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University of Wisconsin–Madison
Poverty-related issues in the news, from the Institute for Research on Poverty

Welfare Purchase Restrictions

States restrict welfare purchases, By Marisol Bello, July 9, 2012, USA Today: “More states are enacting or considering laws that prohibit people who get welfare cash from spending it on liquor, cigarettes, strip clubs, gambling and guns — laws that even supporters say are difficult to enforce. Ten states have passed such laws and at least 14 are considering them, the National Conference of State Legislatures says. Under a new federal law, all states must prevent the use of cash benefits in liquor stores, gambling establishments and adult entertainment businesses by 2014. States that fail to establish policies face cuts in federal support. Welfare recipients use debit cards to buy things or get cash at ATMs. . .”