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USDA Orders States to Reverse Full SNAP Payouts After Supreme Court Stay

An administrative stay allows the Trump administration to cap November benefits near 65% pending the First Circuit’s review.

Overview

  • A late‑Saturday USDA memo instructed state agencies to halt full SNAP issuances and process only partial files reflecting about a 35% reduction from maximum allotments.
  • The guidance warned that states defying the directive could lose the federal share of administrative funding and be held liable for any overpayments.
  • States that loaded full benefits after lower‑court orders are resisting clawbacks; Wisconsin’s federal reimbursement was frozen, and filings warn of potential “catastrophic operational disruptions.”
  • Leaders in New York and Massachusetts told recipients to keep using funds already on their cards, and several states have discussed or used state dollars to sustain November assistance.
  • With the shutdown at roughly 40 days, SNAP’s first‑ever monthly lapse and reduced disbursements are driving surging demand at food banks as the appeals court considers the case.