What did the Farm Bill passed in 1990 require the USDA to do?

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Prepare for the Certified Compensation Professional (CCP) Electronic Transactions Association (ETA) Exam with flashcards and multiple choice questions. Each question includes hints and explanations to enhance your understanding. Get ready for your CCP exam today!

The Farm Bill passed in 1990 mandated the United States Department of Agriculture (USDA) to introduce regulations for the Electronic Benefits Transfer (EBT) system as a method for delivering food stamp benefits. This shift to EBT aimed to modernize the food assistance program, making it more accessible and efficient for beneficiaries. The use of EBT enabled recipients to use a card system resembling debit cards to make purchases, which streamlined transactions and helped reduce the stigma often associated with food stamp use.

The significance of this requirement lies in its impact on how food assistance programs operate, enhancing convenience for users and improving the operational efficiency of the USDA in administering nutritional support. The transition to electronic benefits also facilitated better tracking and management of food assistance funds, thereby enhancing program integrity.

By focusing specifically on the EBT system, the 1990 Farm Bill reflected a broader trend towards modernization in government assistance programs, ensuring they adapted to technological advancements as well as improving their service delivery to the public.

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