The Tennessee Legislature is considering a bill that could end up making life more difficult for the poor — or could help them, depending on your point of view.
The bill at the center of the issue is scheduled to be discussed at a committee hearing Wednesday. It would prohibit anyone receiving state or federal assistance, sometimes called welfare, from winning $600 or more in the state lottery.
The bill's sponsor, Rep. Stacey Campfield (Knoxville), said that if someone can't afford the basic necessities and is receiving public assistance such as food stamps, then they shouldn't be spending their money on gambling.
On the other side of the issue, some people say that the government shouldn't tell them how to spend their money.
WATE, a TV news channel in Tennessee, recently reported on the issue.
The bill doesn't address the unemployed, only those receiving public assistance from taxpayer money. Even if person receiving public assistance has a job, their winnings would be capped, because they are receiving money from the government.
A state fiscal review of the Tennessee bill found that lottery sales would drop by approximately 2.37%, or 147,403 fewer players, if the law is passed. Net lottery ticket sales are projected to drop by $23,972,100 in fiscal year 2009-10.
The state's review found that half of the people who receive food stamps from the state — 294,805 individuals — buy lottery tickets. Half of those people are projected to stop playing the lottery if the bill passes.
If those people stop playing Tennessee will lose $6.4 million in scholarships and grants that it provides each year from its proceeds.
But for the remaining half of food stamp recipients, or 147,403 people, who would continue to play the lottery despite being prevented from keeping their winnings over $600, the money would go to the state. In effect, they would be playing for the state.
The Tennessee Education Lottery Corp. reported that approximately 11% of the awarded prizes are for $600 or more. Therefore if half of the food stamp recipients continue playing, and thus continue donating their winnings to the state, the after-school programs would gain more than $1.3 million a year.
As of February, Tennessee has a 9.1% unemployment rate, leaving 276,312 state residents out of work. It's a population almost equal to the number of people in Tennessee who receive food stamps.
"The bill's sponsor, Rep. Stacey Campfield (Knoxville), said that if someone can't afford the basic necessities and is receiving public assistance such as food stamps, then they shouldn't be spending their money on gambling."
What a crock! It's alright for them to spend a dollar on a pick3 game that pays $50-$500 but get penalized it they play and win a game that pays big money.
Ohio once had a law to limit what people could win playing lotteries but it was for everybody, no one lottery ticket could win over $20M regardless of the jackpot size. People stop playing locally and went out of state to play. After a year they got rid of that law but sales never rebounded until they added MegaMillions.
Hum, I can understand the State's position in a way. The state is attempting fiduciary duty towards their multi-county's tax payer's monies received and allocated towards welfare recepients (as far as I know, any may receive, even prior non tax paying non-citizens) -- only wanting their county's tax payer monies to go to their monetarily wounded residents if they are going to spend it on NEED items such as: supermarket groceries, gas, suit for higher paying job interviews, and utility bills -- not chance tickets.
However, I think the law should be modified to indicate that if the "tax payer assisted" ticket owner wins over $20,000 gross, IN ANY U.S.A. LOTTERY, within a calendar year, that the county will first withdraw amount of any taxpayer assistance monies or subsidies received up until the point of receiving the net monies won. It would be easy for any county to work with any single or multi state lottery company's billing department to ensure that local county get paid first (just as the ticket purchased in State and our Federal Government).
I don't think the government/state should be telling people what they can spend their money on. I understand why they want to do it, but really, the whole thing seems like a slippery slope to me.
Really doesn't make much sense. People play the lottery in hopes of winning enough money to pay bills, have better quality of life....get off of welfare, etc. They should be happy if the recipients win enough to get off goverment assistance. Also, if they lose, which is more likely, then they in all actuality are giving the money back to the government. So the government wins either way. Why only let those who have money already, win? Bottom line is....if you have a state lottery, it should be open to ALL who pay to play. And if you pay to play, you should also be able to win!
Meanwhile, recently in the Tennesseean, this story; "
Nashville banks' execs get millions
Bailout loopholes allow some bonuses, 'golden parachutes'"
Trillions of dollars tossed to a group of elites who destroyed the economy in the biggest ponzi scheme rip off of tax payers in history, and we discuss what a bank teller should spend his or her money on because they can't make enough money to get by without food stamps.
Incredible... Beam me up Scotty...
