August 20, 2017

In the Cart – August 2017 Compilation

Congress Delays Compliance Date for New SNAP Rules;
Revised Rules Coming
NATSO Industry Newsletter, May 2017
Congress has passed and President Trump has signed legislation containing a provision requiring the Department of Agriculture to rewrite a provision of the SNAP retailer eligibility rule issued in late 2016. That rule’s new requirements, which were scheduled to take effect on May 17, 2017, will now be delayed until the Department of Agriculture can rewrite them to comport with Congress’s new directives. To read the entire article and the explanation given for the delay, please click here.

FDA Issues Proposed Guidance on Distributing
Free Samples of Tobacco Products
NATSO Industry Newsletter, March 2017
The U.S. Food and Drug Administration’s (FDA) Center for Tobacco Products has released a proposed guidance document explaining how manufacturers, distributors, and retailers can comply with the agency’s prohibition against distributing free samples of tobacco products. Specifically, the guidance outlines the situations in which the sale of tobacco products – including e-cigarettes – to consumers at less than their full price (e.g., coupons, discounts, rewards programs, etc.) would not violate the ban. Please click here to read the entire article.

Texas WIC Program Update
Split Tender

TX WIC Program has made several updates to policies and to authorized products as we head into a new contract year. The most important is that all WIC Vendors must be able to process Split Tender transactions by September 30, 2017. As of 12:01 am on October 1, if your POS System can’t process a Split Tender transaction, your contract will be voided. TX WIC is following federal guidelines regarding this policy. Any new vendors applying to WIC or any new vendor outlets opening effective August 1 will be required to process Split Tender transactions as of 8/1/17. Vendor compliance for this new rule is found in WV: 01.0.  WIC Policies 0.1, 0.8 and 0.10 were updated this year.

Your Compliance team may want to visit the WIC Vendor Policies located at: http://www.dshs.texas.gov/wichd/policy/table_of_contents.shtm
Vendor Training

Just a reminder that it is a requirement that one representative from each vendor outlet, or a new WIC Vendor must complete an approved interactive training class annually. Texas WIC web site lists regularly scheduled webinars that allow each vendor to remain in compliance with this requirement. Failure to have a representative from each vendor location attend this interactive training annually will result in the loss of your vendor contract. Please click here to see compliance note TX WIC is sending out to those vendors who haven’t attended the live (webinar) training. In addition any front end employees (owners, managers and management staff, cashiers, stockers, administrative clerks, front end clerks) must take the current online WIC Vendor Training Program that is also available on this WIC web page. The WIC compliance note they are sending out on this is issue can be found here.

You might also go to the TX WIC Web site and you can see the number of webinars currently scheduled that might fit your schedule or log on if your team needs just the on line training. The link is: http://www.dshs.texas.gov/wichd/tng/on-site_vendor-cal.shtm
Authorized WIC Products

TX WIC also recently released a list of new authorized products that will be available for purchase effective October 1, 2017. Please click here to review those new items. In addition, The 18 and 36 oz. of Malt O Meal products in addition to few other authorized WIC items will be deleted effective January 1, 2018. This gives the vendors time to move out any inventory. The Malt O Meal products are being deleted due to the company’s reformulation and the new formulation doesn’t meet WIC standards for Iron supplements.
TX WIC Vendor Contact

In this day and age of technology, more and more communication is being processed via e-mail and the elimination of paper communication. When your WIC vendor contract is approved, each contract requires a corporate contact (one) and all of their contact information that TX WIC will use to send out correspondence on the vendor contract, compliance issues, vendor alerts, and program updates. It is the WIC Vendor’s responsibility to make sure the information on file is correct and current. Currently, information coming from WIC regarding policy, compliance, product changes, program changes, or contracts would be electronically sent to this one individual. The form used to communicate this person’s contact information to WIC is found at: http://www.dshs.texas.gov/wichd/vo/vendor-contact-update.aspx

BUT… Texas WIC has agreed to allow vendors to add a second/back-up person to the corporate contact list. It will only be for information regarding policy changes, product changes, compliance issues or program changes. The second/back-up person will not be involved in the contract process. It is highly recommend that each WIC Vendor have a second/back-up person to receive this type information so that communication between WIC and the vendor is transmitted to all vendor locations and vendor employees to insure compliance with any proposed changes the communication might contain. Click on this link to download the form to fill out for your second/back-up contact. Once completed send the form to: DSHS WIC Vendor Relations

SNAP Program Statistics Update
SNAP Program participation continues to remain basically flat with a very slight decline over a twelve month period.  The Program continues to maintain an average dollar benefit per household of $271.00 which equals the twelve month rolling average.  A look back, indicates last year there was slight uptick in participation.

