e-WIC: FROM THE WIC
VENDOR PERSPECTIVE
A Presentation to Minnesota WIC Vendors
Introduction
2


About MAXIMUS

Provides e-WIC planning and technical assistance

More than 15 years experience with e-WIC

Provided planning support to more than 30 WIC State
Agencies
MAXIMUS’ role in the Minnesota e-WIC project

Assisting in planning and analysis activities for e-WIC

Supporting development of required documentation for USDA
and e-WIC procurement

Providing technical assistance as needed
e-WIC: From the Vendor Perspective
Purpose of this Presentation
3



e-WIC is coming, there is a mandate that all WIC
State Agencies convert to e-WIC issuance by 2020
MN WIC is currently in the planning phase of the eWIC project
This presentation provides high level information for
stores about how e-WIC works
e-WIC: From the Vendor Perspective
Overview
4

Background and History

Basics

Technologies

In the Store

Benefits and Challenges

Next Steps
e-WIC: From the Vendor Perspective
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e-WIC Background & History
e-WIC: From the Vendor Perspective
e-WIC History
6
Year(s)

Milestone
1995
2002
First smartcard e-WIC pilot in Wyoming
Wyoming is first state-wide smartcard e-WIC system
2004-09
2005
Texas and New Mexico rollout smartcard e-WIC
Online e-WIC pilots implemented Michigan and
Washington
2006
2009
2010
Kentucky begins development of an online system
Michigan, first state-wide online WIC EBT system
Congress mandates e-WIC by 2020
e-WIC: From the Vendor Perspective
State Agencies e-WIC Status
7

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Nationwide:

9 online states

6 offline/smart card states
Minnesota neighbors:

North Dakota: Planning complete, still determining
technology

South Dakota: Implementing an online system

Iowa: Implementing an online system

Wisconsin: Piloting an online system
e-WIC: From the Vendor Perspective
8
e-WIC Basics
e-WIC: From the Vendor Perspective
Paper vs. e-WIC: Issuance
9
Paper System


e-WIC
Food items, sizes and
quantities are printed on a
paper check

Checks are issued to each
participant within a household

Food items are represented in
an account, using a coding
system of food categories,
and total amount available
for each food category
Participant benefits are
combined into one household
account
=
=
e-WIC: From the Vendor Perspective
Food Categorization
10



Foods are represented by codes for:

Category (Cat)

Subcategory (Subcat)
Cat is the high level food group, examples:

Low Fat/Fat Free Milk

Legumes (Beans)
Subcat is the specific food within the Cat group,
examples:

Skim milk; powdered milk; lactose free milk

Peanut butter; dry beans/peas; canned beans
e-WIC: From the Vendor Perspective
Benefit Balance
11

A WIC benefit balance is a combination of food
balances. For example:
e-WIC: From the Vendor Perspective
Fruit & Vegetables
12




Fruit & Vegetable Check (FVC) in e-WIC called Fruit
& Vegetable Benefits (FVB)
FVBs are not treated as different, but as a Food
Category
Value represented in dollars and cents
If FVB not use at one time, remaining FVB are
available through the end of the issuance period
e-WIC: From the Vendor Perspective
Fruit & Vegetable Balance
13

Below is an example of how the FVB will appear in
an e-WIC balance
e-WIC: From the Vendor Perspective
Benefit Aggregation
14




Benefits for participants within a household are
combined into a single household account.
The benefits of all participants in the household can
be accessed from one card.
Requires that all benefits issued in a
household/family have the same last date to use.
Families experience the ability to better manage
their benefits.
e-WIC: From the Vendor Perspective
Paper vs. e-WIC: Redemption
15
Paper WIC Redemption
 Participants
must sign
 WIC items are separated
 Cashier must:
 Know
WIC items
 Check valid use dates
 Determine if items can be
purchased
 Record purchase amount
 Vendor
must stamp, deposit
checks in bank
e-WIC Redemption
 Cardholders
use a PIN
 WIC items may not have to
be separated (depends on
store system)
 The system determines items
that can be purchased
 Automatic
payment
UPCs, PLUs and APLs
16




