Ohio bill would use chip-enabled cards to limit SNAP fraud

A bipartisan effort to enhance security in Ohio’s Supplemental Nutrition Assistance Program — commonly called food stamps — is underway in the Ohio House with broad support from interested parties.

House Bill 163, heading toward its sixth hearing, has a simple premise: replace the current model of Ohio’s electronic benefit transfer SNAP cards with a model equipped with the security chip that has become commonplace on credit and debit cards.

Bill sponsors — Rep. Kellie Deeter, R-Norwalk, and Rep. Tristan Rader, D-Lakewood — say that doing so would help cut down on how much money is lost to fraud within the federally funded, state-administered SNAP program.

“This bill is about protecting the most vulnerable Ohioans, including seniors, individuals with disabilities, and low-income families who rely on (SNAP) to meet their basic nutritional needs,” Deeter told the House Agriculture Committee back in April 2025, when vetting on the bill first began.

She said that $17 million in SNAP benefits were stolen from Ohioans from June 2023 to January 2025. The federal government, at that time, had a program to reimburse SNAP recipients that were victims of fraud, “meaning taxpayers ultimately paid the cost of this fraud,” Deeter said.

But the federal government let its reimbursement program end in late 2024, which Deeter said makes vulnerable Ohioans on the hook for SNAP fraud.

“These are real Ohioans who suddenly find themselves without the means to buy groceries, through no fault of their own,” she said. “The source of this problem is clear: SNAP EBT cards in Ohio rely on outdated technology, which is highly vulnerable to skimming and cloning. Criminals use hidden devices to steal card data, and drain accounts in minutes.”

Rader said, through talks with the Ohio Department of Jobs and Family Services — which administers SNAP in Ohio — and other states that are taking this project on, he’s come to believe that “these chips will nip the vast majority of the skimming fraud and the types of fraud that are happening that are costing Ohioans millions.”

As introduced, the bill suggested setting aside $10.6 million in fiscal year 2026 to complete the project. But, Rader said the U.S. Department of Agriculture, which funds and runs SNAP, would reimburse 50% of the cost.

“That’s a big relief, and again, the cost of this program is just a fraction of what’s been stolen,” he said.

So far, HB 163 has seen bipartisan appreciation from the committee and a slate of co-sponsors, though there has not yet been a vote. It’s also drawn wide support from interested parties, like the Ohio Association of Foodbanks and Ohio Grocers Association, with no opposition yet on the record.

The bill is set for another Ohio House Agriculture Committee hearing on May 20. If it’s voted out, it will need further vetting from the Ohio House Finance Committee before hitting the House floor.