Food Stamp Program: Asset Accumulation Demonstration Projects

DEPARTMENT OF AGRICULTURE

Food and Consumer Service

RIN 0584-AB80

Food Stamp Program: Asset Accumulation Demonstration Projects

AGENCY: Food and Consumer Service, USDA.

ACTION: Notice.

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SUMMARY: The Food and Consumer Service is announcing its support for

demonstration projects to test the effects of allowing Food Stamp

Program participants to accumulate assets for specific purposes related

to self-sufficiency. These demonstration projects will operate in

accordance with Section 17(k) of the Food Stamp Act of 1977, as

amended. The intent of this Notice is to solicit proposals from State

and/or local agencies wishing to conduct demonstration projects during

the demonstration project period.

DATES: Requests for application packages must be received by January 9,

1995. Public comments concerning the terms and conditions of the

demonstration projects are welcome but must be received by December 27,

1994. Any changes made as a result of comments received shall be

incorporated in the application package, which will be mailed to

applicants no later than January 13, 1995. Completed applications must

be received by C.O.B. February 7, 1995, to ensure consideration for

award under this solicitation.

ADDRESSES: Interested agencies should submit a written request for an

application package (and include four self- addressed labels) to the

address listed below: USDA, Food and Consumer Service, Program

Development Division, FSP, Attn: Carol Stobaugh, 3101 Park Center

Drive, room 717, Alexandria, Virginia 22302-1594.

FOR FURTHER INFORMATION AND COMMENTS CONTACT: Gary Batko, Supervisor,

Legislation and Court Suits Section, Food and Consumer Service, at the

address listed above or telephone (703) 305-2790.

SUPPLEMENTARY INFORMATION:

Classification

Executive Order 12866

This Notice has been determined to be significant and was reviewed

by the Office of Management and Budget under Executive Order 12866.

Executive Order 12372

The Food Stamp Program is listed in the catalog of Federal Domestic

Assistance under No. 10.551. For the reasons set forth in the final

rule and related Notice to 7 CFR part 3015, subpart V (48 FR 29115,

June 24, 1983), this program is excluded from the scope of Executive

Order No. 12372 which requires intergovernmental consultation with

State and local officials.

Regulatory Flexibility Act

This Notice has been reviewed with regard to the requirements of

the Regulatory Flexibility Act of 1980 (5 U.S.C. 601-612). William

Ludwig, Administrator of the Food and Consumer Service (FCS), has

certified that the demonstration projects described in this Notice will

not have a significant economic impact on a substantial number of small

entities because the demonstration projects will be conducted in

limited areas. State and local welfare agencies will be affected to the

extent that they administer demonstration projects. Those food stamp

recipients participating in the demonstration projects will be affected

by this action in that the provisions of the Food Stamp Act affecting

the recertification eligibility criteria for receipt of benefits may be

waived to the extent necessary to permit the implementation of the

special eligibility criteria established for these demonstration

projects.

Paperwork Reduction Act

This Notice does not contain reporting or recordkeeping

requirements subject to approval by the Office of Management and Budget

under the Paperwork Reduction Act of 1980.

Background

Section 5(g)(1) of the Food Stamp Act of 1977, as amended (Act) (7

U.S.C. 2014(g)(1)), and current food stamp regulations at 7 CFR

273.8(b) require that eligible households have no more than $2,000 in

countable assets, including both liquid and non-liquid assets, or

$3,000 if at least one household member is age 60 or older. Current

program provisions, therefore, do not encourage asset accumulation by

individuals in food stamp households.

