Iowa Hunger Coalition Applauds Governor Reynolds’ Decision to Participate in Summer EBT in 2026

The Iowa Hunger Coalition is elated to hear the news that Iowa will be participating in Summer EBT (SUN Bucks) in 2026. This federally funded program will help approximately 244,000 children in Iowa gain access to additional grocery benefits during the summer months when they lose access to free and reduced price school meals.

“Today’s announcement is a huge win for every single Iowan,” said Paige Chickering, Iowa State Manager for Save the Children Action Network and vice chair of the Iowa Hunger Coalition. “It’s a win for Iowa’s kids, it’s a win for Governor Reynolds, it’s a win for retailers, it’s a win for rural economies, it’s a win for food banks and food pantries, and it’s a win for Iowa’s anti-hunger advocates who have relentlessly worked to ensure Iowa participates in Summer EBT.”

Summer EBT is a tried and tested, evidence-based program that has been thoroughly researched and found to increase the consumption of fresh fruits and vegetables, whole grains, and dairy, while decreasing consumption of sugar-sweetened beverages.

SUN Bucks provides $40 per month to qualifying children to purchase any items eligible for purchase with SNAP directly from grocery stores, farmers markets, convenience stores, and all other SNAP-approved retailers. Iowa’s SNAP restriction waiver goes into effect on January 1, 2026, and these same restrictions will apply to SUN Bucks purchases.

“While the Iowa Hunger Coalition remains opposed to SNAP food and beverage restrictions, we are overjoyed that Governor Reynolds recognizes the importance of the SUN Bucks program and has chosen to participate in 2026,” said Luke Elzinga, policy and advocacy manager for the DMARC Food Pantry Network and chair of the Iowa Hunger Coalition. “Hundreds of thousands of Iowa’s kids will be better off during the summer as a result.”

Today the state also released a final report for the Healthy Kids Iowa (HKI) pilot program, the state’s alternative to Summer EBT in 2025. The report found that Iowa’s pilot fell short of its stated goals, and also found that Healthy Kids Iowa participants and host sites greatly favored Summer EBT over HKI.

The Iowa Hunger Coalition has long advocated for Summer EBT and cautioned against the state’s alternative approaches. Last month, the Iowa Hunger Coalition in partnership with Save the Children Action Network delivered over 650 handwritten signatures in support of Summer EBT to the Governor’s office.

“This decision does not only signal a choice to pursue evidence-based policy and best practice in addressing food insecurity for Iowan children but also shows the huge impact that anti-hunger advocates have had in our state,” said Chickering.

The Trump Administration’s Haphazard SNAP Partial Benefit Plan for November Leaves More Questions than Answers

This story was originally published on 11/5, and was updated with additional information on the USDA’s revised 65% partial benefits plan on 11/6.

In the latest chapter of this unprecedented SNAP shutdown, the Trump administration has announced a plan to issue 65% partial benefits for the month of November. But it’s not as clear-cut as it sounds, and many Iowans could see their benefits drastically reduced in November – or receive no partial benefits at all.

Last Friday, October 31, two federal judges ruled that the Trump administration must use SNAP contingency funds to pay partial benefits for the month of November. On Monday, November 3, USDA Deputy Under Secretary of Food and Nutrition Services (FNS) Patrick Penn submitted a sworn declaration to the court, outlining the administration’s plan to respond to the court’s order.

In addition to providing the Trump administration’s legal argument as to why the administration does not have the authority to transfer funds from other USDA nutrition programs (debatable), USDA provided the following plans for issuing partial SNAP benefits for November:

  • After obligating $450 million from the contingency fund for state administrative expenses, USDA will have “a total of $4.65 billion in the contingency fund for November SNAP benefits that will all be obligated to cover 50% of eligible households’ current allotments.”

  •  “Given the variation among State systems, some of which are decades old, it is unclear how many States will complete the changes in an automated manner with minimal disruption versus manual overrides or computations that could lead to payment errors and significant delays.”

  • “For at least some States, USDA’s understanding is that the system changes States must implement to provide the reduced benefit amounts will take anywhere from a few weeks to up to several months.”

On Tuesday, November 4, USDA FNS issued additional guidance to state agencies, along with a benefit issuance reduction table for the adjusted 50% maximum benefits. Unfortunately, this memo left state agencies and SNAP recipients with far more questions than answers. It also became clear that because of the way the changes were being applied, USDA would not use all of its contingency funding issuing 50% benefits.

