Asset test for food stamps a sound idea for Pennsylvania

Moreover, 11 states already maintain the federal minimum asset test of $2,000 for adults under 65 (with various exceptions for nonliquid assets) and four states have an asset test of $5,000. Without any such protection, billionaires such as Bill Gates could actually be eligible for food stamps if their income was low enough for a year.

Sound far-fetched? Consider the case of Leroy Fick, who won a $2 million lottery jackpot but still legally collected food stamps. This fall, Michigan enacted a $5,000 asset test to keeping exploiters such as Fick from taking advantage of the system.

Like Michigan, Pennsylvania is once again facing a budget deficit, and the state cannot afford misuse of one dollar. Since 2002, total public-welfare spending, including all state and federal funds, has increased 52 percent. Shortly after the 2001 recession, expenditures for the state's SNAP program totaled $750 million. By 2006, costs had risen to $1.2 billion.

Even though many act otherwise, taxpayer dollars are a limited resource. If government chooses to do nothing, at its current pace welfare spending will crowd out dollars for education, transportation, and every other priority in the state budget.

Under significant budget restraints, the state must do everything in its power to protect benefits for those most in need. DPW's intention to restore the SNAP asset test is a small step toward the greater goal of helping Pennsylvanians while not handing out tax dollars to those who don't need them.

Jay Ostrich is director of public affairs at the Commonwealth Foundation for Public Policy Alternatives. E-mail him at jdo@commonwealthfoundation.org.