There is growing interest in ways to promote asset accumulation by

public assistance recipients as a way of promoting their long term

self-sufficiency. It is presumed that current limits on assets may

discourage recipients from investing in their education, job training,

and/or improved housing conditions. Several welfare reform projects are

currently underway which incorporate some form of increased asset

accumulation into their program design. However, these efforts focus on

the Department of Health and Human Services' Aid to Families with

Dependent Children Program. Congress has mandated the demonstration

projects described in this Notice to enable a careful examination of

the impact of increasing the asset accumulation threshold in the Food

Stamp Program (Program) independent of other reform measures. Section

13925 of the Mickey Leland Childhood Hunger Relief Act, Chapter 3,

Title XIII of the Omnibus Budget Reconciliation Act of 1993, Pub. L.

103-66, amends Section 17 of the Act (7 U.S.C. 2026) to authorize asset

accumulation demonstration projects in which a maximum of 11,000 food

stamp eligible households are offered the opportunity to accumulate

assets up to $10,000 for later expenditure for specified purposes

determined to increase potential for self-sufficiency. More

specifically, these assets can be used for expenditures directly

related to improving the education, training, or employability

(including self-employment) of household members, for the purchase of a

home for the household, for a change of the household's residence, or

for making major repairs to the household's home. Money set aside for

these purposes will be excluded from consideration as assets in

calculating food stamp eligibility.

Households participating in the demonstration projects would have

to establish separate accounts for assets designated for these specific

intentions. Assets not exempted in their entirety under the

demonstration projects are subject to the limits as specified in food

stamp regulations at 7 CFR 273.8(b). The elevated threshold would not

be used when determining initial eligibility for the Program. (That is,

new applicant households will still be subject to the existing limit of

$2,000, or $3,000 if a household member is elderly).

This Notice establishes the terms and conditions for the

demonstration projects and institutes uniform criteria for evaluating

proposals and selecting demonstration project areas. State/local

agencies interested in participating in these demonstration projects

are invited to request a Demonstration Project Application Package,

which contains detailed information and instructions on preparing and

submitting demonstration proposals. Local agency proposals must be

submitted through and approved by the State agency, which will be

responsible for overall control of the demonstration(s) conducted

within its boundaries and for coordination with the Department

(``Department'' includes the Secretary and the Food and Consumer

Service, as may be appropriate). Each proposal must contain signed

agreements from the appropriate State officials authorizing the

demonstration project in that State. The Department will not negotiate

or enter into any agreements with agencies below the State level.

The demonstration described in this Notice offers the opportunity

to test the effects of raising the maximum asset threshold for food

stamp households already participating in the Program. Research

questions that are of principal interest to the Department include:

1. How do recipients respond to the assets accumulation provision?

2. What is the impact of asset accumulation on Food Stamp Program

costs?

3. What is the relationship between asset accumulation and self-

sufficiency?

The Department will select an independent contractor to conduct an

evaluation that addresses these and other research questions.

Demonstration sites are expected to cooperate with the evaluation

contractor.

The Food Stamp Program Asset Accumulation Demonstration Projects

Using the authority to operate demonstration projects provided by

section 17 of the Act (7 U.S.C. 2026), the Department will authorize

asset accumulation demonstration projects totaling no more than 11,000

households, for a period not to exceed four years. A county, city,

welfare district, or any other political jurisdiction with clearly

defined boundaries, or combinations of such entities, may be designated

as a demonstration project site.

In order to obtain demonstration results that represent the

different Food Stamp Program populations, the Department will, in the

proposal selection process, place special emphasis on choosing sites

that are broadly representative of the Program. At a minimum, the

Department intends to include one urban and one nonurban or rural site

in these demonstration projects. The Department will assess how the

applicant's proposed site fits in with this goal in conjunction with

the size constraints placed on the demonstration. The Department is

also interested in proposals which represent a variety of outreach

activity levels. Intervention strategies could vary significantly in

terms of intensity, ranging from letters announcing the opportunity to

establish self-sufficiency accounts to a more active approach in which

households are actively solicited to participate in the demonstration

project. Finally, the estimated costs associated with administrative

and evaluation responsibilities of the demonstration will also

influence site selection.

