Current through Register Vol. 54, No. 12, March 23, 2024
(a)
Purpose and types of monitoring
of WIC authorized stores.
(1)
Federal, State or local representatives will conduct announced and unannounced
onsite reviews of WIC authorized stores to determine compliance with applicable
Federal and State regulations, and to investigate complaints regarding a store.
The types of onsite reviews that may be conducted for monitoring purposes are
compliance investigations, inventory audits, routine reviews and WIC
transaction reviews. The monitoring process, to determine compliance with
applicable Federal and State regulations, operates independently of the
authorization process and may overlap more than one authorization
period.
(2) The Department will
conduct an annual analysis of a WIC authorized store's sales data to determine
whether the store qualifies as an above-50-percent-store, except that stores
solely owned or operated by nonprofit entities shall not be subject to this
annual analysis.
(b)
Compliance investigations. The following standards apply:
(1) The Department will conduct at least two
compliance buys during a compliance investigation.
(2) The Department will not notify the WIC
authorized store that a compliance buy is scheduled.
(3) The Department will provide written
notification to the WIC authorized store of the results of each compliance buy,
including the store's violation of a statute or regulation governing its
participation in the WIC Program, unless paragraph (8) applies.
(4) The Department will provide to the
personnel of the WIC authorized store mandatory corrective training after two
compliance buys detect violations of a statute or regulation governing the
store's participation in the WIC Program, unless paragraph (8)
applies.
(5) If paragraph (8) does
not apply, the Department will continue a compliance investigation of the WIC
authorized store after store personnel have attended mandatory corrective
training.
(6) The Department will
impose a sanction in accordance with §
1107.1 (relating to imposition of
sanctions) if three compliance buys detect violations of a statute or
regulation governing the store's participation in the WIC Program. If multiple
violations are found during the compliance investigation, the Department will
impose the sanction against the store for the term corresponding to the most
serious violation.
(7) The
Department will close the compliance investigation on a WIC authorized store if
the Department discovers no violation of a statute or regulation governing the
store's participation in the WIC Program after two consecutive compliance
buys.
(8) The Department may
withhold notification of compliance buy results, and may withhold providing
training or conducting further compliance investigations, when fraudulent
activity by the WIC authorized store is indicated during a compliance
investigation or by local agency or participant complaint.
(c)
Inventory audits. The
Department will disqualify a WIC authorized store when an inventory audit
establishes that the store has redeemed or attempted to redeem WIC checks for
the purported sale of an allowable food in excess of documented inventory. No
warning letter will be issued.
(d)
Routine reviews. The Department will use routine reviews as
follows to determine whether a WIC authorized store is in compliance with the
terms and conditions of participation in §
1105.3 (relating to terms and
conditions of participation):
(1) The
Department will not notify the WIC authorized store that a routine review is
scheduled.
(2) The Department will
provide written notification to the WIC authorized store of the results of each
routine review, including violation of a statute or regulation governing the
store's participation in the WIC Program.
(3) The Department will conduct a second
routine review of the WIC authorized store if the first routine review detects
violations of a statute or regulation governing the store's participation in
the WIC Program.
(4) The Department
will provide to the personnel of the WIC authorized store mandatory corrective
training after two routine reviews detect violations of a statute or regulation
governing the store's participation in the WIC Program.
(5) The Department will conduct a third
routine review of a WIC authorized store after store personnel have attended
mandatory corrective training.
(6)
The Department will impose a sanction in accordance with §
1107.1 against a store if a third
routine review detects violations of a statute or regulation governing the
store's participation in the WIC Program. If multiple violations are found
during the routine reviews, the Department will impose against the store the
most severe sanction the Department may impose for any one of the violations
committed by the store.
(e)
WIC transaction reviews
. The Department will use WIC transaction reviews to monitor WIC transaction
procedures and compliance with statutes and regulations governing the store's
participation in the WIC Program. The following standards apply:
(1) The Department will not notify the WIC
authorized store that a WIC transaction review is scheduled.
(2) The Department will provide written
notification to the WIC authorized store of the results of each WIC transaction
review, including violations of a statute or regulation governing the store's
participation in the WIC Program.
(3) The Department will conduct a second WIC
transaction review at the WIC authorized store if the first WIC transaction
review detects a violation of a statute or regulation governing the store's
participation in the WIC Program.
(4) The Department will provide the personnel
of the WIC authorized store mandatory corrective training after two WIC
transaction reviews detect violations of a statute or regulation governing the
store's participation in the WIC Program.
(5) The Department will conduct a third WIC
transaction review at the WIC authorized store after store personnel have
attended the mandatory corrective training.
(6) The Department will impose a sanction in
accordance with §
1107.1 if a third WIC transaction
review detects a violation of a statute or regulation governing the store's
participation in the WIC Program. If multiple violations are found during the
WIC transaction reviews, the Department will impose against the store the most
severe sanction the Department may impose for any one of the violations
committed by the store.
(f)
Use of law enforcement
agency. The Department may utilize a law enforcement agency in the
investigation of a WIC authorized store or other store suspected of trafficking
WIC checks or other fraud or abuse of the WIC Program.
(g)
Reimbursement. The
Department will seek reimbursement from a WIC authorized store that received
funds improperly due to a violation of regulations governing the store's
participation in the WIC Program discovered during monitoring reviews. The
Department will send notice to the store of the amount of money to be
reimbursed to the WIC Program. The store shall make payment within 20 days from
the date on the notice.
(h)
Annual determination of WIC sales percentage. The Department
may request from a store information necessary for the Department to determine
whether the store qualifies as an above-50-percent store. This information may
include a request for State or Federal Income Tax returns, State Sales Tax
records, Department of Revenue Form PA-3 filings, and sales records. This
paragraph does not apply to stores owned by nonprofit entities.
The provisions of this §
1105.6 amended under section
2102(g) of The Administrative Code of 1929 (71 P. S. §
532(g)).
This section cited in 28 Pa. Code §
1105.1 (relating to
training).
