Food-stamp fraud numbers expose which states are draining the most taxpayer dollars

New data from the U.S. Department of Agriculture reveal the states where the nation’s largest food assistance program is costing taxpayers the most through fraud and misuse.

The size and scope of the Supplemental Nutrition Assistance Program (SNAP), which supports more than 40 million Americans, came under renewed scrutiny during the government shutdown as funding for the sweeping food assistance program neared a funding lapse.

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The spotlight on the program, meant to be a lifeline for low-income households, was welcomed by Agriculture Secretary Brooke Rollins, who told Fox Business on Monday that the Trump administration will require all SNAP participants to reapply for benefits in an effort to prevent fraud. 

Rollins has previously said that one of her top early priorities was reevaluating SNAP, amid concerns about who qualifies and how the program is monitored.

"There are vulnerable families in America that need this program that aren’t getting it because of the fraud and abuse that now we’re going to work to fix," Rollins said.

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The scale of the program is striking. 

During former President Joe Biden's administration, federal spending on SNAP climbed to record highs at $128 billion in 2021 and $127 billion in 2022, largely driven by COVID-19 relief measures that expanded access to food assistance.

Last year, SNAP cost $99.8 billion, with participants receiving an average of $187 in monthly benefits, federal data show.

As part of her review of SNAP benefits, Rollins said she directed states in February to share data on recipients. 

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So far, only 29 states, mostly Republican-led, have complied. 

She said even that limited data has already uncovered significant misuse, including 186,000 deceased individuals receiving benefits and about 500,000 people collecting SNAP assistance in more than one state.

Initial data from the USDA’s Food and Nutrition Service show Alabama leading the nation with more than 26,000 stolen SNAP benefit claims. California follows with 25,818 stolen benefit claims, and New York ranks third with 25,210.

Nationwide, more than 226,000 fraudulent SNAP benefit claims and more than 691,000 unauthorized transactions have been approved. Fraudulent transactions are categorized as purchases that SNAP recipients did not authorize, often the result of card skimming, cloning, or other forms of electronic theft.

What's more, the data shows that fraudulent claims and transactions are more likely to be approved than denied, underscoring gaps in oversight.

Those stolen benefits cost the government more than $102 million in the first quarter of fiscal year 2025, up from $69.4 million in the previous quarter and $31.9 million during the same period a year earlier.

The figures cover only the first quarter of fiscal year 2025 and exclude states that have yet to report full data.