[Federal Register Volume 86, Number 198 (Monday, October 18, 2021)]
[Notices]
[Pages 57634-57637]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-22552]


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DEPARTMENT OF AGRICULTURE

Food and Nutrition Service


Agency Information Collection Activities: Proposed Collection; 
Supplemental Nutrition Assistance Program (SNAP) Mobile Payment Pilots 
(MPPs)

AGENCY: Food and Nutrition Service (FNS), USDA.

ACTION: Notice.

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SUMMARY: In accordance with the Paperwork Reduction Act of 1995, this 
notice invites the general public and other public agencies to comment 
on the proposed information collection. This is a request for a new 
collection to conduct demonstration pilot projects to test the 
redemption of SNAP benefits through mobile payment technologies and 
issue a request for volunteers (RFV) to solicit applications from SNAP 
State agencies (State agencies) for these pilots.

DATES: Written comments must be received on or before December 17, 
2021.

ADDRESSES: 
     Preferred Method: Federal eRulemaking Portal. Go to http://www.regulations.gov, and follow the online instructions for submitting 
comments electronically.
     Email: [email protected].
     Mail: Send comments to Shelly Pierce, Food and Nutrition 
Service, U.S. Department of Agriculture, 1320 Braddock Place, 
Alexandria, VA 22314.
    All responses to this notice will be summarized and included in the 
request for Office of Management and Budget (OMB) approval. All 
comments will be a matter of public record.

FOR FURTHER INFORMATION CONTACT: Requests for additional information or 
copies of this information collection should be directed to Shelly 
Pierce, at 703-605-4400 or via email to [email protected].

SUPPLEMENTARY INFORMATION: Comments are invited on: (a) Whether the 
proposed collection of information is necessary for the proper 
performance of the functions of the agency, including whether the 
information shall have practical utility; (b) the accuracy of the 
agency's estimate of the burden of the proposed collection of 
information, including the validity of the methodology and assumptions 
that were used; (c) ways to enhance the quality, utility, and clarity 
of the information to be collected; and (d) ways to minimize the burden 
of the collection of information on those who are to respond, including 
use of appropriate

[[Page 57635]]

automated, electronic, mechanical, or other technological collection 
techniques or other forms of information technology.
    Title: SNAP Mobile Payment Pilots (MPPs) and Request for Volunteers 
(RFV).
    Form Number: None.
    OMB Number: 0584-NEW.
    Expiration Date: Not Yet Assigned.
    Type of Request: New collection.
    Abstract: Section 4006(e) of the Agricultural Act of 2018 (Pub. L. 
115-334) authorizes the Food and Nutrition Service (FNS) to allow up to 
five Mobile Payment Pilots (MPPs) to allow the use of personal mobile 
devices, such as cellular phones, tablets and smart watches in place of 
SNAP Electronic Benefit Transfer (EBT) cards to conduct SNAP 
transactions. Respondents (SNAP State agencies (State agencies) and 
their SNAP business partners) will conduct pilots to test the use of 
mobile payment technologies for the redemption of SNAP benefits by SNAP 
households at participating retailers, in order to determine their 
feasibility and implications for program integrity. FNS will conduct 
these projects to evaluate whether allowing mobile payments is in the 
best interest of the Program, and to therefore, recommend allowing 
their use to the Secretary. The information collected in the pilot 
evaluation (to be submitted for OMB approval under a separate 
information collection request) will help FNS determine the success of 
and best practices for the use of mobile payment technologies to redeem 
SNAP benefits. This information will inform Program design, standards, 
rulemaking, and guidance for approval of SNAP mobile payment 
technologies as well as Departmental decisions and recommendations to 
Congress with respect to requiring all State EBT systems to accept 
mobile payment technologies in the future.
    To achieve these objectives, FNS requests OMB approval to: (1) 
Issue a Request for Volunteers (RFV) to solicit applications from up to 
53 SNAP State agencies to participate in these MPPs; and (2) select up 
to 5 State agencies that apply to implement a MPP in their State. This 
information collection request seeks OMB approval only for the RFV 
application process and implementation of MPP by State agencies. Under 
the Paperwork Reduction Act, FNS will seek a separate OMB approval to 
evaluate the results of completed MPPs under a separate 60-day Federal 
Register Notice and information collection request.