Numbers provided by FNS (Food Nutrition Service) that lag 2-3 months behind the statistics TX posts, you can see we don’t show the greater declines in participation or in benefit dollars available to SNAP or WIC participates as our neighboring states or even the national average. Please contact Joe Williams –jwilliams@txretailers.org or 936-258-3414 if you have any questions regarding the statistics update.
Month       Cases          Participates                 Dollars                 Avg. per Case

Jun 17     1,628,291                3,839,907              $439,662,775.00        $271.00
Jul 17      1,633,091                3,847,807              $442,187,772.00        $271.00

Twelve Month Rolling Average     
Jun-Jul    1,644,092              3,884,992             $445,658,646.00         $271.00

Look Back To Last Year (2016) at This Time
Jul 16      1,632,846                3,870,216             $443,905,999.00        $272.00
Aug 16    1,649,090                3,911,802             $449,422,292.00        $273.00

How do we compare on SNAP participation to our neighbors and nation-wide? Latest information is May 17 versus May 16.

State            Participation             Households/Cases             Benefits/Dollars

National             <-4.6%>                                     <3.9%>                          <5.1%>
Texas                <-0.5%>                                         0.00                              <-0.8%>
Louisiana           <-4.1%>                                     <-2.8%>                         <-5.3%>
Arkansas           <-6.7%>                                      <-7.6%>                         <-8.4%>
Oklahoma          <-2.4%>                                     <-1.6%>                         <-1.5%>
New Mexico       <-4.3%>                                    <-2.0%>                         <-5.3%>

How do we compare on WIC Program participation tour neighbors and nation-wide? The latest numbers available are July 17 compared to July 16. 

State                                                Participation
National Average                                <-5.7%>
Texas                                                    <-4.3%>
Louisiana                                              <-6.0%>
Arkansas                                              <-5.0%>
Oklahoma                                             <-4.7%>
New Mexico                                          <-0.6%>
July 15, 2017

In the Cart – July 2017 Compilation

Texas WIC Split Tender Update
Summer is half way over and the time left for your POS System to become certified to process TX WIC Split Tender transactions is getting shorter. If you log onto the TX WIC Web Site scroll down to Vendor Operations on left side and click on it, that brings up several more options. The first one is Vendor Home. On this page click (Vendor by County Split-Tender Capable) and you can see the list of WIC Vendors who are currently processing Split Tender transactions.  Today the local WIC clinics in each community are using this list of stores to refer their WIC participants to stores in their area that can process Split Tender transactions. You are potentially losing WIC customers if you can’t process Split Tender transactions. In addition as a WIC Vendor, if you aren’t capable of processing a Split Tender transaction, by September 30, 2017, you will lose your WIC Contract.

SNAP PROGRAM FRUIT & VEGETABLE GRANT PROGRAM
The 2014 Farm Bill established a new program called FINI (Food Insecurity Nutrition Incentive) grant program. The purpose of the FINI grant program is to increase the purchases of fruits and vegetables (without added salt, sugar, or fat) among low income consumers participating in the SNAP Program (Lone Star in TX) by incentivizing these products at POS. A description of the program can be found by clicking here. FINI grant program was authorized with a budget of approximately $100 million over the next four years. The FINI grant program provides a 1 to 1 match for grant funding.

How does it work? A customer uses their EBT card to purchase qualifying fruits or vegetables using SNAP (Lone Star) benefits at a FINI retailer partner outlet. Click here to review a PowerPoint on the program and results thru first two years.

An example, every $1 of SNAP benefits spent on fruits or vegetables, the customer receives an incentive good for $1 of additional fruits or vegetables. Kroger stores in Mississippi and Tennessee. Or participating thru an AARP Foundation grant. Lowe’s Markets based in Littlefield TX, are participating in New Mexico stores thru the New Mexico Farmers Marketing Association and reports tremendous results.

FINI states there are three reasons why SNAP retailers should consider participating in the program:

  1. FINI grantees advertise their grant projects, including the addresses of participating retailers. This positive press exposure may bring new customers to your store and can help expand your customer base.
  2. Retail food stores participating in FINI grant projects generally increase their overall sales in fruits and vegetables, especially fresh produce. One participating independent grocer went from produce deliveries three times a week to six times a week since joining FINI.
  3. By participating in a FINI grant project you will help improve the overall health of your customers and your community.

Again please click here if you have an interest in applying for a FINI grant.

FDA announces New Nutritional Labeling
The United States Department of Agriculture (USDA) recently announced that the Nutrition Facts labeling guidelines would be pushed back past the previous compliance date of July 2018.  Industry had asked for an extension of three years past the July 2018 date. The Food & Drug Administration (FDA) has yet to announce a date, but did state they would provide additional details in the near future, probably with a posting of a proposed date of compliance in the Federal Register. Enclosed below is a photo provided by FDA that shows a side-by-side version of the current and proposed labels.

 
 

GMO LABELING RULE IMPLEMENTATION SET FOR JULY 2018
The United States Department of Agriculture (USDA) has established a working group to develop a timeline for rulemaking for the Genetically Modified Organism (GMO) or Bioengineered Food, in time to meet the July 2018 deadline imposed by Congress.  USDA has developed this working group to ensure an open and transparent process for effectively establishing this new program. This will increase consumer confidence and understanding of the foods they buy, and avoid uncertainty for food companies and farmers.

