Congressman Dan Goldman Bill
Targets SNAP Benefit Theft

PRESS RELEASE

Washington, D.C. – Today, U.S. Representative Dan Goldman (D-NY) stood with local leaders at the Chinese-American Planning Council Open Door Senior Center to announce the introduction of his Enhanced Cybersecurity for SNAP Act to boost security of electronic SNAP benefit cards amid a sharp rise in theft by hackers and scammers. 

Tens of millions of dollars in Supplemental Nutrition Assistance Program (SNAP) benefits have been stolen by criminals exploiting lax cybersecurity of electronic SNAP benefit cards. Congress has spent years pressing the U.S. Department of Agriculture (USDA) to require states to issue cards with secure chips rather than magnetic strips that criminals can easily clone. Despite those requests, and a growing trend of SNAP card theft, USDA has failed to update security regulations for benefit cards. In January, the U.S. Department of Agriculture Inspector General issued a report projecting that $555 million in SNAP funds are vulnerable to theft in the coming years if action is not taken to boost cybersecurity. Theft of SNAP benefits has been particularly rampant in New York; from January 1 to June 30 of last year, New Yorkers reported a total of $14.5 million in stolen SNAP benefits statewide. At least $40 million in SNAP benefits have been stolen from New Yorkers in recent years, accounting for 20% of nationwide claims. The Enhanced Cybersecurity for SNAP Act would address fraud by directing USDA to update its cybersecurity regulations to ensure criminals cannot easily steal SNAP benefits. U.S. Senators Ron Wyden (D-OR), John Fetterman (D-PA) and Bill Cassidy (R-LA) and Rep. Mike Lawler (R-NY) co-lead this legislation. 

Rep. Goldman was joined at the event by Manhattan Borough President Brad Hoylman-Sigal and President and CEO of the Chinese-American Planning Council Wayne Ho as well as Grand Street Settlement, Center for Family Life in Sunset Park, Henry Street Settlement, Rethink Food, and Homecrest Community Services. 

"Each year, tens of millions of dollars in essential food benefits are stolen from New Yorkers—benefits that families rely on to put food on the table," Congressman Dan Goldman said. "That's why I'm proud to introduce this bipartisan, bicameral legislation to update SNAP's long-outdated cybersecurity regulations and require chip-enabled cards for SNAP benefits. This bill will ensure federal support for New York as it begins to upgrade its EBT cards and prevent SNAP theft. We must act now to ensure our working families, children, and seniors do not go hungry."

“Cybersecurity shouldn’t depend on income or zip code. It’s time to overhaul this two-tier system that leaves families in need even more vulnerable with outdated technology. I’m all in to get this legislation across the finish line and ensure no hungry family has to lose sleep over their food assistance being stolen,” Senator Wyden said.

“SNAP is a critical lifeline for nearly 2 million Pennsylvanians. We should be delivering help to those who need it, and that includes protecting them from criminals,” said Senator Fetterman. “I’m proud to join my colleagues in reintroducing this bill to protect our most vulnerable and the food assistance they depend on.”

"SNAP benefits are a lifeline for thousands of families across the Hudson Valley, and we have a responsibility to ensure those benefits are protected from fraud and theft. By modernizing EBT cards with secure chip technology, the SNAP system will be brought up to the same security standards Americans expect from their banks. Protecting these benefits means protecting working families, seniors, and small businesses who rely on them every day," said Congressman Mike Lawler.

“SNAP benefits are a lifeline for families across Manhattan, and it is unacceptable that outdated technology has allowed criminals to steal food from the tables of New Yorkers. Congressman Dan Goldman is stepping up to fix a problem that Washington has ignored for far too long. By modernizing SNAP cards with fraud-resistant chip technology and strengthening cybersecurity protections, this legislation will protect vulnerable families and ensure federal dollars are used for their intended purpose — feeding people, not enriching scammers. I’m grateful to Congressman Goldman for his leadership in safeguarding working families,” said Manhattan Borough President 

Brad Hoylman-Sigal.

"In a time of rising food insecurity, we cannot allow criminals to exploit outdated technology and steal food benefits from families who rely on SNAP,” said Assemblymember Grace Lee. “The Enhanced Cybersecurity for SNAP Act is a critical step toward modernizing SNAP cards with fraud-resistant chip technology and closing the security gaps that have cost families millions in stolen benefits. I’m grateful to Congressman Dan Goldman and the bill’s sponsors for leading this effort to protect low-income households and ensure federal food assistance reaches the people it is meant to support.”

