USA Today reports:
More states are enacting or considering laws that prohibit people who get welfare cash from spending it on liquor, cigarettes, strip clubs, gambling and guns — laws that even supporters say are difficult to enforce.
Ten states have passed such laws and at least 14 are considering them, the National Conference of State Legislatures says.
Under a new federal law, all states must prevent the use of cash benefits in liquor stores, gambling establishments and adult entertainment businesses by 2014. States that fail to establish policies face cuts in federal support.
The USA Today article doesn't give much detail about the federal legislation, but the Heritage Foundation reports that it was part of the payroll tax holiday extension legislation, and that the language directs states "to prevent recipients of funds under the Temporary Assistance to Needy Families (TANF) program from using their benefits at 'any liquor store; any casino, gambling casino, or gaming establishment; or any retail establishment which provides adult-oriented entertainment in which performers disrobe or perform in an unclothed state for entertainment.'"