USDA also states they are committed to providing multiple opportunities for engagement.

They have developed a page which is supposed to be continuously updated as a resource for public notification and collaboration on the development of the new program.

Questions or Comments?  Please email them at GMOLabeling@ams.usda.gov.
They have also set it up so that you can subscribe to get email updates.

WIC Program Quarterly Conference Call scheduled July 27, 2017
The Texas WIC Program has scheduled its next quarterly conference call starting at 2:00 pm CST on Thursday, July 27th. The meeting will include important and informative WIC vendor updates. Please let us know if you would like to participate and we will register you with TX WIC to receive notice and login for the webinar.

In addition, TX WIC just released the list of new WIC items authorized effective October 1, 2017. Please click here to review the list of new WIC approved foods for FY 2018.

SNAP Program Statistics Update
SNAP Program participation was basically flat between May and June 17, showing a very slight increase in participates and benefits but a slight decline in average benefits.  When compared to the rolling twelve month average it is still indicating declining trend long term. Nationally SNAP Program enrollment as well as benefit dollars continue to decline at slightly greater rate now at approximately 6%. In addition, national numbers lag three months behind posted results from Texas, so the decrease could be even greater if the numbers were more current. We also looked at most current WIC participation rates nationally and they are on gradually decline as well just not as great as SNAP Program is showing. Again, these numbers are from March and we understand the margins of decrease are even larger in the last three months since March. We also enclosed some of our neighboring states and how SNAP participation and benefit dollars look in those states. Arkansas, Oklahoma, and New Mexico still trending as they were last month but Louisiana has taken a dramatic change since last month. Moving from positive enrollment in the double digits each month to a 6% decrease in participants but a 27% decrease in benefit dollars. We aren’t sure why the sudden change. Will look further into what is going on there. WIC participation numbers are similar to last month’s level of decrease.
Month             Cases        Participates      Total Dollars           Ave. $ Per Case
May 17              1,620,494       3,823,612       $438,660,725.00                  $271.00
Jun 17                1,628,291       3,839,907       $439,662,775.00                  $270.00Look back-Last Year- 2016

Jun 16                1,631,611      3,867,156       $443,773,162.00                  $272.00
Jul 16              1,632,846      3,870,216       $443,905,999.00                  $272.00

Twelve Month Rolling Average

12 month

Average    1,644,071       3,886,860      $445,801,832.00                  $271.00

National SNAP Numbers 

Mar 17 v Mar 16          Cases              Participants                   Benefits
Nationwide                (-05.2%)               (-05.4%)                         (-06.1%)

Texas                        +01.8%                    +01.4%                               +01.2%
Louisiana                  (-06.0%)                (-07.7%)                           (-27.2%)
Arkansas                  (-14.3%)                   (-11.4%)                            (-15.0%)
Oklahoma                 (-0.8%)                   (-01.3%)                           (-0.4%)
New Mexico              (-0.7%)                   (-02.9%)                           (-03.4%)

National WIC Participation

Mar 17 v Mar 16                       Participants    
Nationwide                                        (-5.7%)Texas                                                  (-4.4%)
Louisiana                                           (-6.1%)
Arkansas                                            (-5.0%)
Oklahoma                                          (-4.6%)
New Mexico                                       (-1.4%)
June 15, 2017

In the Cart – June 2017 Compilation

Texas WIC Split Tender Update
As we enter the month of June, a look at the TX WIC Web Site and scroll to the bottom of the page, click on “Split Tender Capable Stores”. Today the local WIC clinics in each community are giving WIC participates a list of stores in their area that can process Split Tender transactions. As a WIC Vendor, if you aren’t capable of processing a Split Tender transaction by September 30, 2017, you will lose your WIC Contract. This process involves your POS provider, it is a software upgrade, and the software must be certified by TX WIC and we are running out of time. Make the call today to your POS provider for status on Split Tender processing. It is critical!

Texas WIC Program Implements Moratorium on New Vendors/Outlets
The Texas WIC Program is implementing a moratorium on the authorization of new vendors and vendor outlets that do not have split tender capabilities effective June 15, 2017. This is being done in an effort to meet the United States Department of Agriculture (USDA) October 1, 2017, final deadline for split tender implementation, Texas WIC must enforce a corrective action plan, which includes the moratorium, to ensure statewide compliance. Texas had already received a one year waiver from USDA/FNS from the original deadline of October 1, 2016. During the moratorium period, vendors that already have split tender functionality may still apply to the WIC Program or add additional outlets to existing accounts.