To conduct these demonstration projects, the Department is

authorized to waive the maximum allowable assets requirements found in

subsection 5(g) of the Act (7 U.S.C. 2014(g)). This waiver will permit

a participating demonstration project site, with the approval of the

State agency, to operate the Program as it normally would except for

application of the demonstration project criteria in place of standard

Program regulations regarding maximum asset accumulation criteria for

recertification purposes. In support of these demonstration projects,

the Department of Health and Human Services' Administration for

Children and Families has committed to similar asset threshold waivers

involving Food Stamp Program households who also receive Aid to

Families with Dependent Children benefits.

Corresponding requirements under the current food stamp regulations

at 7 CFR 273.8(b) shall also be waived to the extent necessary to

permit participating sites to apply asset accumulation criteria when

determining a household's recertification. Current Program regulations

for assets which are not modified or otherwise addressed by this

Notice, will continue to apply to participating demonstration project

sites.

A. Basic Operational Requirements

For purposes of these demonstration projects, participating sites

shall observe the following steps in determining the treatment of

assets for Food Stamp Program eligibility purposes.

Step 1. Continue to determine Program initial eligibility in

accordance with current eligibility criteria.

Step 2. Once eligibility is determined, households will be randomly

assigned to demonstration project and control groups. Those assigned to

the demonstration project group have the opportunity to accumulate

assets for self-sufficiency purposes, as defined in the demonstration

project rules.

Step 3. Upon redetermination of eligibility, assets which have

accumulated in specially designated accounts for self-sufficiency

purposes will be excluded in their entirety as assets up to $10,000 for

the length of the demonstration project, not to exceed four years.

Step 4. Assets not excluded in their entirety under Step 3 will be

held to the limits as set forth in 7 CFR 273.8(b).

Step 5. Accounts must be monitored to ensure that assets are used

for specially designated purposes.

Some households that are part of the test will leave the Program

and then reapply for food stamps within the demonstration project

period. We believe that these applicants should not be penalized

because of their participation in these demonstration projects.

Accordingly, any savings previously excluded from the asset test under

the demonstration projects would continue to be excluded in determining

eligibility. There are various reasons why participants leave and

subsequently return to the Food Stamp Program. Some may lose

eligibility for failing to meet reporting or recertification

requirements; others may obtain temporary employment. About one-third

of all persons leave the Program and resume participation within one

year. The Department is seeking to learn as much as possible about the

costs and impacts of this asset exclusion. Therefore, we are proposing

to exclude assets in the special accounts for the life of the

demonstration projects to enhance our evaluation of various possible

time limits on the exclusion.

B. Demonstration Project Sponsors

To participate in these demonstration projects, potential

demonstration project sponsors must meet the following requirements:

1. Be a political subdivision or grouping thereof (i.e., a State or

a unit of local government or a combination of local governments). A

county, city, welfare district, any other political jurisdiction,

subdivision thereof, or combination of such entities with clearly

defined boundaries, may be designated as a demonstration project site.

2. Have the capability for effectively operating and administering

a demonstration project under the terms and conditions established in

this Notice, the Food Stamp Act, and Program regulations.

3. Designate a demonstration project site that is representative of

the Program nationally in terms of public assistance/non-public

assistance caseload. At a minimum, the Department will be selecting two

demonstration project areas, one urban and one non-urban or rural site.

The total number of recipients invited to participate in the treatment

group, including recipients who do not receive food stamps throughout

the project, cannot exceed 11,000 for the entire demonstration.

Sponsors should specify the size of their site and the underlying

assumptions used to determine this selection. Sites can consist of a

portion of the jurisdiction (such as an office) or an area defined by

grouping smaller project areas together.

