7 U.S.C. § 2016a: EBT benefit fraud prevention

are effective, as determined by the Secretary, in detecting and preventing theft of benefits, including through card skimming, card cloning, and other similar fraudulent methods; are consistent with industry standards for detecting, identifying, and preventing debit and credit card skimming, card cloning, and other similar fraudulent methods; and consider the feasibility of cost, availability, and implementation for States; promulgate regulations through notice-and-comment rulemaking to require State agencies to take the security measures described in the guidance issued under paragraph (1); not later than December 1, 2023 , promulgate regulations (including an interim final rule) to require State agencies to implement procedures for the replacement of benefits consistent with subsection (b); how benefits are being stolen through card skimming, card cloning, and other similar fraudulent methods; how those stolen benefits are used; and the locations where card skimming, card cloning, and other similar fraudulent methods are taking place; to establish measures, including equipment enhancements for retail food stores, to prevent benefits from being stolen through card skimming, card cloning, and other similar fraudulent methods; and to establish standard reporting methods for States to collect and share data with the Secretary on the scope of benefits being stolen through card skimming, card cloning, and other similar fraudulent methods; and information on the frequency of theft of benefits and the location of those thefts, including benefits stolen through card skimming, card cloning, and other similar fraudulent methods; a description of the determinations made under paragraph (4)(A), the measures established under paragraph (4)(B), and methods established in paragraph (4)(C); a description of the industry standards described in paragraph (1)(B); a comparison of State plans related to reimbursement, prevention, and other relevant procedures approved in accordance with subsection (b)(1)(A); and recommendations on how to consistently and proactively detect, track, report, and prevent theft of benefits, including benefits stolen through card skimming, card cloning, and other similar fraudulent methods. a signed statement by the affected household on the benefit theft, consistent with the signature requirements and options provided by section 2020(e)(2)(C) of this title ; criteria to determine if a submitted claim is valid; procedures for the documentation of replacement issuances, including the submitted claims and findings from the validation; the submission of data reports on benefit theft and replacement activity to the Secretary; procedures to inform households of their right to a fair hearing, consistent with those already established by section 2020(e) of this title and corresponding regulations concerning replacement issuances; and the State agency’s use and planned use of benefit theft prevention measures, including any additional guidance that may be issued under subsection (a)(1); includes appropriate procedures, as determined by the Secretary, for reporting the scope and frequency of card skimming affecting households within the State to the Secretary; upon approval shall be incorporated into the State plan of operation required under section 2020(e) of this title ; and the Secretary may approve after the date on which guidance is issued under subsection (a)(1); the amount of benefits stolen from the household; or the amount equal to 2 months of the monthly allotment of the household immediately prior to the date on which the benefits were stolen; shall not occur more than 2 times per Federal fiscal year per household by a single State agency; and shall only apply to benefits stolen during the period beginning on October 1, 2022 , and ending on December 20, 2024 ; plans approved under paragraph (1) will remain in effect until the effective date of the rule promulgated pursuant to subsection (a)(3); and replacements of benefits under this section shall not be regarded as losses for the purpose of section 2016(e) of this title to the extent such replacements are made in accordance with an approved plan that complies with this subsection. In this section, the terms “allotment”, “benefit”, “household”, “retail food store”, and “State agency” have the meaning given those terms in section 2012 of this title . Of the unobligated balances made available for the Supplemental Nutrition Assistance Program as authorized by section 1101(b)(1) of the American Rescue Plan Act of 2021 ( Public Law 117–2 ), $8,000,000 is hereby rescinded. Not later than 1 year after September 26, 2024 , the Comptroller General of the United States shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that examines risks related to supplemental nutrition assistance program electronic benefit transfer payment system security, including the risk of stolen benefits through card skimming, card cloning, and other similar methods. the extent to which the Department of Agriculture manages payment system security, including risks related to stolen benefits, compared to leading industry practices; the manner in which States, retailers, and other relevant entities manage risks related to stolen benefits; the oversight of and guidance provided by the Secretary to States regarding stolen benefits; and improving how the Department of Agriculture and other relevant entities manage payment system security risks, including those related to stolen benefits; and how the Department of Agriculture may best share those improvements with States, retailers, and other relevant entities.