Section 10106: States that will suffer the most

 The states likely to feel the greatest strain from Section 10106—where the federal government cuts its share of SNAP admin costs from 50% to 25%—are those that:

  1. Spend more per SNAP case on administration, and

  2. Manage large SNAP caseloads, especially during economic stress.


Here’s what we know:

🏛️ Which States Will Suffer Most?


1. High State Administrative Costs per Case


USDA’s research shows state admin costs per SNAP case vary widely. Some states spend significantly more per household—meaning they’ll face larger state budgets obligations when the federal share drops. In simple terms:

  • If a state usually spends $200 per family but collects only 50% back from the federal government, its net burden doubles when it must now cover 75%.

  • States with higher costs per case (due to geography, low population density, or tech inefficiencies) will see more financial stress.  


2. States with Large SNAP Caseloads


According to USDA ERS:

  • States like California, Texas, Florida, New York, and New Mexico have large SNAP enrollments—between 11% and 23% of residents receive benefits.  


So, a state that spends more per case and helps many households will face the biggest increase in required state spending.

🔍 Examples of Likely Impacted States

  1. Rural States with high administrative costs (like Alaska, Montana):

    • Admin costs tend to be higher per case due to geography and low population density.

  2. Large states with high SNAP participation (California, New York, Texas, Florida):

    • sheer volume of cases means even small administrative costs are multiplied across millions of households.

  3. States with both factors (e.g., New Mexico):

    • High per‐case costs and roughly 23% of residents on SNAP  . These states will be hit especially hard.


While exact cost figures per state need deeper analysis, the USDA report (Exploring Variation in SNAP Admin Costs) is a great resource to see which states spend more per case.  

👩‍⚖️ Why It Matters


Section 10106 shifts more of the SNAP infrastructure cost onto states, who will now cover 75% of these admin expenses. That could lead to:

  • Cuts in program staff

  • Delays in processing SNAP applications

  • Potential rollsbacks in modernization efforts that streamline access


States that already struggle with high administrative costs or large SNAP populations could see the greatest disruption.


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