All new vendors and new outlets will be required to demonstrate split tender capability through the EBT Capable process (formerly known as EBT Ready) and comply with all vendor selection criteria. The EBT Capable process will be updated to involve a split tender transaction to validate your POS system’s split tender compliance. As an additional reminder, only Full-Line Grocers are currently eligible for authorization to become new WIC vendors. Should you have any questions, please contact WICEBTSupport@dshs.texas.gov or call Jarrett Morgan, EBT Operations Branch Manager, at (512) 341-4750.

TX WIC Vendor Policy 10.0 Updated
Effective June 1, 2017, TX WIC has updated WIC Vendor Policy #10- WIC Vendor Authorization & Competitive Pricing. The updated policy is posted on the WIC Web Site at: http://www.dshs.texas.gov/wichd/policy/table_of_contents.shtm. Some of the revisions include:

  • Updated terminology and wording
  • Updated definitions for several items including Least Expensive Brands, Contract Brand Formula, etc.
  • They rearranged Section II for easier reading and lowered minimum stocking requirement for infant formula concentrate.
  • Rearranged Section III- Vendor Selection to better reflect the selection process.

All Vendor Policies are located at the WIC Web Site: http://www.dshs.texas.gov/wichd/policy/table_of_contents.shtm

For questions or concerns, please contact WICVendorInfo@dshs.texas.gov or send a note to Joe Williams at jwilliams@txretailers.org.

WIC Program Scam
United States Department of Agriculture (USDA) notified Texas WIC Program that there is a group claiming that they can help grocers apply for authorization for TX WIC.  This group claims to be with the WIC Program and for a small fee of $349.00 they will fill out the necessary paperwork and have USDA come to the store for a site visit.

Texas WIC doesn’t engage third parties to solicit new WIC Vendors or handle application process. In addition, USDA does not do on site visits of potential new WIC Vendors. We at Texas Retailers are available to any Texas grocer looking at becoming a WIC Vendor and what is required to meet the program standards. You can contact Joe at jwilliams@txretailers.org if you have heard of this scam, or if you have questions about becoming a WIC Vendor.

Food Safety Modernization Act (FMSA) Update
Just a reminder that Texas Department of Agriculture (TDA) has asked TRA if their grocery retailers would verify that their Texas produce suppliers are compliant with the new FSMA-Produce Rule. TDA understands a major part of our grocers work very hard to source local Texas produce and this rule is going to affect all fruit and vegetable producers/growers in Texas. Have your fruit & vegetable producers visit the web site below and complete the producer/grower survey.
http://texasagriculture.gov/RegulatoryPrograms/FoodSafetyModernizationAct(FSMA).aspx.
If you would like to review the standards required by FSMA on Produce Safety click here (Produce Safety). If you have questions, please reach out to Richard De Los Santos –TDA Produce Safety Director at 512-463-7472 or richard.delossantos@texasagriculture.gov.

SNAP Program Statistics Update
SNAP Program participation was basically flat between April and May 17 but overall continuing that downward spiral in new participation comparing May 17 to the state’s 12 month rolling average.  Nationally SNAP Program enrollment as well as benefit dollars continue to decline at approximately 5%. In addition, national numbers lag three months behind posted results from Texas, so the decrease could be even greater if the numbers were more current.  In addition, we looked at most current WIC participation rates nationally and they also indicate a slightly bigger decrease than SNAP. Again, these numbers are from February and we are hearing even larger decreases in participation over the last three months since February 17. We again also enclosed some of our neighboring states and how SNAP participation and benefit dollars look in those states. Arkansas and Louisiana still are at each end of the spectrum.
TEXAS Current/Past Results

Month             Cases        Participates      Total Dollars           Ave. $ per case 
Apr 17                1,614,563       3,807,266        $436,122,969.00                  $270.00
May 17              1,620,494       3,823,612       $438,660,725.00                  $271.00

Look back-Last Year- 2016

May 16               1,613,404     3,825,983      $439,555,769.00                     $272.00
Jun 16                  1,631,611     3,867,156      $443,773,162.00                      $272.00

         Twelve Month Rolling Average

12 month            1,644,348     3,889,130      $446,144,364.00                   $271.00

National SNAP Numbers 

Feb 17 v Feb 16          Cases              Participants                 Benefits
Nationwide                     (-4.8%)               (-04.8%)                         (-05.1%)

Texas                                +01.2%                +00.8%                         +00.3%
Louisiana                        +08.2%                +06.2%                         +07.0%
Arkansas                         (-15.1%)               (-11.8%)                        (-16.0%)
Oklahoma                        (-0.4%)                 (-00.5%)                          +0.5%
New Mexico                     +0.9%                 (-01.5%)                         (-02.2%)

National WIC Numbers

Feb 17 v Feb 16                              Participants        2016 Ave. Monthly Food Cost

Nationwide                                           (-5.8%)                       $42.78
Texas                                                      (-4.2%)                       $29.92
Louisiana                                              (-6.2%)                        $47.14
Arkansas                                                (-5.2%)                       $43.09
Oklahoma                                              (-3.6%)                       $35.96
New Mexico                                          (-3.9%)                        $36.06
May 20, 2017

In the Cart – May 2017 Compilation

TEXAS SNAP & WIC PROGRAM ANNUAL TRAINING REQUIREMENTS
WIC Program
Effective November 1, 2016, authorized WIC vendors are required to complete a WIC Training on a yearly basis.  The regulations are posted in WV Policy 8.0. A vendor must complete one of the three trainings in order to maintain contract compliance. Click here to access training information.