All UPCs and PLUs for approved WIC items are
distributed to retail systems in the Approved Product
List (APL) file.
UPCs and PLUs are associated with Categories/
Subcategories in the APL
Retail systems download the APL everyday to
process new or updated items
The APL is used as part of the purchase along with
the balance to identify what can be purchased by
the cardholder
e-WIC: From the Vendor Perspective
How UPCs are Used in Redemption
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e-WIC: From the Vendor Perspective
18
e-WIC Technologies
e-WIC: From the Vendor Perspective
Retail Transactions - Online
19




Uses magnetic stripe cards to access account
information on the e-WIC system
Like debit or SNAP/cash EBT
Transactions occur live between the retail system
and the e-WIC system
The e-WIC system determines the payment amount
based on transactions that occur during a set 24
hour timeframe
e-WIC: From the Vendor Perspective
Retail Transactions – Smart Card
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



Uses smart cards that have an embedded chip to
maintain benefit and PIN information on the card
Not the same as Chip & PIN / EMV technology
Transactions occur between the card and the retail
system
Transactions are saved by retail system and a daily
file is transmitted to the e-WIC system for
processing payments
e-WIC: From the Vendor Perspective
Access to Balance - Online
21

e-WIC system always has the current balance

Balance can be obtained through:


Retail or clinic balance inquiry,

Automated phone line,

Web portal,

Phone app

Text messaging
Transaction data available immediately as soon as
transaction is processed
e-WIC: From the Vendor Perspective
Access to Balance – Smart Card
22

Card always has current balance



e-WIC system balance is updated when transactions are
sent for processing by retailers
Balance can be obtained through:

Retail balance inquiry transaction, some stores have kiosks

Clinic balance inquiry transaction
Transaction data is available from e-WIC system
after claims have been processed
e-WIC: From the Vendor Perspective
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e-WIC in the Store
e-WIC: From the Vendor Perspective
Retail Requirements for e-WIC
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


The retail system must be able to:

Use the authorized products list (APL) to identify WIC
products based on a UPC or PLU during a purchase

Use the account balance in determining items that can be
purchased in the e-WIC transaction

Electronically submit e-WIC transactions
The retail system must be certified
Vendor must maintain a bank account for the
deposit of e-WIC settlement payments
Retail System Alternatives
25
Integrated Cash Register


Typical for chain and multilane or vendors with cash
registers that are e-WIC
ready, but encouraged for all
Operate like all other tender
types
 Typically separate
equipment not
required
 Streamlined
approach to e-WIC
Stand-Beside Point-of-Sale




Separate from store cash
register system
Double scan with key entered
price and discount amounts
Daily totals are reported
separately, payment separate
from credit and debit
Can work over
dial-up, or high
speed internet
connection
e-WIC: From the Vendor Perspective
Integrated Systems/Software
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
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IBM SurePOS ACE

Retalix StoreLine

Retalix R10

RORC viPOS

StoreNext ISS45 V7
Market Master

StoreNext ISS45 V8
NCR Advanced Checkout
Solution (ACS)

StoreNext ScanMaster V2
IBM 4680-4690 Supermarket
Application
LOC Software Store
Management Suite (SMS)
NCR Advanced Checkout
Solution / Independent Retailer Please note this is not an all inclusive list
(ACS/IR)
e-WIC: From the Vendor Perspective
EBT and e-WIC Differences
27




An e-WIC redemption is unlike any other tender
type, including SNAP, being processed in the
checkout lane
SNAP/cash EBT is based on a dollar quantity of
benefit deducted
e-WIC is based on redeeming food quantities by
specific food subcategory
Because the transaction involves balances of
multiple food subcategories it requires more data to
be processed as part of the transaction
e-WIC: From the Vendor Perspective
e-WIC Retail Transactions
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
Balance Inquiry

