,i  #aafth ,,congress  #b;d ,session    
,h4 ,r4 #egai  ,,in ,,the ,,house ,,of  
,,representatives  ,january #cj1        
#bjbj,mr4 ,arrington 7for himself1 ,mr4 
,johnson of ,south ,dakota1 ,mr4 ,yoho1 
,mr4 ,aderholt1 and ,mr4 ,smith of      
,nebraska7 introduced the following     
bill2 which was referred to the         
,committee on ,agriculture  ,a ,,bill   
,to amend the ,food and ,nutrition ,act 
of #bjjh to modify the standards to     
determine eligibility to receive        
supplemental nutrition assistance       
program benefits1 and for other         
purposes4  #a4 ,short title ,this ,act  
may be cited as the ,closing ,loopholes 
,on ,safety,net ,exploitation ,act or   
the ,,close ,act4  #b4 ,amendments  7a7 
,eligibility requirements ,section      
#e7;a7 of the ,food and ,nutrition ,act 
of #bjjh 7#g ,u4,s4,c4 #bjad7;a77 is    
amended by adding at the end the        
following3 ,however1 no individual shall
 be eligible to receive benefits        
pursuant to this section if they do not 

meet the same income and resource       
criteria to which other applicants are  
subjected under subsections 7c7 and     
7g744  7b7 ,financial ,asset            
verification ,the ,food and ,nutrition  
,act of #bjjh 7#g ,u4,s4,c4 #bjaa et    
seq47 is amended by inserting after     
section #aa the following3  #aa;,a4     
,financial asset verification through   
access to information held by financial 
institutions  7a7 ,implementation  7#a7 
,in general ,subject to the provisions  
of this section1 each ,state shall      
implement a financial asset verification
 program described in subsection 7b71   
for purposes of determining or          
redetermining the eligibility of an     
individual to participate in the        
supplemental nutrition assistance       
program4  7#b7 ,plan submittal ,in order
 to meet the requirement of paragraph   
7#a71 each ,state shall-- 7,a7 submit   
not later than a deadline specified by  
the ,secretary consistent with paragraph
 7#c71 a ,state plan amendment that     

describes how the ,state intends to     
implement the asset verification        
program2 and  7,b7 provide for          
implementation of such program for      
eligibility determinations and          
redeterminations made on or after #f    
months after the deadline established   
for submittal of such plan amendment4   
7#c7 ,phase-in  7,a7 ,implementation in 
states ,the ,secretary shall require    
,states to submit and implement a       
financial asset verification program    
under this subsection in such manner as 
is designed to result in the application
 of such programs1 in the aggregate for 
all such ,states1 to households of      
approximately1 but not less than1 the   
following percentage of households1 in  
the aggregate for all such ,states1 by  
the end of the fiscal year involved3    
7i7 #ab4e percent by the end of fiscal  
year #bjba4  7ii7 #be percent by the end
 of fiscal year #bjbb4  7iii7 #ej       
percent by the end of fiscal year #bjbc4
  7iv7 #ge percent by the end of fiscal 

year #bjbd4  7v7 #ajj percent by the end
 of fiscal year #bjbe4  7,b7            
,consideration ,in selecting ,states    
under subparagraph 7,a71 the ,secretary 
shall consult with the ,states involved 
and take into account the feasibility of
 implementing asset verification        
programs in each such ,state4  7,c7     
,construction ,nothing in subparagraph  
7,a7 shall be construed as preventing a 
,state from requesting1 and the         
,secretary from approving1 the          
implementation of a financial asset     
verification program in advance of the  
deadline otherwise established under    
such subparagraph4  7#d7 ,exemption of  
territories ,this section shall only    
apply to the #ej ,states and the        
,district of ,columbia4  7b7 ,financial 
,asset ,verification ,program  7#a7 ,in 
general ,for purposes of this section1 a
 financial asset verification program   
means a program described in paragraph  
7#b7 under which a ,state--  7,a7       
requires each applicant for1 or         

recipient of1 supplemental nutrition    
assistance program benefits to provide  
authorization by such applicant or      
recipient 7and any other person whose   
resources are required by law to be     
disclosed to determine the eligibility  
of the applicant or recipient for such  
benefits7 for the ,state to obtain      
7subject to the cost reimbursement      
requirements of section #aaae7;a7 of the
 ,right to ,financial ,privacy ,act but 
at no cost to the applicant or          
recipient7 from any financial           
institution 7within the meaning of      
section #aaja7a7 of such ,act7 any      
financial record 7within the meaning of 
section #aaja7b7 of such ,act7 held by  
the institution with respect to the     
applicant or recipient 7and such other  
person1 as applicable71 whenever the    
,state determines the record is needed  
in connection with a determination with 
respect to such eligibility for 7or the 
amount or extent of7 such benefits2 and 
7,b7 uses the authorization provided    

