CONCORD, NH – Looking forward to a new tattoo? Hey, that’s totally up to you. But you should know that you won’t be able to pay for it with your EBT card anymore. Ditto that if you wanted to get your navel pierced, pick up some fruity shisha for your hookah, or pay for that bag of recreational marijuana at the dispensary.
The New Hampshire Department of Health and Human Services (DHHS) Division of Family Assistance (DFA) has spelled out some additional restrictions on EBT (Electronic Benefit Transfer) cards that go into effect Sept. 18, to help prevent Welfare fraud.
EBT Cards were already being restricted at liquor stores, gaming establishments, and adult entertainment facilities. Now the work of a legislative study committee has resulted in passage of House Bill 219 on July 20, 2015, which adds new locations to the list of those restricted from accessing EBT cash. These new locations include: branding, body piercing, and tattoo shops; smoke shops; and marijuana dispensaries.
NH State Rep. Charlie McMahon, R-Windham, said the EBT benefits are meant to sustain families for essential benefits. While the vast majority of the state’s 54,000 residents (more like 110,000 if you include the children, says McMahon) who receive benefits are using them as they are supposed to be used, the minority of those abusing the benefits will now find it much harder to do so.
“Yes, it’s not been widespread, but we have had some evidence of abuse at places like strip clubs or tattoo parlors, which is why we came up with this,” McMahon said.
EBT cards, which work like debit cards, provide two benefits – as food stamps, replacing the old paper stamps, and as cash benefits for certain specific assistance programs, Temporary Assistance to Needy Families (TANF), Old Age Assistance (OAA), Aid to the Needy Blind (ANB), and Aid to the Permanently and Totally Disabled (APTD).
McMahon explained that under the new legislation, Merchant Category Codes (MCC) can be electronically activated to reject payment via an EBT cash benefit card. It’s a means of oversight, he said.
“You can tell people not to drive 90 in a 60 mile-per-hour zone, but if you don’t have anyone to police it, will they comply?” McMahon said.
“Now we can put it all together and have a cohesive collaborative consensus to manage this benefit. That is what this bill is going to do, and the MCC codes will make sure you can manage where dollars can be converted to cash,” McMahon said.
“The EBT system automatically blocks EBT Card transactions at restricted locations, including all ATMs located on the same premises,” as restricted businesses, said Terry Smith, DFA Director.
Nicholas Toumpas, Commissioner of DHHS, said, “The legislature has acted commendably in a bi-partisan way to give the Department a low-cost yet effective option for ensuring cash assistance is spent for life necessities.”
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