Purchase Transaction

Void/Reversal
e-WIC: From the Vendor Perspective
Purchase Transaction (Part 1)
29




Card is swiped/inserted and cardholder enters their
PIN
System validates the card and PIN
Balance obtained from the e-WIC system or smart
card
Each food item that has been scanned is:

Compared to APL maintained locally to determine if it is
an allowable WIC item

Compared to cardholder balance to determine if there is
sufficient balance to purchase
e-WIC: From the Vendor Perspective
Purchase Transaction (Part 2)
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




Retail system captures data including item prices and
discounts to send to e-WIC system
The household’s balance is reduced by the amounts (qty)
of items being purchased
If an item price exceeds the Not To Exceed (NTE)
amount, the item is paid up to the NTE and total
payment amount adjusted
The e-WIC system provides the retail system with
approval, paid amount
A receipt showing purchase details, the new food
balance, and last date to spend for remaining benefits
e-WIC: From the Vendor Perspective
Sample Receipts
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Sample Receipts
32
33
e-WIC Benefits & Challenges
e-WIC: From the Vendor Perspective
Benefits and Challenges
34



There are many benefits to implementing e-WIC,
but there are always challenges when implementing
a new system or process
The experiences in other states have shown that the
benefits of e-WIC outweigh challenges
When asked, the majority of stores would rather
stay with e-WIC than return to paper
e-WIC: From the Vendor Perspective
Vendors
35
Benefits





Checkout processes more
efficient (no signing, dating, etc)
Transactions are less error prone,
do not rely on cashier to validate
Easier and faster to receive
payment, vendors are paid
within two business days
Vendors experience back office
labor savings, no longer
necessary to count and deposit
or process checks
Issues related to rejected checks
are eliminated
Challenges




Updates to cash register systems
e-WIC is different from other
tenders, additional training
needed
When items are expected to be
paid by e-WIC are not,
troubleshooting is not always
straight forward
Stores with stand-beside
equipment require double
scanning / price entry
Participants
36
Benefits




Less stigma than paper
benefits, similar to a debit
card transaction
PIN provides security,
validates transaction
All benefits in one
account/card improves
benefit management
Improved shopping
experience, participants can
buy the quantities they need,
rather than having to use the
whole check at once
Challenges




Must keep track of benefit
balance
Different store cash register
systems have different purchase
flows that participants will need
to understand
Important to know current
balance and purchase correct
WIC foods because they may not
know an item will not be paid by
e-WIC until end of transaction
May have bought unauthorized
items previously that they think
are WIC items
Next Steps
e-WIC: From the Vendor Perspective
e-WIC Planning Project Tasks
38

Stakeholder engagement planning

Cost analysis

Alternative analysis and recommendations

Federally required implementation plan document

e-WIC system procurement documents
e-WIC: From the Vendor Perspective
WIC Vendor Survey
39


The State will be requesting that vendors complete
a survey to capture information used in e-WIC
planning activities
Your response to the survey is important and will
help in accurately developing e-WIC
implementation plans
e-WIC: From the Vendor Perspective
MN e-WIC Timeline 2015 - 2020
40
2020
2019
UAT, Pilot,
and Initiate
Statewide
Roll-out
Implementation
planning and
preparation;
Retailer
enablement
2018
2017
20152016
Procurement
and
Contracting
Contract Award to EWIC Planning
Contractor
•Stakeholder engagement
•Cost Analysis
•IAPD & RFP Development
and Approval
Complete
Statewide Rollout and Full
Operation
•IAPD – Implementation Advanced Planning Document
•RFP – Request for Proposal
•UAT – User Acceptance Testing
e-WIC: From the Vendor Perspective
41
Questions?
If you have more questions, please to email
them to:
health.wicvendor@state.mn.us
e-WIC: From the Vendor Perspective