Proposals for these demonstration projects are specifically limited

to an asset accumulation initiative. The Department is currently

conducting several other demonstration projects which allow households

to accumulate substantial assets for self-sufficiency purposes in

conjunction with other welfare reform initiatives. Demonstration

project areas currently involved in such studies are not eligible to

participate in the asset accumulation demonstration project because we

believe such participation will affect the results of those studies,

and/or, that the studies will affect the outcome of this demonstration

project. Asset accumulation demonstration project sites will also be

ineligible for welfare reform waivers throughout the course of the

demonstration project, unless it can be demonstrated that the waiver(s)

would not impact the results of these demonstration projects. States or

localities which have approval to operate cash-out or Electronic

Benefit Transfer systems in place of traditional food coupon systems

are eligible for these demonstration projects.

The Department is also considering the selection of a site or sites

with varying levels of outreach activity designed to encourage

households to take advantage of the demonstration project provisions.

This would allow the Department to assess the impact of outreach on the

overall effects of these demonstration projects.

C. Responsibilities

The Department shall be responsible for:

1. Providing funding, as specified in Section D of this Notice.

2. Providing training and technical assistance, as necessary and as

agreed to by the Department.

3. Monitoring demonstration project operations through normal Food

Stamp Program review activities, and special reviews and audits.

4. Securing an independent evaluator to evaluate these

demonstration projects using evaluation criteria identified under this

Notice.

5. Approving requests from the evaluation contractor for data from

the State.

6. Approving changes to the demonstration projects. The State and/

or local agency shall be responsible for:

(1) Establishing a procedure within the Food Stamp Program and the

eligibility redetermination process for applying demonstration project

procedures outlined in this Notice.

(2) Calculating participation using both current law and

demonstration project rules regarding maximum asset accumulation (in

order to determine whether participants would be disqualified without

the demonstration project changes).

(3) Training caseworkers and other staff concerning all aspects of

the demonstration project and demonstration project procedures.

(4) Reporting to the Department as required under Section E of this

Notice, including preparing and submitting a Status Report.

(5) Reporting to the evaluation contractor as required under

Section E of this Notice.

(6) Cooperating with all evaluation activities connected with the

demonstration project under the sponsorship of the Department. This

includes establishing and maintaining a procedure to randomly assign

households to demonstration project and control groups. The proportion

of households assigned to the demonstration project group may be larger

than 50 percent.

(7) Maintaining an accessible database of participant

characteristics and demonstration project participation for evaluation

purposes. For each household in the demonstration project group, this

information shall be linked to data on savings.

(8) Notifying recipients of the termination of the demonstration

project, if appropriate, in accordance with 7 CFR 273.13.

(9) Obtaining approval from the Department prior to the release of

information related to the results of these demonstration projects.

D. Funding

The Department will make available funds to support these

demonstration projects. As part of the application process, sponsors

will submit a budget which estimates their administrative costs for

participation and implementation of demonstration project rules. To the

extent that funds are available, costs attributed to participation in

these demonstration projects will be covered 100%. Funds are also

available to help defray the costs of implementing these demonstration

projects on a 50/50 match basis. Benefit/coupon costs will be paid

under current program funding procedures. The Department is not

obligated to award the entire amount of funds made available. The

amount awarded under any one agreement shall be determined by the

Department based on the scope and size of the demonstration project

sites proposed.

Specific procedures for reimbursement of eligible demonstration

project-related costs will be detailed in the application packages.

E. Recordkeeping and Reporting

The data collection effort is designed to answer research questions

in a manner that balances methodological rigor and operational

feasibility. An overview of the kinds of information needed from States

is described below. A more specific implementation plan will be

developed under the evaluation contract in consultation with State

agencies.

Special Demonstration Project Reporting Requirements: The

Department will require that reports be submitted for demonstration

project activity as follows:

1. Describe the implementation of assets accumulation:

a. Provide copies of all written materials that pertain to the

plans, implementation, and operation of the demonstration project. Such

materials will include, at a minimum: meeting minutes, written planning

and implementation documents, any new reporting forms, notices to

recipients, and other public communications. These documents shall be

provided as an attachment to each monthly demonstration project

progress report.

b. Participate in periodic interviews conducted by the evaluation

contractor. These are likely to be a combination of in-person and

telephone contacts that occur 3-4 times over the length of the

demonstration project. Contacts with key State and local agency staff

will be included in each round of interviews.

c. Allow the evaluation contractor and Department staff to observe

key planning or implementation meetings conducted by State and/or local

agency staff.