“Families who rely on SNAP to feed their kids should not have to worry about their benefits being wiped out because of outdated, insecure card technology," said Council Member Harvey Epstein. "For years, magnetic stripe cards have left working people exposed to skimming and fraud, while the rules meant to protect them have gone unchanged. The Enhanced Cybersecurity for SNAP Act is about common-sense accountability: updating protections, requiring chip-enabled cards, and making sure families can quickly replace stolen benefits at no cost. This is how we protect essential programs and make sure food assistance actually reaches the people it’s meant to serve.”

The Enhanced Cybersecurity for SNAP Act would require: 

• USDA to issue updated regulations requiring SNAP cards to feature anti-fraud technology capable of resisting cloning, as well as securing online SNAP transactions. These regulations will be updated every five years and must keep pace with the security of credit and debit cards.

• With USDA funding, states will begin issuing chip-enabled SNAP cards within two years of the adoption of 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 have to reissue all existing SNAP cards containing a magnetic stripe as chip-only cards.

• USDA to operate a grant program providing funds for upgraded chip-capable payment machines to small grocery stores in food deserts, farmers markets, and farm-to-consumer programs.

• States to provide families with no-fee replacements of SNAPcards in three days or less, if their card is stolen, cloned by fraudsters, or malfunctioning.

• States to offer multiple accessible and reliable user interfaces, such as a smartphone app or voice telephone service, for families to manage their EBT account.

The bill will ensure federal funding and guidance as New York State begins to roll out chip-enabled SNAP cards.

The bill is endorsed by City Harvest, Rethink Food, the Oregon Food Bank, the National Grocers Association, Food Marketing Institute, National Association of Convenience Stores, SNAC International, Food Research and Action Center, Hunger Free America, R Street, American Heart Association, Bread for the World, Share Our Strength, Today’s Students Coalition, and the California Welfare Fraud Investigators Association.

"Independent grocers have served as trusted stewards of this successful public-private partnership for decades, and we remain committed to rooting out waste, fraud, and abuse wherever it appears. This legislation takes important steps to strengthen program integrity by directly addressing EBT skimming and enhancing safeguards that protect both SNAP recipients and taxpayer dollars. Securing our food assistance programs is not a partisan issue, and we commend Senators Wyden, Cassidy, and Fetterman for their close collaboration with NGA while working across party lines to fortify SNAP and modernize EBT payments for the long term,” said Stephanie Johnson, RDN, Vice President of the National Grocers Association.

“As private sector partners with the federal government serving as critical access points for SNAP participants, FMI and its grocery members are committed to strengthening the integrity of SNAP for millions of customers in every community. FMI applauds Senators Wyden, Fetterman and Cassidy, and Representatives Lawler and Goldman for their leadership in establishing a framework for migration to SNAP EBT chip cards in all states that is safe and operationally viable for SNAP participants and retailers. Ensuring secure EBT shopping experiences for SNAP participants is of the utmost importance to grocers and the communities they serve and FMI is pleased to support this bipartisan legislation," said Jennifer Hatcher, Chief Public Policy Officer for The Food Industry Association.

“SNAP skimming is the ultimate lose-lose: taking groceries away from the most vulnerable Americans while losing tax funds to criminal syndicates. We thank Senator Wyden for introducing a bill that would significantly reduce such fraud and make sure SNAPfunds go to the low-income Americans who need them,” said Joel Berg, CEO of Hunger Free America.

"SNAP makes the difference for millions of families across the country who are trying to put food on the table, but due to outdated technology and inadequate security standards for EBT cards, many households have had their grocery benefits stolen by bad actors through no fault of their own. The legislation introduced today by Senators Wyden and Fetterman includes crucial common-sense improvements to modernize EBT card security and provide states the resources needed to prevent SNAP skimming, ensure program integrity, and make sure SNAP is supporting families as intended,” said Claire Borzner, director of federal government relations for Share Our Strength and its No Kid Hungry Campaign.  

Rep. Goldman has consistently fought for protections for SNAP benefits. Last year, he assembled state and local leaders to demand a comprehensive change to state and federal law to address the urgent issue of stolen EBT benefits. He secured the inclusion of real-time fraud detection and prevention for SNAP Electronic Benefit Transfer (EBT) transactions in the FY26 Agricultural Appropriations bill in order to help prevent SNAP EBT theft before it happens. He introduced legislation to allow states to refund stolen benefits to victims of SNAP-related scams and continues to push to restore this authority.

Rep. Goldman leads the Mitigating Electronic Access Losses for Students (MEALS Act), which would ensure working families who rely on Summer Electronic Benefit Transfer (EBT) benefits to make ends meet can be reimbursed if their benefits are stolen via EBT card skimming and fraud. 

A one-page summary of the bill is available here.

A section-by-section summary of the bill is available here.

Full text of the bill is available here.