under subparagraph 7,a7 to verify the   
financial resources of such applicant or
 recipient 7and such other person1 as   
applicable71 in order to determine or   
redetermine the eligibility of such     
applicant or recipient to receive       
supplemental nutrition assistance       
program benefits4  7#b7 ,program        
described ,a program described in this  
paragraph is a program for verifying    
individual assets in a manner consistent
 with the approach used by the          
,commissioner of ,social ,security under
 section #afca7;e77#a77;,b77ii7 of the  
,social ,security ,act4  7c7 ,duration  
of ,authorization ,notwithstanding      
section #aajd7;a77#a7 of the ,right to  
,financial ,privacy ,act1 an            
authorization provided to a ,state under
 subsection 7b77#a7 shall remain        
effective until the earliest of--  7#a7 
the rendering of a final adverse        
decision on the applicant's application 
to participate in the supplemental      
nutrition assistance program2  7#b7 the 

cessation of the recipient's eligibility
 to participate in the supplemental     
nutrition assistance program2 or  7#c7  
the express revocation by the applicant 
or recipient 7or such other person      
described in subsection 7b77#a71 as     
applicable7 of the authorization1 in a  
written notification to the ,state4  7d7
 ,treatment of ,right to ,financial     
,privacy ,act ,requirements  7#a7 ,an   
authorization obtained by the ,state    
under subsection 7b77#a7 shall be       
considered to meet the requirements of  
the ,right to ,financial ,privacy ,act  
for purposes of section #aajc7;a7 of    
such ,act1 and need not be furnished to 
the financial institution1              
notwithstanding section #aajd7;a7 of    
such ,act4  7#b7 ,the certification     
requirements of section #aajc7;b7 of the
 ,right to ,financial ,privacy ,act     
shall not apply to requests by the      
,state pursuant to an authorization     
provided under subsection 7b77#a74  7#c7
 ,a request by the ,state pursuant to an

 authorization provided under subsection
 7b77#a7 is deemed to meet the          
requirements of section #aajd7;a77#c7 of
 the ,right to ,financial ,privacy ,act 
and of section #aajb of such ,act1      
relating to a reasonable description of 
financial records4  7e7 ,required       
,disclosure ,the ,state shall inform any
 person who provides authorization      
pursuant to subsection 7b77#a77;,a7 of  
the duration and scope of the           
authorization4  7f7 ,refusal or         
,revocation of ,authorization ,if an    
applicant for1 or recipient of1         
supplemental nutrition assistance       
program benefits 7or such other person  
described in subsection 7b77#a71 as     
applicable7 refuses to provide1 or      
revokes1 any authorization made by the  
applicant or recipient 7or such other   
person1 as applicable7 under subsection 
7b77#a77;,a7 for the ,state to obtain   
from any financial institution any      
financial record1 the ,state may1 on    
that basis1 determine that the applicant

 or recipient is ineligible to          
participate in the supplemental         
nutrition assistance program4  7g7 ,use 
of ,contractor ,for purposes of         
implementing a financial asset          
verification program under this section1
 a ,state may select and enter into a   
contract with a public or private entity
 meeting such criteria and              
qualifications as the ,state determines 
appropriate1 consistent with            
requirements in regulations relating to 
general contracting provisions and with 
section #aijc7;i77#b7 of the ,social    
,security ,act4 ,in carrying out        
activities under such contract1 such an 
entity shall be subject to the same     
requirements and limitations on use and 
disclosure of information as would apply
 if the ,state were to carry out such   
activities directly4  7h7 ,technical    
,assistance ,the ,secretary shall       
provide ,states with technical          
assistance to aid in implementation of a
 financial asset verification program   

under this section4  7i7 ,reports ,a    
,state implementing a financial asset   
verification program under this section 
shall furnish to the ,secretary such    
reports concerning the program1 at such 
times1 in such format1 and containing   
such information as the ,secretary      
determines appropriate4  4  #c4         
,effective date ,this ,act and the      
amendments made by this ,act shall take 
effect on ,october #a1 #bjbj4