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Minutes for HB2731 - Committee on Welfare Reform

Short Title

Directing the secretary for children and families to contract with the office of the inspector general for the establishment of a fraud detection unit to detect, investigate and assist in prosecuting fraud in the food assistance program.

Minutes Content for Tue, Feb 10, 2026

The Chair opened the hearing on HB2731.

 

Ms. Moyer gave a briefing on the bill (Attachment 6).  She said the bill creates a new section of law that would, by January 1, 2027, require the DCF Secretary to enter into a contract with the Office of Inspector General in order to establish and operate a fraud detection unit for SNAP.

 

Marc Altenbernt, General Counsel, DCF, spoke in opposition to the bill (Attachment 7).  Noting that the DCF fraud unit investigates and prosecutes fraud for cases involving SNAP, TANF (Temporary Assistance for Needy Families), and Child Care, he explained that the independent status of the Office of Inspector General (OIG) would be compromised, since under contract the OIG would come under the authority of the DCF fraud unit.  He said federal rules for SNAP and the Social Security Administration might prohibit such a relationship.  He welcomed the present partnership with the OIG and urged members to oppose the bill.  Answering a question, he acknowledged that he did not know how other states dealt with the fraud process.

 

Steve Anderson, Office of Inspector General, Kansas Attorney General's Office, testified as neutral (Attachment 8).  He reviewed the focus of the bill and noted that the bill would require numerous changes in the fraud investigation process and would need to overcome several issues of coordination.  He stated that the purpose of the bill should be to increase the effectiveness and efficiency of the fraud investigation program.

 

These testimonies elicited a variety of comments and questions from Committee members:

  • Our office presently is not fully staffed.  (Mr. Anderson)
  • Office space between the two entities can be worked out.  (Mr. Anderson)
  • The fiscal note on the bill amounts to $763,000; with infrastructure upgrades, a total of $1.1 million (Attachment 9).  (Ms. Moyer)
  • Increasing communication between offices could improve efficiencies so the offices could complement one another and avoid duplicative effort; these could be implemented without passing the bill.  (Mr. Altenbernt)
  • The federal regulations, especially Social Security rules, clearly prohibit sharing data outside the DCF parameters.  OIG would need to be under the authority of DCF in order to share some data. (Mr. Altenbernt)

 

Written-only testimony in opposition to the bill was submitted by Emma Shankland, Impact Strategist on Policy, Health Forward Foundation (Attachment 10).

 

The Chair closed the hearing.

 

The Chair adjourned at 3:02 p.m.  The next meeting is scheduled for Thursday, February 12, 2026.