  • LEB & Label Training
  • Texas WIC Online Vendor Training
  • Vendor Customer Service

If you have not taken any trainings this year, one representative from each outlet must complete a training on or before September 30, 2017, in order to maintain compliance with the WIC Vendor Agreement. Failure to maintain compliance could result in adverse actions with the WIC program.

If you have any questions or concerns, please contact the Vendor Outreach Branch at WICVendorInfo@DSHS.Texas.Gov.
SNAP Program
As posted in last month’s “In the Cart” newsletter, the SNAP Program has also implemented training guidelines for everyone working in a SNAP Vendor store including part-time, full-time employees and ownership. The goal is to ensure that all store owners fully understand and appreciate this responsibility. Click here to review the training requirements to remain an authorized TX Snap Program Vendor.

WIC Program Contracting Process Frustrating New Vendors
TRA has received numerous requests for assistance navigating the new vendor contracting process that the Texas Health & Human Services Commission (HHSC) now requires the Texas WIC Program to use. Originally all new vendor applications/contracts were approved internally within Texas WIC, one of many programs under the HHSC administrative umbrella.

WIC Vendor contracts still go through WIC agency review and approval, which includes the application and EBT System Certification. Once WIC has completed the application review process, they then send it to HHSC for legal review. This is a new process and, we believe the time involved to review through HHSC Legal will start coming down to a more reasonable period of time soon. This process only applies to new vendors and new contracts. If you are a current TX WIC Vendor, and you are adding another outlet under a current contract, you are not subject to this new contract review process.

If your store is engaged in this process, please contact to Joe Williams at jwilliams@txretailers.orgor at 832-557-4227 for assistance. Joe can help move your application through the process until HHSC’s system becomes more efficient.

Food Safety Modernization Act (FMSA) Update
Texas Department of Agriculture (TDA) has asked TRA’s grocery retailers to verify that their Texas produce suppliers are compliant with the new FSMA-Produce Rule. TDA understands a major part of our grocers work very hard to source local Texas produce and this rule is going to affect all fruit and vegetable producers/growers in Texas. Ask your fruit & vegetable producers to visit the web site below and complete the producer/grower survey.
http://texasagriculture.gov/RegulatoryPrograms/FoodSafetyModernizationAct(FSMA).aspx.If you would like to review the standards required by FSMA on Produce Safety click here. If you have questions, please reach out to Richard De Los Santos –TDA Produce Safety Director at 512-463-7472 or richard.delossantos@texasagriculture.gov.

SNAP Program Statistics Update
SNAP Program participation is continuing a slight decrease (.005%) in new participation comparing April to March. Last year, from April to May, there was a slight increase of 1.4%. Nationally SNAP Program enrollment as well as benefit dollars continue to decline at approximately 5%. In addition, national numbers lag three months behind posted results from Texas, so the decrease could be even greater if the numbers were more current.  We also enclosed data on neighboring states and how SNAP participation and benefit dollars look in those states.
TEXAS Current/Past Results

Month             Cases        Participates      Total Dollars           Ave. $ per case 
Mar 17     1,623,926       3,831,406       $437,666,684.00                  $270.00
Apr 17     1,614,563       3,807,266       $436,122,969.00                  $270.00

Look back-Last Year- 2016

Apr 16        1,591,521     3,772,913      $431,757,512.00                   $271.00
May 16       1,613,404     3,825,983      $439,555,769.00                   $272.00

National Numbers

Feb 17 v Feb 16          Cases              Participants                 Benefits
Nationwide                  (-4.7%)                 (-04.8%)                           (-05.1%)

Texas                        +01.2%                 +00.8%                             +00.3%
Louisiana                   +08.2%                 +06.2%                             +07.0%
Arkansas                  (-15.1%)                 (-11.8%)                            (-16.0%)
Oklahoma                 (-0.4%)                   (-00.5%)                             +0.5%
New Mexico                +0.9%                  (-01.5%)                            (-02.2%)
April 18, 2017

In the Cart – April 2017 Compilation

Here’s a compilation of some of the biggest stories affecting grocers for April 2017.

