast Programs.
The increased focus on SNAP integrity has required FNS and the states to review their procedures for responding to integrity issues, specifically a clarification of FNS' responsibility when a state employee is found guilty of fraud while administering the program.
This memo clarifies options regarding administrative reimbursements and provides guidance for FY 2011 on reporting and managing the unused administrative reimbursements FDCH sponsors may “carry over” into the next FY.
Strengthening SNAP integrity, rooting out waste, fraud and abuse so that federal dollars are used appropriately.
This memorandum is to reiterate and clarify current policy governing intentional program violations as set forth in the Food Stamp Program regulations.