Kansas Could Lose Millions for Limiting Welfare Recipients to $25 at ATMs
The Social Security Act requires states to ensure that recipients of Temporary Assistance for Needy Families, or TANF, “have adequate access to their cash assistance” and can withdraw money “with minimal fees or charges.”
At stake is about $102 million in TANF block grant funds that Kansas receives every year from the federal government.
The state’s controversial ATM limit was added as an amendment to a welfare overhaul bill signed in April by Gov. Sam Brownback, a Republican. The new law also bars welfare recipients from spending their benefit money at certain places, including movie theaters, massage parlors, cruise ships and swimming pools. It also sets stricter eligibility requirements and shortened the amount of time people can receive assistance.