An Act To Improve the Integrity of Maine's Welfare Programs
Maine Legislature, Session 127, LD 1097
Committee Amendment CA_A-HA_A_H683 (House)

HOUSE AMENDMENT"/}" to COMMITTEE AMENDMENT "A" to S.P. 384, 
L.D. 1097, Bill, "An Act To Improve the Integrity of Maine's Welfare Programs" 
Amend the amendment in section 1 in the first line (page 1, line 13 in amendment) by 
striking out the following: "to 13" and inserting the following: 'and 12' 
Amend the amendment in section 1 in subsection 11 in the last line (page 1, line 31 in 
amendment) by striking out the following: ".Ll." and inserting the following: '11' 
Amend the amendment in section 1 by striking out all of subsections 12 and 13 and 
inserting the following: 
'12. Penalties. When the department determines based on clear and convincing 
documentary evidence that a recipient of benefits under this chapter has knowingly 
purchased a product or service in violation of subsection 11, that recipient is deemed to 
have received an overpayment in the amount of the prohibited purchase, which may be 
recovered by the department pursuant to chapter 1055-A. The recipient is also subject to 
the following additional penalties: 
A. For the 1st offense, the recipient may be disqualified from receiving benefits 
under this chapter for a period that does not exceed 3 months: 
B. For the 2nd offense, the recipient may be disqualified from receiving benefits 
under this chapter for a period that does not exceed 12 months: and 
C. 
For the 3rd and subsequent offenses, the recipient may be disqualified from 
receiving benefits under this chapter for a period that does not exceed 24 months. 
The department shall initiate an administrative hearing for a recipient of benefits who the 
department has determined has violated subsection 11. The notice and hearing must be 
conducted consistent with the department rules governing notice and hearing required for 
an intentional program violation.' 
Amend the amendment in section 2 in the 3rd line (page 2, line 21 in amendment) by 
striking out the following: "committee" and inserting the following: 'working group' 
Amend the amendment in section 2 in the 4th line (page 2, line 22 in amendment) by 
striking out the following: 
"implementation committee" and inserting the following: 
'feasibility working group' 
HOUSE AMENDMENT 
ROFS 
HOUSE AMENDMENT" fr" to COMMITTEE AMENDMENT "A" to S.P. 384, L.D. I 097 
Amend the amendment in section 2 in subsection 1 in the first line (page 2, line 27 in 
amendment) by striking out the following: "implementation committee" and inserting the 
following: 'feasibility working group' 
Amend the amendment in section 2 in subsection 2 in the first line (page 3, line 1 in 
amendment) by striking out the following: "implementation committee" and inserting the 
following: 'feasibility working group' 
Amend the amendment in section 2 in subsection 2 in the 4th line (page 3, line 4 in 
amendment) by striking out the following: "implementation committee" and inserting the 
following: 'feasibility working group' 
Amend the amendment in section 2 by striking out all of subsection 3 (page 3, lines 7 
to 15 in amendment) and inserting the following: 
'3. Report. 
The feasibility working group shall submit a report of its findings and 
recommendations, 
together with any le:gislation 
necessary to 
implement the 
recommendations, to the joint standing committee of the Legislature having jurisdiction 
over health and human services matters no later than December 15, 2016.' 
Amend the amendment by striking out all of section 3. 
SUMMARY 
This amendment makes the following chan.ges to Committee Amendment "A": 
1. It removes the requirement that the Department of Health and Human Services 
establish a system to electronically block the purchase of certain products and services at 
the point of sale using the electronic benefits transfer system, or "EBT system"; 
2. It requires the department to find by clear and convincing documentary evidence 
that the individual knowingly purchased prohibited items using the EBT system and 
limits recovery by the department to the amount allowed under current law regarding 
recovery ofTANF benefits; 
3. It changes the penalty imposed for usllng the EBT system to purchase prohibited 
items by imposing a 3-month disqualification from receiving benefits for a first offense 
and increases the penalty for a 2nd offense to a 12-month disqualification and to a 24-
month disqualification for a 3rd and subsequent offense; 
4. It requires the department to initiate an administrative hearing if the department 
finds that a recipient of benefits has used the EBT system to purchase prohibited items 
and requires the notice and hearing to be conducted consistent with the department rules 
governing notice and hearing for an intentional program violation; 
5. It changes the name of the implementation committee, which is responsible for 
determining options for preventing the use of the EBT system for prohibited purchases, to 
the feasibility working group and removes the authority of that group to provide advice to 
the Commissioner of Health and Human Services with respect to the development of 
rules regarding the EBT system; and 
HOUSE AMENDMENT 
ROFS 
HOUSE AMENDMENT" Pf to COMMITTEE AMENDMENT "A" to S.P. 384, L.D. 1097 
6. 
It removes the appropriations and allocations provided to the Department of 
Health and Human Services related to the restriction of certain purchases using the EBT 
system. 
FISCAL NOT~~lUIRED 
7/fi-
SPO(~::~:ti:: MCC1tl 
TOWN: Skowhegan 
HOUSE AMENDMENT 
Approved: 04/15/16 
LD 1097 
LR418(08) 
An Act To Improve the Integrity of Maine's Welfare Programs 
Fiscal Note for House Amendment,£}(; to Committee Amendment "A" 
Sponsor: Rep. McJ~be of Skowhegan 
Net Cost (Savings) 
General Fund 
Appropriations/ Allocations 
General Fund 
Other Special Revenue Funds 
Federal Block Grant Fund 
Revenue 
Other Special Revenue Funds 
Federal Block Grant Fund 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2015-16 
$0 
$0 
$0 
$0 
$0 
$0 
FY 2016-17 
($500,000) 
($500,000) 
($516,135) 
($115,739) 
($516,135) 
($115,739) 
Projections 
FY 2017-18 
$0 
$0 
$0 
$0 
$0 
$0 
feac:. 
Projections 
FY 2018-19 
$0 
$0 
$0 
$0 
$0 
$0 
This amendment eliminates the General Fund appropriation to the Department of Health and Human Services (DHHS) 
by $500,000 in fiscal year 2016-17 by removing the requirement to restrict the use of benefits on the electronic 
benefits card (EBT) by recipients of temporary assistance for ne:edy families on specific items and activities by 
blocking prohibited purchases through electronic means. 
The amendment also changes a committee to a feasibility group and removes authority to provide advice to the 
DHHS. This change does not impact the estimated cost of this work. 
LR0418(08) - Fiscal Note - Page 1 ofl