GOP cuts to food assistance could put Colorado in vicious cycle, Polis tells Congress

Colorado estimates it could have to come up with anywhere from $200 million to $360 million annually for food assistance benefits, depending on the language in the final bill.

GOP cuts to food assistance could put Colorado in vicious cycle, Polis tells Congress

The Republican tax bill could push food assistance in Colorado into a vicious cycle of funding cuts, increasing mistakes in determining eligibility and further funding cuts to punish those mistakes, Gov. Jared Polis warned in a letter to congressional leaders Friday.

The One Big Beautiful Bill Act, which passed the House and is currently in the Senate, would require states to pay 75% of the cost to administer the Supplemental Nutrition Assistance Program, or SNAP, which offers low-income people a monthly allowance to purchase food.

Currently, the federal government splits the cost evenly with states. If the ratio shifted, Colorado would have to come up with an additional $47 million to fund the workers at county human services departments who determine SNAP eligibility.

The bill, backed by President Donald Trump, would also require states to start paying a share of the food benefits themselves. The state estimates it could have to come up with anywhere from $130 million to $259 million annually to pay its share, depending on the language in the final bill.

Colorado can’t come up with that amount of cash, particularly given the state’s constitutional limits on raising taxes, Polis — a Democrat — and 10 people working in human services and agriculture said in the letter. State lawmakers had to close a $1.2 billion budget hole for the upcoming fiscal year, and warned that Colorado could face an even bigger gap next year, with fewer options to fill it.

“Devoid of purpose, this provision is simply a budget gimmick in Washington, D.C., and a devastating blow to states,” the letter said.

If funding for counties doing the work decreases, mistakes will increase, the letter said. Since the bill includes a provision punishing states with higher error rates with more funding cuts, the damage could spiral, particularly since the bill doesn’t include any time for the states to prepare, the letter said. If that happened, the state’s share of the benefits could rise as high as $324 million.

Colorado previously lost about $13.1 million in funding from the U.S. Department of Agriculture to help schools and food banks purchase locally grown produce. The USDA also reduced emergency food assistance because of concerns that undocumented immigrants benefited from it.

In an average month, 617,000 people in Colorado receive a combined $120 million in food assistance. Typically, about half are children. Recipients can earn up to twice the federal poverty line, or about $62,400 for a family of four.

The OBBBA would cut about $286 billion from food assistance nationwide over 10 years. It would expand work requirements, prevent legal non-permanent residents from receiving assistance and cap assistance with dietary planning.

Currently, people between 19 and 54 who don’t have a child under 18 living with them have to work 20 hours per week to remain eligible for food assistance. The bill would require people between 55 and 64, and those with children older than 7, to work. People with disabilities would remain exempt.

The state hasn’t said how many people might lose food assistance under the new work requirements, but a left-leaning think tank projected about 131,000 would.

The Congressional Budget Office estimated cuts to food assistance and Medicaid would cost low-income households about $1,600 per year, while tax cuts would net the highest earners about $12,000. Middle-income households would come out ahead by $500 to $1,000.

Rep. Lauren Boebert, who represents the Eastern Plains and voted for the House version of the bill, said the bill “restores integrity” to the food assistance program by requiring adults without young children to work.

“Voting yes on President (Donald) Trump’s One Big Beautiful Bill is a major step towards implementing the America First mandate voters delivered to us last November,” she said in a statement. “This critical legislation makes the Trump tax cuts permanent, unleashes American energy production, invests billions in support of our farmers and ranchers by responsibly reforming SNAP benefits, strengthens Medicaid to focus on American citizens who truly need help and delivers a final net deficit reduction of $1.5 trillion.”

The CBO estimated that the bill would reduce the deficit by $2.8 trillion over 10 years, but would also shrink the economy and raise inflation.

Polis’s letter said the state expects to see an increase in theft and domestic violence as families face more financial challenges, and a loss to businesses as the public has less money to spend on food.

“The food ecosystem in Colorado influences every aspect of the economy. We know that a broad variety of outcomes — healthy development for our children, positive educational outcomes, workforce participation, public safety and economic growth — all begin with access to nutritious food,” the letter said. “An assault on this most critical need is contrary to the core mission of government to serve and work efficiently for all. We implore Congress now not to turn its back on hardworking people.”

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