85R1729 LED-D By: Davis of Harris H.B. No. 146 A BILL TO BE ENTITLED AN ACT relating to the use of supplemental nutrition assistance program benefits by electronic benefits transfer. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter A, Chapter 33, Human Resources Code, is amended by adding Sections 33.0232 and 33.030 to read as follows: Sec. 33.0232. IDENTITY VERIFICATION TO USE BENEFITS. (a) In this section, "retailer" means a business approved for participation in the supplemental nutrition assistance program and includes an employee of the business. (b) A retailer may not allow a recipient of supplemental nutrition assistance program benefits who receives the benefits by electronic benefits transfer to an account, or other person authorized to use the account to make purchases on behalf of the recipient, to use the account to make a purchase unless the recipient or other person presents documentation verifying the person's identity as the person authorized to use the account. (c) To verify the person's identity under Subsection (b), a person may present any document that reasonably establishes the person's identity, including: (1) a driver's license; (2) a work or school identification card; (3) an identification card for health benefits or for another assistance or social services program; (4) a voter registration card; (5) a wage stub; or (6) a birth certificate. (d) A retailer may not require a person to present a specific type of document to verify the person's identity under Subsection (b). (e) The executive commissioner shall adopt rules to require that a recipient, or other person authorized to use the recipient's account, for purposes of receiving benefits under the supplemental nutrition assistance program, be issued an electronic benefits transfer card that displays the name of the recipient or other authorized person, as applicable. Sec. 33.030. NOTICE OF PENALTY. (a) In this section, "retailer" means a business approved for participation in the supplemental nutrition assistance program. (b) A retailer shall notify its customers of the penalties under Section 33.011 for the unauthorized use of a supplemental nutrition assistance program electronic benefits transfer card by: (1) displaying a sign, at a location where the public can reasonably see the sign, that states: "By using a supplemental nutrition assistance program electronic benefits transfer (EBT) card, or 'Lone Star Card,' you certify that you are authorized to use the card. Unauthorized use of the card is a criminal offense punishable as a Class A misdemeanor or a felony of the third degree."; or (2) electronically displaying the statement in Subdivision (1) at the point of sale terminal for each transaction involving the use of a supplemental nutrition assistance program electronic benefits transfer card. (c) A retailer shall display the statement in Subsection (b) in English and in another language spoken by a substantial portion of the retailer's customers. SECTION 2. Not later than December 1, 2017, the executive commissioner of the Health and Human Services Commission shall: (1) adopt rules required under Section 33.0232(e), Human Resources Code, as added by this Act; and (2) ensure the issuance of new electronic benefits transfer cards to appropriate recipients under the supplemental nutrition assistance program under Chapter 33, Human Resources Code, in accordance with Section 33.0232(e), Human Resources Code, as added by this Act. SECTION 3. Notwithstanding Section 33.0232, Human Resources Code, as added by this Act, a retailer may not require the user of an electronic benefits transfer card to present documentation verifying the user's identity in accordance with that section until December 1, 2017. SECTION 4. If before implementing any provision of this Act a state agency determines that a waiver or authorization from a federal agency is necessary for implementation of that provision, the agency affected by the provision shall request the waiver or authorization and may delay implementing that provision until the waiver or authorization is granted. SECTION 5. This Act takes effect September 1, 2017.