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Discretionary Vendor Provisions of the Child Nutrition and WIC
Reauthorization Act of 2004, P.L. 108-265 - Proposed Rule
This proposed rule, published in the Federal Register on August 1,
2006, would amend the WIC regulations by adding three vendor-related
requirements mandated by the Child Nutrition and WIC Reauthorization Act
of 2004. This proposed rule would require WIC State agencies to:
- notify WIC-authorized retail vendors of an initial violation in
writing, for violations requiring a pattern of occurrences in order
to impose a sanction, before documenting a subsequent violation,
unless notification would compromise an investigation;
- maintain a list of State-licensed wholesalers, distributors, and
retailers, and infant formula manufacturers registered with the Food
and Drug Administration, and require WIC-authorized retail vendors
to purchase infant formula only from sources on the list; and
- prohibit the authorization of or payments to WIC-authorized
vendors that derive more than 50 percent of their annual food sales
revenue from WIC food instruments (“above-50-percent vendors”) and
which provide incentive items or other free merchandise, except food
or merchandise of nominal value, to program participants or
customers unless the vendor provides the State agency with proof
that the vendor obtained the incentive items or merchandise at no
cost.
This rule also proposes to adjust the vendor civil money penalty (CMP)
levels to reflect inflation.
The comment period for this proposed rule has closed.
All comments submitted in response to this interim rule will be
included in the record and will be made available to the public.
Please be advised that the substance of the comments and the identities
of the individuals or entities submitting the comments will be subject
to public disclosure. All written submissions will be available for
public inspection at the address above during regular business hours
(8:30 a.m. to 5 p.m.), Monday through Friday.
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