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USDA Declines To Use Contingency Funds, Putting November SNAP Payments at Risk

State agencies warn of suspended issuances pending congressional action for 42 million recipients.

Overview

  • USDA’s Food and Nutrition Service told states that available appropriations cover only October and directed them to retain November issuance files and delay EBT transmissions.
  • A USDA memorandum says roughly $6 billion in SNAP contingency reserves are not legally available for regular fiscal 2026 benefits and states would not be reimbursed if they use their own funds.
  • Louisiana announced no new benefits will be added starting November 1 without federal funding, and officials in Texas, New York, California, and Pennsylvania warned November payments could be halted, with Texas flagging a cutoff if the shutdown extends past October 27.
  • November SNAP needs are estimated at about $8 billion, outstripping the reported size of the contingency fund even if it were used.
  • Sen. Josh Hawley filed emergency legislation to keep SNAP and critical farm programs funded during the shutdown, while policy advocates including the Center on Budget and Policy Priorities argue USDA can deploy reserves and cite past shutdown responses and the recent WIC funding shift.