La. Admin. Code tit. 48 § V-4505

Current through Register Vol. 50, No. 9, September 20, 2024

Section V-4505 - Agreement

A. LA WIC must enter into written agreements with all vendors. The agreements must be for a period not to exceed three years. By signing the agreement, a vendor understands and agrees to the conditions enumerated and/or referenced in the vendor rules and regulations.

B. A vendor shall allow authorized personnel to monitor the vendor through announced and unannounced monitoring and/or compliance investigations to determine compliance with LA WIC and WIC vendor rules and regulations. A vendor shall provide access to any items, documentation, and records requested by authorized personnel, including but not limited to, inventory and invoices for purchase of WIC approved food items.

C. Recordkeeping. The vendor must maintain inventory records used for federal tax reporting purposes and other records LA WIC may require for the period of time specified by LA WIC in the vendor agreement. Upon request, the vendor must make available to representatives of LA WIC, the USDA, and the comptroller general of the United States, at any reasonable time and place for inspection and audit, all program-related records. Vendors are required to keep confidential the customer's eligibility for and receipt of WIC benefits.

D. LA WIC may make adjustments to a vendor's submission for reimbursement for WIC approved food item(s) to ensure that the payments do not exceed the maximum allowable reimbursement level (MARL) for the vendor's assigned peer group and pay vendors' claims for reimbursement for WIC transactions accordingly. No claim for reimbursement for WIC approved food items submitted by the vendor shall be paid by LA WIC unless the claim is in accordance with the terms of the vendor rules and regulations. LA WIC shall recoup any and all payments for WIC transactions made to the vendor in error.

E. The termination of a vendor agreement will be effective 15 days after the date of the notice of adverse action, with the exception of LAC §48:V.4505.G.2, G.3, H.3, and H.4.

F. LA WIC will recoup payments for any and all WIC transactions conducted after the termination of the vendor agreement.

G. LA WIC must terminate a vendor agreement based on any of the following:

1. When LA WIC disqualifies a vendor.

2. When LA WIC permanently disqualifies a vendor. The termination of the vendor agreement for permanent disqualification is effective on the date of receipt of the notice of adverse action.

3. When LA WIC determines that the vendor has provided false information in connection with its application for WIC authorization. The termination of the vendor agreement for providing false information is effective on the date of receipt of the notice of adverse action.

H. LA WIC may also terminate a vendor agreement based on any of the following:

1. When a vendor is non-compliant with its terms and vendor rules and regulations.

2. When a vendor fails to meet vendor selection criteria at any time. The length of termination due to failure to meet vendor selection criteria will be effective for the time period provided in the vendor guide and policy manual.

3. When a vendor experiences a change of ownership, the vendor agreement shall automatically become null and void and terminates immediately as of the date the change of ownership occurred. Neither the previous owner nor the new owner will be authorized to conduct WIC transactions. Any WIC transactions conducted after the vendor agreement becomes null and void will be subject to recoupment by LA WIC. LA WIC shall hold the previous owner and new owner solidarily liable for any monies owed.

4. When a vendor experiences a change in availability or location. A vendor must provide advance written notice of a period of no less than 15 days of a change in availability or location. The vendor agreement shall automatically become null and void and shall immediately terminate as of the date the change in availability or location occurred.

5. When a conflict of interest between a vendor and LA WIC exists.

6. When either LA WIC or a vendor elects not to renew the vendor agreement. The vendor agreement may be terminated after 15 days written notice by either party or by the mutual agreement of both parties to terminate.

7. When a vendor is no longer authorized by SNAP, except for adverse actions by SNAP.

I. LA WIC will not permit a voluntary withdrawal of a vendor and/or a non-renewal of the vendor agreement as an alternative to an LA WIC termination or disqualification.

J. Participation as a vendor in LA WIC is a privilege. WIC authorization does not constitute a license or property interest. ([See 7 CFR § 246.12(h)(3)(xxi))]. A vendor cannot claim and is not entitled to money for loss of WIC sales during the pendency of an appeal of an adverse action. If the vendor is reinstated following a successful administrative review of an adverse action taken by LA WIC, the vendor cannot claim and is not entitled to retroactive payments and/or compensation for revenues lost for the period of time the vendor was not in the program.

K. A vendor that has been disqualified and/or had its vendor agreement terminated by LA WIC and who seeks Authorization shall reapply and meet all current requirements for WIC Authorization.

La. Admin. Code tit. 48, § V-4505

Promulgated by the Department of Health and Human Resources, Office of Preventive and Public Health Services, LR 13:246 (April 1987), Amended by the Department of Health, Office of Public Health, LR 43338 (2/1/2017), Amended LR 491404 (8/1/2023).

AUTHORITY NOTE: Promulgated in accordance with R.S. 46:972.