FMI has asked the U.S. Department of Agriculture to rescind proposed SNAP waiver pilots in Louisiana and Montana that would bar benefit-funded purchases of products including soda and candy.
The grocery industry group said USDA does not have authority under federal law to approve the restrictions. It also argued that varying state rules would impose new compliance demands on retailers and create uncertainty for shoppers using Supplemental Nutrition Assistance Program benefits.
Legal and retailer concerns
FMI cited a June federal district court decision finding that USDA exceeded its authority when it approved food-purchase restrictions in five states. USDA has since postponed implementation schedules for previously approved waivers while seeking public input.
The organization said the proposed projects do not fit the pilot authority provided under Section 17 of the Food and Nutrition Act of 2008. FMI urged USDA to use authorized options, including the Healthy Incentives Pilot Program, if the department wants to pursue nutrition-related changes to SNAP.
Product lists and state variation
FMI said 17 states had not supplied retailers with universal product codes for items that would lose SNAP eligibility. The group said six states had published lists of ineligible items, but four of those states had not maintained those lists consistently.
Elizabeth K. Tansing and Jessica Tanner wrote that inconsistent waiver terms and unclear definitions have produced “widespread confusion across the retailer community and among SNAP participants.”
They also said restrictions on soft drinks, energy drinks and candy would not increase program administration or the self-sufficiency of SNAP participants.
FMI said the state-by-state approach could lead some stores to leave the SNAP program, potentially increasing the number of underserved areas. The organization asked USDA to reverse the proposed Louisiana and Montana pilots rather than expand differing food restrictions among states.