NY A02386

Prohibits public assistance recipients from using benefits to purchase alcoholic beverages, tobacco products, or lottery tickets, with escalating penalties: one-month disqualification for first violation, three-month disqualification for second violation, and permanent disqualification for third or subsequent violation.

Requires all public assistance applicants to attest that alcoholic beverages, tobacco products, and lottery tickets are prohibited purchases before approval.

Prohibits retailers from selling alcoholic beverages, tobacco products, or lottery tickets in exchange for electronic benefits transfer, with civil fines of $100 for first violation, $500 for second violation within five years, and license suspension for third or subsequent violation within five years.

Establishes mandatory training programs for retail employees on prohibitions of selling these items with public assistance benefits, with completion certificates valid for three years serving as an affirmative defense against retailer liability.

Creates the Public Assistance Integrity Fund from fines and fees collected under this law, to be used by the Office of Temporary and Disability Assistance for administration, oversight, training, and enforcement activities.

Prohibits electronic benefit transfer withdrawals or use at liquor stores, casinos, or adult entertainment establishments, with same disqualification penalties as subdivision 2.