1. Assumptions

    It is impossible for FNS to know in advance the design and 
structure of pilots that may be proposed or the specific activities 
each State and associated partners will undertake in their preparation 
of the RFV application or in conducting an MPP. Therefore, we have 
provided general estimates based on an assumed pilot model. Actual 
pilots may vary widely from this model and include a variety of 
potential stakeholders; this information collection does not intend to 
establish a standard model; this model will be used throughout this 
notice simply for ease of estimation. If there is substantive changes 
to this data collection request, the agency will seek OMB approval to 
revise this information collection request following the Paperwork 
Reduction Act process. The estimates below are based on a model in 
which one State agency partners with an average of four (4) stakeholder 
businesses (2 retailers, 1 EBT processor, and 1 mobile payment vendor) 
and recruits 1,000 SNAP participants per pilot proposal. It is 
important to note for burden estimation purposes that while there are 
numerous retailer and mobile payment vendors the States may choose to 
partner with, there are only 4 EBT processors nationally. Therefore, 
EBT processors may partner with multiple pilot proposals submitted by 
the various State agencies; this has been considered in our estimation.

2. RFV Application Process

    FNS will issue a RFV to solicit an estimate of 53 applications for 
an up to eighteen (18) month pilot. In order to participate in the 
Mobile Payment Pilot, interested States first need to submit a letter 
of intent as discussed in the RFV, followed by an RFV application. This 
response will include all documents required in the RFV, such as a 
detailed work plan (as outlined in Appendix AA), the Application 
Checklist (Appendix A), which ensures completeness, and the Assurances 
(Appendix B), which ensures State Applicant compliance with pilot 
requirements. In preparation for completing the RFV Application, State 
agencies are expected to coordinate with business partner stakeholders, 
including EBT processors, retailers, and other contractors. FNS 
estimates that up to 53 State SNAP agencies may apply through the RFV 
process, and that each State agency will require 20 hours to prepare 
and submit their RFV application electronically to FNS. In addition, 
FNS estimates that each of the 53 State agencies may require 80 hours 
of coordination and planning activities with each of their business 
partner organizations before submitting an application. The information 
collected through the RFV application process will help FNS determine 
each State agency's eligibility to participate in a MPP, evaluate their 
proposed pilots, and select candidates to participate in the pilot. FNS 
will verify that Applicant States/Territories with mobile payment 
capability meet requirements laid out in the RFV Application. Those 
that pass the verification process will be rated based on a structured 
evaluation process described in the RFV. Up to five (5) of the best 
rated Applicant States will be invited to participate in the pilot; as 
defined in RFV Section 3.2 Participant Selection. Ideally, selected 
State agency participants will represent a variety of different types 
of mobile payment technologies. Following selection of State agency 
participants, the pilot period will last a total of eighteen (18) 
months, and Pilot Participants (State agencies and associated business 
partner organizations) will join on a rolling basis with the condition 
that they must each participate for a minimum of nine (9) months.

3. Mobile Payment Pilot Implementation

    Per the requirement in Section 4006(e) of the Agricultural Act of 
2018 (Pub. L. 115-334) FNS will limit the number of MPPs selected to 5, 
and each MPP will operate for a maximum of 12 months. FNS estimates 
that, based on the assumed model in this notice, each State agency may 
require 80 hours to conduct the following activities during each month 
of implementation of an MPP (as applicable). These activities include;

    1. Design of mobile payment integration and changes to EBT 
systems and functionality to accommodate mobile payments,
    2. Testing of EBT systems to ensure compatibility,
    3. Provision of technical assistance and support to SNAP 
households that participate in an MPP, and/or
    4. Coordination with EBT processors, SNAP retailers, and mobile 
payment contractors.

    FNS estimates that, based on the assumed model in this notice, each 
of the 5 State agencies may issue 1 recruitment notice for the MPP to 
5,000 individuals who are members of SNAP households in each State for 
a total of 25,000 individuals. These notices may be issued to SNAP 
households electronically or via mail, depending on the State. 
Generation and issuance of each notice by the State agency is

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expected to take approximately 3 minutes (0.05 hours). FNS also 
estimates that each of the 25,000 individual household members will 
require up to 3 minutes (0.05 hours) to read the recruitment notice for 
participation in the pilot. FNS estimates that approximately 5,000 of 
the recruited participants will opt to participate in the pilot (1,000 
per State) and that each of the 5,000 participants will require 15 
minutes to enroll in an MPP. Potential enrollment activities for SNAP 
household respondents are based on the assumed model in this 
information collection may include calling or emailing the State agency 
to indicate interest, reviewing instructions, downloading an 
application (as known as app), technical assistance, and/or enrolling 
in the app.

