Miller, A., Moe, J. 2022, SNAP Guide for Nevada Farmers Markets and Direct Marketing Farmers, Desert Farming Initiative, University of Nevada, Reno, Guides

The Desert Farming Initiative’s involvement with SNAP

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In 2020 DFI began partnering with the University of Nevada, Reno Extension on Supplemental Nutrition Assistance Program Education (SNAP-Ed). The goal of SNAP-Ed in Nevada is to improve nutritional well-being by empowering SNAP recipients to make healthy food choices within a limited budget and choose active lifestyles.

As a first step, DFI became authorized to accept SNAP in 2020 and has been selling fresh produce to local SNAP recipients at the market ever since. We have personally been through the process of becoming SNAP authorized, choosing a POS device, and even changing the personnel authorized with the account.

Another component of our SNAP-Ed work has been, and continues to be, helping local markets with many components of SNAP including the authorization process, attracting and retaining SNAP customers, developing EBT processing models, providing SNAP materials such as signage and informational pamphlets, and marketing.

Since 2020, we have developed a broad base of experience and knowledge and strive to translate that knowledge for the use and benefit of other local vendors and markets that are interested in accepting SNAP.

There are a number of ways that a farmers market can structure its SNAP program. The first thing to consider is whether the market will become authorized as a whole and accept SNAP payments on behalf of vendors, or whether the market will rely on vendors to become individually SNAP authorized. The following table shows some things to consider for each of these models:

Market is SNAP-authorized	Individual vendors are SNAP-authorized
SNAP shoppers are able to use SNAP benefits throughout the whole market. This consistency may be easier and more appealing for SNAP customers.	Some vendors at the market may accept SNAP, while others may not.
In Nevada, almost all markets operate this way. Most SNAP customers in the state likely understand and anticipate this system more.	This system may be unfamiliar to SNAP farmers market customers in Nevada
The market must obtain and operate a Point of Sale (POS device) that can take EBT payment.	Each vendor seeking to accept SNAP must independently obtain and operate a Point of Sale (POS device) that can take EBT payment.
The market must figure out a system for coordinating SNAP sales with their vendors. See token and receipt systems below.	Each vendor who is SNAP authorized manages their own SNAP transactions. There is no further coordination required

If the market chooses to become authorized for SNAP, all EBT transactions will occur on a centralized EBT terminal. There are several approaches a market can take for coordinating sales and charges with their vendors:

Market Currency System

As of 2022, essentially all SNAP-authorized farmers markets in Northern Nevada are using this system, so this is what the SNAP customers understand and anticipate. A customer purchases market tokens from the central EBT location (often at the market’s information table) using their EBT card, and then uses the tokens to purchase products at vendor stands. The vendors exchange the tokens back to the market according to an agreed-upon reimbursement schedule. The market keeps track of token sales versus token redemption to ensure that the system is functioning properly. A market can also use paper scrip instead of tokens, which tends to be less bulky, but also more easily counterfeited (Adapted from content from the Farmers Market Coalition). Some markets in other states use tokens for all card sales within the market: credit and debit transactions also occur at one centralized location and customers are given tokens to use at vendor booths that do not have their own card readers.

Market Curency (i.e. token) Accounting

According to the Farmers Market Coalition, “Managing tokens requires some additional bookkeeping and documentation. A best practice used by many markets around the country is to set up a separate bank account for the token program. This greatly simplifies tracking activity, reconciling balances and reporting. You should know where all tokens are at all times. Your tracking system should accurately track:

How many tokens you have on hand at any given time
How many you distribute per market day;
How many tokens are returned per market day; and
How many tokens are outstanding or unredeemed at any given time.

“Because SNAP is a taxpayer-funded federal nutrition assistance program, FNS requires a detailed audit trail so as to avoid any potential or perceived fraud. As a “new currency” in your market, tokens should be treated just like cash. This means losing tokens is the same as losing cash. Be sure tokens are stored in a secure location and provided only to SNAP customers when their transaction has been approved.

“For Sample Token Tracking and Accounting Templates, Please Visit:
The Farmers Market Coalition’s Token and Incentive Accounting Templates
North Carolina’s Carrboro Farmers Market Electronic Transaction Workbook

Receipt System

As of 2022, essentially all SNAP-authorized farmers markets in Southern Nevada are using this system, so this is what the SNAP customers understand and anticipate. According to the Farmers Market Coalition, “the cardholder brings the produce she wishes to purchase to the vendor’s checkout. The vendor totals the sale and writes a receipt which includes the vendor name, amount purchased, and items purchased. The vendor holds the shoppers purchase while the customer then brings this slip to the central POS market site. Here her card is swiped and she receives a sales receipt from a market staff-person, who signs the vendor receipt to show proof of purchase. The customer returns the vendor receipt to the vendor in exchange for her food purchase. At the end of the market, the vendor tuns in all shopper receipts and the market reimburses the vendor according to an agreed-upon payment schedule”.

