SNAP abuse update: State cracks down on ‘container dumping’

(Update: Adding DHS response, info on ‘container dumping’)

A La Pine grocery store worker captured on video something he said he sees people doing quite often.

It involves what he calls an abuse of SNAP (the state’s Supplemental Nutrition Assistance Program, formerly known as food stamps), and he’s frustrated his tax dollars are being wasted in that way.

The worker, who asked not to be identified, said Tuesday he works on the loading dock at a grocery store, which he also asked not to be named.

He told us that many times, he sees people buy bottled water and cans with food stamps, then take them to the side of the building and dump them, t hen take the bottles to the bottle return for cash.

“In many instances, this cash is used for buying malt liquor, wine or cigarettes,” the worker said. “Things they can’t get on the Oregon Trail Card, things they shouldn’t be doing, wasting taxpayers’ money.”

He said his company brings in seven times more cans than they sell.

Since the state’s bottle deposit doubled to 10 cents, redemption rates are nearly 90 percent.

NewsChannel 21 also reached out to Oregon DHS to find out if this is considered fraud or abuse of the SNAP program. We.learned Wednesday that the state is cracking down this year, under federal guidelines, and that “container dumping” can result in losing benefits.

Here’s the agency’s reply, received Wednesday morning:

“State policy is based on federal and state laws and regulations. When the 2008 Farm Bill was passed, it included provisions for making this practice an intentional program violation.

“In February of this year, the U.S. Department of Agriculture (USDA) made container dumping a trafficking offense which can result in a SNAP participant being disqualified from receiving benefits. This language has been added to our application to inform applicants of the penalties.

” Most Oregon families use their SNAP benefits as intended, which is to purchase healthy foods to supplement their diet. If someone suspects misuse of the SNAP program, they can report through the following means:

Calling 1-888-FRAUD01 (1-888-372-8301) Monday through Friday 8 a.m. to 5 p.m., or Report fraud online, or Fax your written complaint to: ATTN: HOTLINE at 503-373-1525, or You may also mail a written complaint: For client fraud:
Investigations Unit
PO BOX 14150
Salem, OR 97309 For provider fraud:
DHS Provider Audit Unit
3406 Cherry Ave NE, 2nd Floor
Salem, OR 97303