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II




                                                                                                               S. 1593
                                                                        112TH CONGRESS
                                                                           1ST SESSION


                                                                        To amend the Food and Nutrition Act of 2008 to require State electronic
                                                                            benefit transfer contracts to treat wireless program retail food stores
                                                                            in the same manner as wired program retail food stores.




                                                                                    IN THE SENATE OF THE UNITED STATES
                                                                                                    SEPTEMBER 21, 2011
                                                                            Mrs. GILLIBRAND introduced the following bill; which was read twice and
                                                                               referred to the Committee on Agriculture, Nutrition, and Forestry




                                                                                                                  A BILL
                                                                        To amend the Food and Nutrition Act of 2008 to require
                                                                           State electronic benefit transfer contracts to treat wire-
                                                                           less program retail food stores in the same manner as
                                                                           wired program retail food stores.

                                                                          1              Be it enacted by the Senate and House of Representa-
                                                                          2 tives of the United States of America in Congress assembled,
                                                                          3     SECTION 1. ELECTRONIC BENEFIT TRANSFERS.

                                                                          4              (a) IN GENERAL.—Section 7(h) of the Food and Nu-
                                                                          5 trition Act of 2008 (7 U.S.C. 2016(h)) is amended—
                                                                          6                        (1) in paragraph (1)—
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                                                                          1                                 (A) by redesignating subparagraphs (A)
                                                                          2                        through (D) as subparagraphs (B) through (E),
                                                                          3                        respectively;
                                                                          4                                 (B) by inserting before subparagraph (B)
                                                                          5                        (as so redesignated) the following:
                                                                          6                                 ‘‘(A) DEFINITIONS.—In this subsection:
                                                                          7                                        ‘‘(i) COMMUNITY-SUPPORTED                               AGRI-

                                                                          8                                 CULTURE PROGRAM.—The                                   term ‘commu-
                                                                          9                                 nity-supported agriculture program’ or
                                                                        10                                  ‘CSA’ means a farm business or a group of
                                                                        11                                  agricultural producers that form a partner-
                                                                        12                                  ship with consumers through which con-
                                                                        13                                  sumers buy a subscription for farm prod-
                                                                        14                                  ucts in advance and the farm business or
                                                                        15                                  group of agricultural producers commits to
                                                                        16                                  supplying and delivering the products to a
                                                                        17                                  common distribution point or directly to
                                                                        18                                  the consumers.
                                                                        19                                         ‘‘(ii) FARMERS                   MARKET.—The            term
                                                                        20                                  ‘farmers market’ means a regularly sched-
                                                                        21                                  uled assembly of 2 or more agricultural
                                                                        22                                  producers for the direct sale of locally
                                                                        23                                  grown fresh fruits and vegetables and
                                                                        24                                  other staple foods to consumers.
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3
                                                                          1                                        ‘‘(iii)             FARM          STAND;                ROADSIDE

                                                                          2                                 STAND.—

                                                                          3                                                 ‘‘(I) IN            GENERAL.—The                  terms
                                                                          4                                        ‘farm stand’ and ‘roadside stand’
                                                                          5                                        mean a retail outlet for the direct sale
                                                                          6                                        of locally grown fresh fruits and vege-
                                                                          7                                        tables and other staple foods in rural
                                                                          8                                        or urban areas.
                                                                          9                                                 ‘‘(II)        INCLUSION.—The                      terms
                                                                        10                                         ‘farm stand’ and ‘roadside stand’ may
                                                                        11                                         include a single stall in a farmers
                                                                        12                                         market.
                                                                        13                                         ‘‘(iv) GREEN                CART.—The              term ‘green
                                                                        14                                  cart’ means a mobile retail food vendor
                                                                        15                                  who sells fresh fruits and vegetables on a
                                                                        16                                  regular basis from an unmotorized cart.
                                                                        17                                         ‘‘(v) ROUTE             VENDOR.—

                                                                        18                                                  ‘‘(I) IN             GENERAL.—The                  term
                                                                        19                                         ‘route vendor’ means a mobile retail
                                                                        20                                         food vendor who sells unprepared food
                                                                        21                                         from a vehicle directly to consumers
                                                                        22                                         along a scheduled route or by ar-
                                                                        23                                         ranged delivery.
                                                                        24                                                  ‘‘(II)         INCLUSION.—The                      term
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                                                                        25                                         ‘route vendor’ includes vendors who


