EBT Reform

There have been alarming reports of fraud, abuse, and the mismanagement of financial assistance programs by the Department of Transitional Assistance (DTA) over the last several years.  Recent findings from the State Auditor’s office point to serious waste of tax payer monies administered by the agency through Electronic Benefit cards. 

The Department of Transitional Assistance provides invaluable assistance to some of our most vulnerable citizens.  The integrity of these programs and operations are vitally important to all the citizens of the Commonwealth and, most importantly, to those who desperately depend on these programs to feed their families and put shelter over their heads.

Recently, the House Committee on Post Audit and Oversight, which I serve on, has held numerous hearings with DTA officials and State Auditor Suzanne Bump concerning her office’s audit which exposed a large number of deceased individuals receiving public benefits through EBT cards.  DTA and State Auditor Bump’s office have been transparent and provided the necessary information to fix the problems, albeit administratively or legislatively, regarding the fraud and waste.  Prior to the audit being released, newly appointed DTA Commissioner Monahan had initiated a 100-Day plan to incorporate established best practices, policy and procedural changes, increase the provision of oversight and training, and make significant investments in technological enhancements as it works to address specific issues raised by the Office of the Inspector General (OIG), the Office of the State Auditor (OSA), federal regulators, and the House Post Audit and Oversight Committee.

 The Massachusetts legislature has taken action over the past few years to eliminate fraud and abuse within DTA, specifically with the use of EBT cards.  In 2011, the legislature banned the use of EBT cards at numerous establishments, including:  tattoo parlors, casinos, strip clubs, and nail salons.  Last year, the scope of prohibited transactions was expanded by the legislature to include the sale of alcohol, lottery tickets, tobacco, firearms, travel services, and jewelry.  Anyone caught knowingly transferring, acquiring, altering, or possessing EBT cards in any manner not authorized by state or federal law will now be tried in a criminal court of law.

However, more needs to be done to address these issues.  Proposals to eliminate self declaration of eligibility, photo identification requirements on all ebt cards and social security number verification should be adopted.  In addition to fraud and waste prevention measures, applicants for public assistance ought to prove that they have conducted a job search before receiving benefits, and DTA, along with the Commonwealth Corporation, should ramp up efforts to match welfare recipients with jobs, including the development of a job diversion program to connect people with work before they apply for an receive benefits.

While only a small amount of people abuse the public assistance system, every effort must be taken to prevent fraud, waste, and abuse of tax dollars.  Every dollar that is stolen or wasted could be used for someone who truly needs the public assistance or given back to taxpayers.  Ensuring that tax payer funds are used efficiently and effectively must be a top priority of state government and I will continue to strive toward that goal.