Meat Grinding Log Fines Begin

USDA FSIS (Food Safety Inspection Service) has begun enforcing penalties for supermarkets that are in violation of the new meat grinding log regulation. The rule became effective on June 20, 2016, and enforcement began on October 1, 2016. The Department decided not to enforce any penalties for the first six months of the rule’s effective date, through March 31, 2017. NGA (National Grocers Association) has been in touch with FSIS and hopes to have more information soon regarding what they have decided to do regarding penalties for non-compliance. On an NGA webinar last summer, FSIS staff indicated that the Office of Investigation, Enforcement and Audit would re-evaluate enforcement next steps on April 1, 2017. NGA is seeking more information on penalties that they can share with industry soon.. The constituent update from FSIS announcing plans for inspectors to begin to verify compliance on April 1, 2017. Review their announcement by clicking here.

Food Safety Modernization Act (FSMA) Update

With the implementation deadline just weeks away for the Food and Drug Administration’s (FDA) menu labeling regulation, National Grocers Association (NGA) sent a letter to the acting FDA Commissioner, Stephen Ostroff, requesting that the deadline be delayed due to the significant amount of confusion that remains around the rule. The rule is set to be implemented on May 5, 2017. NGA continues to reach out to the FDA in the hopes of obtaining written confirmation that licensors and marketing alliances will not be covered under the regulation.
In addition, NGA continues to implore the Health and Human Services Department to suspend the rule and allow the FDA to reexamine the regulation and incorporate the Common Sense Nutrition Disclosure Act of 2017 (CSNDA) into the new writing, while maintaining our support for the CSNDA and pushing for its consideration in the House and Senate.
NGA will continue to monitor the issue and in the meantime, if you have any questions regarding Menu Labeling regulations or about the Common Sense Nutrition Disclosure Act, please reach out to Matt Foley with NGA.

Annual Refresher Training Required for all SNAP Authorized Retailers

As an authorized SNAP retailer, USDA (United States Department of Agriculture) expects all authorized SNAP vendors to be able to demonstrate that they maintain an established operational compliance policy and program to prevent SNAP violations from occurring. Training is required for new owners AND new employees within 30 days of employment. USDA FNS also requires refresher training to be conducted once a year. Should a SNAP violation occur, it’s very important that the retailer can show documentation of the training for both new employees and the annual refresher training.
To review UDSA’s training expectation, Click Here.  You can also copy a list of FNS (Food & Nutrition Services) Retailers Store Training Information by Clicking Here.

March 15, 2017

In the Cart – March 2017 Compilation

TX WIC Program- Split Tender

Many WIC Vendors in Texas have now been certified by Texas WIC Program to start approving Split Tender transactions for WIC participates. USDA (United States Department of Agriculture) had mandated states require their WIC Vendors to allow Split Tender transactions by October 1, 2016. The states and territories that use a Smart Card/Chip Card (sometimes referred to as eWIC) process ran into difficulty with software and system provider companies due to the transition in the US from mag stripe to chip card technology for credit/debit cardholders and the changes to update systems that were required in retail locations for the software and chip card readers. USDA allowed Texas and the other eWIC states a waiver until October1, 2017. Texas WIC wants to allow their participants the opportunity to maximize their “Cash Value Voucher” (CVV) benefits and are allowing WIC Venders to start approving Split Tender transactions as soon as their system is certified by Texas WIC. As of March 1, there were 280 WIC Outlets processing Split Tender transactions for their WIC customers in Texas. If you aren’t yet certified or have questions about the Split Tender process please contact Jarrett Morgan- TX WIC Food Redemptions Branch Manager, Jarrett.morgan@dshs.state.tx.us or reach him at 512-341-4750.

A Split Tender transaction is when a WIC participant who is using her “Cash Value Voucher” (CVV) for fruits and vegetable purchases and exceeds her CVV balance on her WIC Smart Card. For example, the WIC participant has a CVV benefit of $16.00. Her purchases for fruits and vegetables total $16.50. Prior to the development of Split Tender transaction process, the clerk would have deducted or removed the last fruit and vegetable purchase made by the participant (tomatoes that cost $1.14) therefore readjusting the CVV purchase down to $15.36 and then the merchant would have deducted the $15.36 from the participants card balance for CVV of $16.00. This would leave the participant with a balance of .64 cents. In most cases, participants wouldn’t try to purchase any qualifying fruits or vegetables and would wait until new benefits were loaded on their account. The approval of Split Tender process now allows the participants to purchase those tomatoes and her balance to pay at the end of the transaction would be the .50 cents in cash, check, or a credit or debit card. This will help the participants maximize the fruit and vegetable benefits designed for them by WIC Nutritionists.

 

SNAP Program participation is showing very slight decrease from January to February so far in 2017.  The twelve month rolling average shows very slight change of what we have seen so far in the first two months. In addition, a look back to last year comparing February to March shows very little change.  Texas isn’t showing the recovery as a majority of the country is. Enrollment and participation in the states where Oil and Gas are major factors in the state’s economy continue to show no growth to continuing growth in enrollment in benefit programs.  Nationally SNAP Program enrollment as well as benefit dollars continue to decline from five percent to approaching six percent from a year ago.  Thought it would also be interesting to see how some of our neighboring states SNAP participation and benefits compare to Texas.

