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Story originally printed in the La Crosse Tribune or online at www.lacrossetribune.com

Published - Friday, August 08, 2008

Lawmakers question use of welfare outside state

ST. PAUL (AP) — House Republicans want to investigate more than $10 million worth of out-of-state transactions using Minnesota electronic welfare cards.

Minority Leader Marty Seifert, R-Marshall, unveiled an analysis on Thursday showing transactions in all 50 states, more than half in bordering states. But the figures also range from $1.3 million spent in Illinois to less than $3,000 in Hawaii, Vermont and New Hampshire.

Using the cards outside Minnesota isn’t illegal.

But Seifert said the volume of transactions — about 2 percent of almost $500 million worth made last year — could indicate “potential misuse of taxpayer dollars.” Seifert is urging legislative hearings and an audit to delve into potential fraud.

Minnesota welfare recipients use electronic benefit cards for food stamps and cash, depending on the level of benefits they get.

Assistant Human Services Commissioner Chuck Johnson said officials will review Seifert’s analysis for signs of fraud they’re not already catching, but he didn’t expect to find a significant number of new cases.

Current efforts already block payout of about $13 million in unauthorized benefits a year and criminal cases were pursued over more than $3 million worth of benefits last year.

Johnson said many of the out-of-state transactions could be explained by welfare recipients visiting relatives in other states.

That was the explanation offered by Linden Gawboy of the Welfare Rights Committee in Minneapolis, too. “I mean, people have families,” she said.