2. Assess recipient response to assets accumulation: Provide hard

copy or automated data that identifies relevant characteristics and

behavior of each household. Since the evaluation is looking at behavior

over time either a longitudinal file will need to be set up for each

household or a common household identifier used to link different data

sources.

a. Relevant characteristics data for households in both the

demonstration project and control groups include:

--Demographic characteristics

--Household composition

--Income amount and sources

--Benefit allotment size by program by month

--Value of assets at the time the asset accumulation option is made

available

--Start date for current Food Stamp Program certification period

--Program participation status by month and reason for termination

during the course of the demonstration project

--Value of assets at the time of the most recent certification/

recertification

b. Relevant household behavior/knowledge data for households in the

demonstration project group include:

--Initial response to the demonstration project

--Knowledge of the demonstration project at the time of the most recent

Food Stamp Program application

--Influence of the demonstration project on the most recent decision to

apply for Food Stamp Program benefits

--Date the earmarked savings account was established

--Value of savings by month

--Stated purpose of the savings account

3. Estimate impacts on Program costs:

a. Track administrative costs associated with assets accumulation.

At a minimum, these will include labor and other direct costs of

informing households about the demonstration project and monitoring

household savings.

b. Note that the site information needed to estimate benefit costs,

Program participation, and Program applications is already described as

part of Objective 2 reporting requirements.

4. Examine the impact on household self-sufficiency:

a. Provide a hard copy or automated file with identification

(including addresses and phone numbers) of current Program participants

and indicators of whether or not they are part of the demonstration

project population, as well as whether or not they have established

earmarked savings accounts. This information will be used to generate

sampling frames for the evaluation contractor's recipient interviews.

F. Site Selection Criteria

Criteria for Evaluating Demonstration Proposals: The Department

will evaluate each proposal using a two-step process. First, the

technical aspects will be evaluated by a technical review panel

(panel). The panel will evaluate the technical merit of each proposal

according to the evaluation criteria listed below (with relative

weights shown in parentheses). Panel members will evaluate each

proposal independently and assign it a numerical score for each

evaluation criterion. The panel will average the scores assigned to

each proposal and rank the proposals on their technical merit according

to their mean scores. Based on this technical review, the panel will

recommend a competitive range for proposals. That is the range in which

proposals have a reasonable chance of being selected for negotiation of

an agreement under the terms of this Notice. The Department may conduct

negotiations with applicants in the competitive range, and after

negotiations, may ask for ``best and final offers.'' The Department

does, however, reserve the right to enter into an agreement with the

applicant based on the original proposal and its evaluation.

Second, the Department will consider the proposed administrative

costs associated with each proposal in the competitive range. The cost

will be reviewed independently from the technical evaluation.

The Department will give the technical merit of proposals primary

consideration. However, cost (both administrative and benefit),

geographic characteristics, and outreach activity levels may serve as

tiebreakers when decisions must be made among proposals that are

similar or equal in technical merit. Awards will be made in such

situations to those applicants whose offers are most financially

advantageous to the Department and whose proposals provide the most

diversity to the overall demonstration project, such as urban, rural or

suburban demographic characteristics and the level of proposed outreach

activity (or lack thereof). Therefore, proposals submitted in response

to this Notice should be on the most favorable terms from both

technical and cost standpoints.

Technical Evaluation Criteria

The following criteria will be used in the evaluation of technical

proposals submitted in response to this Notice. The numbers assigned

indicate the maximum score available for each factor and its relative

importance.

