Electronic Benefits Transfer: New Strategies for Improving Public Assistance Programs

Section 825 of the act provides that states must implement Electronic Benefits Transfer (EBT) Systems before October 1, 2002, unless a state faces unusual barriers to implementation. The act adds a provision that EBT systems should follow generally accepted operating rules based on commercial technology, the need to permit interstate operation, and the need to permit monitoring and investigations by law enforcement agencies. Additionally, the act requires that EBT systems include measures to maximize security, to be effective not later than two years after enactment, and to the extent practical, undertake measures that permit EBT systems to differentiate among eligible and ineligible food items.