SB115 Alabama 2011 Session

Summary

Primary Sponsor

J.T. WaggonerSenator

Republican

Co-Sponsor

Arthur Orr

Session

Regular Session 2011

Title

Public assistance, fraudulent means to establish eligibility, prohibited, penalties

Summary

SB115 would prohibit fraud to obtain public assistance, set penalties for such fraud, and require screening and reporting to prevent misuse of state and federal programs.

What This Bill Does

The bill makes it illegal to knowingly misrepresent facts, fail to disclose changes, aid others, or misuse identification to obtain public assistance from state or federal programs. It also prohibits administrators from misusing or misappropriating benefits and from improperly handling public assistance IDs or related documents. Penalties depend on the fraud amount, with $200 or more in 12 months -> Class C felony; less than $200 in 12 months -> Class A misdemeanor. The bill requires agencies to screen applications for fraud and to create fraud-prone profiles for preeligibility checks, and it requires program providers to report any payments or contributions from recipients or their families within 10 days. It defines how to calculate the value of benefits fraudulently obtained and includes rules about evidence and repayment not serving as a defense. The act also clarifies local-funding considerations under Amendment 621 and provides an effective date.

Who It Affects

• Public assistance recipients and their families, who could be charged with crimes if they knowingly falsify information, fail to disclose changes, or misuse benefits.
• Public assistance program administrators, staff, and state agencies, who are responsible for preventing fraud, screening applications, and enforcing the rules.

Key Provisions

• Unlawful acts to obtain or maintain public assistance include false statements, misrepresentation, impersonation, failure to disclose changes, aiding others, improper use of food assistance IDs and Medicaid cards, filing false claims, and charging more than allowed.
• Unlawful acts by administrators include misappropriating benefits or related documents, misusing funds, and failing to disclose fraudulent activity.
• Penalties: aggregate fraud of $200 or more in 12 months is a Class C felony; frauds under $200 in 12 months are Class A misdemeanors.
• Value of benefits is equal to the unlawfully obtained amount; computer fraud and other related activities are included in the definition of public assistance fraud.
• Repayment of improperly obtained benefits is not a defense, and certain evidence rules apply (e.g., PIN transaction history as evidence).
• Agencies must create fraud-prone case profiles and conduct preeligibility fraud screening for various public assistance programs.
• Service providers who solicit or receive payments from recipients or families must report within 10 days to the Department of Human Resources; failure to report is a Class A misdemeanor.
• The bill is considered a new crime and is excluded from certain local-funding requirements under Amendment 621; it becomes effective on the first day of the third month after passage and governor approval.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Crimes and Offenses