The reconciliation law enacted in July 2025 (H.R. 1; P.L. 119-21) included significant changes to the Supplemental Nutrition Assistance Program (SNAP). Among these was a provision requiring states to pay a portion of SNAP benefit costs based on their fiscal year (FY) 2025 or FY 2026 error rates. The Department of Agriculture (USDA) has just released the FY 2025 error rates, which indicate an annual cost shift of $9.4 billion to states for SNAP benefits.
This Issue Brief summarizes changes to state SNAP benefit cost-sharing and provides state estimates of the share of SNAP benefits states would be required to pay based on FY 2025 error rates.