Americans will receive only half of their food stamp benefits in November: The White House has tapped its reserve fund - ForumDaily
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Americans will receive only half of their food stamp benefits in November: The White House has tapped into its emergency fund.

The Trump administration announced on November 3 that it would distribute only half of the regular food benefits for November. The SNAP reserve fund will be used for this purpose. However, recipients may not receive the payments immediately, writes CNN.

Approximately $4,65 billion from the US budget's reserve fund will be used to cover 50% of current payments to families receiving food stamp benefits. The US Department of Agriculture (USDA) informed a federal judge of this after the court ordered the government to use the reserve fund to at least partially cover food stamp payments.

The remaining $600 million from the fund, according to a USDA official, will be used for state administrative costs and food aid to Puerto Rico and American Samoa.

The decision comes after a federal judge in Rhode Island last week ordered the USDA to either begin paying recipients the full November benefits or partial payments (if the agency decides to use SNAP reserve funds).

On the subject: Americans will no longer receive food stamp benefits due to the shutdown.

The administration said it had declined to withdraw $4 billion from other sources to fund full payments for November.

According to USDA data from May, nearly 42 million Americans receive food stamps, which provide households with an average of just over $350 per month.

The agency's unprecedented decision to suspend payments sparked panic among many recipients, forcing them to turn to overwhelmed food banks to feed themselves and their families. Millions of SNAP recipients have not received their payments since November 1st. Even more could find themselves in the same situation within the month, depending on the payment schedule.

Delayed payments

While the USDA issued partial payment guidance to states on November 3, the agency warned that recipients in some states may not receive their November benefits for weeks or even months, USDA spokesman Patrick Penn told the court.

Partial payments will require states to reprogram their systems to adjust for the reduced amounts, which could be challenging.

"Given the differences between state systems, some of which were created decades ago, it's unclear how many states will be able to implement changes automatically with minimal disruption, and how many will be forced to resort to manual adjustments. This could lead to errors and significant payment delays," the official explained.

The November benefit distribution process halted after the USDA sent a letter to states on October 10 ordering them to halt operations. The agency stated that it did not have the funds to make payments due to the federal government shutdown that began on October 1.

States typically release SNAP participant data to providers every month, often a few days or weeks before the start of the new month, so they can deposit funds onto recipients' cards. These steps must be completed before payments can resume.

Providing full payments for November would have been simpler and faster. However, Penn explained that the Department of Agriculture decided not to use funds earmarked for child nutrition programs to cover these costs, as doing so would "create an unprecedented shortfall" in the funding source that typically provides free or reduced-price school meals and other purposes.

"USDA has determined that creating a deficit in Child Nutrition Program funds to fund one month of SNAP benefits is an unacceptable risk... because transferring $4 billion to SNAP-enrolled Americans would only shift the problem to millions of low-income children receiving school meals," he explained.

This funding source, formed from unused customs duties, currently contains approximately $17 billion.

Court decisions

In a ruling last week, federal Judge John McConnell of Providence, Rhode Island, gave the administration until noon ET on November 3 to announce what it intends to do.

A second federal judge (in Boston) made a similar ruling and ordered the agency to use the SNAP reserve fund to pay at least some of the benefits.

Both judges ruled that the question of whether to use other funds to ensure full payments remains at the discretion of the agency.

The USDA previously claimed it could not use the reserve fund, explaining in a memo that "reserve funds cannot be legally used to cover routine payments." The agency explained that these funds are intended for payments in the event of natural disasters.

On October 31, President Donald Trump announced his desire to resume payments. According to Truth Social, he instructed administration lawyers to go to court to determine how to legally fund benefits as quickly as possible, as, according to the lawyers, "we do not have the legal authority to use certain funds for SNAP payments."

"Even if we receive immediate clarification, payments will unfortunately still be delayed until the states release the funds," Trump wrote. "If the court grants us legal permission, I would be HONORED to fund these payments—just as I have for the military and police."

The administration decided to use the remaining tariff funds to fund other priority areas. Last month, the USDA transferred $300 million from this source to temporarily continue providing WIC food assistance to pregnant women, new mothers, and young children.

The decision to pause payments prompted a group of Democratic attorneys general and governors from 25 states and the District of Columbia to file a lawsuit in Boston on October 28, and a coalition of cities, nonprofits, labor unions and small businesses to file a similar lawsuit in Rhode Island on October 30.

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Democracy Forward, which represents the plaintiffs in the Rhode Island case, said it is dissatisfied with the administration's decision to pay only part of the SNAP benefits and is "considering all legal options to obtain full funding."

"It shouldn't take a court order to force our president to provide the food Congress has clearly stated must be provided. But if necessary, we will continue to use the courts to protect people's rights," said Skye Perryman, president and CEO of the organization. "Rest assured, we will continue to work to ensure people receive all the benefits they are entitled to under the SNAP program."

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