caddyman Posted June 25, 2010 Share Posted June 25, 2010 Classic....those poor victims of poverty... latimes.com California welfare recipients withdrew $1.8 million at casino ATMs over eight months Gov. Arnold Schwarzenegger issues an executive order requiring recipients to promise they will use cash benefits only to meet basic subsistence needs. GOP legislators call for the cash to be returned. By Jack Dolan, Los Angeles Times June 25, 2010 Advertisement California welfare recipients using state-issued debit cards withdrew more than $1.8 million in taxpayer cash on casino floors between October 2009 and last month, state officials said Thursday. Gov. Arnold Schwarzenegger issued an executive order requiring welfare recipients to promise they will use cash benefits only to "meet the basic subsistence needs" of their families. The order also gave the state Department of Social Services seven days to produce a plan to reduce other types of "waste, fraud and abuse" in the welfare program. The moves came after The Times reported Wednesday that officials at the department failed to notice for years that welfare recipients could use the state-issued cards to withdraw taxpayer cash at more than half of the tribal casinos and state-licensed poker rooms in California. The state initiated the debit card program in 2002. Casino withdrawals, which represented far less than 1% of total welfare spending during the eight months for which the department released data, averaged just over $227,392 a month. Schwarzenegger has already ordered the vendor that runs the state welfare system's ATM network to prohibit the cards from working at casino machines. Republican lawmakers are now calling on the administration to track down the people who withdrew cash at gaming centers and recover the money. "I'd say that $227,000 per month is an astounding waste of taxpayer dollars," said Seth Unger, spokesman for Assembly Republican Leader Martin Garrick of Solana Beach. "To me it is absolutely clear that the department failed in its duty to provide oversight. We should explore all options to get the money back." The electronic benefit transfer cards allow welfare recipients to access two accounts: cash offered through the Temporary Assistance for Needy Families program and an electronic version of food stamps, which comes with strict rules governing how the money can be spent. The cash benefits, however, can be withdrawn and spent just about anywhere. A Times review of state records found that the cards work at ATMs in 32 of 58 tribal casinos and 47 of 90 state-licensed poker rooms. Most of the ATMs impose a withdrawal limit of about $300 a day. The monthly cash grant for a family of three ranges up to $694, while families with more than 10 people can get as much as $1,469, documents from the Social Services Department show. Some Assembly Republicans called Thursday for assurances that welfare recipients can't access ATMs at other "seedy" businesses. "If they're going to shut down … the casinos, why not also shut down the ATMs at liquor stores and bars?" Unger asked. Schwarzenegger spokesman Aaron McLear said the point of the executive order was to force the department to examine the program for all manner of abuse, but did not specify any other kinds of businesses that might be weeded out of the network. "We're going to eliminate any waste, fraud and abuse that makes sense to eliminate," he said. Democrats, who have been fighting to preserve the state's fraying social safety net in the face of a $19-billion budget gap, angrily rejected a Schwarzenegger proposal last month to eliminate the cash portion of welfare. That was before anyone in Sacramento realized the money could be withdrawn by someone strolling from a poker game to a blackjack table. Democratic leaders steered away from specifics while discussing calls for reform. "We will conduct timely legislative oversight," said Senate President Pro Tem Darrell Steinberg (D-Sacramento). "We want to make sure all families are spending the money on the children it's intended to serve." Quote Link to comment Share on other sites More sharing options...
Duchess Jack Posted June 25, 2010 Share Posted June 25, 2010 I heard this on NPR yesterday - this sucks. a couple people interviewed said that they don't go to the casinos towards the end of the month, because they get crowed with people looking to spend their newly rec'd benefits in the casinos. Quote Link to comment Share on other sites More sharing options...
Big Country Posted June 25, 2010 Share Posted June 25, 2010 But what if the welfare recipient is a professional poker player or gambler? Could this not just be their way to try to work? Quote Link to comment Share on other sites More sharing options...
