SNAP changes shift costs to states as millions lose benefits under OBBBA

  • OBBBA tightened SNAP work and eligibility rules while shifting substantially more program costs to states.
  • About 5.7 million Americans have lost SNAP benefits, and participation fell from 42 million to 36 million by June.
  • States must pay 75% of administrative costs from Oct. 1, 2025, with potential benefit costs tied to error rates from October 2027.

President Trump’s One Big Beautiful Bill Act (OBBBA), signed on July 4, 2025, has tightened Supplemental Nutrition Assistance Program (SNAP) eligibility and shifted costs from the federal government to states. The Food Research & Action Center (FRAC) estimates that about 5.7 million Americans have lost benefits since enactment, while participation fell from 42 million to 36 million by June, with most of the decline after the law was signed. Starting Oct. 1, 2025, states must pay 75% of SNAP administrative costs, up from 50%, reducing federal spending by an estimated $16.9 billion over five years. From October 2027, states with error rates of at least 6% may also have to cover up to 15% of benefits. The law requires most recipients aged 18 to 64 to work or volunteer 80 hours per month, narrows the parent exemption from children under 18 to children under 14, and ends eligibility for a small group of noncitizens. Recipients, anti-hunger groups and policy analysts warn that the changes are creating confusion, backlogs and hardship while food and household costs remain elevated.

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