In 1991 and 1998, FNS conducted national studies of WIC vendors to determine the extent of vendor violation of program rules. After the 1998 study, FNS issued regulations to correct vendor practices. The 2005 study replicates the 1998 study to determine whether the regulations were effective, and to measure the frequency of vendor violations and the degree to which vendors charge accurate prices for WIC transactions.
This proposed rule would strengthen the requirements for operation of vendor management systems by establishing mandatory selection criteria; limitation of vendors; training requirements; criteria to be used to identify high- risk vendors; and monitoring requirements, including compliance buys. In addition, the rule would strengthen food instrument accountability and sanctions for participants who violate program regulations. It would also streamline the vendor appeals process.