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                                                                          1                                        provide food services in disaster or
                                                                          2                                        other emergency situations.
                                                                          3                                        ‘‘(vi)          WIRELESS                 RETAILER.—The

                                                                          4                                 term ‘wireless retailer’ includes—
                                                                          5                                                 ‘‘(I) a farmers market;
                                                                          6                                                 ‘‘(II) a farm stand;
                                                                          7                                                 ‘‘(III) a green cart;
                                                                          8                                                 ‘‘(IV) a route vendor;
                                                                          9                                                 ‘‘(V) an entity operating a com-
                                                                        10                                         munity-supported                       agriculture      pro-
                                                                        11                                         gram; and
                                                                        12                                                  ‘‘(VI) an individual farmer affili-
                                                                        13                                         ated with an entity described in sub-
                                                                        14                                         clauses (I) through (V).’’;
                                                                        15                                  (C) in subparagraph (C) (as so redesig-
                                                                        16                         nated) by striking ‘‘subparagraph (A)’’ and in-
                                                                        17                         serting ‘‘subparagraph (B)’’;
                                                                        18                                  (D) in clause (i) of subparagraph (E) (as
                                                                        19                         so redesignated), by inserting ‘‘, including wire-
                                                                        20                         less technology’’ before the semicolon at the
                                                                        21                         end; and
                                                                        22                                  (E) by adding at the end the following:
                                                                        23                                  ‘‘(F) STATE                FLEXIBILITY FOR WIRELESS

                                                                        24                         EBT SYSTEMS.—Subject                            to paragraph (2), a
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                                                                        25                         State agency may—


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                                                                          1                                        ‘‘(i) procure and implement any wire-
                                                                          2                                 less electronic benefit transfer system that
                                                                          3                                 the State agency considers to be appro-
                                                                          4                                 priate and that meets all industry security
                                                                          5                                 standards; and
                                                                          6                                        ‘‘(ii) use appropriate wireless tech-
                                                                          7                                 nology available to the State agency in im-
                                                                          8                                 plementing the wireless electronic benefit
                                                                          9                                 transfer system, including smart phone
                                                                        10                                  technology and other technologies, so long
                                                                        11                                  as the technologies meet all industry secu-
                                                                        12                                  rity standards.’’;
                                                                        13                         (2) in paragraph (2)—
                                                                        14                                  (A) in subparagraph (G), by striking
                                                                        15                         ‘‘and’’ at the end;
                                                                        16                                  (B) in subparagraph (H), by striking the
                                                                        17                         period at the end and inserting a semicolon;
                                                                        18                         and
                                                                        19                                  (C) by adding at the end the following:
                                                                        20                                  ‘‘(I) a requirement that, for purposes of
                                                                        21                         program participation, State agencies and the
                                                                        22                         Food and Nutrition Service treat wireless retail-
                                                                        23                         ers in the same manner as retail food stores
                                                                        24                         that use wired electronic benefit transfer equip-
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                                                                        25                         ment by providing the retail food stores with


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                                                                          1                        wireless electronic benefit transfer equipment
                                                                          2                        that        ensures             immediate               benefit         account
                                                                          3                        verification;
                                                                          4                                 ‘‘(J) a system for wireless retail food
                                                                          5                        stores to receive funds in an amount not ex-
                                                                          6                        ceeding the cost of a wireless point-of-sale ter-
                                                                          7                        minal if alternative wireless technology is used;
                                                                          8                        and
                                                                          9                                 ‘‘(K) the potential for entering into a con-
                                                                        10                         tract or memoranda of understanding with a
                                                                        11                         statewide nonprofit organization, such as a
                                                                        12                         statewide farmers market association, to assist
                                                                        13                         the State agency by providing outreach, train-
                                                                        14                         ing, and administration in wireless electronic
                                                                        15                         benefit transfer equipment deployment at mul-
                                                                        16                         tiple-vendor farmers markets, particularly in
                                                                        17                         cases in which scrip (such as farmers market
                                                                        18                         tokens) is used to simplify program participa-
                                                                        19                         tion by agricultural producers and vendors.’’;
                                                                        20                         (3) in paragraph (3)(B)—
                                                                        21                                  (A) in clause (i), by striking ‘‘and’’ at the
                                                                        22                         end;
                                                                        23                                  (B) in clause (ii), by striking the period at
                                                                        24                         the end and inserting ‘‘; and’’; and
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                                                                        25                                  (C) by adding at the end the following:


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                                                                          1                                        ‘‘(iii) in the case of wireless retailers,
                                                                          2                                 wireless electronic benefit and wireless
                                                                          3                                 EBT connection services are available.’’;
                                                                          4                        (4) in paragraph (5), by inserting before the pe-
                                                                          5              riod at the end ‘‘, including wireless electronic ben-
                                                                          6              efit systems that enable all wireless retailers to pro-
                                                                          7              vide for improved access to nutritious foods in areas
                                                                          8              lacking such access, and in disaster-recovery situa-
                                                                          9              tions’’;
                                                                        10                         (5) by redesignating the second paragraph (12)
                                                                        11               (relating to interchange fees) as paragraph (13); and
                                                                        12                         (6) by adding at the end the following:
                                                                        13                         ‘‘(14)         NON-EBT                  TRANSACTIONS.—Wireless

                                                                        14               EBT equipment provided to an authorized retailer
                                                                        15               may be used for non-EBT transactions (such as
                                                                        16               credit and debit card transactions) only if the re-
                                                                        17               tailer bears all costs associated with those non-EBT
                                                                        18               transactions.’’.
                                                                        19               (b) CONFORMING AMENDMENTS.—Section 16(a) of
                                                                        20 the Food and Nutrition Act of 2008 (7 U.S.C. 2025(a))
                                                                        21 is amended—
                                                                        22                         (1) in paragraph (2), by inserting ‘‘, including
                                                                        23               wireless access fees’’ after ‘‘the State’’;
                                                                        24                         (2) in paragraph (7), by striking ‘‘and’’ at the
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                                                                        25               end; and


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                                                                          1                        (3) by striking ‘‘: Provided, That the’’ and in-
                                                                          2              serting ‘‘, and (9) outreach and training for farmers
                                                                          3              markets and other vendors defined in section
                                                                          4              7(h)(1)(A) in wireless electronic benefit transfer
                                                                          5              equipment deployment and operations, particularly
                                                                          6              in cases in which scrip (such as farmers market to-
                                                                          7              kens) is used to facilitate and simplify program par-
                                                                          8              ticipation by agricultural producers and vendors.
                                                                          9              The’’.
                                                                                                                                   Æ
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Expanding Access to FMs Act Final

