food stamp program. food stamps the cornerstone of food assistance in the us the only form of...
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Food Stamps
• The cornerstone of food assistance in the US
• The only form of assistance available nationwide to all households on the basis only of financial need, irrespective of family type, age, or disability
• Entitlement program
Food Stamps
• Administered by USDA
• Purpose is to improve the diets of low-income households by increasing their purchasing power
History of Food Stamps
• 1961 Pilot projects funded in 8 states
• 1964 Program funded nationally
• 1974 Program mandated nation-wide
• 1977 Purchase requirement dropped
• 1984 First electronic benefit transfer
• 1993 First EBT statewide--MD
History of Food Stamps, con’t
• 1996 Welfare reform added work requirement and limited length of participation
• 2002 All states mandated to have EBT system in place
Electronic Benefit Transfer
• Preliminary studies indicate reduced costs to government, retailers, and recipients.
• Reduces fraud and trafficking by providing an electronic audit trail.
• Provides greater security and less embarrassment for recipients.
Food Stamp Eligibility
• Gross income 130% of poverty status and net income 100% of poverty status.
• Elderly and disabled must meet net income requirements only.
• Liquid and nonliquid assets must be below a specified level and unemployed persons must be registered with the unemployment office
Food Stamp Eligibility (con’t)
• Eligibility is based on households--people who buy and prepare food together
Work Requirements
• Welfare reform legislation requirements:
• Able-bodied recipients 18-50 years old with no dependents are ineligible for food stamps unless they meet work requirements.
• May receive food stamps for only three months in every 36-month period unless they are engaged in work or work programs
Work Requirements (con’t)
• States may request waivers of this provision for areas with an unemployment rate above 10% or for those residing in an area that does not have a sufficient number of jobs to provide employment for the individuals
Food Stamp Benefits
• Certificates or EBT cards to purchase food at grocery stores and vegetable seeds and plants.
• Certificates may also be used in Nutrition Program for the Elderly centers, shelters for battered women, and drug and alcohol treatment programs
• Some persons in Alaska are allowed to purchase hunting/fishing equipment.
Amount of Benefits
• Based on household size and income.
• The allotment is reduced by 30% of the household net income. The average monthly food stamp allotment/person is slightly over 50% of the maximum allowed.
Benefits (con’t)
• Maximum food stamp allotments are based on the cost of the Thrifty Food Plan.
• Family of four maximum benefit $400/mo. Average benefit was $68/person in 1993.
• Food stamp benefits average about $0.57 per meal--the maximum benefit is about $0.90 per meal.
USDA Food Plans
• Four food plans--Thrifty, Low-cost, Moderate-cost, Liberal
• Based on size of household and age and gender of members--see table 8-4, p 203 Frankle/Owen
• For family of four with 2 preschoolers cost varies from $72.50 - 135.90/week.
What Are USDA Food Plans?
• Amounts of foods from different food groups that households can use to provide nutritious diets at varying costs.
• At each cost level, amounts of foods for men, women, and children of different ages are suggested.
• 31 food groups for 11 gender-age categories are used to create totals for individual households
Basis for Food Plans
• RDA
• Food Consumption Surveys
• Costs based on monthly surveys of various cities
Evaluation of Food Stamps
• Nationally, food stamp users purchase more nutrient-dense foods than non-users.
• Food stamp users spend more money on food than persons of same economic level who do not use food stamps.
• In 1993, 27 million of the 50 million persons eligible for food stamps participated in the program.
Food Stamps: View of the Recipients
• Program is inadequate because it fails to provide an adequate amount of assistance to avert food shortages throughout the month.
• There are significant psychological difficulties in using food stamps as a result of the overall stigma attached to the program
Food Stamps: Views of Policy Analysts
• Program’s objective of reducing hunger is compromised since it fails to reach approximately 40-50% of eligible population.
• Rural residents and older persons are less likely to participate than others.
Food Stamps: Views of the Public
• Regarded as severely flawed because it is perceived as violating several important American values--independence, self-reliance, ability to achieve the “American dream”
• Encourages dependence and abuse
Sources used in presentation
• Frankle/Owen. Nutrition in the community. Mosby.
• Boyle/Morris. Community nutrition in action. West Publishing.
• Obert. Community nutrition. John Wiley and sons. 1986.
• Maurer and Sobal. Eating Agendas. Walter de Gruyter Publisher, New York, NY, 1995.
Sources (con’t)
• Senauer, Asp, Kinsey. Food trends and the changing consumer. Eagen Press. St. Paul. 1993.
• Testimonies of Ellen Haas and William Ludwig to the Senate Subcommittee on Agriculture, Rural Development, and Related Agencies. May 10, 1995.
• Food Stamp Program Fact Sheet, www.usda.gov/fcs/library/961101-3.txt
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