Additional Resources on Market Currency and Receipt Systems

In-depth guides from Farmers Market Legal Toolkit
- Market Currency Systems
- Receipt Systems

As mentioned earlier, SNAP recipients receive their benefits on an Electronic Benefits Transfer (EBT) card. As a SNAP-authorized Farmers Market or Direct Marketing Farmer, you will need a point-of-sale (POS) device that is capable of reading these cards. The card reader you may already be using for debit and credit sales may have an option to be encrypted to process EBT as well or you may need to purchase a new device. You can shop around for the right device for you, keeping in mind cost and service fees, or there are some free or discounted options available (see below).

Options for POS device purchase

The following options are just a selection of POS devices on the market, but they are options that we are familiar with and have heard about local markets using with success.

TotilPay

TotilPay is a card processing software. With the TotilPay Go app and the fully mobile EBT card reader provided by TotilPay you can accept EBT and the go or at your market. TotilPay has special pricing if you are classified as a farmers market or direct marketing farmer by the Food and Nutrition Service. If you already use Square to accept credit and debit cards, Square can integrate with the TotilPay Go app to you can use one software for all types of payment.

Clover

Clover’s EBT app enables EBT transactions on Clover Mini, Clover Flex, and Clover Mobile (but note that you cannot process EBT using Clover Go or Clover Station)

Free POS options for Farmers Markets and Direct Marketing Farmers

FIS Banking Solutions

The State of Nevada contracts with FIS to provide free EBT-only (no credit or debit) equipment to farmers markets and direct marketing farmers who have been authorized by FNS to accept SNAP.

FIS receives daily notifications of all newly approved FNS numbers. Newly-authorized Direct Marketing Farmers or Farmers Markets will be contacted by FIS and offered a cost-free:

Landline based EBT terminal setup that must be attached to a telephone line or an internet line. The equipment must be returned if/when the market or farmer stop accepting SNAP.
Wireless EBT terminal setup (V400m wireless) that utilizes an internal AT&T cellular system that only works where AT&T cellular/wireless service towers are available

Both options are entirely cost-free. There is no initial charge or fees, and no fees down the line.

Market Link

MarketLink is a grant program that can provide free EBT equipment to farmers markets and direct marketing farmers in addition to technical support for applying for SNAP authorization and on-going participation in SNAP. You should note that there are fees after the first year (learn more below). Please also note that if you are already utilizing a free POS device from FIS you are not eligible for the MarketLink-funded equipment.

If you submit an eligible application to MarketLink you will be provided:

Free Bluetooth SNAP/EBT card reader (yours to keep)
One year free use of the TotilPay Go point-of-sale App for processing EBT transactions (you must use your own mobile device)
- SNAP/EBT transactions have no processing fees
- You have the option to add credit and debit transactions at the rate of:
  - Square: $0.10 per transaction +2.6% of the sale
  - WorldPay: $0.15 per transaction + 1.79% of the sale

After the first year the cost is $19.95/month or $191.40/year in addition to any option credit/debit service fees. The SNAP card reader is yours to keep for free.

POS Device FAQ’s

Follow the hyperlinks to see The Farmers Market Legal Toolkit answers to the following questions:

Obtaining a POS Device

Using Your POS Device

According to the Farmers Market Legal Toolkit, “SNAP incentive programs are publicly or privately funded initiatives that encourage SNAP customers to spend their benefits at farmers markets by providing a financial incentive for doing so. For example, some “matching” programs provide SNAP customers with one dollar (toward a SNAP-eligible purchase) for every dollar of SNAP benefits spent at the market, up to a certain dollar amount, effectively doubling the SNAP customer’s buying power. Other versions of cash incentives for SNAP purchases are used as well.” Learn more here. The main incentive program in Nevada at this time is called the Double Up Food Bucks program and it functions like the “matching” model described above. Learn more about Double Up Food Bucks below.

