Food Stamps

How It Works

The Food Stamp Program assists low-income people with buying food. Participants receive monthly vouchers that can be used to purchase food. The amount of food stamps depends on the family’s monthly income and expenses. Families with incomes at or below 130% of the Federal Poverty Level (FPL) may receive food stamps. However, to qualify for the Food Stamp Program, all household members must be either U.S. citizens, U.S. nationals, an American Indian or have status as a qualified alien.

The Food Stamp Program is primarily funded by the federal government. Eligibility and benefit levels are generally set at the federal level and are uniform across States. However, States do have discretion in how they set up application, reporting and recertification processes that affect program accessibility. The Food Stamp Program is an entitlement program.

In 2005, 25.7 million people received food stamps. About 80% of these recipients lived in households with children.

History

The Food Stamp Program was enacted in 1965. In 1996, national legislation barred most legal immigrants from the program. However, reforms in 1998 and 2002 restored eligibility to certain categories of qualified immigrants, including children.

Policy Update

Food insecurity has been growing in the U.S. The USDA reported an increase in individuals facing food insecurity of 6 million people between 1999 and 2004. This, in combination with a swinging economy, has resulted in an increase in food stamp participation.

The President’s proposed FY 2008 budget includes a provision that could cut the Food Stamp Program by $540 million over the next five years, cutting 300,000 low-income individuals off the program in an average month. The proposal aims to restrict states from coordinating certain aspects of eligibility for their Food Stamp Programs with eligibility rules for state TANF programs. More than 40 states take advantage of this option and families would be made ineligible for food stamps because even though their net income (gross income minus qualified expenses) is below the FPL, their gross income is just above the 130% of the FPL Food Stamp Program eligibility level. The proposal would have the greatest income on low-income working families with children.

For the full Center on Budget and Policy Priorities report, click here.

Links

United States Department of Agriculture, Food & Nutrition Service

USDA FNS Food Stamps Pre-Screening Eligibility Tool

National Center for Children in Poverty

Center on Budget and Policy Priorities

References

National Center for Children in Poverty. Food Stamps. Available at: http://www.nccp.org/policy_long_description_20.html. Accessed March 1, 2007.

Center on Budget and Policy Priorities. Administration Proposal Would Cut Over 300,000 People Off Food Stamps. February 23, 2007. Available at: http://www.cbpp.org/2-23-07fa.htm. Accessed March 1, 2007.

Social Security Online. Food Stamps and Other Nutritional Programs. Available at: http://www.ssa.gov/pubs/10100.html. Accessed April 19, 2007.