Big Country Posted June 25, 2010 Share Posted June 25, 2010 I heard this on NPR yesterday - this sucks. a couple people interviewed said that they don't go to the casinos towards the end of the month, because they get crowed with people looking to spend their newly rec'd benefits in the casinos. Funny, this is the most profitable time to head to the poker rooms. Paydays and benny receiving days... it's crowded, they are drinking and have a pocketful of cash to blow. Quote Link to comment Share on other sites More sharing options...
Duchess Jack Posted June 25, 2010 Share Posted June 25, 2010 Funny, this is the most profitable time to head to the poker rooms. Paydays and benny receiving days... it's crowded, they are drinking and have a pocketful of cash to blow. they said only certain casinos had this 'loophole' so perhaps these specific places were extra filled with such undesirables. Quote Link to comment Share on other sites More sharing options...
MikesVikes Posted June 25, 2010 Share Posted June 25, 2010 That's definetly enough to move to Beverly. Hills that is. Quote Link to comment Share on other sites More sharing options...
WaterMan Posted June 26, 2010 Share Posted June 26, 2010 "We should explore all options to get the money back." LOL how about working some magic and creating some jobs instead of begging the poor for money. Quote Link to comment Share on other sites More sharing options...
millerx Posted June 26, 2010 Share Posted June 26, 2010 Government proves time and time again it is really good at oversight... local, state, federal, doesn't matter, nothing gets by them. Quote Link to comment Share on other sites More sharing options...
matt770 Posted June 26, 2010 Share Posted June 26, 2010 I thought most states had some mechanism to ensure the money only gets spent on food? I believe they can even block purchases like beer and cigarettes. I can't believe they would just give them an ATM card they could use anywhere to withdraw cash, what did they expect would happen? Of course the lazy degenerates are going to blow it at the casino. Quote Link to comment Share on other sites More sharing options...
bpwallace49 Posted June 28, 2010 Share Posted June 28, 2010 I thought most states had some mechanism to ensure the money only gets spent on food? I believe they can even block purchases like beer and cigarettes. I can't believe they would just give them an ATM card they could use anywhere to withdraw cash, what did they expect would happen? Of course the lazy degenerates are going to blow it at the casino. +1 Quote Link to comment Share on other sites More sharing options...
SEC=UGA Posted June 28, 2010 Share Posted June 28, 2010 Opie, quick click here, happy crackhead Quote Link to comment Share on other sites More sharing options...
cre8tiff Posted June 28, 2010 Share Posted June 28, 2010 (edited) I thought most states had some mechanism to ensure the money only gets spent on food? I believe they can even block purchases like beer and cigarettes. I can't believe they would just give them an ATM card they could use anywhere to withdraw cash, what did they expect would happen? Of course the lazy degenerates are going to blow it at the casino. Some, Matt, some. And, yes, it is despicable, but make certain you don't condemn those who follow the spirit and letter of a true helping hand up along with those who are just looking to scam the system. Edited June 28, 2010 by cre8tiff Quote Link to comment Share on other sites More sharing options...
bpwallace49 Posted June 28, 2010 Share Posted June 28, 2010 Some, Matt, some. And, yes, it is despicable, but make certain you don't condemn those who follow the spirit and letter of a true helping hand up along with those who are just looking to scam the system. I am all for helping those in need. But putting in safeguards to prevent fraud helps everyone. More money in teh system to benefit those in need . . less fraud to eliminate silly conclusions by others to eliminate the programs entirely . . I am also all for going after the people that DID do this an eliminate their benefits moving forward . . Quote Link to comment Share on other sites More sharing options...
SEC=UGA Posted June 28, 2010 Share Posted June 28, 2010 I am all for helping those in need. But putting in safeguards to prevent fraud helps everyone. More money in teh system to benefit those in need . . less fraud to eliminate silly conclusions by others to eliminate the programs entirely . . I am also all for going after the people that DID do this an eliminate their benefits moving forward . . Quote Link to comment Share on other sites More sharing options...
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