Reprinted from Texas Department of State Health Services
Tex Talks
READY, SET, ROLLOUT!
The Texas Department of State Health Services (DSHS) is busy planning the statewide rollout of the WIC EBT smart card. With the El Paso area and Grayson County already using the card, implementation in other parts of Texas will soon follow. DSHS will work with each area to assist in the transition from paper vouchers to paperless food delivery.
ECR System Selection, Installation, Certification, and Reimbursement
The State of Texas received federal approval for the statewide rollout of WIC EBT on September 16, 2005. While the official rollout is planned in phases, all Texas grocers are encouraged to start the conversion process for EBT. This means that any WIC authorized grocer in the State of Texas may upgrade their electronic cash register (ECR) system to accept the Texas WIC EBT card or replace the system and receive reimbursement from the State for all or part of the costs. Grocers must meet rollout deadlines for their area, but they can also gain a competitive edge by installing the system before the rollout reaches their area. Having an EBT system installed will allow grocers in areas that the rollout hasn’t reached to accept traveling WIC clients with EBT cards. Every WIC authorized grocer must install/upgrade and operate a WIC EBT Certified ECR system. There are five important steps to becoming EBT ready:
· Select a WIC EBT Certified ECR System and notify the State.
· Get the EBT system installed.
· Attend cashier and manager training.
· Obtain Level III system Certification.
· Request reimbursement for the ECR system.
First, grocers must choose the WIC EBT Certified ECR system that is the “best fit” for their operations. There are currently several ECR systems that are WIC EBT Certified by the State of Texas. If a store’s ECR software has already been modified by the State to accept the WIC EBT card, the grocer should contact its ECR manufacturer to obtain a free update to the ECR core software. Grocers currently operating without an ECR system or using an ECR system whose manufacturer and software version are not WIC Certified, should determine which WIC Certified ECR system is best for them. Grocers should consider the following questions: Do I want a multitender, integrated system that will be used for all of my transactions? Or, do I want a single-tender, stand beside system that will not interfere with my current in-store system and that will be used for WIC transactions only? What kind of reports do I want my system to generate? Do I want a basic system or a system with many bells and whistles? As soon as grocers have reviewed the systems available and made their selection, they need to notify the State.
Second, after selecting a system and notifying the State, the next step for grocers is to work with their system integrator to schedule installation of their new or upgraded system. The system integrators are busy installing systems all over the State, so it is important to get on their schedule early, especially if rollout is coming soon to the area.
Third, after the EBT enabled ECR system is installed, store managers and staff must be trained to use it. System integrators are responsible for training; grocers must confirm that store personnel are trained in the use of the system. It is very important that as many cashiers as possible attend this training so that WIC transactions will go smoothly in the store. In addition to the training provided by system integrators, store managers are required to attend training in WIC EBT policy and procedures. A schedule of upcoming WIC manager training sessions can be found on page 1.
Fourth, once the system has been installed and store personnel have been trained, the system must be Level III Certified by the State. Generally, a WIC employee or other representative of the State will travel to the store and make a WIC food purchase using a WIC EBT card. The purpose of Level III Certification is to ensure the system is working properly in the lanes; it is a brief 15- 30-minute process that, if successful, results in the store receiving an electronic payment from the State.
Last, but not least, following Level III Certification, grocers can apply for reimbursement of their ECR system. In order to receive reimbursement, grocers must 1) submit a purchase agreement signed by both the grocer and the system integrator that accurately reflects all system components, including software; 2) submit a verification of training form signed by the grocer; 3) have attended state-mandated managers training; and 4) passed Level III Certification.
A grocer whose ECR system software has already been modified by the State to accept WIC EBT cards will receive the ECR software upgrade at no cost and up to $200 per lane to upgrade front-end terminals to accept the WIC EBT smart card. The $200 per lane is available for all lanes reported to the State where WIC participants traditionally purchase WIC foods.
Some grocers do not have an ECR system. Others have an ECR system whose software has not been modified by the State to accept WIC EBT cards. These grocers must select and purchase a new ECR system to continue to accept WIC. The amount of reimbursement will be based on a store’s annualized monthly WIC food sales. Traditional grocers are entitled to reimbursement for equipping one to four store lanes; WIC Only stores are entitled to reimbursement for one to three lanes. The number of lanes for which grocers are reimbursed depends on their average monthly WIC food sales over the past 12 months. Reimbursement levels are determined by the Food Issuance and Redemption Services (FIRS) Unit. Grocers should contact FIRS to learn the number of WIC authorized lanes and the maximum reimbursement available, which excluding state sales tax will not exceed:
· $11,000 for one lane.
· $18,000 for two lanes.
· $25,000 for three lanes.
· $33,000 for four lanes.
The purchase of a commercial WIC EBT Certified ECR system entitles a store to site readiness, installation, and a 3-year warranty and maintenance, including help desk and on-site support. The 3-year period begins upon grocer acceptance. After 3 years, grocers are responsible for their own support and maintenance.
Grocers may, at their own cost, purchase additional equipment to equip all store lanes or upgrade certain hardware components. The minimum reported time between filing a reimbursement request and receiving payment is 6 weeks.
Reprint provided to you by: IBM and their representative
Retail Data Solutions
Terry Fischer
Email: terry@rdsok.com
Telephone: (713)943-9119