That is the best example of what is wrong with the US right now. I have no problem with someone getting ahead and making a profit. But when your company takes OUR tax dollars to pay YOUR paycheck vs. closing its doors and there is NO paycheck. Then you should HAVE to answer to the taxpayer.
Government needs OUT of private companies, history will show this last year was a mistake to bail all of them out.
I am somewhat on the same page as you, let them play the lottery, if they win any amount over $600.00 the law should be that they pay back any and all monies recieved from the state, then the rest is theirs.
The freak'n government is already stopping hard working Americans who want to play on-line lottery games, what's up with that, it's OUR money we worked for it we should be able to spend it any which way we want.
Oh, but it's ok to bail out the jerks on Wall street and the Bankers making gobs of money off of us in high rates of interest. Americans better wake up to what's going on.
>Michael
New Jersey Administrative Code
Title 17, Chapter 42
Lottery Prize Offset For Child Support And
Public Assistance Payments
In cases of multiple or conflicting claims, the priority for apportionment is as follows:
1. Federal Income tax withholding, as required by N.J.A.C. 17:42-1.4;
2. Child support arrearages, as required by N.J.S.A. 5:9-13.2 to 13.6;
3. Federal and State student loan defaults as required by N.J.S.A. 5:9-13.10 to 13.16; and
4. Over payments for Work First New Jersey benefits, which include General Assistance and Temporary Assistance to Needy Families (TANF), food stamp benefits and low-income home energy assistance (LIHEAP), as required by N.J.S.A. 5:9-13.2 to 13.6
New York:
Will Child Support and Public Assistance be withheld from my prize?
If you are identified by the Office of Temporary and Disability Assistance (OTDA) as owing past due child support and/or having received public assistance in the last 10 years, the Lottery is required by Section 1613-a(4) of the New York State tax law to withhold money from your Lottery prize(s) of $600 or more.
Great point TigerAngel, the state should be paid back in the event of a large win. Think some states are doing that with delinquent child support, also prisoners repaying cost of incarceration.
However the underground economy is about 100 steps ahead any legislative posturing to pay back taxpayers. This proposal is a day late, dollar short, should have thought of it same time lottery was ratified by voters.
Don't forget that Fed & state will tax anything over $600. in the first place, I call this double dipping. On the big lotto's if you take A pay out the tax people get half of whatever winings you recieve.If you string it along for the full payout they still get a 3rd plus of what you get ! The Fed's and States will still get A large lump of your change. This bill would let these rich folks have the upper hand in any situation !!!
Thinking objectively about this, it makes total sense what this congressman is proposing. But in another view, I find it somewhat "Unamerican, and somewhat downright socialist, to cap the profit potential in our free enterprise system (yes that is occurring, but then again right now those companies subject to earnings caps are LOSING money...once they right the ship and pay back the government...let the good times continue to roll for those CEOs...though I do feel that they are jumping ship with many people's 401ks in tow as their job is to lead their respective companies to profitability...those who do the opposite should take the honorable stance that any ship captain or military general (back in the old days) would do and that is go down fighting...it seems they do the opposite now...they bail out with a load of loot and watch the doomed suckers in the plane that just ran out of fuel and no other parachutes go down in flames while they live...to either see another day or run off to play golf and travel the world in first class style!) Yeah I know that was one hell of a
.
But getting back on point... a more American way would be to require those winning over $20,000 (as HaveABall stated) to pay back any assistance they received. In this way, a person winning such a windfall would not just view it as a time to go out and blow it (though many still will). Instead, now that person could use part of it to put themselves through an accredited degree program in order to land a better paying job. Or to relocate to somewhere where jobs are available in their current skill and occupation. Or start up a small business they had outlined would take, say $5,000 to start. All of those things would likely lead to that person permanently removing themselves from taxpayer assisted programs. But to cap their winnings at $600 when they may have had the winning ticket for a state lottery or, God forbid, the Powerball would guarantee that person would REMAIN on taxpayer assisted programs for many years to come. Not a smart move in my opinion. Sure I know that not everyone will do any of the three things I mentioned above, but then again, even those well educated make mistakes too!
Comeon Powerball...I am not receiving gubment handouts so let me win Powerball TONIGHT! TO-NIGHT everything's gonna be AL-RIGHT! This is my chance to...POWERBALL!
I think that should be in every state. A great bill that would be.
