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Federal changes to SNAP funding shift costs to states and counties

According to the North Carolina Budget and Tax Center, SNAP reduces food insecurity and is linked to improved education, health, and economic outcomes, and to lower medical costs for participants.
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Beginning this month, North Carolina and other states are now responsible for paying 75% of the administrative costs for the Supplemental Nutrition Assistance Program, or SNAP.

The U.S. Department of Agriculture used to pay half the administrative costs, but has now shifted an additional 25% onto states and counties.

It’s part of H.R.1, also known as the One Big Beautiful Bill Act, which President Trump signed into law in 2025.

According to a press release from Governor Josh Stein’s office, the change will cost North Carolina taxpayers about an extra $85 million per year.

The federal government is set to cut even more funding from SNAP next October. Stein says the financial burden could cause states to drop out of the program.

Over 1.2 million North Carolinians rely on SNAP benefits.

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