As expected the ongoing government shutdown in America is having and preparing to have far-reaching consequences. According to reports, officials at the Department of Agriculture warned in a new letter this week that funds for the program that feeds an estimated 42m Americans and their families that the purse is running low.
The Lowdown
According to a letter released this month by the DOA, the agency that helps administer the SNAP program has announced that it expects to run out of money by the time November rolls around. This means that some 42m Americans may find that their benefits have been severely delayed (and unless a remedy to the shutdown is in sight it may be that way for some time.)
The New York Times reports that the budget windfall has resulted in the department signaling its EBT vendor to hold off on transmitting payments. This would mark the first major to disruption to the nation’s food stamp program. Some reports suggest that the agency could tap into a $6B contingency fund to keep the program going but that is only temporary. People should plan accordingly the best they can.
Several states including Illinois and New York have already indicated they can’t afford the difference themselves using state only funds.