AB 501

This bill requires the Department of Health Services to establish and

implement a pilot program to provide discounts to certain households that are

eligible for FoodShare benefits with discounts on fresh produce and other healthy

foods. FoodShare, also known as the food stamp program and the federal

Supplemental Nutrition Assistance Program, provides benefits to eligible

low-income households for the purchase of food. FoodShare is administered by DHS.

The federal government pays the benefits for FoodShare while the state and federal

government share equally the cost of administration.

Under the bill, DHS must seek proposals from entities to administer the

healthy eating incentive pilot program through DHS's request-for-proposal

procedures and according to criteria developed by DHS. DHS must then choose an

applicant with which to contract and the chosen applicant must administer the

program, including managing all financial transactions between and among

participants, retailers, food manufacturers, and DHS and also establishing an

adequate network of participating retailers to effectively conduct the pilot.

In addition, under the bill, DHS is required to contract with an independent

research entity to conduct a study of the program. DHS must identify a certain

number of participants in the program to provide food purchase, nutritional, and

health data to the research entity. The research entity must then analyze the efficacy

of the pilot program in affecting food purchases and the health of participating

families.