WASHINGTON, Jan 8 (Reuters) – State and local U.S. governments on Thursday urged Congress to delay some food aid provisions of President Donald Trump’s tax and spending bill due to operational and cost concerns.
Trump’s One Big Beautiful Bill, signed into law last July, will shift significant Supplemental Nutrition Assistance Program costs to states, with some facing hundreds of millions of dollars in new spending. More than 42 million Americans receive SNAP benefits, also known as food stamps.
Under the law, states will need to pay as much as 15% of SNAP benefits beginning in fiscal year 2028, with the amount dependent on the state’s accuracy in issuing benefit payments in either fiscal year 2025 or 2026. Previously, the federal government fully covered the cost of benefits.
STATES SCRAMBLED DURING GOVERNMENT SHUTDOWN
States will also need to pay a higher share of the cost of administering SNAP beginning in fiscal year 2027, up to 75% from the previous 50-50 split with the federal government.
Congress should delay those provisions given the difficulties states faced in 2025 from the federal government shutdown and implementation of other changes in the law, said the letter from the National Governors Association, National Association of Counties, National Conference of State Legislatures and other local government and public health associations.
During the 43-day shutdown, SNAP benefits lapsed for the first time, leaving states scrambling to issue partial benefits with their own funds and to comply with quickly changing federal guidance.
States were also hurrying at the time to implement other provisions of the spending law, such as expanded SNAP work requirements.
“These overlapping events exposed states and counties to significant, unintended fiscal risks that undermine program stability and integrity,” the letter said. “Ultimately, we fear that the compounding effects of these developments could put SNAP in jeopardy across the country if states and counties do not receive some form of relief.”
Delaying the cost-share provisions until 2030 would allow states time to lower their payment error rates and shore up their SNAP programs, the letter said.
On average, states will face $218 million in new SNAP spending from the law, with sums as high as $991 million in Florida and $1.8 billion in California, the letter said.
(Reporting by Leah Douglas in WashingtonEditing by Rod Nickel)
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