California Dem lawmakers proposes bill to decriminalize welfare fraud below $25K over administrative errors

A California lawmaker has introduced a bill that would decriminalize welfare fraud under $25,000, as well as attempted welfare fraud under $950.

An image of a California Electronic Benefits Transfer (EBT) debit card that is used to purchase food items at participating grocery stores.  (Los Angeles County Department of Public Social Services)

The legislation is set for a hearing on May 5. 

The bill would require a county agency to determine whether the welfare benefits were authorized as a result of an error in the Statewide Automated Welfare System (CalSAWS).

It would prohibit a person from being subject to criminal prosecution in certain instances for an overpayment or overissuance of benefits, the bill states. 

"This bill is about keeping families out of the criminal justice system from making administrative errors on raising the threshold for welfare fraud prosecutions," Smallwood-Cuevas said in an April 8 Instagram post. 

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Local store with an EBT, Electronic Benefit Transfer accepted sign. (Photo by: Lindsey Nicholson/UCG/Universal Images Group via Getty Images)

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Annually, investigators find fraud in around 5,000 to 8,000 cases. Of that, 200 cases are sent to the Los Angeles County District Attorney's office and 95% result in a conviction. 

Louis Casiano is a reporter for Fox News Digital. Story tips can be sent to louis.casiano@fox.com.

https://www.foxnews.com/politics/california-dem-lawmakers-proposes-bill-decriminalize-welfare-fraud-below-25administrative-errors