A SNAP benefits overhaul will reduce the program’s value for recipients while removing work exemptions from the homeless.
A massive cut in Minnesota will go into effect on October 1, putting hundreds of thousands of underprivileged Americans at a greater disadvantage.
A recently passed federal law will have an impact on state families, shifting the cost onto them.
Over 440,000 Minnesotans receive SNAP benefits on a monthly basis, but the changes will force thousands of them to leave the program.
It will also raise state and local costs by more than $125 million per year, according to the Department of Children, Youth, and Families.
1. THIFTY FOOD PLAN
The first change focuses on the Thrifty Food Plan, a scheme that estimates the cost of groceries to provide a healthy and affordable diet for a family of four.
It is commonly used to determine how much SNAP benefits a person receives.
However, beginning October 1, the amount of money distributed to each family will be based on the Consumer Price Index.
This will limit how much each family is paid, resulting in less spending in Minnesota.
It will be in effect until at least October 1, 2027, at which point it can be reviewed.
2. WORK REQUIREMENTS
The new law also expands work requirements to adults aged 18 to 64, requiring more people to work before receiving benefits.
It also restricts the parent exemption to households with children under 14, subjecting thousands of parents to new requirements.
The law eliminates all work exemptions for veterans, those experiencing homelessness, and youth leaving foster care.
It also grants new exemptions to American Indians, Alaska Natives, urban Indians, and California Indians.
3. UTILITY ALLOWANCE
The new law restricts the use of state energy assistance payments.
SNAP recipients in Minnesota will no longer automatically qualify for the state’s standard utility allowance.
What are SNAP benefits?
Every month, over 41 million Americans receive benefits from the Supplemental Nutrition Assistance Program.
SNAP provides food benefits to low-income households to help them buy groceries.
Recipients receive money on a debit card that they can use at grocery stores and farmers’ markets.
The amount of money distributed is determined by a variety of factors, including your income, other benefits, and the number of people in your household.
People can use electronic benefits to purchase foods such as fruits and vegetables, meat, fish, dairy products, breads, cereals, and snacks.
You cannot use SNAP to purchase alcohol, cigarettes, hot foods, or cooking utensils.
Source: USDA
Households will also be prohibited from deducting these payments as income on tax returns.
The only exceptions will be for households that include an elderly or disabled person.
This means that citizens will face higher taxes on their SNAP benefits.
4. ADMINISTRATIVE EXPENSES
The federal reimbursement for administering SNAP will be reduced from 50% to 25%, requiring states to cover 75% of the cost.
This change will cost Minnesota approximately $39 million, while the SNAP outreach program will lose $2.25 million.
For those in the state, this means fewer administrative resources.
It will also harm customer service and the state’s ability to administer the SNAP program.
5. SNAP-ED FUNDING
SNAP Education (SNAP-Ed) funding will be cut on October 1, 2025.
SNAP-Ed offers nutrition education to people who receive or are eligible for SNAP benefits.
This program, which reached 1.7 million Minnesotans in 2024, will be discontinued.
6. ELIGIBILITY RESTRICTIONS
SNAP will be limited to US citizens only, reducing the number of people eligible to receive benefits.
It will also increase the costs of the new types of eligibility verification that will be required.
This change implies that approximately 9,000 people will lose access to SNAP, including:
Amerasians
Battered non-citizens
Certain American Indians born abroad
Conditional entrants
Hmong and Highland Laotian tribal members
Individuals granted asylum
Individuals granted parole for at least one year
Individuals with deportation withheld
Iraqi and Afghan Special Immigrant Visa holders (SIV)
Refugees
Victims of severe trafficking
7. MATCHING FUNDS
The final major change to SNAP in Minnesota is that the state will now have to pay for beneficiaries to receive assistance.
States must pay 0-15% of SNAP benefits, based on their Payment Error Rate (PER).
PER is a federal initiative that reports improper payment rates, such as when a government payment is sent to the wrong recipient.
The higher the state’s error rate, the more Minnesota will have to pay.
It will work this way:
PER below 6 percent: 0 percent state match
PER 6 to 7.99 percent: 5 percent state match
PER 8 to 9.99 percent: 10 percent state match
PER 10 percent or higher: 15 percent state match
