Mississippi Faces Potential $75 Million SNAP Cost as Federal Requirements Shift
Mississippi could incur an estimated $75 million annually in Supplemental Nutrition Assistance Program (SNAP) benefit costs under new federal requirements, effective fiscal year 2028. This comes as food pantries across the state report a significant increase in demand for assistance, with the Mississippi Food Network noting a 36% rise in visits from the previous year. Starting October 1, states will be responsible for 75% of SNAP administrative costs, up from 50%. Additionally, states may have to contribute directly to SNAP benefit costs based on their payment error rates. Mississippi's fiscal year 2025 payment error rate was 9.51%, which, if maintained, would place the state in the 10% cost-share tier, leading to the $75 million annual cost. Governor Tate Reeves has stated that reducing Mississippi's error rate below 8% is a priority, which would lower the state's annual cost to an estimated $40 million.