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NYS Senate to act on Public Assistance Integrity Act

by jmaloni

Press release

Tue, Jun 18th 2013 01:25 pm
State Sen. Mark Grisanti (Contributed photo)
State Sen. Mark Grisanti (Contributed photo)

Legislation to curb abuse of public assistance co-sponsored by Sen. Mark Grisanti

The New York State Senate will act today on the "Public Assistance Integrity Act," sponsored by Sen. Tom Libous (R-C-I-Binghamton) and co-sponsored by Sen. Mark Grisanti (R-I-Buffalo). The act would help cut down on the flagrant abuse of electronic benefit transfer cards by prohibiting welfare recipients from using cash assistance to purchase tobacco, alcoholic beverages, lottery tickets or to gamble.

"The Senate again made the right choice in protecting your tax dollars by passing a measure that would stop the abuse in the welfare program," Grisanti said. "Using your tax dollars to support a transaction at a liquor store, casino or strip club is not only inappropriate, but it goes against the intent of the welfare program."

EBT cards work like a debit card for welfare recipients. This card contains both food stamps and cash assistance. Food stamps have strict regulations on what can be purchased; cash assistance does not. Cash assistance is intended for items that can't be purchased using food stamps - items such as soap, toothpaste, school supplies and toiletries. Recipients can also legally use this cash assistance to buy cigarettes and beer, or even to fund an afternoon at the racetrack or an evening at a local strip club. Currently, there are no laws or regulations against using taxpayer dollars for alcohol, tobacco, lottery tickets or gambling.

"Public assistance is designed to help needy families provide for their children until they can transition back to the workforce and become self-sufficient," Libous said. "This common-sense legislation would protect hardworking taxpayers from abuse while ensuring that families receiving welfare benefits continue to get the temporary assistance they need and deserve."

If signed into law, the Public Assistance Integrity Act (S966) would limit where EBT cards can be used, and what they can be used for. Last year, the bill passed the Senate 56-3, but the Assembly didn't act on the bill.

The federal government has mandated that each state establish a system of fraud prevention by February 2014. If the state does not act, the federal government will penalize New York by cutting federal funding for cash assistance by 5 percent ($120 million). New York spends more than $2.7 billion each year administering cash assistance. 

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