AZ SB1071

Requires the Department of Economic Security to enter into a data matching agreement with the Department of Revenue to identify households with lottery or gambling winnings of $3,000 or more and treat that data as verified income for SNAP eligibility purposes.

Mandates monthly, quarterly, or as-specified reviews of information from the Department of Health Services, Department of Corrections, Department of Revenue, and federal sources (Social Security Administration, HHS, HUD, FBI) to identify changes in circumstances affecting SNAP eligibility.

Requires the department to post aggregated quarterly reports on its public website regarding SNAP fraud investigations, including the number of cases investigated, referred for prosecution, improper payments recovered, and out-of-state electronic benefit transfer spending by state.

Expands electronic benefit transfer card fraud investigation protocols, requiring department interviews after a recipient requests a second replacement card within twelve months and mandating investigation before issuing a third or subsequent replacement card.

Requires the department to identify individuals making exclusively out-of-state purchases over 90 days, contact them within 30 days to verify residency, and refer those not residing in Arizona to the U.S. Attorney's office within 15 days of removal from SNAP.