USDA investigating HSD’s alleged problems with food benefits applications

The U.S. Department of Agriculture is now investigating allegations of fraud in emergency food aid processing at the New Mexico Human Services Department. According to notes from a June 16 conference call in a federal lawsuit, HSD lawyers told a federal judge that “the USDA has officially opened an investigation of HSD and will be sending an investigator to Santa Fe.”

The court meeting came one day after all of New Mexico’s congressional delegation signed a letter asking for an investigation into allegations of a practice at HSD of adding fake assets to the applications of emergency Supplemental Assistance Nutrition Program (SNAP) benefits. According to court testimony of nine HSD employees, the department instructed workers to add fake assets to deny applicants emergency benefits, which must be fulfilled within seven days instead of the 30 days of standard SNAP applications. Employees said HSD did this to clear a backlog of late emergency applications for SNAP, the program formerly known as food stamps. The allegations came in part of an ongoing lawsuit from the Center on Law and Poverty that faults HSD for not following federal law in its processing of SNAP and Medicaid applications.