362 
tion 3 of the Carl D. Perkins Career and 
Technical Education Act of 2006 (20 
U.S.C. 2302)) that may be completed in 
not more than 4 years at an institution of 
higher education (as defined in section 102 
of the Higher Education Act of 1965 (20 
U.S.C. 1002)); or 
‘‘(ii) is limited to remedial courses, 
basic adult education, literacy, or English 
as a second language;’’. 
SEC. 4005. ENDING SUPPLEMENTAL NUTRITION ASSIST-
ANCE PROGRAM BENEFITS FOR LOTTERY OR 
GAMBLING WINNERS. 
(a) IN GENERAL.—Section 6 of the Food and Nutri-
tion Act of 2008 (7 U.S.C. 2015) is amended by adding 
at the end the following: 
‘‘(r) INELIGIBILITY FOR BENEFITS DUE TO RECEIPT 
OF SUBSTANTIAL LOTTERY OR GAMBLING WINNINGS.— 
‘‘(1) IN GENERAL.—Any household in which a 
member receives substantial lottery or gambling 
winnings, as determined by the Secretary, shall lose 
eligibility for benefits immediately upon receipt of 
the winnings. 
‘‘(2) DURATION OF INELIGIBILITY.—A house-
hold described in paragraph (1) shall remain ineli-
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363 
gible for participation until the household meets the 
allowable financial resources and income eligibility 
requirements under subsections (c), (d), (e), (f), (g), 
(i), (k), (l), (m), and (n) of section 5. 
‘‘(3) AGREEMENTS.—As determined by the Sec-
retary, each State agency, to the maximum extent 
practicable, shall establish agreements with entities 
responsible for the regulation or sponsorship of gam-
ing in the State to determine whether individuals 
participating in the supplemental nutrition assist-
ance program have received substantial lottery or 
gambling winnings.’’. 
(b) CONFORMING AMENDMENTS.—Section 5(a) of 
the Food and Nutrition Act of 2008 (7 U.S.C. 2014(a)) 
is amended in the second sentence by striking ‘‘sections 
6(b), 6(d)(2), and 6(g)’’ and inserting ‘‘subsections (b), 
(d)(2), (g), and (r) of section 6’’. 
SEC. 4006. RETAIL FOOD STORES. 
(a) DEFINITION
OF RETAIL FOOD STORE.—Sub-
section (o)(1)(A) of section 3 of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2012) (as redesignated by section 
4018(a)(4)) is amended by striking ‘‘at least 2’’ and in-
serting ‘‘at least 3’’. 
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364 
(b) ALTERNATIVE
BENEFIT
DELIVERY.—Section 
7(f) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2016(f)) is amended— 
(1) by striking paragraph (2) and inserting the 
following: 
‘‘(2) IMPOSITION OF COSTS.— 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraph (B), the Secretary shall require 
participating retail food stores (including res-
taurants participating in a State option res-
taurant program intended to serve the elderly, 
disabled, and homeless) to pay 100 percent of 
the costs of acquiring, and arrange for the im-
plementation of, electronic benefit transfer 
point-of-sale equipment and supplies, including 
related services. 
‘‘(B) EXEMPTIONS.—The Secretary may 
exempt from subparagraph (A)— 
‘‘(i) farmers’ markets and other di-
rect-to-consumer markets, military com-
missaries, nonprofit food buying coopera-
tives, and establishments, organizations, 
programs, or group living arrangements 
described in paragraphs (5), (7), and (8) 
of section 3(k); and 
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‘‘(ii) establishments described in para-
graphs (3), (4), and (9) of section 3(k), 
other than restaurants participating in a 
State option restaurant program. 
‘‘(C) INTERCHANGE
FEES.—Nothing in 
this paragraph permits the charging of fees re-
lating to the redemption of supplemental nutri-
tion assistance program benefits, in accordance 
with subsection (h)(13).’’; and 
(2) by adding at the end the following: 
‘‘(4) TERMINATION OF MANUAL VOUCHERS.— 
‘‘(A) IN GENERAL.—Effective beginning on 
the date of enactment of this paragraph, except 
as provided in subparagraph (B), no State shall 
issue manual vouchers to a household that re-
ceives supplemental nutrition assistance under 
this Act or allow retail food stores to accept 
manual vouchers as payment, unless the Sec-
retary determines that the manual vouchers are 
necessary, such as in the event of an electronic 
benefit transfer system failure or a disaster sit-
uation. 
‘‘(B) EXEMPTIONS.—The Secretary may 
exempt categories of retail food stores or indi-
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vidual retail food stores from subparagraph (A) 
based on criteria established by the Secretary. 
‘‘(5) UNIQUE
IDENTIFICATION
NUMBER
RE-
QUIRED.— 
‘‘(A) IN GENERAL.—To enhance the anti- 
fraud protections of the program, the Secretary 
shall require all parties providing electronic 
benefit transfer services to provide for and 
maintain unique terminal identification number 
information through the supplemental nutrition 
assistance program electronic benefit transfer 
transaction routing system. 
‘‘(B) REGULATIONS.— 
‘‘(i) IN GENERAL.—Not earlier than 2 
years after the date of enactment of this 
paragraph, the Secretary shall issue pro-
posed regulations to carry out this para-
graph. 
‘‘(ii) COMMERCIAL
PRACTICES.—In 
issuing regulations to carry out this para-
graph, the Secretary shall consider existing 
commercial practices for other point-of-sale 
debit transactions.’’. 
(c) ELECTRONIC
BENEFIT
TRANSFERS.—Section 
7(h)(3)(B) of the Food and Nutrition Act of 2008 (7 
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