[Code of Federal Regulations] [Title 7, Volume 4] [Revised as of January 1, 2006] From the U.S. Government Printing Office via GPO Access [CITE: 7CFR275.1] [Page 837-838] TITLE 7--AGRICULTURE CHAPTER II--FOOD AND NUTRITION SERVICE, DEPARTMENT OF AGRICULTURE PART 275_PERFORMANCE REPORTING SYSTEM--Table of Contents Subpart A_Administration Sec. 275.1 General scope and purpose. Subpart A_Administration Sec. 275.1 General scope and purpose. 275.2 State agency responsibilities. 275.3 Federal monitoring. 275.4 Record retention. Subpart B_Management Evaluation (ME) Reviews 275.5 Scope and purpose. 275.6 Management units. 275.7 Selection of sub-units for review. 275.8 Review coverage. 275.9 Review process. Subpart C_Quality Control (QC) Reviews 275.10 Scope and purpose. 275.11 Sampling. 275.12 Review of active cases. 275.13 Review of negative cases. 275.14 Review processing. Subpart D_Data Analysis and Evaluation 275.15 Data management. Subpart E_Corrective Action 275.16 Corrective action planning. 275.17 State corrective action plan. 275.18 Project area/management unit corrective action plan. 275.19 Monitoring and evaluation. Subpart F_Responsibilities for Reporting on Program Performance 275.20 ME review schedules. 275.21 Quality control review reports. 275.22 Administrative procedure. Subpart G_Program Performance 275.23 Determination of State agency program performance. 275.24 High performance bonuses. Authority: 7 U.S.C. 2011-2036. Editorial Note: OMB control numbers relating to this part 275 are contained in Sec. 271.8. (a) Under the Food Stamp Act, each State agency is responsible for the administration of the Food Stamp Program in accordance with the Act, Regulations, and the State agency's plan of operation. To fulfill the requirements of the Act, each State agency shall have a system for monitoring and improving its administration of the program. The State agency is also responsible for reporting on its administration to FNS. These reports shall identify program deficiencies and the specific administrative action proposed to meet the program requirements established by the Secretary. If it is determined, however, that a State has failed without good cause to meet any of the program requirements established by the Secretary, or has failed to carry out the approved State plan of operation, the Department shall suspend and/or disallow from the State such funds as are determined to be appropriate in accordance with part 276 of this chapter. (b)(1) The Food Stamp Act authorizes the Secretary to pay each State agency an amount equal to 50 percent of all administrative costs involved in each [[Page 838]] State agency's operation of the program. The Act further authorizes the Secretary to increase the percentage share if: (i) The State agency's payment error rate is less than or equal to 5.90 percent, and (ii) The State agency's negative case error rate is less than the national weighted mean negative case error rate for the prior fiscal year. (2) If a State agency qualifies for an increased percentage share, the amount of increase will be an additional percentage point for each full tenth of a percentage point by which the payment error rate is less than six percent, up to a maximum of 60 percent of administrative costs. Those State agencies not receiving the increased share of funding shall develop and implement corrective action plans to reduce payment errors. Corrective action shall be completed as required in subpart E of this section. [Amdt. 160, 45 FR 15898, Mar. 11, 1980, as amended by Amdt. 266, 52 FR 3407, Feb. 4, 1987; Amdt. 328, 56 FR 60051, Nov. 27, 1991]