Secretary of Agriculture Sonny Perdue is seeking to eliminate the “broad-based categorical eligibility” loophole, which allows people in certain states to qualify for the food stamp program without an asset test. (Photo: Jabin Botsford/The Washington Post via Getty Images)

Rob Undersander, a retired engineer in Waite Park, Minnesota, wasn’t eager to go public about being a millionaire, but he wanted to expose a loophole that would allow wealthy – or at least those not needy – to qualify for food stamps.

So, in June 2016, he filled out an application form at the Stearns County social services office, and despite being very upfront about his wealth, was able to qualify for the Supplemental Nutrition Assistance Program, more commonly referred to as the food stamp program.

Read the full story on The Daily Signal: After Legally Receiving Food Stamps, This Millionaire Is Trying to Change the System

Undersander intentionally set out to expose the systemic flaw in the “broad-based categorical eligibility” policy of SNAP.

The policy allows applicants to bypass an assets test, so someone could qualify for food stamps even if he has property and bank accounts, as long as his income is low enough.

Minnesota is among 34 states which, along with Washington, D.C., use the “broad-based categorical eligibility” loophole that doesn’t check assets

On Tuesday, the Trump administration’s U.S. Department of Agriculture took a step to close this loophole by proposing a new rule that narrows eligibility.

“For too long, this loophole has been used to effectively bypass important eligibility guidelines. Too often, states have misused this flexibility without restraint,” said Agriculture Secretary Sonny Perdue.

“The guilty party in this fraud has not been the welfare recipient, but the states,” said Robert Rector, senior research fellow for domestic policy studies at Heritage. “Red and blue state governors love to waste federal money. Even the deepest-blue states would never do this with their own money.”

If implemented, the reform could remove as many as 3.1 million recipients from the food stamp program’s rolls and could save roughly $12 billion over the next decade.

From The Daily Signal: Proposed Trump Administration Rule Would Close Eligibility Loophole, Reducing Food Stamp Rolls

What are some other obvious examples of government waste?

Comments (16)

Sarah Harmon - July 26, 2019

The primo example is $ billions in all forms of welfare, cradle to grave, for 50 – 80 million illegal aliens and other non-citizens, while 150,000 more illegals per month swarm over our open border — while veterans wait for care and benefits, and senior CITIZENS face
Medicare and social security cuts. This is happening under a Republican administration, and all they can offer is limiting food stamps?

Why are non-citizens getting food stamps?
(I suspect there are many more non-citizens getting food stamps than millionaires.)
Free public education? Free medical care? Free housing? Drivers lucenses?
American jobs?

Bingo! – that’s why.. I forgot. Cheap labor.
Silly me. Of course we taxpayers must subsidize American jobs and benefits for non-citizens instead of American citizens – for the sake of the corporations — who control the politicians.
And,apparently,!the Republican Party and the Peesident. Pardon my cynicism. It is a disgrace and it is taking down this country.

Dennis Prechtl - July 26, 2019

Paying congress for NOT doing their mandated jobs!!😡🤬

Wayne D Peterkin - July 26, 2019

While this is certainly appalling, I have another issue regarding hunger in America. We are asked to contribute to charities claiming that 20% of kids in America go hungry. With the billions we spend on food stamps along with school lunch programs and other means of feeding people, how can that be true?

Jane DeGrafft - July 26, 2019

almost 3 years of harassment & hearings by the Dems & press

Carolyn Walters - July 26, 2019

No should the rich receive stamps. When so many of our need the food stamps. Special our military just mustard out of the service and are unable to get the help they need. Not even food stamps

Barbara Sbrogna - July 26, 2019

1. Dept of Education must go. Fed interference has resulted in lowering standards, cumbersome regs for schools. Zero advantage to kids. Belongs in states.
Savings: Billions
2. Health care. Nothing produced by Feds will be efficient or less costly or provide better benefits. Medicare on verge of insolvency. Belongs entirely back in private sector where experts know what the heck they’re doing. Fight the “rich insurance company” trope.
Savings: Billions
3. Student loan business. What the heck? We don’t have enough banks to compete to give competitive interest rates?
These are three just off the top of my head. I know I could come up with more. But these three alone would represent unprecedented reductions in federal spending.
Sadly, it will never, ever happen because the politicians, on both sides, have no cahunas to stand up to special interests and/or all those employees who will be losing their cushy fed jobs.
Sorry, Heritage, I love you but this is a noble effort that is a waste of time.

THOMAS ITTIG - July 26, 2019

Funding social welfare benefits to family members of illegal aliens. If the seed is poisonous, so is the resulting plant!

Ambrose Kozlowski - July 26, 2019

Check on fraud in medicare payments

Mr. Jan Stachowicz - July 27, 2019

I live on 1,1050 a month and they want to give them FOOD STAMPS. I don’t get any.
ARE THEY NUTS??????????????

Kevin S O’Donnell - July 27, 2019

There should be no taxpayers’ money spent on Trump’s desired military tank parades. The same goes for taxpayers having to foot the bill for Trump’s Secret Service protection on his many Mar-a-Lago visits. Finally, the rich should not be allowed to receive food stamps. That totally defeats the purpose for which they were designed.

Kimberly Tancrede - July 27, 2019

How about making the penny, which costs more than a penny to make?!

Jon Kirsch - July 27, 2019

1. Allowing purchase of soda/pop, and other junk food with any welfare $$. Should only be allowed to purchase veggies, meat, fish, eggs, and breads. No sweets, no prepared meals of any kind.
2. Stop early retirement of any government workers – They need to be on the same retirement programs as the majority of citizens – SS, 401Ks and Medicare. No more special treatment.
3. Dept of Education – Get rid of it. We send our $$ to them and then get a reduced amount because we have to pay all their bills??? And others as well.
4. Medicaid – Only for the truly needy and this needs to be proven. No able bodied person on Medicaid.
5. This is just a start – many, many more ways to stop the waste

Debra L. - July 27, 2019

No to food stamps for the rich. No more gov’t subsidies for student loans. Let banks compete. No to gov’t run healthcare. I would like to see Medicare go back to being voluntary not mandatory at age 65 as Hillary mandated. Make insurance companies compete for our business.

DEBORAH FAUSCH - July 27, 2019

These are my top suggestions:
1. Overhaul the VA. Veterans are not treated for diseases and are left to die while VA doctors watch. I found out in an ER that my husband had atrial fibrillation, but the VA was not treating it. After my husband’s death, I found test results proving that the VA had known for 4 years that he had heart disease. They did nothing to treat him – because he didn’t ask if he had heart disease. They do not address anything unless the veteran asked about the possibility of having PTSD or diabetes or hypertension – even though blood work or EKGs or x-rays showed the presence of a life-threatening health condition. The VA denies benefits to survivors when veterans die of service-connected causes. Been there, done that.
2. My husband had to file for Social Security benefits after being laid off in December 2008. Even though he and I had been married for 13 years, his ex-wife got an increase in her SS benefits. This is wrong and a waste of money.
3. Eliminate the Department of Education and its liberal educational bias. Students are dumber than ever.
4. Tighten requirements for all hand-outs. It is too easy for some people to get assistance when they don’t need it. Since my husband’s death, I have needed help with heating costs, food, utility payments, and other necessities – but I am told that my income is too high. It is about $100 / month over the limit for assistance.
5. Eliminate the Department of Energy. Energy prices just keep going up while we do not tap our own resources.

Daniel Saluri - July 28, 2019

Has Trump crossed over to the deep state?
My vote: YES!

David Baron - July 29, 2019

No, that’s ridiculous!

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