Patterns in Slashing Food Assistance

David Super

      The One Big Beautiful Bill Act (OBBBA) that Congress passed this summer represents the third massive cutting spree in the history of the Supplemental Nutrition Assistance Program (SNAP, formerly food stamps).  The first came in three laws enacted under President Reagan in 1981-82, by far the largest of which was the Omnibus Budget Reconciliation Act of 1981 (OBRA 1981).  The second was another pair of laws enacted in 1995-96, dominated by the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA or “the 1996 welfare law”).  This post seeks insight into attitudes about anti-poverty programs by comparing the three.  It concludes that no meaningful theme unites these three episodes beyond the desire to fund tax cuts delivering most of their benefits to the affluent.  In other words, no enduring disagreements separate liberals and conservatives on anti-poverty policy except that many Republicans regard assuring adequate nutrition for low-income people is not an essential governmental function.    

     OBRA 1981 was passed by a Republican Senate and a House coalition of Republicans and  conservative Democrats, signed by a Republican President.  PRWORA was passed by a Republican Congress but signed by a Democratic President and, at his urging, gained a great many congressional Democrats' votes.  OBBBA was passed on essentially party-lines votes, with one Republican in each chamber dissenting over objections to the cuts to anti-poverty programs.  

     In 1981, a group of anti-poverty Senate Republicans led by Senator Bob Dole fought back against the proposed cuts that they believed would do the most damage to the program and the low-income people who depend on it.  (Those dismissing Senator Dole’s food stamp advocacy as merely serving Kansas farmers badly underestimate the man.  Among other things, he spent enormous amounts of political capital, risking his later ascension to be Senate Majority Leader, fighting Senator Jesse Helms to replace cuts hitting the poorest of the poor with ones affecting households somewhat better-able to bear the loss.  Those shifts did not change anything from farmers’ point of view.)  Pro-food stamp Democrats also led the House delegation in the conference committee, although they were badly undermined by having repeatedly lost floor votes to the coalition President Reagan had assembled.

     In 1995-96, Republicans on the House and Senate Agriculture Committees started out amenable to some food stamp cuts, but demands from Speaker Newt Gingrich’s leadership far surpassed the level they supported.  They lost intra-party battles on the depth of the cuts, but Reps. Pat Roberts and Bill Emerson, along with Sen. Richard Lugar, remained open throughout the process to ideas for how to reduce the hardship the cuts would inflict on low-income households.  Leaders of both the House and Senate Agriculture Committees fought and won intra-party battles to prevent the program from being block-granted.

     This year, House and Senate Agriculture Committee Republicans decided early among themselves about how they wanted to slash SNAP and largely tuned out dissenting voices, including those from within their Party.  Even on questions of drafting clarity, they largely froze out external voices.  Ultimately Senate Republican Leader John Thune needed to exempt Alaska from some of the harshest provisions in the bill to win Senator Lisa Murkowski’s vote; the Committee did as it was told but did not take the occasion to reconsider any of its policies for the remainder of the country.   

     Each of these three episodes resulted in estimated reductions of about one-fifth in projected spending.  The composition of those cuts, however, was very different. 

     President Reagan’s theme was stripping benefits from the working poor.  He insisted that he was maintaining a “safety net for the truly needy”, but in food stamps and other programs he sought to reduce or eliminate benefits for low-income working families.  This played beautifully into Speaker Gingrich’s hands a decade later as he complained that very few families receiving welfare or food stamps were working.  Gingrich cited that as justification for slashing the programs further. 

     As students in my Public Welfare Law course could tell you, targeting benefits on those most in need and providing incentives for efforts to reduce need are opposite policies that must be balanced when designing any anti-poverty program.  President Reagan was a targeter; Speaker Gingrich was all about incentives while refusing to acknowledge, of course, that he was repudiating President Reagan’s legacy.  Some prominent Democrats, including Senator Daniel Patrick Moynihan, have focused on targeting; others, such as Professor David Ellwood, have focused laser-like on incentives. 

     OBBBA has no consistent philosophical valence in either direction between targeting and incentives.  Its authors complained about people were getting benefits who did not need them – evidently a reference to the low-wage workers states had begun to serve through some flexibility PRWORA granted.  But they also complained that more SNAP recipients should be working.  (Research shows that the overwhelming majority of SNAP recipients who can work do, although they often turn to SNAP for help during gaps in employment, which are common because low-skilled workers typically can obtain only unstable jobs.) 

