This final rule implements three FMNP-related nondiscretionary provisions mandated in the William F. Goodling Child Nutrition Reauthorization Act of 1998. The three provisions pertain to the use of program income as a state matching fund source, elimination of specific state plan ranking criteria used to determine funding preferences, and use of expansion funds to increase the value of benefits to recipients.
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.
This rule proposes to implement the Electronic Benefit Transfer provisions found in Section 825 of this law which affect the Food Stamp Program.
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.
The Food and Nutrition Service (FNS) proposes to revise Food Stamp Program (FSP) regulations about approval of Electronic Benefits Transfer (EBT) systems and how States arrange for those systems to be audited.