Allegations of abuse in program designed to help struggling families

Medford, Ore. — It’s a story you’ll only see on NBC5 News. Long-time grocery store workers called our attention to alleged abuse of taxpayer money intended to help those who are struggling.

We’re learning how some people are buying everything from cigarettes to beer with money they’re supposed to be spending on family essentials.

Everyday at the 8th & Grape Street Market in Medford, people come inusing their Oregon Trail cards. Oregon Trail cards manage the Supplemental Nutrition Assistance Program (SNAP), formerly known as food stamps. It’s also used for cash benefits through the Temporary Assistance for Needy Families (TANF) program. TANF helps families buy non-food essentials and allows cash withdrawal.

Karla Ratty, the 8th & Grape Street Market Store Manager said while the majority of people use the benefits as they’re intended to be used, not everyone does, especially when it comes to TANF.

“Cigarettes, beer, they’re allowed to buy anything on it,” said Ratty.

Grocery store workers in the Rogue Valley approached NBC5 News alleging misuse, like SNAP benefits used on what they consider luxury food items including Starbucks Frappuccinos and TANF benefits beings used for non-essential purchases.

The grocery workers we spoke with would not appear on camera for fear of losing their jobs.

A grocery chain we reached out to also declined to be a part of this story.

However Ratty, who has previously worked for more than 20 years in the grocery industry said the concerns are legitimate.

At the Department of Human Services in Medford, Karina Silva acknowledges there’s no tracking of how taxpayer money is spent.

“We don’t have a system to monitor every little item that they purchase,” said Silva.

Once the money is distributed to recipients, there’s little to no oversight of either SNAP or TANF, both federal, state-run programs people heavily rely on in Southern Oregon.

In fact, in a recent Census Bureau report, Oregon had the highest rate of SNAP users in the country at 20%.

In March alone, 771,722 Oregonians received SNAP benefits and 28,708 families participated in TANF.

The money is intended to help families purchase what they need.

However, not all purchases seem to be family necessities and the lack of oversight means the extent of possible abuse is largely unknown. That’s something that concerns State Representative Sal Esquivel, (R) – Medford.

“We have to have accountability in our system. Right now there is no accountability,” said Esquivel.

While Silva acknowledges, there’s room for improvement she says most people on assistance need it and use it properly.

“There will always be individuals who are not using things the right way,” said Silva.

Silva said she would support more monitoring to help curb abuse of federal money if it didn’t have a negative impact on those already using it correctly.

“I think if someone came up with a way, a program that keeps… the respect for the individual then yeah, I think it’d be great,” said Silva.

The answer to figuring out just how much potential abuse is happening and what to do about it, isn’t easy. So for now, thousands of Oregonians who need the help, will continue to collect benefits.

“Most of them are buying good nutritional food for their families,” said Ratty.

While others will continue to take advantage of the system using tax payer money to fund their addictions.

Coming up on Tuesday, we’ll explore what other states are doing to curb misuse in their SNAP and TANF programs.

We’ll also talk to state legislators and our political representatives on Capitol Hill about what they think needs to happen.

© 2024 KOBI-TV NBC5. All rights reserved unless otherwise stated.

Skip to content