Bill > SB232

This bill addresses the restoration and protection of Electronic Benefits Transfer (EBT) card benefits for households that have experienced theft. The legislation mandates that the Maryland Department of Human Services must automatically restore benefits to households that can demonstrate their correctly issued benefits were lost due to theft, without requiring a police report and without limiting the number of months restoration can occur. The bill expands the definition of theft to include physical card theft, identity fraud, and skimming practices, and introduces a "two-way fraud alert" system allowing text messaging communication between the department and households about potential fraudulent activity. The department must provide written notification within 10 days of a theft report, including the decision on benefit restoration and a new EBT card. The bill also requires the department to give preference to vendors with insurance and identity protection measures during procurement and mandates annual reporting on EBT card security and theft incidents. Additionally, the bill requires automated teller machines (ATMs) in Maryland to have the functionality to process and dispense cash from EBT cards by January 1, 2026. Benefits lost due to theft between January 1, 2021, and July 1, 2025, can be restored, with claims to be submitted by June 30, 2026, subject to state budget limitations.

Budget and Finance

Finance (Senate)

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0232?ys=2025RS