The next evening, USDA put out revised guidance and an updated benefit issuance reduction table for 65% maximum benefits.

In the guidance to states, USDA FNS provided instructions for calculating households’ reduced SNAP benefits:

“the amount of benefits shall be calculated by reducing the maximum SNAP allotment amount to 65 percent for the applicant’s household size and then deducting 30 percent of the household’s net income from the reduced maximum SNAP allotment amount.”

What does this mean in practical terms?

  • Only households who were already receiving the maximum SNAP benefit will receive 65% of their typical benefits for the month.

  • All other households will receive less than 65% of their typical benefits for the month.

  • Some households will receive nothing*.

    • *Note: otherwise eligible households with only 1 or 2 members can qualify for a minimum benefit of $16, even if their calculated benefit amount is $0.

For example:

  • A single person who previously received $155 in monthly benefits will now receive $50.

  • A family of five who typically receives $597 in SNAP benefits will receive $183.

  • A three-person household who usually gets $275 per month will receive no partial benefits for the month of November.

Calculator: Estimate November Partial SNAP Benefits

Disclaimer: this is only meant to provide an estimate. Please wait for final confirmation from Iowa HHS on your households’ partial benefits for November.

Household Size
Typical Monthly Household Benefit
$

This calculator can also be accessed at iowahungercoalition.org/shutdown-calculator.


More Questions than Answers

The Trump administration’s response leaves state agencies, advocates, and SNAP participants with more questions than answers. To make things more confusing and uncertain, President Trump issued a Truth Social post on Tuesday seeming to defy the court order and contradicting the plan his own USDA sent to states just hours earlier.

Some quick fact-checking: no, SNAP benefits were not “haphazardly ‘handed’ to anyone for the asking.” The suggestion is insulting. Anyone who has had to navigate the SNAP application and recertification process can attest to how hard it is to get SNAP benefits.

And for the record, SNAP enrollment in Iowa decreased by 8.7% over the course of the Biden administration (287,156 individuals in January 2021 vs. 262,104 individuals in December 2024).

So at this point, it’s unclear if USDA FNS will even stick to its own plan that it issued to states yesterday. But assuming it does, there are still a number of questions remaining:

  • How long will it take for Iowa HHS to adjust benefit amounts for each one of the 131,000 SNAP households in the state, and how quickly will partial benefits be issued onto Iowans’ EBT cards?

  • Will Iowans ever receive their full SNAP benefit amounts for November once the federal government re-opens?

  • How much of USDA’s $4.65 billion in contingency funding will actually be spent, given that not all participants will receive the full 50% partial benefit?

  • How might this impact SNAP payment error rates in Iowa and any potential benefit cost-sharing due to new provisions from H.R. 1?

One thing is clear: we are in truly unprecedented times.

All Hands on Deck

Tomorrow, SNAP benefits will not go out for the first time in the program’s history. This is a dire situation for Iowans facing food insecurity and emergency feeding organizations, as November is already typically the busiest month of the year at food pantries.

In anticipation of this unprecedented surge in hunger and food insecurity and the need for emergency food assistance through the state’s nonprofit food banks and food pantries, nearly 100 frontline emergency feeding organizations joined together on Wednesday to discuss rapid response options available to try to meet their communities needs. One thing was clear from this conversation: without additional support from the state or federal government, food pantries and food banks across Iowa will be unable to meet the increased demand from their communities when SNAP funds run out. 

It is critical that we stand together and take action to support our neighbors, friends, and families across Iowa who rely on SNAP to put food on the table. 

Take Action Today!

  1. Reach out to your local hunger-fighting organization and ask how you can help.
  • Donations: If you’re able, financial gifts can make a big difference, allowing organizations to purchase in bulk at reduced rates. The Governor has announced $1 million in matching funds for donations to Iowa’s six Feeding America food banks, starting November 3rd. Please don’t forget direct financial support to your local frontline food pantry, food rescue organization, soup kitchen, or other hunger-fighting effort.
  • Food Drives: When hosting a food drive, reach out and ask for a list of most-needed items. Considering specific food drives for culturally appropriate foods and alternatives to meet specific medical and dietary needs for people who will be unable to purchase these items with SNAP.

