Vendor Peer Groups

Federal Regulations require the New York State (NYS) WIC Program assign all vendors to a vendor peer group based on common characteristics. The purpose of this system is to:

• Compare vendors that are similar
• Offer fair reimbursement
• Apply competitive price criteria to contain costs
• Maximize participant enrollment

Vendor Peer Group assignment is based on:

Geography

• Rural-Urban Commuting Areas, Census tract data, population density and traffic commuting flow
• Determined by the zip code of your store’s location
• Classifies vendors as urban (Rural-Urban Commuting Area Code 1-3) or non-urban (Rural-Urban Commuting Area Code 4-10)

Business Model

Based on store type and chain status Classifies vendors as stores or pharmacies; independent, minor chain or major chain Independent store:

• Independent pharmacy: 4 or fewer NYS WIC authorized vendors with the same owner and/or vendor name
• Minor chain store: 5 to 24 NYS WIC authorized vendors with the same owner and/or vendor name
• Major chain store: 25 or more NYS WIC authorized vendors with the same owner and/or vendor name
• Chain pharmacy: 5 or more NYS WIC authorized vendors with the same owner and/or vendor name
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Store Size

Based on the number of cash registers, stores are classified as:

• Small: 1-2 registers
• Medium: 3-7 registers
• Large: 8-14 registers
• Extra-large: 15 or more registers