PRESS RELEASE
Washington DC – U.S. Senator Ron Wyden, D-Ore., with Senators John Fetterman, D-Penn., and Bill Cassidy, R-La., today introduced the Enhanced Cybersecurity for SNAP Act to improve the security of electronic Social Security cards and protect families in need from thieves who have stolen essential food benefits worth millions.
Reps. Andy Kim, D-N.J., and Mike Lawler, R-N.Y., are shepherding the bill in the House of Representatives.
To date, tens of millions of dollars in Supplemental Nutrition Assistance Program (SNAP) benefits have been stolen by criminals exploiting the poor security of electronic SNAP cards. Congress has spent years pressuring the U.S. Department of Agriculture to require states to issue cards with secure chips rather than magnetic stripes that can be easily cloned by criminals. Despite these requests, the USDA has failed to update security regulations for benefit cards.
“There is no excuse for this two-tier system, where needy families are stuck with outdated and easily hackable technology, while people with credit and debit cards are better protected. Inaction is not enough for families, not when it can mean the difference between a needy family having food for dinner or a family going hungry,” Wyden said.
“SNAP is a critical lifeline for nearly 2 million Pennsylvanians—we must do everything we can to protect it. It is despicable that thieves are targeting vulnerable, hungry families with cybercrime scams. We cannot let them families go hungry due to bad faith actors,” Senator Fetterman said. “As Chair of the Senate Agriculture Subcommittee on Nutrition, I am committed to doing everything in my power to protect and expand SNAP benefits and ensure that American families are fed, no matter what. Beyond that bill, I also introduced the Fairness for Victims of the SNAP Skimming Act Give state SNAP agencies greater authority to reimburse SNAP recipients for benefits stolen through skimming. I am proud to work on behalf of this bipartisan, bicameral bill to modernize SNAP and stop criminals from stealing critical food assistance from working families.”
“SNAP should help people who are food insecure,” Dr. Cassidy said. “It should not help scammers who steal these benefits. In this way we fight criminals while preserving benefits for those most in need.”
“Hundreds of thousands of people in New Jersey alone use SNAP to support themselves and their families. With outdated card technology, we are leaving their benefits vulnerable to cybersecurity theft and leaving families at risk of not being able to put food on the table every day,” he said Congressman Kim. “I am proud to introduce this bipartisan legislation to make common-sense updates to EBT cards that will protect Americans’ SNAP benefits from everyday threats.”
“We need to ensure that families who rely on SNAP get the support they need, and that means we need to ensure that adequate safeguards are in place to protect those benefits from cybersecurity threats,” he said Congressman Lawler. “To that end, I am proud to join my colleague, Representative Kim, along with Senators Wyden, Fetterman, and Cassidy, in introducing the bipartisan, bicameral Enhanced Cybersecurity for SNAP Act. This legislation will go a long way in ensuring that those who have Those who need this assistance are those who receive it, not the scammers who target our most vulnerable.”
THE Enhanced Cybersecurity for the SNAP Act addresses fraud by directing the USDA to update its cybersecurity regulations to ensure that SNAP benefits cannot be easily stolen by criminals. Specifically, this invoice will require:
The USDA will issue updated regulations requiring SNAP cards to be equipped with anti-fraud technology that can resist cloning. These regulations, which also cover mobile payments (such as tap-to-pay with a smartphone), will be updated every five years and must keep pace with payment security guarantees from the private sector and federal agencies.
With funding from the USDA, states will begin issuing chip-enabled SNAP cards within two years of adopting the new regulations. Within four years, states will no longer be able to issue new SNAP cards containing a magnetic stripe. Within five years, states will be required to reissue all existing SNAP cards containing a magnetic stripe as chip-only cards.
The USDA will administer a grant program that will provide funds for upgraded chip-equipped payment machines to small grocery stores in food deserts, farmers markets and farm-to-table programs.
States plan to provide families with free replacement SNAP cards in three days or less if their card is stolen, cloned by scammers or malfunctions.
States will offer multiple accessible, reliable, and mobile-friendly user interfaces, such as a smartphone app or online web portal, for families to manage their EBT account.
The bill is approved by Oregon Food Bank, Massachusetts Law Reform Institute (MLRI), Propel, Secure Tech Alliance (STA), Food Research & Action Center (FRAC), Hunger Free America, Higher Learning Advocates, Code for America, MAZON: A Jewish Response to Hunger, Bread for the World, American Heart Association, Feeding Texas, Hunger Free New Jersey, Food Bank of South Jersey and Hunger Solutions NY.
Food Research and Action Center: “The Enhanced Cybersecurity for SNAP Act is a critical step
step forward in protecting SNAP consumers from losses resulting from unauthorized electronic transactions,” said Luis Guardia, president of the Food Research & Action Center (FRAC). “SNAP is our nation’s first line of defense against hunger, but the Its impact has been undermined by ongoing cases of skimming thefts, which leave individuals and families unable to purchase enough food for the table. With chip-enabled social security cards, SNAP families will be able to make secure transactions without fear of losing their benefits.”
Massachusetts Institute for Legislative Reform: “The Massachusetts Law Reform Institute has worked with hundreds of families who have had their SNAP benefits stolen. It is unconscionable that low-income families facing food insecurity are left more vulnerable to theft than all other consumers. Families SNAP deserves fair protection at the bottom of the checkout line: we urge lawmakers to close this serious gap in federal law.”
Nan Swift, Governance Program Fellow, R Street Institute: “R Street Institute is pleased to support the bipartisan Enhanced Cybersecurity for SNAP Act of 2024.” This legislation would provide long-overdue anti-fraud protections and financial management tools for Supplemental Nutrition Assistance Program (SNAP) recipients.
Unlike other debit cards associated with federal programs, including Social Security, Veterans, and even the Economic Impact Card that Americans have received during the COVID-19 pandemic, SNAP users’ Electronic Benefit Transfer (EBT) cards do not have of modern chip technology to prevent skimming and other forms of passive fraud that can deprive families of critical funds. According to the latest data from the US Department of Agriculture, replacing these funds can cost millions of dollars, as well as increase nutritional uncertainty in the lives of vulnerable individuals.
The blame for this oversight and the responsibility to fix and improve EBT fraud prevention technology rests with Congress. The “Enhanced Cybersecurity Cybersecurity for SNAP Act” is a critical good governance measure that should be implemented quickly to prevent fraud and protect limited resources.”
Read the full text of the bill here.
A one-page summary is available here.