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Criteria Assigned Weight

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1. Understanding of the purpose and objectives of the

demonstration project....................................... 50

2. The demonstration project's scope, proposed procedures for

implementing asset accumulation policies and complying with

demonstration project requirements, and its evaluation...... 350

3. Adequacy of the demonstration project work plan, including

dates, tasks/activities, reporting interface, etc........... 250

4. Plans for demonstration project management including staff

responsibilities, monitoring, problem resolution, ongoing

involvement of key management personnel, and an

organizational chart for the demonstration project.......... 175

5. Organizational and staff capabilities and resources

committed to the demonstration project, including time

commitment of individual staff members...................... 175

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G. Applications

Applications shall be submitted in an original and four copies to

the Deputy Administrator, Food Stamp Program, Food and Consumer

Service, USDA, Room 710, Park Office Center Building, 3101 Park Center

Drive, Alexandria, Virginia 22302. Applications must be signed by the

representative of the State agency having the authority to commit the

proposed political subdivision to the demonstration project.

Prospective demonstration project sponsors shall submit a

demonstration project proposal containing specific information

regarding their planned demonstration project. Applicants should

include in their proposals any additional information which they feel

would enhance their prospects for approval. Complete instructions for

preparing and submitting demonstration project proposals will be made

available through the application packages described above.

Applications will be submitted via completion of a Form AD-424,

available in each application package. It is anticipated that, at a

minimum, each demonstration project proposal will be required to

include the following:

1. A complete description of the site in which the demonstration

project shall be carried out. This description shall include an

estimate of the total number of households currently participating in

the Food Stamp Program (by Public Assistance (PA) and Nonpublic

Assistance (NPA) category) and any other information useful for

understanding the nature of the jurisdiction in which the demonstration

project would be conducted, including complete geographic information

relevant to the demographic situation of the area proposed

(unemployment rate, distance to shopping, welfare offices, industrial

areas, urban/rural/suburban category, etc.). Participation/caseload

data submitted with proposals should be for the most recent available

month. States combining rural and urban areas into one proposed

demonstration project site should provide estimates of the proportion

of the demonstration project site PA and NPA caseloads living in rural

areas.

2. A complete description of how the State agency will meet the

basic requirements for demonstration project operations (as outlined in

this Notice). This description should include a discussion of the

mechanics of establishing self-sufficiency accounts and how account use

will be monitored. Any access restrictions on the accounts or penalties

for misuse should be detailed as well.

3. Demonstration project proposals must incorporate a detailed work

plan for the demonstration project, including a timetable for

implementation, the length of operation, and demonstration project

termination activities. The workplan must incorporate task statements,

milestones, and methodology to be used in completing the tasks within

prescribed timeframes.

4. A proposed budget for both demonstration project administrative

costs and evaluation costs.

5. A description of the number and qualifications of key staff,

including a demonstration project director, key demonstration project

staff, support staff and management staff, which will be used in

carrying out the demonstration project, plus the percentage of time to

be allotted by the staff.

6. The State agency's methodology for cooperating with the

Department's evaluator and meeting the random assignment procedures and

the data collection requirements described earlier in this Notice. This

description should identify person(s) responsible for evaluation

activities and the amount of time set aside.

7. A plan for terminating the demonstration project procedures and

returning to the use of existing food stamp eligibility criteria.

Any changes made as a result of comments received in response to

this Notice will be reflected in the application packages. In the event

of inconsistencies, information and instructions in the application

packages shall take precedence over this Notice.

H. Monitoring and Evaluation

The Department shall monitor the operation of demonstration

projects implemented under this Notice. This monitoring activity does

not, in any way, decrease the State agency's responsibility for

oversight of the demonstration project's operation. At a minimum,

monitoring shall include assessment of the demonstration project

sponsor's compliance with the provisions of this Notice, the governing

agreement between the State and the Department, and any other

applicable rules and procedural requirements.

