TANF Benefit Payments – South Dakota

Federal push may restrict welfare checks, By Jonathan Ellis, June 4, 2011, Argus Leader: “South Dakota is one of a handful of states that sends a check each month directly to welfare recipients, meaning the state has no control over how recipients spend those dollars. That’s a departure from how many states administer their programs, known as Temporary Assistance for Needy Families. Most states issue TANF benefits through Electronic Benefit Transfer cards, a system that allows the government to directly transfer benefits onto a card that can be used for food stamps, TANF, child support and other benefits. The electronic cards work like debit cards, allowing recipients to use them at ATMs. They also enable state governments to restrict where the cards may be used. Many states choose not to enact restrictions, but others do. Now it’s possible the federal government will require all states, including South Dakota, to restrict where TANF benefits can be spent. Sen. Max Baucus, D-Mont., and Sen. Orrin Hatch, R-Utah, have introduced a bill that would require states to ensure that benefits aren’t accessed in casinos, liquor stores or strip clubs. The legislation comes after a host of media investigations throughout the nation found that benefits were withdrawn at ATMs in those locations as well as at tattoo parlors and other questionable locations…”