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.
Any firm may request administrative and judicial review, if it is aggrieved by any of the actions described in SNAP regulations. The Administrative Review Branch ensures that FNS follows the provisions of the Food and Nutrition Act, SNAP regulations, and agency retailer policy, and that the agency's administrative actions are equitable and consistent.
The Office of lnspector General's 2016 Audit Report, Food and Nutrition Service Controls over SNAP Benefits for Able Bodied Adults without Dependents, recommended that FNS perform analysis to identify problematic areas for states in terms of ABAWD policy and then provide states with additional best practices to address those areas.
The fiscal year 2018 Direct Certification Improvement Grant Request for Applications are available to state agencies that administer the National School Lunch and the School Breakfast programs to fund the costs of improving your direct certification rates with SNAP, and other needs-based assistance programs.
SNAP Questions and Answers Concerning the Trafficking Controls and Fraud Investigations Final Rule
FNS invites state agencies that administer the National School Lunch Program and School Breakfast Program to apply to participate in demonstration projects that will evaluate the effectiveness of conducting direct certification with the Medicaid program.
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.
The attached Q&As are issued in follow-up to Policy Memorandum SP 50-2013, Release of the new state agency Direct Certification Rate Data Element Report.
This memo is to inform you of recent changes related to data exchanges for the purposes of direct certification for NSLP with SNAP. Please share this information with state agencies administering SNAP and continue to encourage them to fully cooperate with their NSLP counterparts to improve the direct certification of children in SNAP households.