  • 1. II S. 1593 112TH CONGRESS 1ST SESSION To amend the Food and Nutrition Act of 2008 to require State electronic benefit transfer contracts to treat wireless program retail food stores in the same manner as wired program retail food stores. IN THE SENATE OF THE UNITED STATES SEPTEMBER 21, 2011 Mrs. GILLIBRAND introduced the following bill; which was read twice and referred to the Committee on Agriculture, Nutrition, and Forestry A BILL To amend the Food and Nutrition Act of 2008 to require State electronic benefit transfer contracts to treat wire- less program retail food stores in the same manner as wired program retail food stores. 1 Be it enacted by the Senate and House of Representa- 2 tives of the United States of America in Congress assembled, 3 SECTION 1. ELECTRONIC BENEFIT TRANSFERS. 4 (a) IN GENERAL.—Section 7(h) of the Food and Nu- 5 trition Act of 2008 (7 U.S.C. 2016(h)) is amended— 6 (1) in paragraph (1)— smartinez on DSK6TPTVN1PROD with BILLS VerDate Mar 15 2010 02:12 Sep 22, 2011 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:BILLSS1593.IS S1593
  • 2. 2 1 (A) by redesignating subparagraphs (A) 2 through (D) as subparagraphs (B) through (E), 3 respectively; 4 (B) by inserting before subparagraph (B) 5 (as so redesignated) the following: 6 ‘‘(A) DEFINITIONS.—In this subsection: 7 ‘‘(i) COMMUNITY-SUPPORTED AGRI- 8 CULTURE PROGRAM.—The term ‘commu- 9 nity-supported agriculture program’ or 10 ‘CSA’ means a farm business or a group of 11 agricultural producers that form a partner- 12 ship with consumers through which con- 13 sumers buy a subscription for farm prod- 14 ucts in advance and the farm business or 15 group of agricultural producers commits to 16 supplying and delivering the products to a 17 common distribution point or directly to 18 the consumers. 19 ‘‘(ii) FARMERS MARKET.—The term 20 ‘farmers market’ means a regularly sched- 21 uled assembly of 2 or more agricultural 22 producers for the direct sale of locally 23 grown fresh fruits and vegetables and 24 other staple foods to consumers. smartinez on DSK6TPTVN1PROD with BILLS •S 1593 IS VerDate Mar 15 2010 02:12 Sep 22, 2011 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:BILLSS1593.IS S1593
  • 3. 3 1 ‘‘(iii) FARM STAND; ROADSIDE 2 STAND.— 3 ‘‘(I) IN GENERAL.—The terms 4 ‘farm stand’ and ‘roadside stand’ 5 mean a retail outlet for the direct sale 6 of locally grown fresh fruits and vege- 7 tables and other staple foods in rural 8 or urban areas. 9 ‘‘(II) INCLUSION.—The terms 10 ‘farm stand’ and ‘roadside stand’ may 11 include a single stall in a farmers 12 market. 13 ‘‘(iv) GREEN CART.—The term ‘green 14 cart’ means a mobile retail food vendor 15 who sells fresh fruits and vegetables on a 16 regular basis from an unmotorized cart. 17 ‘‘(v) ROUTE VENDOR.— 18 ‘‘(I) IN GENERAL.—The term 19 ‘route vendor’ means a mobile retail 20 food vendor who sells unprepared food 21 from a vehicle directly to consumers 22 along a scheduled route or by ar- 23 ranged delivery. 24 ‘‘(II) INCLUSION.—The term smartinez on DSK6TPTVN1PROD with BILLS 25 ‘route vendor’ includes vendors who •S 1593 IS VerDate Mar 15 2010 02:12 Sep 22, 2011 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:BILLSS1593.IS S1593
  • 4. 4 1 provide food services in disaster or 2 other emergency situations. 3 ‘‘(vi) WIRELESS RETAILER.—The 4 term ‘wireless retailer’ includes— 5 ‘‘(I) a farmers market; 6 ‘‘(II) a farm stand; 7 ‘‘(III) a green cart; 8 ‘‘(IV) a route vendor; 9 ‘‘(V) an entity operating a com- 10 munity-supported agriculture pro- 11 gram; and 12 ‘‘(VI) an individual farmer affili- 13 ated with an entity described in sub- 14 clauses (I) through (V).’’; 15 (C) in subparagraph (C) (as so redesig- 16 nated) by striking ‘‘subparagraph (A)’’ and in- 17 serting ‘‘subparagraph (B)’’; 18 (D) in clause (i) of subparagraph (E) (as 19 so redesignated), by inserting ‘‘, including wire- 20 less technology’’ before the semicolon at the 21 end; and 22 (E) by adding at the end the following: 23 ‘‘(F) STATE FLEXIBILITY FOR WIRELESS 24 EBT SYSTEMS.—Subject to paragraph (2), a smartinez on DSK6TPTVN1PROD with BILLS 25 State agency may— •S 1593 IS VerDate Mar 15 2010 02:12 Sep 22, 2011 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:BILLSS1593.IS S1593