A few years ago there was a story......I think it was on 20/20 about a man who was on public assistance and he had won a powerball.......I don't remember what happened on that story.....I think he said that he got the tickets from money picking up cans............anyway I think that the legislators should "heal themselves" before getting in others back yards........It's just another reason to move out of the state of Tenn.........(Only in America)
"said that if someone can't afford the basic necessities and is receiving public assistance such as food stamps, then they shouldn't be spending their money on gambling."
My gosh the lottery only costs 1 dollar...If you are talking about scratchoffs that cost 30 dollars or 10 dollars on a consistent basis then i see the point, but Powerball only costs 1 dollar...
The one thing i don't understand is that any loonie in the senate or congress can pass a bill for this, yet, up to this day no lonie has propose a bill to create "minorities lottos" or "Specialized Private lottos"...
Don't most states already have it on the books that if a winner over a certain amount has taken government assistance that it would be paid back before they get the money? This just seems messed up if what they're proposing is just because someone has just recently gone onto welfare (let's say with only $2,000 being sent to them) or whatever and won a big jackpot that the state would get the entire jackpot? Then again, it's in the government's best interest to have people rely up on it and not be able to get away the welfare system.
If I remember correctly New York state does.
Will deduct a certain amount from your winning for assistance received. I do not know the full details.
We are starting to see a change in gov't policy from the fed level down to the state level. I wonder why.
This is good stuff. I'm tired of people who are on welfare and food stamps. I saw a bumper sticker the other day: "Work Harder, Millions on Welfare Depend on You!"
I've seen people on welfare and food stamps have nicer clothes than me; have expensive suv's with 25 inch rims!!; all they buy is liquore and cigerettes. I think the US should eliminate welfare.
Isn't wellfare like an Insurance, you put in money so that whenever you are out of a job, you got something to fall on...wellfare does not last forever....
i find it funny how someone say that we should eliminate welfare and look in the SITUTATION THAT THE USA IS IN....I sometimes wonder if people double think the stuff they say or they just mention it to be part of a group...
I don't have a problem with people who are down on their luck being on welfare.Anyone can can have a bad run of luck and find themselves on welfare.I DO have a problem with career welfare cheats,those folks who are 2nd & 3rd generation welfare recipiants.These people simply don't want to work and are content to lay around and collect a check and foodstamps from the government.I can't say that someone on welfare can afford to buy nice clothes and expensive suv's with 25 inch rims.They don't make anywhere near that kind of money on welfare.Some welfare recipiants might buy cigs & booze with their checks,but again,they don't make that kind of money on the welfare roles.I don't have a problem with a person on welfare buying an occasional lottery ticket,but I suspect that most would have a hard time finding an extra dollar to spend on the lottery without depriving their children of food & clothing.Sure,you'll find some that will ignore their children's needs but I think most believe that their children come first.If they do buy a winning lottery ticket I believe that they should repay the welfare system before collecting any winnings.If after repaying the system there is money left it should go to the winner.And I don't believe that welfare should be eliminated because there will always be people in need.I do think that there should be limits on how much help the welfare system can help you with.
The problem is it would never work. People would continue to play anyway and if they won they would get a trusted family member or friend (if there is such a thing with big money) to cash in the ticket. Problem solved. They can't tell where the real cash goes yet, but then again, that is why the government has been pushing so hard over the last couple of decades to go to a cashless society. That way they can track every move you make. Those credit cards and debit cards are not only for your convenience.
HaveABall apologize for addressing you as TigerAngel, you have the same avatar.
I agree with you Lee 100 percent .This is the best news I have heard today.
They need to stop using my tax dollars for their gambling needs, get off their lazy butts , go out and get a job
I'm sorry but I'm a bit confused. Are you talking about the people on food stamps for whatever reason... or the banksters?
Now your asking them to "Think", they are not able to do that, the robots in congress are not equipped to do that.
You hit the nail right on the head. Thank you for your comment.
States are starting to go broke, that's why.
Don't knock it, very soon you will be.
Welfare/Food Stamps
No, what you are talking about is Unemployment insurance, you pay a tax each pay period so that if you are laid off you can collect benefits under certain conditions. The key here to note is that you "PAY" for this each pay period, therefore, it is not "Welfare".
Welfare, anybody down and out can get a check, regardless of the fact that you did or did'nt have a job.
Excellent point MaddMike51, the system was set up to give people a hand up or helping hand in bad times or situations, not a hand out or a free ride forever.
I wonder how how much the derivatives crash contributed to states going broke. I know for a fact that a lot of hospitals and schools got caught up in it. The wife says the amount of people cashing unemployment checks is growing fast.. and jobs are shrinking with no end in sight. We've been had.
