Texas to Face $700 Million in Federal Penalties for SNAP Errors Through 2027

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….