[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: 7CFR278.3]



[Page 933]

 

                          TITLE 7--AGRICULTURE

 

    CHAPTER II--FOOD AND NUTRITION SERVICE, DEPARTMENT OF AGRICULTURE

 

PART 278_PARTICIPATION OF RETAIL FOOD STORES, WHOLESALE FOOD CONCERNS 

AND INSURED FINANCIAL INSTITUTIONS--Table of Contents

 

Sec. 278.3  Participation of wholesale food concerns.



    (a) Accepting coupons. An authorized wholesale food concern may 

accept endorsed coupons from one or more specified authorized retail 

food stores, from one or more specified authorized nonprofit cooperative 

food-purchasing ventures, from one or more specified authorized group 

living arrangements, from one or more specified authorized drug addict 

or alcoholic treatment programs, from one or more specified authorized 

shelters for battered women and children, or, from one or more specified 

public or private nonprofit homeless meal providers if the coupons are 

accompanied by a properly filled-out and signed redemption certificate, 

and are not marked ``paid,'' ``canceled,'' or ``specimen.'' A wholesaler 

authorized to accept coupons from an authorized drug addict or alcoholic 

treatment program, or from an authorized group living arrangement, or 

from an authorized shelter for battered women and children, or from one 

or more public or private nonprofit homeless meal providers may accept 

coupons from that treatment program, or group living arrangement, or 

shelter for battered women and children, or from one or more public or 

private nonprofit homeless meal providers, only in exchange for food.

    (b) Accepting legally obtained coupons. No authorized wholesale food 

concern may accept coupons if the wholesaler knows or has reasonable 

cause to believe that the coupons were not legally obtained for eligible 

food.

    (c) Redeeming coupons. An authorized wholesale food concern may 

redeem coupons, properly accepted from retailers, through the banking 

system, upon presentation of the coupons with:

    (1) The authorized retail food store's properly filled-out and 

signed redemption certificate for the coupons; and

    (2) The authorized wholesale food concern's properly filled-out and 

signed redemption certificate.

    (d) Handling retailer redemption certificates. No authorized 

wholesale food concern may alter, prepare, or complete an authorized 

retail food store's redemption certificate.



[Amdt. 136, 43 FR 43274, Sept. 22, 1978, as amended by Amdt. 173, 46 FR 

62810, Dec. 29, 1981; Amdt. 286, 52 FR 7558, Mar. 11, 1987; Amdt. 344, 

56 FR 54778, Oct. 23, 1991; Amdt. 343, 61 FR 53601, Oct. 15, 1996]