Impact Fund and Western Center on Law and Poverty Reach Settlement with USDA to Provide Emergency Food (SNAP) Assistance to Californians with Greatest Need

David Nahmias, Staff Attorney

Over one million California households will soon be eligible to receive emergency COVID-19 related nutrition assistance, thanks in part to a settlement agreement reached yesterday by the Impact Fund, Western Center on Law and Poverty, and the U.S. Department of Agriculture.  This important victory comes after ten months of litigation in Hall v. USDA, which challenged the Department’s interpretation of the March 2020 law authorizing emergency Supplemental Nutrition Assistance Program (SNAP) payments—otherwise known as food stamps—to current SNAP recipients. Within hours of the settlement, USDA issued new guidance announcing a policy change that will provide at minimum $95 a month in emergency assistance to all households participating in SNAP on top of their regular monthly benefits. This updated policy will ensure the lowest-income Californians will have access to vital nutrition assistance while continuing to deal with the severe economic and public health consequences of the COVID-19 pandemic.   

Last March, Congress passed the Families First Coronavirus Response Act in part to address the spiraling rates of food insecurity, shortages, and hunger resulting from the coronavirus pandemic. Specifically, the Act authorized USDA to approve states’ requests for emergency allotments to households participating in SNAP. Within days of enactment, however, USDA issued guidance that denied emergency allotments to the lowest-income households because they received the maximum regular monthly benefit—which was less than $6.50 per person a day at that time. When California applied for the emergency aid, USDA initially denied the state’s request because it included benefits for those receiving the maximum regular benefit. USDA did not approve California’s request until the state removed households receiving the maximum.  

In May 2020, we filed a class action on behalf of Robin Hall and Steven Summers, two California SNAP recipients who received the maximum regular monthly benefit and were denied emergency allotments under the Families First Act. Robin and Steven are single adults in groups at high risk for complications from COVID-19, who have struggled to maintain healthy diets during the pandemic. “Even before the pandemic, I worked hard to stretch my monthly SNAP benefits to meet my food needs,” said Robin. “The pandemic made it much harder to get regular meals.” 

“I feel so honored to fight for everyone like me.”- Robin Hall, Plaintiff.

Our lawsuit challenged USDA’s guidance as an unlawful interpretation of the Families First Act. We sought a preliminary injunction prohibiting USDA from enforcing its guidance and certification of a class of over one million California households with no- or very low-income levels to whom USDA denied emergency allotments. We litigated the case throughout the summer and fall in the federal district court in Oakland and before the Ninth Circuit, as USDA continued to enforce its rule denying assistance to those SNAP recipients with the greatest need. Meanwhile, the enduring pandemic and economic recession still disproportionately harms low-income people and has exacerbated levels of hunger, with California experiencing the greatest increase in the number of people suffering from very low food security nationwide.  

Upon the inauguration of President Joseph R. Biden, Jr., however, the White House issued an executive order calling on all federal agencies, including USDA, to address the current economic crisis resulting from the pandemic and to prioritize actions that provided the greatest relief. It also published a fact sheet that called for “larger emergency [SNAP] allotments for the lowest-income households.” The fact sheet indicated that “USDA will consider issuing new guidance that would allow states to increase SNAP emergency allotments for those who need it most,” which the administration estimated at over 12 million people nationwide. 

Our settlement and the updated guidance mark a significant step in the Biden Administration’s new approach to emergency allotments. Under the terms of yesterday’s settlement, USDA agreed to immediately stop enforcing its guidance on emergency allotments as to California. The same day, USDA issued new guidance for the entire country, which provides for $95 in emergency allotments to all SNAP households at the maximum regular benefit. In addition, households currently receiving emergency allotments below $95 will see their allotments increase to that amount, while SNAP households receiving more than $95 in emergency allotments will see no change. The Department determined that this broader interpretation of the Families First Act, as we advocated for, “better aligns with Congress’s purpose of providing assistance to families most in need during the pandemic.”  This new approach “will provide greater equity for households most in need,” USDA declared.  

“I hope this is a springboard for recognizing the shortcomings in SNAP and making more changes to combat hunger.” - Plaintiff, Steven Summers

“This settlement represents exactly what we were hoping to achieve here in California,” said Lindsay Nako, Impact Fund’s Director of Litigation and Training. “USDA’s willingness to settle this lawsuit, as well as the steps the Biden Administration has taken to make this emergency food aid available to people with the lowest incomes, is cause for optimism about the future of SNAP – in California and beyond.”

USDA has also reached a settlement in a related lawsuit in Pennsylvania, Gilliam v. USDA, No. 20-3504. That case, brought by Community Legal Services in Philadelphia and the law firm Morgan Lewis, similarly challenged USDA’s emergency allotments guidance as unlawful.  Their settlement ensures that some 650,000 Pennsylvania SNAP recipients will also receive emergency nutrition assistance.

“We are pleased to see USDA turn the page toward making sure people who need help the most can get it,” said Alexander Prieto, a senior litigator for Western Center who represented the plaintiffs. “The past year has been incredibly hard for people with very low incomes. This settlement with USDA is a step in a new direction, and we hope for continued efforts to expand, rather than take away, vital safety net programs.” 

According to Steven Summers, one of the California plaintiffs, our case showed that federal nutrition assistance does not guarantee food security.  “Households have to supplement what they receive even in normal times -- just because you get the full amount doesn’t mean you are on easy street. Hopefully this lawsuit will be a reminder of this: not enough is not enough, no matter how much you receive. I hope this is a springboard for recognizing the shortcomings in SNAP and making more changes to combat hunger.” Steven has more to say about the lawsuit and myth-busting when it comes to SNAP.

Please click here for our press release.