SNAP payment errors hit $10.1B nationwide, surpassing federal threshold
Food insecurity in Minnesota: SNAP cuts and rising demand
Minnesota food shelves are facing growing pressure as potential federal SNAP cuts, rising grocery prices and increased demand strain already limited resources.
WASHINGTON, D.C. (FOX 9) - The U.S. Department of Agriculture (USDA) says states are making billions in SNAP payment errors, triggering new rules and penalties aimed at improving accountability.
SNAP payment errors remain high despite improvement
What we know:
The national payment error rate for SNAP in fiscal year 2025 is 10.62%, which is higher than the 6% congressional threshold. The rate includes both overpayments and underpayments to families receiving SNAP benefits.
According to the USDA, these errors represent a collective $10.1 billion in improper payments across the country.
While the rate is a modest decrease from fiscal year 2024, the agency says it still signals significant waste at the state level.
"These payment error rates are further proof that state accountability is severely lacking in SNAP," said USDA Secretary Brooke L. Rollins in a statement. "USDA has taken historic action to help interested states curb SNAP waste, and I hope other states, regardless of political leadership, prioritize needy families and the American taxpayer over politics."
Minnesota overpaid by 9.86% — Emmer reacts
By the numbers:
The USDA released the SNAP payment error rates for Fiscal Year 2025 on Wednesday.
According to the report, Minnesota had an overpayment rate of 9.86%, ranking it in the top half of all states for SNAP overpayments. The 9.86% overpayment rate is estimated to equal around $86.6 million.
Minnesota’s Fiscal Year (FY) 2025 SNAP overpayment rate is over 56% higher than the previous year’s overpayment rate.
Tom Emmer, Majority Whip for the U.S. House of Representatives, issued the following statement about the overpayment: "Tim Walz’s Minnesota has one of the highest SNAP overpayment rates in the country. Under Walz’s so-called leadership, our overpayment rate increased by more than 50% in just one fiscal year. This is unacceptable, and if it continues, hardworking Minnesotans are going to pay the price for the Walz Administration's total inability to manage and safeguard taxpayer dollars. Minnesotans deserve better, and there needs to be accountability for the elected officials who continue to mismanage government funds."
States with high error rates face new penalties, requirements
Why you should care:
New rules have been added for states with high payment error rates, meaning states with rates at or above 6% will be responsible for covering a portion of their SNAP benefits — either 5%, 10%, or 15%, depending on how high their error rate is. The financial consequences could start as soon as Oct. 1, 2027.
The FY 2025 error rate is the first year that could be used to calculate these percentages.
In addition, states with error rates at or above 6% must submit a Corrective Action Plan to the USDA’s Food and Nutrition Administration. Some states may also face a separate financial penalty as part of the SNAP quality control process.
The backstory:
SNAP, formerly known as food stamps, is a federal program that helps low-income families buy groceries. Payment error rates have been a longstanding concern, with Congress and the USDA working to tighten oversight and reduce waste in recent years.
The Source: Information from the U.S. Department of Agriculture.