Reporting Burden for State Agencies

    Affected Public: State SNAP agencies.
    Estimated Number of Respondents: 53 State agencies.
    Estimated Number of Responses per Respondent: 478.23.
    Estimated Total Annual Responses: 25,346.
    Estimated Time per Response: 1.05.
    Estimated Total Annual Burden on Respondents: 26,575 hours.

Reporting Burden for Businesses

    Affected Public: Business (Respondent Types: EBT Stakeholders (EBT 
Processors, SNAP Retailers, Mobile Payment Vendors or Contractors).
    Estimated Number of Respondents: 163.
    Estimated Number of Responses per Respondent: 2.63.
    Estimated Total Annual Responses: 429.40.
    Estimated Time per Response: 80 hours per response.
    Estimated Total Annual Burden on Respondents: 34,352 hours.

Reporting Burden for Individual Households

    Affected Public: SNAP Recipients.
    Estimated Number of Respondents: 25,000.
    Estimated Number of Responses per Respondent: 1.2 responses.
    Estimated Total Annual Responses: 30,000 responses.
    Estimated Time per Response: .08 hour.
    Estimated Total Annual Burden on Respondents: 2,500 hours.

Recordkeeping Burden for State Agencies

    There is no recordkeeping or third-party reporting burden 
associated with this information collection.

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                                                                                             Estimated
                                                                             Estimated       number of       Estimated    Estimated avg.     Estimated
            Respondent type                          Activity                number of       responses     total annual      number of     total annual
                                                                            respondents    annually per      responses       hours per         hours
                                                                                            respondent                       response
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State SNAP Agencies....................  Request for Volunteers--                  53.00            1.00           53.00           20.00        1,060.00
                                          Preparation and Submission of
                                          Application.
                                         Request for Volunteers--                  53.00            1.00           53.00           80.00        4,240.00
                                          Stakeholder Coordination.
                                         Mobile Payment Pilot--Design &             5.00           12.00           60.00           80.00        4,800.00
                                          System Changes.
                                         Mobile Payment Pilot--System               5.00           12.00           60.00           80.00        4,800.00
                                          Testing.
                                         Mobile Payment Pilot--Issue                5.00        5,000.00       25,000.00            0.08        2,075.00
                                          Recruitment Notices.
                                         Mobile Payment Pilot--                     5.00           12.00           60.00           80.00        4,800.00
                                          Implementation & Support.
                                         Mobile Payment Pilot--                     5.00           12.00           60.00           80.00        4,800.00
                                          Stakeholder Coordination.
    State Agency Subtotal..............  ...............................           53.00          478.23       25,346.00            1.05       26,575.00
EBT Processors.........................  Request for Volunteers--                   4.00           10.60           42.40           80.00        3,392.00
                                          Coordination.
                                         Mobile Payment Pilot--                     4.00           12.00           48.00           80.00        3,840.00
                                          Coordination.
SNAP Retailers.........................  Request for Volunteers--                 106.00            1.00          106.00           80.00        8,480.00
                                          Coordination.
                                         Mobile Payment Pilot--                    10.00           12.00          120.00           80.00        9,600.00
                                          Coordination.
Mobile Payment Vendor..................  Request for Volunteers--                  53.00            1.00           53.00           80.00        4,240.00
                                          Coordination.
                                         Mobile Payment Pilot--                     5.00           12.00           60.00           80.00        4,800.00
                                          Coordination.
    Business Subtotal..................  ...............................          164.00            2.76          452.00           80.00       36,160.00
SNAP Recipients........................  Mobile Payment Pilot--Review          25,000.00            1.00       25,000.00            0.05        1,250.00
                                          Recruitment Notice.
                                         Mobile Payment Pilot--Complete         5,000.00            1.00        5,000.00            0.25        1,250.00
                                          Enrollment.
    Individual/Household Subtotal......  ...............................       25,000.00            1.20       30,000.00            0.08        2,500.00
                                                                         -------------------------------------------------------------------------------
        Totals.........................  ...............................       25,216.00            2.21       55,775.40            1.14       63,427.00
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[[Page 57637]]

Cynthia Long,
Administrator, Food and Nutrition Service.
[FR Doc. 2021-22552 Filed 10-15-21; 8:45 am]
BILLING CODE 3410-30-P