Ops Memo 2011-41: TAFDC and EAEDC – Limitations on Use of Cash Benefits

On July 28, 2011 the Legislature passed and the Governor signed a law which prohibits:

• DTA cash clients from using any direct cash assistance received from the Department to purchase alcoholic beverages, lottery tickets and tobacco products.
• stores from selling the alcoholic beverages, lottery tickets and tobacco products to DTA cash clients using electronic benefit cards for these purchases. Store owners caught making these sales are subject to fines.
• anyone from embezzling, stealing or fraudulently obtaining DTA funds, assets or property and whomever receives, conceals or retains such property for his own interest knowing that they have been embezzled, stolen or obtained by fraud are subject to criminal penalties.

Reminder: Welfare fraud is also prosecuted under previously existing statutes.

The purpose of this Operations Memo is to advise:

• TAO staff about the new law;
• case managers about their responsibilities with respect to the new law; and
• case managers about revised forms.