STRATEGIC PARTNERS
March 5, 2002
NEW YORK -- A pilot program coordinated by Lockheed Martin IMS this summer in New York City will feature the debut of the first-ever wireless EBT transaction.
The program, one of the first in the U.S. to enable Food Stamp customers to use their EBT cards in open-air venues, will allow participants in the Food Stamp Program to use their Electronic Benefit Transfer (EBT) cards to purchase produce and other foodstuffs in farmers markets. Beginning in New York City, the pilot could roll out to thousands of farmers nationwide.
This initiative utilizes technology provided by
U.S. Wireless Data, Inc. (USWD) (OTCBB: USWDA), a provider of wireless payment services; Tillsmith Systems, a manufacturer of wireless POS terminals; and Buypass, a subsidiary of Concord EFS, Inc., the industry leader in EBT processing.
With the federally-mandated move away from paper coupons in favor of electronic debiting of food purchases, New York State has been searching for alternatives to allow recipients to purchase food at sites that lack telephone or electrical access. Wireless addresses this access problem.
"This technology solution will benefit both farmers and consumers participating in the Food Stamp Program," said Audrey Rowe, senior vice president and managing director of Children & Family Services for Lockheed Martin IMS. "Most open-air markets lack the telephone and power lines needed for standard EBT transaction processing equipment. Plus, the authorization speed provided by U.S. Wireless Data enables EBT transactions to be as fast as cash."
Tillsmith's hand-held, battery-powered wireless payment terminals, enabled by U.S. Wireless Data's high-speed Wireless Express Payment Service (WEPS) platform, will be provided to qualified farmers authorized by the USDA under the Food Stamp Program. The USWD solution will enable the farmers to accept EBT card payments from Food Stamp Program benefits recipients.
The payment terminals will be on loan from Tillsmith for a four-month period to farmers who agree to assist in evaluating their usefulness. EBT transaction processing will be provided free of charge by U.S. Wireless Data and Buypass during this trial period.
Although the project is intended to facilitate EBT transactions, the wireless terminals also can accept standard credit and debit cards. Farmers will have the option to activate these functions on the terminal for the duration of the demonstration pilot, for a standard card processing cost.
The initiative is a collaborative venture among the Council on the Environment of New York City/Greenmarket Program; the New York State Office of Temporary and Disability Assistance (OTDA); the USDA; New York State's EBT prime contractor, Citibank EBT Services; and its retail service provider in New York, Lockheed Martin IMS.