  • Volunteering: Organizations will need additional help with daily food pantry operations, stocking, food sorting, deliveries, and more.
  1. Spread awareness and resources, not panic.
  • There have been many rumors and misinformation circulating, in part due to USDA’s delay in issuing clear guidance to states. Be sure to share reliable information and correct any myths you may see on social media.
  1. Document harm and advocate for the release of SNAP contingency funds.

Most important of all: show love, respect, and solidarity with people experiencing hunger and food insecurity across the state. We are in unprecedented times. It’s more vital now than ever to check in on your neighbors, treat people with grace, and do what we can to help out.

Bracing for the SNAP Shutdown: What We Know and What You Can Do

It is becoming increasingly likely that benefits for the Supplemental Nutrition Assistance Program (SNAP) will not go out November 1st. This would be an unprecedented event in the history of SNAP. Due to the ongoing federal government shutdown, 270,000 Iowans could fail to see a collective $45 million in SNAP benefits hit their EBT cards at the start of November. This would be devastating to Iowans facing food insecurity, the food supply chain, the nonprofit sector, and local economies in urban and rural communities across the state. And it’s still entirely avoidable.

What We Know

On October 10, the USDA Food and Nutrition Service (FNS) sent a memo to state agencies, informing them that USDA did not have enough funding to fully cover the cost of November’s SNAP benefits, and directed states not to send SNAP benefit issuance files to their payment processors.

One week later, on October 17, the Iowa Department of Health and Human Services issued a statement “alerting Iowans who use SNAP that due to the federal shutdown continuing, there is a possibility that November benefits will not be issued onto cards.” On Thursday, October 23, Governor Kim Reynolds put out a statement calling on congress to end the shutdown to ensure SNAP benefits are not disrupted.

According to an analysis out this week by the Center on Budget and Policy Priorities, federal law directs the Secretary of Agriculture to use SNAP contingency funds to issue partial benefits to states in the event that full benefits cannot be issued. While it’s unclear exactly how much USDA has in SNAP contingency funding, it should be enough to pay a “substantial share of the approximately $8 billion needed for a full month of benefits,” according to CBPP. However, the USDA does not appear to be taking any steps to distribute partial November benefits at this time.

In Iowa, SNAP benefits are issued onto EBT cards on the 1st through the 10th of the month. Even after the federal government re-opens, it will likely take a few days to issue SNAP benefits to Iowans who had their assistance delayed. There’s a lot that we still don’t know because USDA FNS has not yet issued guidance or answered questions about some incredibly consequential decisions that are just days away. 

What about WIC?

According to USDA, WIC has enough funding to last through the end of October. This is due in part to actions taken to direct $300 million in tariff revenue toward WIC funding. The future of federal WIC funding is less clear as we move into November.

Thankfully, the state of Iowa is one of only a handful of states that has been willing to step in to cover the costs of WIC funding in the event of a lapse in federal funding. USDA has informed states they can be reimbursed for any costs covered with state dollars once the shutdown is over.

What You Can Do

Ultimately, Congress needs to end the shutdown so SNAP, WIC, and other critical nutrition benefits can go out to the Iowans who need them. So what can you do right now?

Are You a SNAP Participant?

  • Get the latest news on how your SNAP benefits may be impacted in November. Sign up to receive updates on November SNAP benefits from the Iowa Department of Health and Human Services.

  • We want to hear directly from you. What does the SNAP shutdown mean for your family? Complete this short online form to share your SNAP story.

  • Contact your members of Congress (see below) and share your SNAP story directly with them. Let them know how their decisions are impacting your life!

  • Locate a food pantry in your area to find emergency food assistance near you.

Contact Your Members of Congress:

  • Call your members of Congress and tell them to work with USDA and the White House to find additional dollars to cover SNAP and WIC funding for November, or at the very least issue partial SNAP benefits as required by law. If you’re not sure who your U.S. House Representative is, you can find out here.

📞 Senator Chuck Grassley: (202) 224-3744

📞 Senator Joni Ernst: (202) 224-3254

📞 Rep. Mariannette Miller-Meeks, 1st District: (202) 225-6576

📞 Rep. Ashley Hinson, 2nd District: (202) 225-2911

📞 Rep. Zach Nunn, 3rd District: (202) 225-5476

📞 Rep. Randy Feenstra, 4th District: (202) 225-4426

Contact the Governor’s Office:

  • Thank Governor Reynolds for stepping up to ensure Iowans’ uninterrupted access to WIC during this extraordinary time, and encourage her to continue doing so.

  • You can call the Governor’s office at (515) 281-5211 or share your opinion online.

