In the December 15, 2016, Federal Register, USDA's Food and Nutrition Service ("FNS") issued a final rule updating Supplemental Nutrition Assistance Program ("SNAP") regulations that govern when retail food stores are eligible to participate in the program. The rule, which finalized a proposed rule published on February 17, 2016, codified mandatory requirements in the Agricultural Act of 2014 pertaining to retail food stores. Specifically, the Act increased the requirement that certain SNAP-authorized retail food stores have available on a continuous basis at least three varieties of items in each of four staple food categories to a mandatory minimum of seven varieties and increased the minimum number of staple food categories in which perishable foods are required from two to three. In addition, the final rule codifies several other discretionary changes to the existing eligibility criteria: (i) establishes a minimum of three stocking units per staple food variety; (ii) amends the definitions of "staple food," "retail food store," and "ineligible firms"; and (iii) allows FNS to consider the need for food access when making a SNAP authorization determination for applicant firms that fail to meet certain authorization requirements and reaffirms FNS's authority to disclose to the public certain information about retailers who have violated SNAP rules. The rule is effective January 13, 2017.

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