A GOP-backed proposal that would shift some of the cost of food assistance to states for the first time is drawing renewed concern in the party, as critics argue the effort could lead to states cutting benefits on their own.
Republicans are pushing to pass the proposal — which could see states with higher payment error rates covering a greater share of benefit costs under the Supplemental Nutrition Assistance Program (SNAP) — as a part of the broader spending cuts and tax package in the coming days. But that doesn’t mean some Republicans aren’t concerned about the measure.
“Our big thing is the data to be used, the data to be used on the error rate,” Sen. Dan Sullivan (R-Alaska.) told The Hill on Friday. “So, that’s important to make sure that the data is as accurate and reflective of the year you're judging as possible.”
Numbers from the U.S. Department of Agriculture showed Alaska’s payment error rate — which factors in overpayment and underpayment error rates — reached above 60 percent in fiscal year 2023. The national average hit 11.68 percent.
Sullivan noted the state has seen much lower payment error rates prior to the pandemic and is on a path to improving those figures, noting new numbers are expected soon. But he added, “It’s still higher than our traditional error rate, and as you know, the cost share is based in part on that.”
According to the Alaska Beacon, the state’s error rate hiked after state officials said they violated federal rules in order to continue feeding people amid a significant backlog in applications.
Under the initial plan crafted by the Senate Agriculture Committee, Republicans sought to require states to cover some SNAP benefit costs if they have a payment error rate above 6 percent beginning in fiscal 2028. The proposal in the megabill would also allow states with rates below that level to continue paying zero percent.
It also proposes states with higher payment error rates cover a greater share of benefit costs. If the error rate is 6 percent or higher, states would be subject to a sliding scale that could see their share of allotments rise to a range of between 5 percent and 15 percent.
However, Senate Republicans tweaked the plan after facing a setback when their “state cost-share” proposal was rejected by the chamber’s rules referee as part of a megabill the party hopes to pass in the coming days.
A release from the agriculture committee said the updated plan would allow states to choose the payment error either fiscal year 2025 or 2026 to “calculate their state match requirement that begins in Fiscal Year 2028.”
For the following fiscal year, the “state match will be calculated using the payment error rate from three fiscal years prior,” the committee said, adding a “state must contribute a set percentage of the cost of its SNAP benefits if its payment error rate exceeds six percent.”
Asked about further potential changes to the plan, Agriculture Committee chair Sen. John Boozman (R-Ark.) said Friday that negotiators “worked really hard to try and get a situation that worked for as many people as we could, and I think we've achieved that.”
“Alaska is a unique state, unique situation, so I know that everybody’s trying to work hard to accommodate situations that don't fit,” Boozman said Friday afternoon. “So, I haven't heard of any changes, and I'm sure that, you know, [Senate Majority Leader John] Thune [(R-S.D.)] will grab me if that comes about.”
“On the other hand, he is trying to make it such that members can get their particular worries taken care of,” he said.
Under a special process Republicans are using to pass the bill, they can move the legislation through the chamber with a simple majority. But with staunch Democratic opposition, they can only afford a few GOP defections to pass the bill, given their 53-seat majority.
Asked briefly about the party’s SNAP proposals later, Sen. Lisa Murkowski (R-Alaska) told The Hill, “We’re still in trouble on SNAP.”
“The implementation is still next to impossible for us,” she said.
Republicans say the states’ cost-share proposal would incentivize states to improve their error rates. But Sullivan and Murkowski aren’t the only Republicans who have voiced concerns about the effort in recent weeks.
Originally, the House plan called for all states to cover 5 percent of the cost of allotments in its initial version of Trump’s megabill, with states that had higher payment error rates having to pay anywhere between 15 percent and 25 percent.
However, the proposal was dialed back after concerns from other Republicans, including Sens. Tommy Tuberville (Ala.) and Jim Justice (W. Va.) over the measure.
Asked if he’s meeting with Boozman or Thune on the matter, Sullivan also told The Hill on Friday evening that he’s “meeting with everybody.”
“For me, it’s just important to get the data as close to the date that you’re judging,” Sullivan said, adding that he expects Alaska to see a notable drop in its error rate in a coming report.
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