Application of anti-tying restrictions to electronic benefit transfer systems.—

(A) Definitions .— In this paragraph: (i) Affiliate .— The term “affiliate” has the meaning provided the term in section 1841(k) of title 12 . (ii) Company .— The term “company” has the meaning provided the term in section 1971 of title 12 , but shall not include a bank, a bank holding company, or any subsidiary of a bank holding company. (iii) Electronic benefit transfer service .— The term “electronic benefit transfer service” means the processing of electronic transfers of household benefits, determined under section 2017(a) or 2035 of this title, if the benefits are— (I) issued from and stored in a central databank; (II) electronically accessed by household members at the point of sale; and (III) provided by a Federal or State government. (iv) Point-of-sale service .— The term “point-of-sale service” means any product or service related to the electronic authorization and processing of payments for merchandise at a retail food store, including credit or debit card services, automated teller machines, point-of-sale terminals, or access to on-line systems.

(B) Restrictions .— A company may not sell or provide electronic benefit transfer services, or fix or vary the consideration for electronic benefit transfer services, on the condition or requirement that the customer— (i) obtain some additional point-of-sale service from the company or an affiliate of the company; or (ii) not obtain some additional point-of-sale service from a competitor of the company or competitor of any affiliate of the company.

(C) Consultation with the federal reserve board .— Before promulgating regulations or interpretations of regulations to carry out this paragraph, the Secretary shall consult with the Board of Governors of the Federal Reserve System.