States Saying NO to Welfare Recipients Using Benefits To Buy Tattoos, Lottery Tickets, Liquor, Strippers, and More

A growing number of states are blocking welfare recipients from using their government benefits to purchase booze, lap dances at strip clubs, lottery tickets, casino gambling, cigarettes and more.  Here's the story from AP.  While opponents say widespread abuse of the program is a myth, supporters say if the recipients are not abusing the system, they have nothing to worry about.

According to the story, "The movement has been spurred in part by Congress. Under legislation signed by President Barack Obama in February to extend a payroll tax cut and unemployment benefits, welfare recipients are barred from using their cash assistance in strip clubs, casinos and liquor stores. States must change their own laws to conform by 2014."

Around 4.4 million people received about $30 billion in cash assistance in fiscal year 2011 through the federal-state welfare program known as Temporary Assistance for Needy Families. States set their own eligibility requirements. (An estimated 44.7 million people received food stamps, and that program has long barred people from using their benefits to buy anything other than certain foods.)
Welfare recipients are issued their benefits via Electronic Benefit Transfer, or EBT, cards, which can be used like debit cards to buy things or to withdraw cash from ATMs. Some states have barred the use of the cards to buy certain prohibited products; others have banned cash purchases of such items, too."

So far, 10 states have passed laws restricting welfare purchases, but police say it's hard to track all purchases.  Several states are also requiring drug testing to continue receiving assistance.