The Maine Department of Health and Human Services on Tuesday announced a new rule to ban food stamps for major lottery and gambling winners.
The new rule allows for the immediate termination of benefits when a welfare recipient collects winnings of $5,000 or more in one calendar month, the department announced in a press release. The prize will continue to count as an asset that could disqualify a person from welfare under the asset limits recently adopted by the LePage administration.
A law passed this year bars people from spending welfare money on lottery tickets, tobacco, liquor and bail. And in January the department introduced asset testing that requires people who apply for food stamps to disclose their assets. If assets exceed $5,000, some applicants are ineligible for benefits.
"This rule is consistent with recent Congressional reforms regarding the food stamp program and lottery winnings designed to ensure that this taxpayer funded benefit is appropriately supporting those who truly need the welfare assistance," DHHS Commissioner Mary Mayhew said in a prepared statement. "Just like when we limited the amount of assets someone could have while receiving welfare benefits, this change ensures individuals are not using the program when they don't need it. It allows taxpayers to have faith in the system and know their tax dollars are going where they are most needed."
The department found that since 2015 there were 4,856 winning tickets of $1,000 or more that were cashed by 3,685 individuals who were receiving food stamps, Temporary Assistance for Needy Families benefits or MaineCare at the time they won. The winners received more than $22 million in prizes while on welfare programs, according to the department.
"In no way, shape or form should taxpayers be asked to foot the bill for someone who is gambling and winning huge amounts of money," Mayhew said. "Welfare benefits shouldn't be used for gambling or lottery, and someone who beats the long odds and 'wins big' shouldn't continue receiving assistance while he or she has that money. Along with our recent ban on using welfare benefits to purchase lottery tickets, this rule makes sure that taxpayers aren't subsidizing gambling or giving benefits to those who have other means."
Assets considered when determining eligibility for welfare programs include the balance of bank accounts, snowmobiles, boats, motorcycles, jet skis, all-terrain vehicles, recreational vehicles, campers and other valuables. Assets considered do not include equity in a home or a household's primary vehicle.
Good for the state of Maine. Not too long ago a winner on EBT in MA won a million dollars. Let's not forget that MI winner but she met an untimely death due to drugs if I remember correctly. She was receiving benefits too, right?
In Indiana on the ATM machines there is a sign forbidding using assistance funding from getting money in the casino.
With all the technology abounding, it would be an easy fix to prevent some forms of abuse, but folks always seem to find a way around it.
contingent on time frame of allocation the needy person could be without food for quite a bit.
The federal govt plays apart in food provisions for this program. The states need to be mindful of this when creating such new guidelines. They may receive less federal funding....
Lottery and Welfare are two separate entities.
Agree that cutting down on fraud is necessary...
Didn't realize that if assets exceed $5,000 that would disqualify many from food stamps. I find it ridiculous that the state wants to cut off aid if someone wins $1,000. I could see $100,000 win being a disqualifier but give me a break for wanting to cut someone off for winning a thousand or two.
They lose their claim to welfare at 5,000$ win in a month, says so in the 2nd(?) paragraph.
At a 1,000$ threshold it would just create more back log in applications.
Bleudog101, The Michigan woman's name was Amanda Clayton. She did not have to do the grip and grin photo shoot but she looked like a beautiful, young woman. She was only 25.
She won $1,000,000.00 but forgot to notify the food stamp and public assistance office. She was sentenced to nine months of probation.
She had other personal problems.
She died from a drug overdose.
Rest in Peace.
Now I get why the Powerball Prize structure is the way it is. Powerball is the game for people on welfare and food stamps. Why risk winning $5k on Mega? I now see the logic of the Powerball prize structures.
maybe if there was a better educational system/job market in this country,
no one would even need government assistance?
except for the fully disabled.
I can see taking away their Food Stamps for a month or so on a 5K win depending on family size, how long is the 5K suppose to last? DUH not very Long!
I'm surprised It took them this long to catch up with the Stupid State of Arizona, when I received my Disability Back Pay and the State was done with me I couldn't afford a Place to live and after that I made $2 a month too much to qualify for any type of State Aid, what was I supposed to live on for 4yrs while waiting for my Disability?
What other Hope do People THAT REALLY NEED FINANCIAL HELP SUPPOSED TO DO SO what if they buy a $1-$2 Lotto ticket now an than If they WIN they can get off welfare and they SHOULD LEAVE IT FOR THOSE THAT TRULY NEED IT!
That the dumbest thing!
$1000 is sooooooo much money if you have four kids thats just coats boots and may be an few outfits and that money is DONE!!!
Wait you can go to jail...wow thats serious now!!! R I P TO HER!!