News

Maine mulls proposal to ban use of EBT cards at some ATMs

August 1, 2013

The state of Maine has opened up a comment period until Aug. 30 for a proposed rule that would ban the use of electronic benefits transfer cards at ATMs in liquor stores, casinos, or adult entertainment establishments.

The proposed rule from the state's Department of Health and Human Services would categorically ban ATM withdrawals made with an EBT card in the following venues:

A recipient may not use the electronic benefits transfer card in: 

a. A retail establishment where 50 percent or more of the gross revenue of the establishment is derived from the sale of liquor;

b. A gambling facility, except that use of the electronic benefits transfer system is permitted in any portion of the premises of a gambling facility that is set aside separately for the sale primarily of staple foods;

c. A retail establishment that provides adult-oriented entertainment in which performers disrobe or perform in an unclothed state for entertainment.

Further, the rule states:

d. Unauthorized spending of benefits will result in an Intentional Program Violation and, when discovered, a referral will be made to the Fraud Investigation Unit for further review and recovery.

The proposal does not indicate how or when the rule might be implemented.

Read more about regulatory issues.