Double Up Food Bucks

Double Up Food Bucks (DUFB) is a nutrition incentive program from the USDA. At participating stores and farmers markets when a customer uses their EBT card to buy produce, Double Up matches their spending up to $20 a day. The customer can then use the matching funds to purchase more fruits and vegetables. This means more produce for customers, and more sales at the market.

Again, while SNAP benefits can be used to purchase fruits and vegetables; meat, poultry, and fish; dairy products; breads and cereals; other foods such as snack foods and non-alcoholic beverages; and seeds and plants which produce food, Double Up Food Bucks matching funds can only be used to buy fruits and vegetables that are fresh, canned, or frozen and only match SNAP money spent on the same items.

For Nevada farmers markets interested in participating in the Double Up Food Bucks program, contact Roz Brooks at Vegas Roots (roz@vegasroots.org). You will need to fill out an application and provide a SNAP-authorized FNS number. You will then be sent instructions and materials including coupons and banners and you can start implementing the program! Learn more on the Vegas Roots website.

Other Incentive Programs

There are other incentive programs you may be able to find and apply for online that are not yet being used in Nevada. Another option is to create your own incentives for SNAP customers: you or a donor could provide an incentive (matching funds, free recipes, a kitchen utensil, etc.) for customers who use a SNAP card at your market.

The Food and Nutrition Service offers this webinar on “what markets and their partners need to know about incentives, different types of incentives they could offer, and what they would need to do to introduce an Incentive program at their market”.

You may want to know what you as a direct marketing farmer or farmers market can do to attract more SNAP customers.

Advertising and Marketing

Actively advertising and marketing your acceptance of SNAP/EBT is an important step to attract more SNAP customers. Consider which of the following marketing avenues might work best for you and your community:

Media (television, radio, newspapers)
Direct mail
Email
Social media
Website
Billboard
Pamphlets

You can also consider increasing signage about SNAP/EBT both within the market and outside of the market where it is visible to passers-by.

You can have your market added to the Agricultural Marketing Service National Farmers Market Directory.

For more information and ideas, the Food and Nutrition Service provides this webinar on Advertising and Marketing.

Improving SNAP Shopper Friendliness

Ensuring that your market addresses SNAP shoppers’ needs helps to attract and retain SNAP customers.

Virginia Cooperative Extension shares these “Ten Tips for Making Your Farmers Market SNAP Shopper Friendly”:

Have clear signage

Make sure that it is easy to know that your market accepts SNAP! Have a banner visible to potential customers passing by your market and signs on each vendor’s booth (especially if individual vendors can opt not to accept SNAP). A photo of your state’s EBT card on signage is helpful for shoppers who may not know the name of SNAP.

Make your EBT machine visible

Have the EBT machine in a clearly marked central location. Having a visual landmark such as a brightly colored umbrella or shirt for the person running the machine allows you to tell people where to go when advertising your program.

Consistency is key

Make sure vendors are there on time and stay for your listed hours so customers are sure the food they want will be there.

Educate your vendors

To start your program, vendors need to know the benefits of accepting SNAP. Markets with full vendor participation are easiest for shoppers. Vendors also need to be able to help their customers navigate the program, so give them quick talking points about how to shop with SNAP.

SNAP shoppers need to plan ahead

Inform customers ahead of time what will be available at the market so they can plan their meals and make their budget last all month. Let customers know what is available through an electronic newsletter, social media message or even a sign in front of the market.

Variety is important

Having every food group available at your market helps customers as they know they can purchase ingredients for a full meal if this is the only place they have time to shop.

Set up an incentive program

Double match or incentive programs that subsidize the cost of food for SNAP shoppers are a win-win for SNAP shoppers and your vendors. Common sponsors include: community organizations, religious groups, non-profit health organizations (such as a hospital), or local banks or credit unions.

Partner up to get the word out

Partner with organizations to advertise your market and your program. Your local Department of Social Services, Department of Health, Area Agency on Aging, and economic development corporations may be willing to distribute flyers or brochures for you. Ask customers to spread the word.

Take a seat!

Create a space for customers to feel comfortable and socialize. Have tables for customers to sit down and enjoy the market. This also creates a space for local organizations to bring groups such as mothers groups or seniors clubs.

Put out your welcome mat

Have market tours and/or a market greeter at the beginning of the month to introduce new customers to your market and explain the EBT system. Partnering with SNAP-Ed and Extension for cooking demos, education or tours is a great way to make your market a fun and inviting place to shop.

Learn more about the author(s)

Claire Holden

Jill Moe

Also of Interest:

SNAP Guide for Nevada Farmers Markets and Direct Marketing Farmers