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TANF POLICY MANUAL

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decisions on how to use the TANF cash benefits. Due to the Middle Class Tax Relief and Job Creation Act of 2012 (P.L. 112-96) states are required to maintain policies and practices that restrict the access of TANF funds by electronic benefit transaction.

A. TANF benefits are not to be accessed by electronic transaction using a point-of-sale (POS) device, automated teller machine (ATM) or an online system to withdraw funds or process a payment for merchandise or a service at any of the following locations: ➢ Liquor Stores – this means any retail establishment that primarily sells intoxicating liquor; ➢ Casinos, gambling casinos, or gaming establishments; and ➢ Businesses that provide adult-oriented entertainment in which performers disrobe or perform in an unclothed state. Use of TANF benefits at these locations are subject to South Carolina Penalties.

B. Federal law requires the agency to ensure that clients have adequate access to their TANF benefits. If a client says there is no place other than a prohibited location where they may use or access their TANF benefits, it is the responsibility of the agency to explore options with the client for using and accessing TANF benefits in a transaction. Consideration of the client’s strengths and barriers should be noted since adequate access to TANF benefits may vary on a case-by-case basis. If determined that a client does not have adequate access to TANF benefits, a paper check may be issued.

Email the client’s name, case number and reason for proposed change in issuance to the Division of Finance.

4. ePAY Transaction Penalties The use of an ePAY card to withdraw TANF benefits or process a payment for merchandise or service in the locations listed in section 11.2 #3A is prohibited. The transaction amount will be considered an overpayment and a claim must be established against the household and the claim investigated by DSS Benefit Integrity staff. The Benefit Integrity staff work in conjunction with the DSS Law Enforcement agents to obtain required bank transaction records to establish the claim.

When the agency receives a report of access or use of TANF benefits in a prohibited location, the worker is required to:

A. Complete a DSS Form 1680, Possible Claim Referral Form, and follow referral procedures outlined in Chapter 20, Recipient Claims B. Forward a copy of the report to the Division of Finance for additional investigation.

If a client is found to be in violation the recipient’s issuance will be changed from an ePAY debit card to a paper check. The Economic Services Worker (ES Worker) will send an appropriate notice to the client indicating how future benefits will be issued.