WIC EBT Feasibility Study and Cost‐Benefit Analysis

Virginia Department of Health WIC EBT Feasibility Study and Cost-Benefit Analysis
If the system functions as required, local agencies, retailers and client users should not be able to
differentiate between an on-line outsourced and in-house e-WIC system.
The following table represents the scores given to this alternative for each of the evaluation
criterion.
17 V 1.2 August 20, 2008
Alternative 2: On-Line In-House 4
Criteria Score Comment
Proven Record of
Implementation
0
The in-house, on-line e-WIC solution has not yet been
implemented.
Proven Record of Operations
0
The in-house, on-line e-WIC solution is not yet operational. VDH
has not previously supported EBT operations.
Proven Record of Integration
The in-house, on-line e-WIC solution has not yet been integrated
With ECR Systems
with ECR systems. However, the solution is being developed to
1 the same data exchange standards as the Michigan system and
may be able to leverage the integration work performed for that
State.
Proven Record With EBT 0 VDH has not previously provided EBT services.
Provides Body of Knowledge for
There are policies and procedures that have been developed for
Policies and Procedures 3 Michigan and there are lessons learned that can be taken from offline
systems.
Provides Stability for On-going
The in-house system will rely on VITA to provide 24x7 hosting
Operations
1
services, which has not been proven in a financial, transactionbased
environment. In addition, VDH will rely on contractors to
adapt the software to changes in the WIC program.
Able to Increase WIC Accuracy
As all e-WIC transactions are electronic, saving the full set of
and Accountability
3
transaction data, this is a benefit that will be derived from an e-
WIC, regardless of the technology or whether it is outsourced or
operated in-house.
Increases Retailers’ Ability to
Regardless of technologies or approach, e-WIC will provide
Comply With Program Policies 3 retailers with a means to automate approval of transactions and to
provide an electronic check on each transaction.
Minimizes On-going Operations
Costs
3
This solution would provide lower on-going operational costs than
the paper-based based system or the other two alternatives.
Provides Uninterrupted Service
On-line e-WIC transactions cannot be conducted if there is a loss
to WIC Clients or Retailers
of connectivity to the POS terminal or if the host system goes
2
down. The networks have proven to be reliable for use by the
credit/debit industries. VITA will be providing hosting services,
which has not yet been tested in e-WIC financial, transactionbased
environment.
Investment in Retailer
Hardware/Software
1
Regardless of the alternative, Virginia will need to provide a level
of support to its retailers.
Ability to Adapt to Change in
Technology
1 Any changes to technology would have to be undertaken by VDH.
System and Data Security
3
Both the credit/debit network and the systems deployed by VDH
will be operating according to security standards.
Able to Meet the Schedule
Virginia would have more difficulty in implementing this system
Established for SAM 1 in parallel with its SAM system as the on-line system is not due to
go into pilot phase until mid to late 2009.
4 The alternative’s scores are based on a 0 to 3 scale, with a zero score meaning the alternative does not have the
ability to meet the criterion and three meaning the alternative has the ability to meet or exceed the criterion.