Heh, ok. Thanks for your input TopCop.. Oh hey, here's a tip for you, there might be some fraud going on on wall street.
And here's one for you
There's fraud that goes on Everyday in Everyway whether it's Welfare, Wall Street , Etc........I investigate it alland arrest them all and you know what there AKA Criminals ...Heh Ok
I certainly don't agree with people abusing a system and defrauding us out of our money. You should have reported the fraud. Personally I've never seen anyone on food stamps driving a cadilac or an SUV with "25 inch rims" (smaller tires are better people... think), but I'm sure it happens.
Disabled vets, disabled workers, mentally ill, auto workers out of a job, single mothers, single fathers.. maried couples with medical bills they could never pay off... etc etc. etc. and 25 inch rims owners... are you going paint them all with one swipe of your brush?
Yeah we've all seen the Maddoff charade. Thanks.
Eliminate food stamps and welfare? So we should just let people starve and lose their housing? There are bad apples who are abusing the system, but there are good, decent people who are on welfare and need it. So you think we should punish everyone because of what the bad people are doing? Tell me, what will happen to those who truly need help? The ones who lost their jobs, the ones who have children to feed. Should we just let those people starve? What is your great plan to help those people in need, especially since the econonmy is bad right now and jobs are hard to find. Not everyone is abusing the system. If you see someone who is, why not report them.
I certainly don't agree with people abusing a system and defrauding usout of our money. You should have reported the fraud. Personally I'venever seen anyone on food stamps driving a cadilac or an SUV with "25inch rims" (smaller tires are better people... think), but I'm sure ithappens.
In Re:
You come to my city , the City of Pittsburgh and I will take you for a short drive thru ALL the projects and lower economic neighborhoods and show you these Cadillacs, SUV'S .The people in these area's are on welfare, get food stamps,WIC, Free clothing. Free Medical Care, Catholic Charities, Sponge for free food and money from the local churches and guess what there rent bill is only $35.00, They get their Electric paid for on different crisis systems, along wiht their gas, because HUD pays for it and to top it off if they can't afford the rent they go to local charities for rent money , security deposits whatever .They have any where from 2 to 4 full time paid security guards per shift in these area's to keep the peace and protect them . They Get new appliances once a year if they go bad or get destroyed.
They scam the system , The Girlfriend collects all the welfare while they deal drugs and drive these SUV'S.
I don't agree with abuse of the system or any system for that matter.
But your own laws and lack of enforcing laws created the very situation you despise. I'm afraid when you finally get it it will be too late. The poor are not your enemy.
Boy TOPCOP 38 YOU SURE BRING BACK THE DAYS OF RACIAL HATERED ...WITH YOUR OPINIONS ABOUT WHO LIVES WHERE AND WHAT THEY DRIVE .....I lived in Pittsburg and I had a lot of both professional and personal contact with the so called projects ?!!
first of all its public housing availible to any who qualify ......including forign nationals ;
and did you ever think that those nice cars came from vistors or mabey they had it before they moved in the housing unit not to mention people work there who own nice cars ..............some are units that people can own the house /apt ... also .......
pproff of income is a mandatory condition before geting a unit , not everyone is selected.............
Or... maybe poor people can work hard enough to just be able to afford a nice freaking car if they save for a year or two.
Wait.. that requires thought beyond corporate media propaganda and racist/classist prejudices.
Nevermind...
I know a LOT of folks on welfare and they aren't driving SUV's anything else close to that. Most of them I know ride the bus or walk. They get a meager amount of cash from the state and the rest is made up in food stamps which DO NOT last for the whole month if they have over 2 children and heaven forbid if one of those children is a teenager.(eating machine). They shop (if at all) at the local goodwill, flea markets, etc. Their children are the ones who wear one outfit one week and the other outfit the next week rotating like this for the whole year. They are the ones who don't have coats during the winter or hardly ever get new shoes. I feel that this is a waste of my taxpayer dollars to propose legislation such as this. Everyone should know that if a person who is on public assistance wins, they have to pay back the state period. This legislation was proposed by someone who needs to get a life and find out what the state REALLY needs like more factories, jobs, industries and more quality education. These bozos on the hill aren't doing anything but trying to justify their positions with all of these assinine pieces of legislation that mean nothing and will go NO where! They are wasting our tax dollars!!
Thank you Little.