Arkansas Administrative Code › Agency 208 - Department of Workforce Services › Rule 208.00.14-001 - Amended TANF State Plan Section 19-Electronic Benefits Transfer (EBT) Transaction

Current through Register Vol. 49, No. 6, June, 2024
Section 17
-Reserved
Section 19
- Electronic Benefits Transfer (EBT) Transactions
The Middle Class Tax Relief and Job Creation Act of 2012 (
			 Pub. L.
			 112-96 ). Section
			 4004 of the Act requires States
			 (but does not require Tribes) to prevent the use of Temporary Assistance for
			 Needy Families (TANF) assistance in electronic benefit transfer (EBT)
			 transactions at specified locations. In particular, the law requires States
			 receiving TANF grants "to maintain policies and practices as necessary to
			 prevent assistance provided under the State program funded under this part from
			 being used in any electronic benefit transfer transaction in any liquor store;
			 any casino, gambling casino, or gaming establishment; or any retail
			 establishment which provides adult-oriented entertainment in which performers
			 disrobe or perform in an unclothed state for entertainment," The law defines an
			 electronic benefit transfer transaction as "the use of a credit or debit card
			 service, automated teller machine (ATM), point-of-sale (POS) terminal, or
			 access to an online system for the withdrawal of funds or the processing of a
			 payment for merchandise or a service."
The State Plan also must include an explanation of how the State
			 plans to ensure that (1) recipients of the assistance have adequate access to
			 their cash assistance, and (2) recipients of assistance have access to using or
			 withdrawing assistance with minimal fees or charges, including an opportunity
			 to access assistance with no fee or charges, and are provided information on
			 applicable fees and surcharges that apply to electronic fund transactions
			 involving the assistance, and that such information is made publicly
			 available.
19.1
Implementation
		  Steps
The Department of Workforce Services will implement the following
			 steps to restrict the use of TANF EBT cards at the specified establishments.
			 These steps include:
Step One - Establishment Identification
Step Two - Federal Restrictions - Merchant Notification step
			 Three - Federal Restrictions - Participant Notification Step Four - Federal
			 Restrictions - Staff Notification Step Five - Development of Program Policies
			 Step Six - Development of EBT Transactions Monitoring
19.2
Ensuring reasonable access to TANF
		  EBT
The implications for restricting TANF benefit access at
			 inappropriate locations is a reduction in the number of cash access locations
			 available to EBT cash recipients. This is especially true in rural locations
			 that have very few alternatives for cash access.
While use of or access to TANF benefits in an EBT transaction is
			 limited as described above, the department is also required by federal law to
			 ensure TANF participants have adequate access to their cash benefits. "Adequate
			 access" to TANF benefits is determined on a case-by-case basis and may vary
			 depending on individual participant strengths and barriers, including access to
			 transportation.
When a TANF client expresses concern with access to their cash
			 benefits or a worker determines a TANF participant does not have adequate
			 access to benefits, the department will take reasonable steps to ensure
			 adequate access for the participant.
19.3
EBT Card Access Fees and
		  Charges
Currently, TANF participants may use an ATM two times per month
			 for free. Some ATMs and retailer POS terminals may surcharge your account. A
			 surcharge is different from a transaction fee and may or may not be charged by
			 a bank or retailer each time the TANF participant utilizes their card to access
			 their cash benefits. There will be a warning about this fee. TANF participants
			 do not have to pay the fee if they choose not to get their cash at locations
			 where the fee is charged.
Some ATMs and most retailer POS terminals do not surcharge. TANF
			 participants are encouraged to find a location that does not surcharge.
After the second cash withdrawal, TANF participants are charged a
			 transaction fee . If they do not have a sufficient remaining balance in their
			 account to pay this fee, the transaction will be denied.