Texas To Face $700 Million In Federal Penalties For SNAP Errors Through 2027
Saturday, Apr 11, 2026 Sylvia Xu via The Epoch Times,
Texas is expected to pay $708 million more by 2027 to the federal government in penalties for erroneous distributions from the Supplemental Nutrition Assistance Program (SNAP).
The state officials released the cost in a presentation to the Senate Committee on Health and Human Services on April 8.
The state payment error rate was estimated to be nearly 9 percent in fiscal year 2025, totaling $627 million in erroneous payments.
Under the One Big Beautiful Bill Act, Texas will need to share an additional food stamps program cost of $708 million, 10 percent of the state’s total program benefits, based on its error rate, beginning October 2027.
Currently, the federal government fully funds the food stamps program, while states only need to pay half of the administrative expenses.
In fiscal year 2024, Texas received nearly $7 billion in federal funding and paid roughly $470 million for administrative costs.
Starting in October 2026, the states will need to share the administration costs at a rate of 75 percent. By 2027, Texas is expected to pay about $826 million more after adding in administrative fees of $117 million.
To avoid that result, Texas needs to bring its error rate down to 6 percent before the fiscal year ends this September.
In Texas, more than 3.2 million residents benefit from the food stamps program as of December 2025, according to U.S. Department of Agriculture data. https://www.zerohedge.com/political/texas-face-700-million-federal-penalties-snap-errors-through-20276% Error rate is acceptable?
That seems ridiculous to have as a goal.