SNAP Program Statistics Update

                            TEXAS Current/Past Results
Month           Cases        Participates      Total Dollars           Ave. $ per case 
Jan 17       1,648,030      3,811,968       $443,969,497.00                 $269.00
Feb 17      1,630,846      3,847,537       $442,386,110.00                  $271.00

Twelve Month Rolling Average
Jan-Feb17 1,636,558      3,882,481       $445,417,618.00                  $272.00

Look back-Last Year- 2015
Feb 16        1,600,141     3,796,125      $436,228,019.00                    $273.00
Mar 16        1,596,574     3,783,594       $432,416,142.00                  $271.00

National Numbers

Nov 15-Nov 16           Cases              Participants                        Benefits
Nationwide                (-05.0%)                 (-03.2%)                                 (-05.8%)
Texas                          +03.4%                   +03.8%                                   +03.2%
Louisiana                   +09.6%                   +11.6%                                     +10.0%
Arkansas                    (-11.8%)                (-15.4%)                                   (-16.4%)
Oklahoma                  +0.5%                      +0.7%                                      +1.7%

February 14, 2017

In the Cart: February 2017 Compilation

Here’s a compilation of some of the biggest stories affecting grocers for February 2017.

New Rules from TX Department of State Health Services on Food Handlers

Texas Food Establishment Rules adopted this past year (September 2016) have several new requirements for retail establishments. One of those areas of rule change is in article 228.33  (click here to review regulations) that now require a Certified Food Protection Manager on duty at all times when the store is open for business. In addition, an individual working with unpackaged food, food equipment or utensils, or food-contact surfaces is required to take an accredited Food Handler training class.

Information on both Certified Food Protection Manager and Food Handler’s training classes is available at https://tx.foodprotectiontaskforce.com/.

Texas Department of Agriculture Fuel Calibration Regulation Takes Effect Jan. 1 2018

This past year, the Texas Department of Agriculture (TDA) adopted new regulations regarding retail motor fuel dispensers (gas pumps). Retail motor fuel dispensers must be on a maintenance program where they are calibrated every two years by a certified service technician registered with TDA.  The new regulation and compliance enforcement goes into effect January 1, 2018.  The compliance penalties can be severe if your fuel dispensers aren’t calibrated, certified by registered technician and sent to TDA. Click here (see enclosure-Texas Dept of Ag ) to access the new regulation from TDA.

FMI Action Regarding Release of Individual Retailer SNAP Redemption Data 

Judge grants stay and FMI’s motion to intervene. In late January, FMI (Food Marketing Institute) filed a motion to intervene in the Argus Leader court case, so that FMI could have the opportunity to appeal the November 30, 2016, decision on its own behalf.  The motion was filed in the United States District Court for the District of South Dakota by local counsel.  FMI has announced that the court granted their motion in its entirety.  The court has allowed FMI to intervene, granted a stay of its judgment, and has given FMI 15 days to file its notice of appeal.  

Following the appeal by FMI, they then received confirmation from an attorney representing USDA, that USDA will not release the SNAP retail data until the appeal is resolved. The stay will remain in place until an appeal decision is issued. We will continue to monitor the appeal and report any movement on the case.

Texas WIC Program Starts Process to Move to Three Year Renewal Contract

This past December, Texas WIC sent out renewal packets to approximately one-third of their WIC Vendor Community. Due to several issues regarding the length of time to review and process the packets per individual location, Texas WIC was instructed to send out the packets in mid-December with a return date of January 12, 2017.   In the future, WIC will not have to go out this early, and this was a one-time process in order to get the system set up, reviews handled, and technology in place. We can expect that the agency will be required to follow a timeline of starting the contract renewal process in May, possibly June, for the contract renewals for October 1, 2018 through September 30, 2019.  Texas WIC is currently developing a Web Portal that would allow WIC Vendors to log on and correct information on each individual account, when needed. That is expected to be in place by 2018.

It is critical that Texas WIC has a key contact that includes correct e-mail address, office and cell phone numbers!
Reach out to Texas WIC Vendor Relations Outreach Team at wicvendorrelations@dshs.state.tx.us or you can contact the Vendor Relations Team Lead- Bessie Felton at Bessie.felton@dshs.state.tx.us or 512-341-4779.

SNAP Program Statistics Update

SNAP Program participation is showing very slight decrease from December to January in the new year. We’ve also enclosed the comparison last year from February 16 to March 16 as well as twelve month rolling average to give you some idea of what is expected in the next couple of months.  Nationally SNAP Program enrollment as well as benefit dollars continue to decline from five percent to approaching six percent from last year.  Enclosed are the latest numbers from USDA on our neighboring states.