Support Your Local Food Bank, Food Pantry, or Anti-Hunger Organization:

  • November is already typically the busiest month at food pantries. If SNAP benefits do not go out for November, organizations will truly be facing an unprecedented level of need.

  • Give what you can – your money, your time, your food. Reach out to your local organization and ask for the best way to help.

Questions? Reach out to us at iowahungercoalition@gmail.com.

How Would a Government Shutdown Impact Food and Nutrition Access in Iowa?

10/14/2025 Update: The state of Iowa has indicated it will cover the costs of WIC for the time being, but this could change in the event of a more prolonged shutdown. USDA has indicated to states they will reimburse them for costs covered during the shutdown. USDA also issued an October 10 memo to state SNAP agency directors informing them that there will be insufficient funds to cover November SNAP benefits for all 42 million Americans enrolled in the program. States have been directed not to submit November SNAP benefits to payment processors. We will provide more information as it becomes available.


With Congress hurtling toward a shutdown of the federal government, we wanted to provide some information on how a government shutdown might impact food and nutrition access in Iowa. While many questions remain, here’s what we know at this point.

The Special Supplemental Nutrition Program for Women, Infants, and Children (WIC)

More than any other federal nutrition program, WIC is at risk of halting benefits and reducing program services in the event of a government shutdown. While both the state and federal government usually have contingency funds available to cover benefits on a temporary basis, this shutdown could be unique, given that it’s happening at the start of a new federal fiscal year.

The National WIC Association estimates there may be enough contingency and carryover funds to keep WIC funded for one week. However, the White House’s Office of Management and Budget (OMB) has stated to media that all WIC funding will stop effective October 1st and new applicants to the program will be rejected.

There are about 63,000 Iowans who currently rely on WIC to help them meet their nutritional needs, with over half of those individuals being children and infants.

It is unclear if WIC funding would be immediately halted, with no benefits going out on October 1st, or if the state may be able to provide some temporary benefits in October that would quickly run dry in the event of a more lengthy shutdown.

Supplemental Nutrition Assistance Program (SNAP)

SNAP benefits for October are safe and should not be impacted by a shutdown. If a prolonged shutdown were to occur, USDA could explore contingency funding options for November, and future months’ SNAP benefits would be even less certain.

During President Trump’s first term in office, the United States experienced the longest government shutdown in history, which lasted for 35 days. In that instance, the USDA directed states to issue their SNAP benefits for February 2019 early. A prolonged shutdown could eventually halt the issuance of SNAP benefits entirely, but that situation has never happened before.

Some retailers could be prevented from accepting SNAP during a shutdown, as we saw in 2019, if they are unable to renew their license renewal with USDA, which is required every five years.

Other Nutrition Programs

Other nutrition programs, such as the National School Lunch Program (NSLP), School Breakfast Program (SBP), and Child and Adult Care Food Program (CACFP) would similarly not be immediately impacted by a shutdown of the federal government, but if a drawn-out shutdown were to occur, we could see future negative impacts further down the road.

IHC Statement on USDA Terminating Household Food Security Report

On Saturday, September 20, 2025, the U.S. Department of Agriculture (USDA) announced it would be terminating the USDA Economic Research Service (ERS) annual Household Food Security Report. The Iowa Hunger Coalition has issued the following statement in response:

This announcement from USDA leaves us with few answers, many questions, and a whole host of concerns. The five-sentence press release from USDA was heavy on rhetoric and light on details. But what we do know is that Iowans and all Americans will be losing a critical, reliable source of information on food insecurity in our country.

Halting data collection and reporting on food insecurity will not make this growing problem disappear. With the impacts of the largest cut to the Supplemental Nutrition Assistance Program (SNAP) in history looming, now is the time to be paying more attention to the rate of hunger in our nation, not do away with one of the most significant reports the federal government compiles on food insecurity. The decision by USDA appears to be part of the Trump administration’s broader push to eliminate independent governmental data and statistics. 

The Iowa Hunger Coalition calls on our elected U.S. Representatives and Senators to investigate the rationale behind USDA’s decision to eliminate the annual Household Food Security Report and any consequences that may come as a result.

Apply to Join the IHC Board of Directors

We are seeking passionate anti-hunger advocates to join our board of directors! IHC’s mission is made possible thanks to our amazing network of supporters, dedicated dues-paying members, and our volunteer board of directors. We are constantly working to build the movement to fight hunger, and we want you to consider playing a larger role in this important work.

