Federal Policy Landscape Update (June 2025) 

On May 22nd, the U.S. House of Representatives passed a bill to enact a proposed budget with cuts that would have significant consequences for our local food system. The bill outlines roughly $300 billion in reductions to the Supplemental Nutrition Assistance Program (SNAP), as well as cuts to Medicaid and other benefits programs. The Senate is expected to begin work on the reconciliation budget this week.   

Potential National Impacts 

If passed by the Senate, this proposal will: 

  • Require states to assume up to 25% of food benefit costs and 75% of administrative costs beginning in FY2028; 

  • Place limitations on the Thrifty Food Plan, preventing future increases in benefit amounts to reflect inflationary and other changes in the cost of food;  

  • Expand work requirements for recipients, limiting exemptions for older adults and caregivers of young children; and 

  • Alter the Direct Certification process that currently offers automatic enrollment to families for other income supports such as LIHEAP, FARMS, etc. 

  • The repeal of the national education and obesity prevention grant program/The Food and Nutrition Act of 2008 (Farm Bill) section 28 eliminates SNAP-Ed. SNAP-Ed is part of University of Maryland Extension, partnering closely with Maryland’s federal nutrition programs, agriculture community, schools, early education programs, food pantries and state and federal agencies to encourage the consumption of fresh, locally grown products, with programs at over 30 Montgomery County schools. 

A recent Maryland Department of Human Services report reflected: 

  • 68,051 Montgomery County residents (including 28,903 children and 17,876 seniors) are enrolled in SNAP  

  • $12.4M in SNAP purchases made in April 2025 in Montgomery County 

 

Current Local Impacts 

Food system partners have reported a number of impacts from federal policy changes that have already taken effect, including: 

  • The Capital Area Food Bank (CAFB) has been impacted by disruptions in foods supplied by the USDA, including TEFAP (The Emergency Food Assistance Program) and the LFPA (Local Food Purchasing Agreement) programs.  

  • TEFAP is a significant source of food for CAFB and has provided the food equivalent of 3.2 million meals to date this fiscal year.  About 50% of the items CAFB expected via TEFAP are currently showing as cancelled – the equivalent of about 28 tractor trailers or 670,000 meals.   

  • Cuts to LFPA have already reduced CAFB’s ability to purchase and distribute fresh, locally sourced food, which will impact at least 33 DMV region farms, including numerous producers in Montgomery County.   

  • The Maryland Market Money program has had to limit SNAP double-dollars purchases at farmers markets to $10 per transaction due to anticipated reductions in the federal funding. OFSR was able to successfully work with program administrators to increase the cap to $20 at Montgomery County markets, due in part to our direct additional investment in MMM. They also report that the climate at markets is shifting, with shoppers, farmers, and vendors uneasy. 

  • Reports submitted by the OFSR’s Community Food Assistance Grantees (49 food assistance provider organizations in the County) provided narrative feedback regarding the impacts of federal budget cuts on food assistance operations: 

  • “We are running a deficit for the calendar year as the cost of food remains high while [federal] grants are being cut.”  

  • “Due to the current climate, some of our major donors have had to make changes in the amount they donate.”   

  • "Our client base decreased during the start of the year with weather and political climate concerns." 

  • “Running our food pantry program has been both rewarding and deeply impactful. One unexpected challenge has been the increased demand during changes with school food programs and unexpected job loss of federal government employees.” 

 

OFSR Actions to Mitigate Impact 

Food Assistance Referral Process: To support residents seeking food assistance services in the County, this spring OFSR updated the County’s “Food Resources” page, requiring all OFSR-funded food assistance providers to list their distributions in the calendar. We have also developed a Food Assistance Flowchart that supports residents in identifying food access supports that best meet their needs (currently available online, on display in the EOB, and coming soon in bilingual print to locations throughout Montgomery County). The grantees of the OFSR’s FY25 Nutrition Benefits Outreach program will also process incoming support requests and referrals to ensure that residents experiencing food insecurity are connected to all available and relevant resources. 

Food Recovery Strategy: The OFSR recently launched a new three-part strategy to expand local food recovery efforts. This strategy leverages existing FY25 and FY26 funds to improve infrastructure, foster collaboration and support food recovery operational costs.  The initiative kicks off with the FY25 Food Recovery Network Infrastructure Grant Program, which strengthens the local Food Recovery Network’s capacity to transport, store, and distribute recovered food; the FY26 Food Recovery Network Coordination (FRNC) Grant (coming June 2025) to improve efficiency, streamline operations, and boost resource sharing; and a new source of direct funding for food recovery operations through the FY26 Community Food Assistance (CFA) Grant Program (coming fall 2026).  This approach will have significant climate benefits while also strategically sourcing more food, at a lower cost, to feed community members experiencing food insecurity.  

Interagency Food System Emergency Response Efforts: The OFSR continues to convene representatives from 35+ Montgomery County government agencies, in partnership with the Office of Emergency Management and Homeland Security, on a bimonthly basis to develop a Food System Emergency Response blueprint for activating resources during a major disruption in local food access. The OFSR plans to finalize the blueprint in FY26, and will host the next Interagency convening on Tuesday, June 10th at 1pm via Teams.  

School-Based Food Assistance Investments: School staff consistently report that more families are requesting food assistance services onsite at their child’s school as they are avoiding outings to any non-essential locations and identify school as a safe place. The OFSR anticipates increasing the reach of the FY26 School-Based Food Assistance Grant Program by over 30% to a total of 80+ MCPS sites by streamlining the administration of existing funding and adding $300,000 in new budget funds. 

For additional information, please contact Heather Bruskin, Director, OFSR at hea[email protected]