During the government shutdown, Agriculture Secretary Brooke Rollins has been analyzing data from 29 states that have food stamp programs. Her findings revealed an EBT card with over $10,000 in unused balance, along with a card registered to a non-existent individual.
“This is a broken and corrupt program,” she stated to reporters.
The Supplemental Nutrition Assistance Program (SNAP), traditionally known as food stamps, has been around since the Great Depression but has seen significant growth under the Biden administration, now serving over 42 million people—roughly one-eighth of the U.S. population. The question arises: Is this program functioning effectively? Could the government shutdown really lead to outcomes like “starving children,” as some critics of the previous administration suggest?
In a podcast hosted by Eric Eggers, Andrew McClenahan from the United Council on Welfare Fraud returned as a guest. His organization represents state-level welfare fraud investigators, and evidently, there’s quite a lot to uncover.
McClenahan pointed out that SNAP, which began in the 1930s, has “exploded” in usage by over 40% during Biden’s term. Rollins noted that the previous administration’s office had sought data from states to grasp the reasons behind the substantial increase in costs and enrollment.
While SNAP is funded federally, the states manage it, determining eligibility and benefits. So far, 29 states responded to the data inquiry, uncovering “thousands of illegal EBT card usages,” as per Rollins. Since they started this review, “nearly 700,000 individuals have been removed from the program, and around 118 arrests have been made,” she added.
One notable case involved an individual receiving SNAP benefits simultaneously from six different states.
McClenahan expressed little surprise at these revelations. “It’s evident that the Secretary of Agriculture described it accurately as a broken and corrupt program,” he remarked.
He noted that the Secretary’s findings were primarily from responses of red states, as several Democratic-led states, including New York and California, have rejected the data request and filed lawsuits against it.
The rise in SNAP enrollment post-Biden’s inauguration partially resulted from the pandemic. Biden also adjusted the food calculation aspect of the program, which led to increased average benefits. “Under Biden, taxpayers saw an increase of $28 billion,” McClenahan explained, contrasting this with Trump’s budget cuts to SNAP.
Rollins is attempting to track the financial discrepancies, even as some Democratic states avoid collaboration during the shutdown.
“The fact that she pointed out 700,000 removals is indeed significant,” McClenahan told Eggers. Investigations in red states have even identified instances of illegal immigrants engaging with restricted programs. The exact number of unauthorized individuals benefiting remains unclear, but states like California and New York seem to be receiving a lot of the influx.
In 1996, President Clinton enacted a change stating that noncitizens couldn’t access these benefits, though enforcement has been lax.
“Until now, there hasn’t been much incentive for the federal government to take this seriously,” Eggers commented.
When benefits are issued, an EBT card is loaded monthly with funds from the state government, which aligns with the family’s needs. Rollins’ investigation found a card with an astonishing balance of over $10,000.
McClenahan noted his experiences with EBT cards, some even listing amounts as high as $20,000.
A USDA probe unearthed cards that hadn’t been activated for years, alongside those issued to fictitious identities.
A past report by Guy highlighted how SNAP funds were mismanaged, illustrating issues like falsifying error rates and misuse of funds by retailers. Some of these cards were exchanged for cash at discounts.
“Users frequently stay in the program for years, accruing these balances regardless of actual card usage. [The government] is supposed to clear unused balances after nine months, but if someone only purchases items occasionally, the balance remains intact. Even if you stop using SNAP, your card remains valid,” McClenahan explained to Eggers.
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