OAR 333-052-0080
Farmer Participation Requirements, Violations and Sanctions


(1) An authorized farmer must:
(a) Comply with FDNP requirements contained in 7 CFR 248 and 7 CFR 249 and the terms and conditions of the farmer agreement;
(b) Accept training on FDNP requirements and ensure that all individuals working in the farmer’s stall(s) at the farmers’ market(s) or farm stand(s) are trained;
(c) Accept FDNP checks:
(A) For eligible foods only; and
(B) Within the valid dates of the program.
(d) Prominently display the official FDNP sign provided by the Authority on each day of operation when at authorized farmers’ markets or authorized farm stands;
(e) Provide FDNP clients with the full amount of product for the value of each FDNP check;
(f) Cooperate with staff from the Authority or their designees in monitoring for compliance with program requirements and provide information that the Authority or their designees may require;
(g) Comply with all state or federal laws regarding non-discrimination, and applicable USDA instructions to ensure that no individual will, on the grounds of race, color, national origin, sex, disability, age, or reprisal or retaliation for prior civil rights activity in any program or activity conducted or funded by USDA, be excluded from participation, be denied benefits, or be otherwise subjected to discrimination, under the FDNP;
(h) Ensure that FDNP shoppers receive equitable treatment, including the availability of produce that is of the same quality and no greater price than sold to other shoppers;
(i) Assure that all FDNP checks are stamped with the farmer’s Authority-assigned identification number and properly endorsed before cashing or depositing at the farmer’s financial institution;
(j) Deposit or cash FDNP checks at the authorized farmer’s financial institution by the date determined by the Authority;
(k) Reimburse the Authority for FDNP checks that are improperly transacted;
(l) Respond to requests, implement corrective action, and comply with the terms in final orders as directed by the Authority;
(m) Not provide credit in exchange for FDNP checks;
(n) Not charge sales tax on FDNP check purchases;
(o) Not seek restitution from FDNP participants for a check not paid by the Authority;
(p) Not give cash back for purchases that amount to less than the value of a check (providing change);
(q) Not use FDNP checks for any purpose other than deposit or cash at their financial institution; and
(r) Not accept FDNP checks from unauthorized farmers.
(2) A farmer is in violation of the FDNP if the farmer:
(a) Fails to:
(A) Comply with FDNP rules and the terms and conditions of the farmer application and the farmer agreement;
(B) Accept training on FDNP requirements and ensure that all individuals working in the farmer’s stall(s) at the farmers’ market(s) or farm stand(s) are trained;
(C) Prominently display the official FDNP sign provided by the Authority on each day of operation when at authorized farmers’ markets or authorized farm stands;
(D) Provide FDNP clients with the full amount of product for the value of each FDNP check;
(E) Comply with all state or federal laws regarding non-discrimination, and applicable USDA instructions to ensure that no individual will, on the grounds of race, color, national origin, sex, disability, age, or reprisal or retaliation for prior civil rights activity in any program or activity conducted or funded by USDA, be excluded from participation, be denied benefits, or be otherwise subjected to discrimination, under the FDNP;
(F) Ensure that FDNP shoppers receive equitable treatment, including the availability of produce that is of the same quality and no greater price than sold to other shoppers;
(G) Assure that all FDNP checks are stamped with the farmer’s Authority-assigned identification number and properly endorsed before cashing or depositing at the farmer’s financial institution;
(H) Deposit or cash FDNP checks at the authorized farmer’s financial institution by the date determined by the Authority;
(I) Reimburse the Authority for FDNP checks that are improperly transacted;
(J) Cooperate with staff from the Authority or their designees in monitoring for compliance with program requirements and provide information that the Authority or their designees may require;
(K) Respond to requests, implement corrective action, or comply with the terms in final orders as directed by the Authority.
(b) Accepts FDNP checks:
(A) For ineligible foods;
(B) For invalid dates; or
(C) From an unauthorized farmer.
(c) Provides credit in exchange for FDNP checks;
(d) Charges sales tax on FDNP check purchases;
(e) Seeks restitution from FDNP participants for a check not paid by the Authority;
(f) Gives cash back for purchases that amount to less than the value of a check (providing change);
(g) Uses FDNP checks for any purpose other than deposit or cash at their financial institution.
(3) Farmer sanctions:
(a) The Authority may issue a notification of non-compliance to an authorized farmer for an initial incident of:
(A) Accepting FDNP checks for ineligible foods;
(B) Failing to prominently display the official sign provided by the Authority, each market day when at authorized farmers’ markets or authorized farm stands;
(C) Failing to provide FDNP clients with the full amount of product for the value of each FDNP check;
