Xerox's ACS Helps Michigan Cut Cost Of WIC
The state of Michigan's program that provides Women, Infants, and Children benefits is saving more than 25 percent in processing costs by moving from paper-based food vouchers to an electronic benefit transfer system provided by Dallas, Texas-based Affiliated Computer Services Inc., a Xerox subsidiary.
Michigan's WIC program provides nutritious foods and nutrition education for approximately half the infants born in the state. Moving to EBT, the state went from issuing more than 10 million paper food vouchers annually to providing recipients with an EBT magnetic stripe card for use at point-of-service terminals at retailers.
An independent study from Burger, Carroll & Associates found the WIC EBT solution managed by ACS decreased Michigan's processing costs by 27 percent compared to costs under the paper voucher system. These savings were realized despite a WIC caseload that increased by 15 percent over the past several years.
Michigan is the first in the nation to implement a statewide WIC EBT solution that processes transactions real-time. Because the system immediately validates purchases, recipients have added flexibility, convenience and security over traditional WIC paper vouchers. The study also cites retailers who noted that WIC EBT is "more efficient than paper in both the (grocery) lanes and back office."
"Maximizing program efficiency helps to ensure that the state can help as many people as possible," said Joseph Doherty, executive vice president and group president, ACS Government Solutions. "This study shows that the EBT program can have a significant impact on a state's operations."
Nearly 2,000 vendors statewide equipped to accept the card. An ACS customer care center located in Michigan provides 24/7 support in three languages for vendors and participants.
