Sec. 4006. Improvements to electronic benefit transfer system
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Section 7(f)(5) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2016(f)(5) ) is amended by adding at the end the following: A farmers’ market or direct marketing farmer that is exempt under paragraph (2)(B)(i) shall be allowed to operate an individual electronic benefit transfer point of sale device at more than 1 location under the same supplemental nutrition assistance program authorization, if— the farmers’ market or direct marketing farmer provides to the Secretary information on location and hours of operation at each location; and the point of sale device used by the farmers’ market or direct marketing farmer is capable of providing location information of the device through the electronic benefit transfer system; or if the Secretary determines that the technology is not available for a point of sale device to meet the requirement under subclause (I), the farmers' market or direct marketing farmer provides to the Secretary any other information, as determined by the Secretary, necessary to ensure the integrity of transactions processed using the point of sale device. .
The 1st sentence of section 7(h)(2) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2016(h)(2) ) is amended by inserting and shall periodically review such regulations and modify such regulations to take into account evolving technology and comparable industry standards before the period at the end. Section 7(h)(12) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2016(h)(12) ) is amended— in subparagraph
(A)by inserting , or due to the death of all members of the household after inactivity , and by striking subparagraphs
(B)and
(C)and inserting the following: A State agency may store recovered electronic benefits off-line in accordance with clause (ii), if the household has not accessed the account after 3 months. A State agency shall— send notice to a household the benefits of which are stored under clause (i); and not later than 48 hours after request by the household, make the stored benefits available to the household. Subject to clause (ii), a State agency shall expunge benefits that have not been accessed by a household after a period of 9 months, or upon verification that all members of the household are deceased. Not later than 30 days before benefits are to be expunged under clause (i), a State agency shall— provide sufficient notice to the household that benefits will be expunged due to inactivity, and the date upon which benefits will be expunged; for benefits stored off-line in accordance with subparagraph (B), provide the household an opportunity to request that such benefits be restored to the household; and not later than 48 hours after request by the household, make the benefits available to the household. . Section 7 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2016 ) is amended— by amending subsection (h)(13) to read as follows: No interchange fees shall apply to electronic benefit transfer transactions under this subsection. Effective through fiscal year 2023, neither a State, nor any agent, contractor, or subcontractor of a State who facilitates the provision of supplemental nutrition assistance program benefits in such State may impose a fee for switching (as defined in subsection (j)(1)(H)) or routing such benefits. , and by amending subsection (j)(1)(H) to read as follows: The term switching means the routing of an intrastate or interstate transaction that consists of transmitting the details of a transaction electronically recorded through the use of an electronic benefit transfer card in one State to the issuer of the card that may be in the same or different State. . Section 7(h)(14) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2016(h)(14) ) is amended— by amending subparagraph
(A)to read as follows: Subject to subparagraph (B), the Secretary shall authorize the use of mobile technologies for the purpose of accessing supplemental nutrition assistance program benefits. , in subparagraph (B)— by striking the heading and inserting , Demonstration projects on access of benefits through mobile technologies by amending clause
(i)to read as follows: Before authorizing implementation of subparagraph
(A)in all States, the Secretary shall approve not more than 5 demonstration project proposals submitted by State agencies that will pilot the use of mobile technologies for supplemental nutrition assistance program benefits access. , in clause (ii)— in the heading by striking and inserting Demonstration projects , Project Requirements by striking retail food store the first place it appears and inserting State agency , by striking includes , by striking subclauses (I), (II), (III), and (IV), and inserting the following: provides recipient protections regarding privacy, ease of use, household access to benefits, and support similar to the protections provided under existing methods; ensures that all recipients, including those without access to mobile payment technology and those who shop across State borders, have a means of benefit access; requires retail food stores, unless exempt under section 7(f)(2)(B), to bear the costs of acquiring and arranging for the implementation of point-of-sale equipment and supplies for the redemption of benefits that are accessed through mobile technologies; requires that foods purchased with benefits issued under this section through mobile technologies are purchased at a price not higher than the price of the same food purchased by other methods used by the retail food store, as determined by the Secretary; ensures adequate documentation for each authorized transaction, adequate security measures to deter fraud, and adequate access to retail food stores that accept benefits accessed through mobile technologies, as determined by the Secretary; provides for an evaluation of the demonstration project, including, but not limited to, an evaluation of household access to benefits; requires that the State demonstration projects are voluntary for all retail food stores and that all recipients are able to use benefits in non-participating retail food stores; and meets other criteria as established by the Secretary. , by amending clause
(iii)to read as follows: The Secretary shall solicit and approve the qualifying demonstration projects required under subparagraph (B)(i) not later than January 1, 2021. , and by inserting after clause
(ii)the following: The Secretary may prioritize demonstration project proposals that would— reduce fraud; encourage positive nutritional outcomes; and meet such other criteria as determined by the Secretary. , and in subparagraph (C)(i)— by striking 2017 and inserting 2022 , and by inserting requires further study by way of an extended pilot period or after States the 2d place it appears. Section 9 of the Food and Nutrition Act ( 7 U.S.C. 2018 ) is amended— in subsection (a)(1)— in the 4th sentence by striking No retail food store and inserting the following: No retail food store , in the 3d sentence by striking Approval and inserting the following: Approval , in the 2d sentence— by striking food; and
(D)the and inserting the following: “food; any information, if available, about the ability of the anticipated or existing electronic benefit transfer equipment and service provider of the applicant to provide sufficient information through the electronic benefit transfer system to minimize the risk of fraudulent transactions; and the , by striking concern;
(C)whether and inserting the following: “concern; whether , by striking applicant;
(B)the and inserting the following: “applicant; the , by striking following:
(A)the nature and inserting the following: “following: the nature , and in the matter preceding clause (i), as so designated, by striking In determining and inserting the following: In determining , and in the 1st sentence by striking (a)(1) Regulations and inserting the following: Regulations , in subsection
(a)by adding at the end the following: Before implementing clause
(iv)of paragraph (1)(B), the Secretary shall issue guidance for retail food stores on how to select electronic benefit transfer equipment and service providers that are able to meet the requirements of that clause. , and in the 1st sentence of subsection
(c)by inserting records relating to electronic benefit transfer equipment and related services, transaction and redemption data provided through the electronic benefit transfer system, after purchase invoices, .
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