     Thus, on the one hand, its rules terminating aid to those who had than three months with less than half-time employment during any three-year period will hurt some of the most needy:  those with the least skills.  On the other hand, its provisions shifting benefit costs to states are explicitly intended to discourage those states from adopting options that broaden the program’s reach among low-wage workers. 

     Just as the three episodes of food assistance cutting show no consistency in their philosophies about the best use of program funds, they also diverge on federalism.  States did not feature prominently in debates about President Reagan’s food assistance cuts.  Many states, including those with Republican governors, expressed concern about losing federal aid for their low-income people. 

     The Gingrich Revolution, by contrast, placed states on a pedestal.  It offered them greater control over programs’ funds in exchange for less total money.  States eagerly grabbed this deal to liquidate the Aid to Families with Dependent Children program.  Many balked about taking Medicaid or food stamps, seeing few politically palatable opportunities to cut, but Gingrich leveraged the threat of block-granting to force through massive food stamp cuts within the existing program structure.   

     OBBBA takes the opposite approach, lambasting states for sabotaging and maladministering the program.  This Republican pivot to condemning states counterbalances a pivot by SNAP advocates following the 1996 welfare law.  After decades of seeking to buttress uniform national standards in SNAP, the lesson they learned from 1995-96 was that improvements in SNAP are more politically sustainable with the states’ support.  Republicans apparently have reached similar conclusions and are hoping that forcing states to pay a share of SNAP benefit costs will discourage states from supporting liberalizations and could cause some states to drop out of the program altogether.  This does follow the 1995-96 model of imposing financial inducements for states to shoulder the blame for benefit cuts rather than legislating them directly.  But a serious version of federalism it is not. 

     The only major through-line in the means of extracting savings from SNAP is increasing dependence on bureaucratic disentitlement.  OBRA 1981 required working households to fill out and submit elaborate reports of their earnings every month during a narrow window of days.  When households made mistakes, or state agencies became backlogged, the households were automatically cut off.  This system caused so much chaos that a cross-section of states as well as advocates clamored for its elimination; President Reagan signed legislation making it a state option late in his Administration. 

     OBRA 1981 also imposed draconian fiscal penalties on states for overissuing benefits to households.  Because improper denials did not factor into these error rates, a “when in doubt, deny” attitude grew among many human services offices.  Overwhelming complaints from over forty states caused the Reagan Administration to negotiate a drastic reduction in these penalties (followed by further administrative reductions in the George H.W. Bush Administration and legislative reductions approved by George W. Bush). 

     PRWORA pioneered a new kind of “work requirement”.  Previously, public welfare programs’ work requirements directed beneficiaries to “workfare” or other assignments; if the beneficiaries did as instructed, they kept their benefits.  Most states disliked these programs as being administratively burdensome to operate and serving little purpose as employable food stamp recipients already had strong motivations to find jobs to pay their rent and other non-food bills.  Congressional Republicans were dissatisfied with the numbers of food stamp recipients working so they kept the disqualification rule but eliminated the requirement that recipients be given the chance to work for continued benefits. 

     States’ distaste for running work programs overwhelmed whatever moral responsibility they felt for food stamp recipients who were willing to work but unable to find half-time jobs.  Many others who actually were working half-time or more failed to navigate states’ bureaucratic requirements for proving those hours.  Hundreds of thousands of desperately poor childless individuals between the ages of 18 and 49 were denied aid.  Even when they became eligible again, many failed to realize that or simply understood that they were no longer welcome in SNAP.

     Food bankers and other emergency food providers regarded this as a disaster, but OBBBA’s drafters apparently found this story inspiring.  They expanded this workless “work requirement” to childless individuals up to age 65 and to families with children age 14 and up.  Coupling this with ferocious penalties on states for serving someone whom federal auditors find not to have documented sufficient hours, the bureaucratic barriers to documenting work are likely to multiply. 

     Anti-poverty programs can only be stable with substantial bipartisan support.  Making significant program design sacrifices to secure that support is worthwhile even when one party dominates the levers of power.  Unfortunately, the absence of coherent conservative policy preferences concerning food assistance that emerges from these three episodes makes a viable path to bipartisan compromise difficult to discern. 

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