                                        

                            TEXAS Current/Past Results

Month                        Cases                  Participates           Total Dollars                         Ave. $ per case       

Dec 16                 1,654,411                        3,912,257                    $448,725,497.00                       $271.00

Jan 17                  1,648,030                     3,811,968                     $443,969,497.00                      $269.00

 

Twelve Month Rolling Average

Dec-Jan 17            1,636,999                    3,878,197                    $444,904,444.00                      $272.00

 

Look back-Last Year- 2015

Feb 16                  1,600,141                    3,796,125                     $436,228,019.00                     $273.00

Mar 16                  1,596,574                    3,783,594                     $432,416,142.00                     $271.00

 

National Numbers

NOV 16–                 Cases                     Participants         Benefits

Nation                      (-04.9%)                  (-05.0%)                   (-05.8%)

Texas                       +03.8%                  +03.4%                     +03.2%

Louisiana                   +11.6%                  +09.6%                     +10.0%

Arkansas                  (-15.4%)                 (-11.8%)                   (-16.4%)

Oklahoma                 +0.7%                     +0.5%                       +1.7%

January 17, 2017

In the Cart: January 2017 Compilation

Menu Labeling Update
NGA (National Grocers Association (NGA) reports in their January Newsletter that there is discussion of proposed new legislation to change current regulatory requirements for the FDA’s Menu Labeling regulation which is set to become effective May 5, 2017. Members of the House and Senate are expected to reintroduce legislation in the coming weeks that will allow for common-sense changes designed to make the regulation more suitable for various business formats. For more information on the expected legislation and background on the menu labeling issue, please click (NGA Menu Labeling Brief 2017) to view NGA’s issue brief on the topic.

Food Modernization Act Update

Texas Department of State Health Services (DSHS) has announced that you can log onto their web site at http://www.dshs.texas.gov/foods/default.aspx and you can enroll for a variety of email alerts from DSHS that they will send out regarding updates on DSHS rules, Federal Preventive control Rules, and/or information regarding the Food Safety Modernization Act activities in Texas. If you are interested in just the Food Modernization Act Alerts, log on at: http://www.dshs.texas.gov/foods/fsma/Training.aspx.

Texas (DSHS) Retail Foods Policy Update

The Texas Food Establishment Rules (TFER) requires that a retail food establishment must have available the most recent inspection report available upon request by posting a sign, placard or other approved method by the regulatory authority. Under the new training guidelines taught by TX DSHS (Department of State Health Services), if the food establishment chooses to post their most current inspection report instead of or with either posting a sign, placard, or just the most current inspection report that action meets the requirement of notification as well. To review the Regulatory Alert posted by TX Department of State Health Services, please click here: TX DSHS Regulatory Update January 2017

University of Houston Downtown Announces Retailing Career Fair

The Center for Retail Management and the University of Houston Downtown invite your company to participate in a career/job fair for the retail industry on Thursday, March 23, 2017.  Only retail organizations are invited to participate in this exclusive event.  All students attending the University of Houston Downtown will be invited to participate in this career fair.

As a participant, you will have a complementary table for displaying information about your company and the job opportunities available.  You are encouraged to promote all aspects of retailing including support services, such as accounting and human resources, to operations at the store, district or regional offices.  You may recruit for full time, part time or internship positions.  The goal is to showcase the breadth and depth of job opportunities in the retail sector.  Your participation contributes to the achievement of that goal.

To reserve a table at this event, please click here to complete the online Registration Form.

In addition to review details of the UHD Retailing Career Fair, please click here: UHD 2017 Retailing Career Fair

December 14, 2016

'Tis the Season for Holiday Scams: How to Protect Yourself

With the holidays ramping up and seasonal shopping in full swing, criminals are also gearing up for a busy season.  Cyber criminals don’t take the holidays off. In fact, they’re especially busy trying to steal your money and personal information.  Shoppers should be more vigilant than ever for scams designed to steal their money and personal information. Though criminals are often aggressive and creative in their efforts, there are certain red flags and common schemes holiday shoppers can guard against this holiday season. Please click here to review Federal Bureau of Investigation (FBI) article on holiday scams.

December 14, 2016

Visa Changes Debit Routing Rules for EMV Deployments

The National Grocers Association (NGA), along with other merchant organizations and payment systems stakeholders, raised concerns this year to both the Federal Reserve Board of Governors and the Federal Trade Commission (FTC) over Visa’s actions that were deployed as part of EMV migration upgrades. As you may recall, retailers began seeing new screens shown on PIN Pad terminals, often after EMV updates, that gave consumers the option to choose “Visa Debit” or “US Debit.”  Visa debit routed the transaction via Visa’s debit network, violating the Durbin Amendment that gave merchants the choice which network to route the transaction. Last week, NGA and other merchant trade groups sent a letter to Visa calling for the company to eliminate any operating rule that violates federal law. Visa’s response to NGA can be found HERE. Following an investigation by the FTC and a ruling by the Federal Reserve, Visa announced this week that it will no longer use EMV technology and rules to inhibit merchant routing choice. Click HERE to read more about Visa’s modified debit routing policies.