We are especially seeking board applicants from a variety of diverse racial, geographic, and professional backgrounds, including:

  • people with lived experience with hunger and food insecurity

  • Black, Indigenous, and People of Color (BIPOC)

  • school nutrition professionals, farmers, rural food pantries, and early childhood educators

To apply, simply send an email titled “Board Application” to iowahungercoalition@gmail.com by Friday, August 22 with the following:

  • A copy of your resume

  • Short answers to the following two questions:
    • “Why does hunger exist?”
    • “Why do you want to join IHC’s board of directors?”


Please note: all board members are required to be dues-paying members of the Iowa Hunger Coalition, either as an individual or through an organizational membership. Become a member today.

Questions? Reach out to us at iowahungercoalition@gmail.com.

Iowa Faces A $1 Billion Loss Over the Next Decade Due to SNAP Cuts in the Reconciliation Bill

Iowa residents, local businesses, and the state government are projected to lose at least $1 billion over the next ten years as a result of cuts to the Supplemental Nutrition Assistance Program (SNAP) included in the budget reconciliation bill, according to new analysis out today from the Iowa Hunger Coalition.

The budget reconciliation bill, also known as the “One Big Beautiful Bill,” included a $187 billion cut to SNAP, the largest funding cut in the history of the program. Both of Iowa’s Senators and all four of Iowa’s Representatives to the U.S. House voted in favor of the bill. President Trump signed the bill into law on July 4, 2025.

Read IHC’s statement on the passage of the “One Big Beautiful Bill”

Some of the negative impacts from this legislation will be immediately felt, with tens of thousands of Iowans soon to be at risk of losing their SNAP benefits. Other provisions won’t take effect for a few years, and the impact and the source of adverse changes may be less evident. The impending cuts will have devastating consequences for Iowans facing food insecurity, the anti-hunger sector, local communities, and Iowa’s state budget.

Estimated Loss of Funding to Iowa Over the Next Decade Due to SNAP Cuts

  • Eliminating Eligibility: -$270 million
    • Expanding work reporting requirements: -$252 million
    • Banning refugees, asylees, and other humanitarian immigrants from SNAP: -$18 million

  • Cutting Future Benefits: -$272 million
    • Freezing future re-evaluations of the Thrifty Food Plan: -$210 million
    • No deductions for internet expenses: -$62 million

  • Loss of Economic Activity: -$293+ million
    • Eliminating eligibility and cutting future benefits will have a ripple effect due to SNAPs economic multiplier effect of 1.54

  • Reductions to the State Budget: -$165-689 million
    • Elimination of the SNAP-Ed program: -$31 million
    • Additional 25% administrative cost-share: -$134 million
    • Benefit cost-share of 0-15%: -$0-524 million

Immediate Impacts: Eliminating Eligibility

The most immediate impacts will come from changes to work reporting requirements and eliminating eligibility for refugees, asylees, and other humanitarian immigrants. These provisions technically took effect upon enactment, but it will take some time for the U.S. Department of Agriculture’s Food and Nutrition Service (USDA FNS) to issue guidance to states to implement the changes. We will know more in the coming weeks and months.

Expanding Work Reporting Requirements

One of the largest policy changes (and subsequent cuts) in the reconciliation bill is an expansion of the three-month time limit for Able-Bodied Adults Without Dependents (ABAWDs), also known as work reporting requirements. This 80 hour/month requirement has already existed for adults ages 18-54 without dependents who were mentally and physically able to work, but has now been expanded to include the following people:

  • adults ages 55-64
  • parents and caregivers of children ages 14+
  • veterans, people who are unhoused, and young adults aging out of foster care (all previously exempt)

Expanding work reporting requirements will reduce SNAP spending in Iowa by an estimated $252 million over the next decade. How? By forcing people off the program who are unable to comply with the onerous new work reporting requirements.

The evidence is clear: work requirements don’t work. They don’t lead to meaningful improvements in employment and earnings. They simply make it harder to apply for and maintain SNAP benefits, even for people who are working. Perhaps this difficulty explains why ABAWDs only make up 3% of Iowa’s SNAP population, according to the Iowa Department of Health and Human Services.

The Center on Budget and Policy Priorities estimates that at least 15,000 Iowans could have their SNAP benefits eliminated due to the new work reporting requirements. When a parent or caregiver loses access to SNAP, children in their household still qualify, but the overall household benefit is reduced. In total, 23,000 Iowans on SNAP are at risk of seeing their household SNAP benefit eliminated or reduced.

