USDA Proposes SNAP Rule Change That Would End Benefits for 6.3 Million People

The U.S. Department of Agriculture has proposed a rule that would end the automatic path into the Supplemental Nutrition Assistance Program that most states now use, a change the department estimates would remove food benefits from about 6.3 million people in 3.2 million households once it takes full effect in fiscal 2029.

The proposal, posted for public inspection on Monday, November 9, and published in the Federal Register on Tuesday, November 10, targets broad-based categorical eligibility. Under that policy, a household that receives a benefit or service funded by the Temporary Assistance for Needy Families program can qualify for SNAP without a separate check against the program's federal income and asset limits. Forty-six of the 53 state and territorial agencies that run SNAP use the policy, according to the department, and 41 states do not test applicants' assets under it.

What would change

Under the proposed rule, only households that receive TANF assistance, meaning cash aid and support meant to meet ongoing basic needs, would qualify automatically. A referral to job training, a childcare voucher or another non-cash service would no longer be enough on its own. States that now set higher income limits or skip asset tests under the policy would have to apply the federal tests to households that lose the automatic route.

The department projects federal savings of about $44.6 billion between fiscal 2027 and 2031. Its analysis says about 16.9 percent of participating households would lose benefits in fiscal 2029, the first year the rule is expected to reach full effect. The change would also reach school cafeterias. USDA projects that about 1.78 million children would lose automatic eligibility for free school meals, which is tied to SNAP enrollment, though most would still qualify through a separate income-based application.

The argument and the history

USDA argues in the proposal that broad-based eligibility has drifted from what Congress intended, which was to spare families already screened by another program from duplicate paperwork. The department says limiting the policy would make eligibility more uniform across states and preserve benefits for the truly needy.

The fight over this policy is not new. USDA first proposed limiting categorical eligibility in July 2019, during President Donald Trump's first term. The Biden administration withdrew that proposal in June 2021. The department released a second proposal in the same week that would write the tougher SNAP work requirements from the tax and spending law signed in July 2025 into regulation. Reuters has reported that SNAP enrollment has fallen by more than 5.5 million people since that law took effect, to about 36 million people.

What happens next

Nothing changes for current recipients now. The proposal is open for public comment for 30 days, with written comments due December 10, 2026, under docket FNA-2026-0661. USDA will review the comments before deciding whether to issue a final rule. Deputy Secretary Stephen A. Vaden signed the proposal.