USDA says broad-based categorical eligibility has bloated the welfare rolls for decades

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USDA proposes ending SNAP's broad-based categorical eligibility and estimates 6.3 million people would lose benefits; the department calls the policy a loophole, and Democrats and anti-hunger groups oppose the rule

On November 10, 2026, the U.S. Department of Agriculture published a proposed rule that would end broad-based categorical eligibility in the Supplemental Nutrition Assistance Program (SNAP). Under current rules, states may treat a household as eligible for SNAP when it receives any benefit or service funded by Temporary Assistance for Needy Families (TANF), including non-cash help such as child care or job training. The proposal would limit that automatic eligibility to households that receive TANF assistance as federal rules define it. The department's impact analysis estimates that 3.2 million households with 6.3 million people would no longer receive SNAP in fiscal 2029, the first year of full effect, because their income or resources exceed federal limits. It estimates federal SNAP benefit spending would fall by about $44.6 billion over five years, and that about 1.78 million children would lose automatic eligibility for free school meals, though it says about 97 percent of them would still qualify for free or reduced-price meals by applying separately. Comments are due December 10, 2026. A USDA spokesperson said the policy has bloated the welfare rolls and called closing the loophole long overdue, and a White House spokeswoman said the administration will keep stopping fraud in safety-net programs. Rep. Angie Craig, the top Democrat on the House Agriculture Committee, called the rule heartless and cruel, and other Democrats and anti-hunger groups said it would increase hunger.