Banning Refugees and Asylees from SNAP

The budget reconciliation bill also eliminates SNAP eligibility for many legal non-citizens, including refugees, asylees, victims of trafficking, and certain other immigrants here on humanitarian grounds.

According to USDA FNS, in FY 2023 there were approximately 4,000 refugees and asylees participating in SNAP in Iowa, over half of them children and seniors. Thousands of our neighbors who we welcomed into our state will now have their nutrition assistance stripped away from them.

Mid-Term Impacts: The Pivotal Year Ahead

The 2026 federal fiscal year starts on October 1, 2025—just 10 weeks away. The next year will be pivotal for the state of Iowa, the SNAP program, and the outlook of our state budget. The Iowa Department of Health and Human Services will be under an immense amount of pressure to bring Iowa’s SNAP payment error rate below 6% to avoid paying tens of millions of dollars to the federal government, while balancing separate budget crunches as a result of the reconciliation bill.

The Defunding of SNAP-Ed

The SNAP Nutrition Education and Obesity Prevention program, also known as SNAP-Ed, was defunded in the budget reconciliation bill, effectively (though not technically) eliminating the program. Iowa was set to receive $3.1 million in SNAP-Ed funding in FY 2026 that has now been zeroed out.

SNAP-Ed funds a variety of nutrition education programs for low-income people administered by the Iowa Department of Health and Human Services and Iowa State University Extension & Outreach. Iowa also planned to use SNAP-Ed funding to evaluate the effectiveness of its forthcoming SNAP restriction waiver. The future of programs and personnel funded through SNAP-Ed in Iowa is unclear.

Blocking Internet Expenses from Utility Deductions

Under the Biden administration, the USDA issued a final rule change to allow states to include internet expenses when calculating the Standard Utility Allowance (SUA) for SNAP. The rule change had an implementation deadline of October 1, 2025, though some states began implementing the policy change earlier.

The budget reconciliation bill blocked this rule change from going into effect, reversing the policy. Iowans will not have the chance to deduct the cost of internet expenses when determining their SNAP benefits. This may look like $20 less in SNAP benefits for a household every month, but altogether, amasses to $7 million less in SNAP benefits going out to Iowans every year.

An Eye Toward Future Cost-Shifts

Beginning in FY 2027 (October 1, 2026), Iowa will be required to pay an additional 25% of the administrative costs for SNAP, which will cost the state an estimated $13-15 million. This will have a large impact on Iowa’s FY 2027 budget, which is determined during the 2026 Iowa legislative session. Finding a way to fill this gap in the state budget will leave few good options for state legislators.

To make matters worse, an even larger potential cost to state is looming, with a cost-share on SNAP benefits starting in FY 2028, tied to the state’s payment error rate from either FY 2025 or FY 2026. This means the Iowa Department of Health and Human Services will be under an immense amount of pressure from now until October 1, 2026 (and indefinitely into the future) to get Iowa’s SNAP payment error rate below 6%.

Long-Term Impacts: Threats to the State Budget

Cost-Shifts, Budget Implications, and Shifting the Blame

Since its inception, SNAP benefits have always been 100% paid for by the federal government. That is set to change in FY 2028, with states being on the hook for 0-15% of the states’ SNAP benefit amounts, the level of cost-share being determined by the state’s payment error rate (PER) for SNAP. In order to avoid tens of millions of dollars in cost-share on benefits, states must have a payment error rate below 6%. Right now, Iowa’s PER is 6.14%.

If Iowa’s payment error rate doesn’t fall below 6% in FY 2025 or FY 2026, the state will be on the hook for at least $27 million in FY 2028. That’s assuming a 5% cost share on benefits. In the worst case scenario, if Iowa’s PER rises above 10%, the state would be on the hook for over $80 million. This will be an ongoing concern for the Iowa Department of Health and Human Services every year going forward.

Even if Iowa manages to avoid a cost-share on benefits, our HHS budget will still face huge impacts from the additional administrative cost share and the elimination of SNAP-Ed funding. Iowa’s example has shown us that small smart investments, not massive funding cuts, are the most effective way to bring down payment error rates.

Additionally, when a state pays so much attention to addressing the payment error rate, other important performance metrics can fall to the wayside. While Iowa’s PER has stayed relatively low in recent years, application processing timeliness (APT) for SNAP has fallen to the worst rate in two decades.

