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.
Beginning in 2000, the USDA began conducting a demonstration project, known as the National Master Processing Agreements, under which USDA Food and Nutrition Service arranges for national processing of federally donated foods.
This final rule strengthens vendor management in retail food delivery systems by establishing mandatory selection criteria, training requirements, criteria to be used to identify high-risk vendors, and monitoring requirements, including compliance investigations. In addition, the rule strengthens food instrument accountability and sanctions for participants who violate program requirements.
The purpose of this policy memorandum is to provide clarification regarding the effective date of Special Supplemental Nutrition Program for Women, Infants and Children vendor disqualification's that result from the permanent disqualification of a vendor from the Food Stamp Program.