P&P August 2016

submission and the preferred method is the direct system-to-system web service integration. Through these means, the NAC allows maximum flexibility in its integration into each state’s unique work environment. The NAC puts the required information at the fingertips of caseworkers so that duplication or suspicious identi- ties can be resolved before benefits are approved. WHY THE NAC NOW? With a budget exceeding $80 billion annually, SNAP is the largest program in what the USDA refers to as “the domestic hunger safety net,” serving more than 45 million disadvantaged Americans. With so much at stake and increased federal scrutiny, program integrity is essential. Thus, effective mechanisms must be in place to prevent losses from inappropriate or fraudulent applications for benefits. SNAP fraud was once thought to be negligible, but not anymore. Analysis shows that both individuals and organized groups have escalated their activity, largely thanks to the fact that in the Internet era, state programs have gone online, making identity fraud easier and more lucrative to perpetrate. In addition, claims based on fabricated or incomplete identities are compromising the program’s resources. A fraudster may start with real identity fragments from different individuals—like a Social Security number (SSN) and address—then compile these fragments into an ever-growing number of new synthetic identities to apply for benefits. The NAC has also revealed that a small portion of recipient data contains questionable information. For example, placeholders have been seen for SSNs, dates of birth, and addresses. While there may be legitimate reasons for this, it increases the program’s overall risk for fraud. The NAC positively affects legitimate beneficiaries who are playing by the rules and bolsters SNAP’s integ- rity by weeding out waste and loss. It helps ensure the public that government agencies are doing everything they can to administer their taxpayer dollars properly. These program integrity efforts help preserve SNAP’s sustainability and its ability to serve its most vulner- able populations. Growth Potential Nationwide Based on its proven track record, the Mississippi Department of Human Services and other state agencies see great promise in not only expanding NAC nationwide, but in applying the solution to other gov- ernment public assistance programs. Consider the numbers. In addition to the afore- mentioned cost savings, Mississippi saw a 71 percent decrease in the average number of dual participants per month when compared to pre-implementation

See NAC on page 48

Graphic courtesy of Governing Institute

August 2016   Policy&Practice 25