With all this pressure on the state budget, our elected officials will be forced to cut programs and services as a way of reducing costs and balancing the budget. Whether this comes in the form of further restrictions to SNAP eligibility or cuts to other programs funded through the state’s HHS budget remains to be seen, but this will have far reaching impacts on the services our state government provides to Iowans.

Freezing the Thrifty Food Plan: A Cut to Future Benefits

Another long-term impact of the budget reconciliation bill is preventing future re-evaluations of the Thrifty Food Plan, effectively cutting future benefit increases. Annual adjustments for inflation will continue.

The Thrifty Food Plan is the lowest-cost of the USDA’s four food plans, and is used to calculate SNAP benefit amounts. In the 2018 Farm Bill, Congress directed USDA to modernize how it calculated the Thrifty Food Plan and make updates every five years. The Congressional Budget Office (CBO) scored the proposal as cost-neutral.

In 2019, during the COVID-19 pandemic, the USDA under the Biden administration announced it had modernized the Thrifty Food Plan, leading to a permanent 21% increase to SNAP benefits nationwide, and a 27% increase in Iowa. While the budget reconciliation bill did not undo this increase, as some had called for, it does prevent future re-evaluations that are not cost-neutral from being conducted without the approval of Congress.

The 2021 modernization was the first time the Thrifty Food Plan had been re-evaluated in 50 years, so it was understandable that the increase was so significant. But the CBO has projected much smaller increases from future TFP updates.

Had the TFP pause not gone into effect, the average Iowan on SNAP would have seen their monthly benefit increase by $8 in FY 2027 and $7 in FY 2032. This means the average monthly SNAP benefit will be an estimated $15 lower in FY 2034 than it would have been without this bill. It may not be a cut to current benefits, but it’s a cut to benefits nonetheless. Iowans will collectively see $210 million less in SNAP benefits over the next decade as a result.

Loss of Economic Activity

SNAP has an economic multiplier effect of 1.54, meaning that every $1 spent on SNAP generates $1.54 in economic activity. When Iowans have less SNAP benefits to spend on groceries, that has a negative impact on local communities. This could lead to grocery stores closing entirely, creating additional food deserts in urban and rural areas alike.

As a result of Iowans having their future benefits reduced, or losing access to SNAP entirely, policies in the budget reconciliation bill will lead to an additional $306 million in losses in the state of Iowa. This number could increase if the state of Iowa takes any actions to further reduce SNAP eligibility or benefits.

Methodology

These estimates use the Congressional Budget Office’s final July 21, 2025 estimated budgetary effects of the reconciliation bill as a general baseline to determine the impact on Iowa in the following ways:

IHC Statement on the “One Big Beautiful Bill”

The Iowa Hunger Coalition has issued the following statement in response to the “One Big Beautiful Bill Act” budget reconciliation bill passed by the U.S. Senate and House of Representatives this week, and signed into law today by President Donald Trump.

The Iowa Hunger Coalition condemns this piece of legislation in the strongest possible terms. It is truly a somber day for Iowa and the United States of America. Tens of thousands of Iowans are now directly at risk of losing access to health care and nutrition assistance.

Iowa Senators Chuck Grassley and Joni Ernst both voted in favor of the largest cut to SNAP in the history of the program, as did all four of Iowa’s Representatives in the House: Mariannette Miller-Meeks, Ashley Hinson, Zach Nunn, and Randy Feenstra. Let their names be forever tied to the legacy of harm this legislation will bring.

The SNAP cost-shift provisions included in the budget reconciliation bill will leave the state of Iowa on the hook for upwards of $40 million annually, putting not only SNAP at risk of cuts, but other programs and services funded through the Iowa Department of Health and Human Services.

Tens of thousands of Iowans are now at risk of losing some or all of their SNAP benefits due to the added administrative burden of work reporting requirements. Even more Iowans will be at risk of losing their health care with work reporting requirements for Medicaid. The research on work requirements is clear: they don’t increase employment or earnings, they just force people off benefit programs. And when people lose access to SNAP and Medicaid, that also puts children at risk of losing access to free school meals.

Thousands of refugees, asylees, and other legal non-citizens we’ve welcomed into Iowa on humanitarian grounds are now set to lose their SNAP benefits—over half of them are children and seniors. Iowa’s federal delegation to Congress has forsaken the legacy of Robert Ray, and turned its back on the amazing Iowans who have come from every corner of the globe to call our state home.