(D) Failing to ensure that FDNP shoppers receive equitable treatment, including the availability of produce that is of the same quality and no greater price than sold to other shoppers;
(E) Failing to reimburse the Authority for FDNP checks that are improperly transacted;
(F) Charging sales tax on FDNP check purchases;
(G) Seeking restitution from FDNP participants for checks not paid by the Authority;
(H) Giving cash back for purchases less than the value of the checks (providing change);
(I) Accepting FDNP checks from an unauthorized farmer;
(J) Failing to respond to requests, implement corrective action, or comply with the terms in final orders as directed by the Authority;
(K) Using FDNP checks for any purpose other than deposit or cash at the authorized farmer’s financial institution; and
(L) Failing to cooperate with staff from the Authority or their designees in monitoring for compliance with program requirements and failing to provide information that the Authority or their designees may require.
(b) The Authority may disqualify a farmer for four season months, which may cross from the year during which the violation occurred into the following year for an initial incident of providing credit in exchange for FDNP checks.
(c) The Authority may disqualify a farmer for four season months, which may cross from the year during which the violation occurred into the following year, for second or subsequent incidents of:
(A) Accepting FDNP checks for ineligible foods;
(B) Failing to prominently display the official sign provided by the Authority, each market day when at authorized farmers’ markets or authorized farm stands;
(C) Failing to provide FDNP clients with the full amount of product for the value of each FDNP check;
(D) Failing to ensure that FDNP shoppers receive equitable treatment, including the availability of produce that is of the same quality and no greater price than sold to other shoppers;
(E) Charging sales tax on FDNP check purchases;
(F) Seeking restitution from FDNP participants for checks not paid by the Authority;
(G) Using FDNP checks for any purpose other than deposit or cash at the authorized farmer’s financial institution;
(H) Charging FDNP participants higher prices than other customers;
(I) Giving cash back for purchases less than the value of the checks (providing change);
(J) Accepting FDNP checks from an unauthorized farmer; and
(K) Failing to respond to requests, implement corrective action, or comply with the terms in final orders as directed by the Authority.
(d) The Authority may not authorize farmers to accept FDNP checks the season following second or subsequent incidents of:
(A) Failing to reimburse the Authority for FDNP checks that are improperly transacted; or
(B) Failing to cooperate with staff from the Authority or their designees in monitoring for compliance with program requirements and failing to provide information required to be submitted by the Authority or their designees.
(e) The Authority may immediately disqualify a farmer from the FDNP program for the remainder of the current season and the entire following season for an initial incident of:
(A) Trafficking in FDNP checks (exchanging checks for cash, controlled substances, tobacco products, firearms or alcohol) in any amount; or
(B) A USDA substantiated violation of laws regarding non-discrimination, and applicable USDA instructions.
(f) FDNP checks that are not stamped with the farmer’s Authority-assigned identification number will be returned to the farmer without payment;
(g) FDNP checks redeemed outside the dates determined by the Authority will not be reimbursed; and
(h) FDNP checks redeemed by a farmer who has not been authorized will not be reimbursed.
(4) Farmers who do not comply with FDNP requirements are subject to sanctions, including civil money penalties, in addition to, or in lieu of, disqualification.
(a) Prior to disqualifying a farmer, the Authority may determine if disqualification of the farmer would result in inadequate participant access. If the Authority determines that disqualification of the farmer would result in inadequate participant access, the Authority may impose a CMP in lieu of disqualification in the amount of 5 percent of the farmer’s previous season FDNP sales or $250, whichever is greater.
(b) The Authority must give written notice to a farmer of an action proposed to be taken against a farmer, not less than 30 days before the effective date of the action. The notice must state what action is being taken, the effective date of the action, and the procedure for requesting a hearing.
(c) A farmer that has been disqualified from the FDNP may reapply at the end of the disqualification period.
(d) The Authority may accept a farmer’s voluntary withdrawal from the program as an alternative to disqualification. If a farmer chooses to withdraw in lieu of disqualification, the farmer may not apply for participation until the following year.
(e) The Authority will not reimburse farmers who have been disqualified or have withdrawn in lieu of disqualification.
(f) Civil money penalties must be paid to the Authority within the time period specified in the Notice.
(5) A farmer who commits fraud or abuse of the FDNP is subject to prosecution under applicable federal, state or local laws.

Source: Rule 333-052-0080 — Farmer Participation Requirements, Violations and Sanctions, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=333-052-0080.

Last Updated

Jun. 8, 2021

Rule 333-052-0080’s source at or​.us