A comprehensive evaluation of the effects of these demonstration

projects will be carried out for the Department by an independent

contractor. State and local welfare agency staff involved in these

demonstration projects are required to work closely with and supply

information to the evaluation contractor and cooperate fully in the

evaluation. The evaluation shall be structured to assess the extent to

which the establishment of an asset accumulation account affects

household self-sufficiency. To achieve this objective, it will be

necessary for demonstration project sponsors to calculate measures of

self-sufficiency both under the demonstration project rules and under

current Program rules. Specific evaluation specifications will be

finalized and a contract awarded prior to implementation of these

demonstration projects. At a minimum, the evaluation is expected to

address the following questions:

1. How is the demonstration project implemented? What are the

characteristics and size of the Program population that is targeted?

How is the opportunity to participate in the demonstration project

communicated? What requirements or constraints are imposed on

recipients?

2. How do recipients respond to the demonstration project? Among

those who are eligible to accumulate assets, what percentage initially

respond, actually set up accounts, and establish savings? What are the

distinguishing characteristics of those who respond compared to the

targeted population and general Program population, with respect to:

--Demographic characteristics

--Household composition

--Income amount and sources (including EITC)

--Food stamp allotment size

--Assets at time of last certification

How much is saved over what period of time? How much variation in

savings patterns is observed? What are the budget strategies used by

those who are successful and unsuccessful at saving? What are the

sources of savings? Do new sources of income affect savings success?

What are recipients' goals with respect to amount and purpose of

savings? How much is actually used and for what purpose? Is the actual

purpose the same or different from original intentions?

3. What is the impact of asset accumulation on Food Stamp Program

costs? How do administrative costs change with the introduction of

assets accumulation with respect to recipient instructions and

reporting requirements? How much does asset accumulation increase

benefits? That is, what is the incremental allotment value for every

month households have more than $2000 accumulated? How does the pattern

of Program participation for households who accumulate assets compare

to the pattern for similar households who do not save? Does the

introduction of an asset accumulation provision for Program

participants affect the number or characteristics of general

applicants/applicants who get certified? What are the likely

administrative and benefit costs if asset accumulation is implemented

nationwide? How sensitive are these estimates to variations in asset

accumulation requirements?

4. What is the relationship between asset accumulation and self-

sufficiency? (Questions here overlap with those identified for

Objectives 2 and 3). To what extent are households able to save the

amount intended and to what degree are savings used for the purpose

planned? Does the opportunity to accumulate assets affect households'

sense of well-being or empowerment? Do households who accumulate assets

participate in public assistance programs for shorter periods of time

than households with comparable characteristics who do not have the

opportunity to save/who have the opportunity but do not save? Are there

unintended consequences associated with accumulating assets?

Scope of Demonstration Projects

This Notice will result in the negotiation of agreements between

the Department and participating State agencies for the design,

development, implementation, and operation of these demonstration

projects. Such agreements shall be incorporated into each participating

State's Food Stamp Plan of Operation. The Department envisions working

closely with the participating State agencies in the development and

oversight of these demonstration projects. Participating State agencies

must contribute funds (as detailed in the Funding section of this

Notice), manpower, facilities, and/or other resources to these

demonstration projects.

After selecting the demonstration project participants, the

Department will provide technical assistance to each demonstration

project area through existing Program staff and/or through an

independent contractor. Demonstration project operators will have

access to the technical assistance on an as needed basis to obtain

assistance in developing and implementing their demonstration projects.

The purpose of this technical assistance is to ensure the continuity,

consistency, and reliability of evaluation information collected from

all demonstration project participants.

Public Notification

Those sites selected to participate in these demonstration projects

must make their proposals available to the general public in order to

provide adequate notice of potential changes in Food Stamp Program

procedures.

Dated: November 29, 1994.

Ellen Haas,

Under Secretary for Food, Nutrition, and Consumer Services.

[FR Doc. 94-30324 Filed 12-8-94; 8:45 am]

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