  • 5. 5 1 ‘‘(i) procure and implement any wire- 2 less electronic benefit transfer system that 3 the State agency considers to be appro- 4 priate and that meets all industry security 5 standards; and 6 ‘‘(ii) use appropriate wireless tech- 7 nology available to the State agency in im- 8 plementing the wireless electronic benefit 9 transfer system, including smart phone 10 technology and other technologies, so long 11 as the technologies meet all industry secu- 12 rity standards.’’; 13 (2) in paragraph (2)— 14 (A) in subparagraph (G), by striking 15 ‘‘and’’ at the end; 16 (B) in subparagraph (H), by striking the 17 period at the end and inserting a semicolon; 18 and 19 (C) by adding at the end the following: 20 ‘‘(I) a requirement that, for purposes of 21 program participation, State agencies and the 22 Food and Nutrition Service treat wireless retail- 23 ers in the same manner as retail food stores 24 that use wired electronic benefit transfer equip- smartinez on DSK6TPTVN1PROD with BILLS 25 ment by providing the retail food stores with •S 1593 IS VerDate Mar 15 2010 02:12 Sep 22, 2011 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:BILLSS1593.IS S1593
  • 6. 6 1 wireless electronic benefit transfer equipment 2 that ensures immediate benefit account 3 verification; 4 ‘‘(J) a system for wireless retail food 5 stores to receive funds in an amount not ex- 6 ceeding the cost of a wireless point-of-sale ter- 7 minal if alternative wireless technology is used; 8 and 9 ‘‘(K) the potential for entering into a con- 10 tract or memoranda of understanding with a 11 statewide nonprofit organization, such as a 12 statewide farmers market association, to assist 13 the State agency by providing outreach, train- 14 ing, and administration in wireless electronic 15 benefit transfer equipment deployment at mul- 16 tiple-vendor farmers markets, particularly in 17 cases in which scrip (such as farmers market 18 tokens) is used to simplify program participa- 19 tion by agricultural producers and vendors.’’; 20 (3) in paragraph (3)(B)— 21 (A) in clause (i), by striking ‘‘and’’ at the 22 end; 23 (B) in clause (ii), by striking the period at 24 the end and inserting ‘‘; and’’; and smartinez on DSK6TPTVN1PROD with BILLS 25 (C) by adding at the end the following: •S 1593 IS VerDate Mar 15 2010 02:12 Sep 22, 2011 Jkt 099200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:BILLSS1593.IS S1593
  • 7. 7 1 ‘‘(iii) in the case of wireless retailers, 2 wireless electronic benefit and wireless 3 EBT connection services are available.’’; 4 (4) in paragraph (5), by inserting before the pe- 5 riod at the end ‘‘, including wireless electronic ben- 6 efit systems that enable all wireless retailers to pro- 7 vide for improved access to nutritious foods in areas 8 lacking such access, and in disaster-recovery situa- 9 tions’’; 10 (5) by redesignating the second paragraph (12) 11 (relating to interchange fees) as paragraph (13); and 12 (6) by adding at the end the following: 13 ‘‘(14) NON-EBT TRANSACTIONS.—Wireless 14 EBT equipment provided to an authorized retailer 15 may be used for non-EBT transactions (such as 16 credit and debit card transactions) only if the re- 17 tailer bears all costs associated with those non-EBT 18 transactions.’’. 19 (b) CONFORMING AMENDMENTS.—Section 16(a) of 20 the Food and Nutrition Act of 2008 (7 U.S.C. 2025(a)) 21 is amended— 22 (1) in paragraph (2), by inserting ‘‘, including 23 wireless access fees’’ after ‘‘the State’’; 24 (2) in paragraph (7), by striking ‘‘and’’ at the smartinez on DSK6TPTVN1PROD with BILLS 25 end; and •S 1593 IS VerDate Mar 15 2010 02:12 Sep 22, 2011 Jkt 099200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:BILLSS1593.IS S1593
  • 8. 8 1 (3) by striking ‘‘: Provided, That the’’ and in- 2 serting ‘‘, and (9) outreach and training for farmers 3 markets and other vendors defined in section 4 7(h)(1)(A) in wireless electronic benefit transfer 5 equipment deployment and operations, particularly 6 in cases in which scrip (such as farmers market to- 7 kens) is used to facilitate and simplify program par- 8 ticipation by agricultural producers and vendors. 9 The’’. Æ smartinez on DSK6TPTVN1PROD with BILLS •S 1593 IS VerDate Mar 15 2010 02:12 Sep 22, 2011 Jkt 099200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6301 E:BILLSS1593.IS S1593