Gov. Rick Snyder said that the state is reconsidering the new Dept. of Human Services ‘asset test’ that denies food assistance to people who own cars worth more than $15,000.
As of last month people with savings of more than $5,000 or a car with a market value of $15,000 are ineligible for federally-funded Bridge card benefits in Michigan.
The Associated Press reports that Snyder moved to reconsider the rules about car ownership after people explained that vehicles are needed to get to school and work.
The Michigan League for Human Services said the federal government doesn’t require asset tests. It said 29 other states have no asset test, and 48 states and the District of Columbia exempt at least one vehicle from asset tests.
“We’re really glad that the administration is rethinking this punitive policy,” said Gilda Jacobs, the league’s president and CEO.
Almost 20 percent of Michigan’s resident receive food aid through the state.
According to the U.S. Dept. of Agriculture which funds the Bridge card program every $5.00 in food assistance money generates $9.20 in local economic activity.