All of Iowa’s members of Congress voted in favor of eliminating the SNAP Nutrition Education Program (SNAP-Ed), which funds nutrition education and obesity prevention programs at the Iowa Department of Health and Human Services and Iowa State University Extension & Outreach. Voting to defund SNAP-Ed is entirely unjustifiable and antithetical to the President’s “Make America Healthy Again” agenda.

Despite the rhetoric espoused by politicians attempting to defend their indefensible votes, there is very little waste, fraud, and abuse in SNAP. Based on the state of Iowa’s own data, SNAP has a less than 0.1% fraud rate. Payment errors are not fraud, include both underpayments and overpayments, and when overpayments are identified people must repay them.

The truth is, there is no defending this bill. SNAP enrollment in Iowa is the lowest it has been in 17 years, while food banks and food pantries continue to face record-breaking numbers of people turning to them for assistance. SNAP is already largely inadequate and inaccessible for too many Iowans, but it’s also the absolute best tool we have in the fight against food insecurity.

Every $1 invested in SNAP generates $1.54 in local economic activity, thanks to SNAP’s economic multiplier effect. When people lose access to SNAP, that means less dollars being spent in local communities across our state, urban and rural alike. Fewer grocery stores and more food deserts may be on the horizon for Iowa.

And despite the historic need at food banks and food pantries, despite the fact that food insecurity is increasing in every single county in the state, despite the fact that this bill will harm our state budget and rural communities, Iowa’s elected officials decided it was necessary to vote for the largest cut to SNAP in the history of the program.

Iowa’s SNAP Payment Error Rate Slips Slightly in FY24, with Million-Dollar Implications for the State Budget

On Monday, June 30, the U.S. Department of Agriculture released payment error rate (PER) data for the Supplemental Nutrition Assistance Program (SNAP) for the federal fiscal year 2024. This is usually an interesting, albeit wonky data point for advocates and state agencies: one of three performance metrics states are evaluated on through SNAP’s Quality Control process.

But now, the SNAP payment error rate potentially has multi-million dollar implications for states, thanks to Republican proposals in the ongoing budget reconciliation process that would require states to cost-share on SNAP benefits for the first time in the history of the program. The proposal would use states’ payment error rates to determine what percentage of SNAP benefits the states would be required to cover.

Iowa’s SNAP payment error rate (PER) for FY 2024 was 6.14%. This was significantly lower than the national average of 10.93%, though slightly worse than Iowa’s PER of 5.19% in FY 2023 (learn more about the history of the SNAP payment error rate in Iowa).

Iowa’s overall SNAP payment error rate of 6.14% includes an overpayment rate of 5.30% and an underpayment rate of 0.84%. Keep in mind: the payment error rate measures the accuracy of state agencies in determining SNAP eligibility and benefit amounts. The payment error rate does not represent program fraud. When overpayments are identified, the state is required to recoup those costs from program participants, often through garnishing tax returns or reducing future benefit amounts.

In the context of the reconciliation bill currently being debating in Congress, this means that unless Iowa could successfully get its PER back under 6% in FY 2025 or FY 2026, the state would be required to cover an estimated $27 million in SNAP benefit costs annually starting in FY 2028. But if Iowa’s payment error rate continues to slip, we could be on the hook for tens of millions more.

The current proposal, literally being debated in the Senate at the time this post was published, would require states to cover 75% of administrative costs for SNAP (currently 50%), and would also require states to cover a portion of the cost of SNAP benefits, based on the states’ payment error rate.

  • For states with a PER below 6%, the cost-share would be 0%
  • For states with a PER between 6-8%, the cost-share would be 5%
  • For states with a PER between 8-10%, the cost-share would be 10%
  • For states with a PER exceeding 10%, the cost-share would be 15%

A late amendment to pass the Senate Parliamentarian would allow states to choose their payment error rate from either FY 2025 or FY 2026 to determine their level of cost-share on benefits, beginning in FY 2028. The additional 25% cost-share on administrative expenses would begin a year earlier in FY 2027.

If these SNAP cost-share provisions pass and are signed into law, the state of Iowa could be on the hook for upwards of $40 million annually.

It’s not too late to contact Iowa’s Senators and House Representatives, and urge them to drop the SNAP cost-sharing provisions included in the budget reconciliation bill!