Los Angeles

LA County Board

July 23, 2024 Item #16

Agenda Item 16

16. Electronic Benefits Transfer (EBT) Chip Readiness: Preparing and\nPlanning for Los Angeles County’s Transition to EBT Chip/Tap\nTechnology\nRecommendation as submitted by Supervisor Solis: Instruct the Director of\nPublic Social Services to report back to the Board in writing within 45 days on\nhow it is preparing for the State implementation of Electronic Benefits Transfer\n(EBT) chip/tap cards, including addressing, at minimum:\nWhat will happen to the old EBT cards once new EBT chip/tap cards are\nissued? Will the old cards automatically be deactivated once a new EBT\nchip card is issued, or will there be a grace period before deactivation?\nHow will the EBT chip/tap cards be provided to current benefit\nrecipients? How can unhoused benefit recipients, or recipients without a\nfixed mailing address, receive the new EBT chip/tap cards? Who can\nbenefit recipients contact if they did not receive the new EBT chip/tap\ncard and their old EBT card has been deactivated? What has the\nDepartment of Public Social Services (DPSS) done to ensure that all\nbenefit recipients’ mailing addresses are current?\nHow will DPSS engage with the following populations about the transition\nto EBT chip/tap card?\nCurrent benefit recipients who utilize an EBT card, including\nrecipients who are unhoused or do not have a fixed mailing\naddress; and how are current benefit recipients being informed of\nthe impending change? How will unhoused benefit recipients, or\nthose without a fixed mailing address, be notified?\nApproved vendors and businesses that accept EBT payments for\nfood benefits and cash aid; has DPSS notified (and reminded)\nEBT vendors and retailers about this transition? Has DPSS\ninformed EBT vendors and retailers where to go, what to do, or\nwho to contact for assistance upgrading or modernizing their EBT\npoint-of-sale (POS) devices using the United States Department of\nAgriculture’s guidance?\nWhat has the DPSS done to inform the stakeholders, in a\nlanguage-inclusive manner, about the upcoming transition to EBT\nchip/tap technology?\nInstruct the Director of Public Social Services, in collaboration with County\nDepartments Heads that are part of the EBT Fraud Task Force Workgroup and\nother relevant County Department Heads, to include a language-inclusive,\nculturally competent outreach plan in the aforementioned written report back,\nincluding engagement with ethnic and hyperlocal media to, at minimum:\nInform benefit recipients who utilize EBT cards about the upcoming\ntransition to EBT chip/tap technology, including Frequently Asked\nQuestions responding to inquiries, such as, how and when will I receive\nthe new EBT chip/tap card? What if I don’t have a mailing address? Who\ncan I contact with questions about my new EBT chip/tap card? What will\nhappen to my old EBT card? Will my benefits be interrupted? Other\nforeseeable questions;\nEnsure that benefit recipients’ current mailing addresses, if they have\none, are updated and accurate; and\nInform vendors/businesses that accept EBT cards as payment about the\nupcoming transition to EBT chip/tap technology and the guidelines issued\nin the USDA Retailer Notice for the type of POS device that is needed,\nincluding answers to sample inquiries, such as, what can I do if my\ncurrent POS machine does not accept EBT chip/tap technology? Who\ncan I call for technical assistance? Why do I need to upgrade my POS\nmachine? Other foreseeable questions; and\nInstruct the Director of Economic Opportunity, in collaboration with the\nDirectors of Consumer and Business Affairs and Public Social Services, the\nAgricultural Commissioner/Director of Weights and Measures, and other\nrelevant County Department Heads, in drafting the language-inclusive outreach\nplan in the aforementioned report back, at a minimum:\nEngage with business and retailer associations, local chambers of\ncommerce, and other relevant stakeholders that serve EBT customers,\nand come up with a plan on how to best encourage, incentivize, and\neducate local vendors and businesses that accept EBT cards as\npayment, about the importance of participating in the transition to EBT\nchip/tap technology with the end-goal of increasing the number of\nvendors that choose to modernize and update their POS devices to be\ncompatible with California’s upgraded EBT chip/tap card technology, as\nlaid out in the USDA Retailer Notice;\nInstruct the Director of Employment Opportunity, in consultation with other\nCounty Department Heads as appropriate, to research and create an\nimplementation plan, and include as part of the aforementioned report back, to\naddress the following concerns related to the EBT chip/tap rollout:\nPotential barriers preventing or deterring local businesses from\nupgrading their POS machines;\nExisting resources and incentives that can help businesses offset any\ncosts to upgrading their POS systems (e.g., small business grants, tax\nwrite-offs, etc.), should there be a cost associated with upgrading; and\nPotential avenues for the engagement and collaboration of reputable\nmajor third-party processors that furnish EBT chip/tap POS systems to\nEBT retailers in Los Angeles County for the purpose of easing the EBT\nchip/tap rollout effort; and\nInstruct the Director of Public Social Services, in collaboration with the Chief\nExecutive Office, through the Legislative Affairs and Intergovernmental Relations\nBranch, to continue to advocate at the State and Federal levels for support to\nbetter inform benefit recipients and the general public about the status of EBT\nchip/tap rollout and expected timelines and changes to EBT consumer\nexperiences; and increase EBT vendor participation in upgrading and\nmodernizing their EBT POS devices through creative solutions and incentives.\n(24-2949)\nUSDA Retailer Notice Link