(Image Credit: IMAGN) Autumn Barongan grocery shops for her family using her recently replenished EBT on Friday, Nov. 1, 2024, at Fareway in Winterset.
California – As inflation continues to stretch household budgets and grocery prices climb, millions of Californians could soon face even more pressure. Congress is now considering sweeping cuts that would make life significantly harder for low-income families across the state. House Republicans are proposing to slash $230 billion from the U.S. Department of Agriculture’s budget over the next decade — with most of the savings coming from the Supplemental Nutrition Assistance Program (SNAP), formerly known as food stamps.
If passed, it would mark the steepest cuts in SNAP’s history — three times deeper than the previous record, adjusted for inflation. Advocates warn the move could devastate the more than 4.6 million Californians who rely on the program every month, in a state where 1 in 9 households already struggle with food insecurity.
At the same time, at least 11 states — with support from the Trump administration — are pushing to ban the use of SNAP benefits on soda, candy, and other so-called “junk food.” The USDA has signaled it will approve waivers allowing these restrictions. While framed as a public health effort, critics say the bans amount to moral policing, disproportionately targeting low-income families and complicating access to affordable, shelf-stable food — especially in rural areas and communities of color across California.
Supporters argue the program has grown too large. “The Supplemental Nutrition Assistance Program is just that, supplemental,” the USDA said in a statement. “It was never intended to be a windfall for food companies and retailers.”
But in California, SNAP is not just a lifeline for families — it’s a pillar of the local economy. Nationally, SNAP spending accounted for about $112.8 billion in 2023, or 4% of all U.S. food sales. Retailers like Walmart, Kroger, and Dollar General — all of which operate extensively in California — benefit from SNAP households spending roughly 20% more on groceries each month than non-SNAP households, according to market research firm Numerator.
If funding is reduced, California families and businesses will feel the squeeze. Analysts say food manufacturers like General Mills, Kraft Heinz, and beverage giants such as PepsiCo and Coca-Cola could take a major hit — but the human cost may be even greater.
With food inflation, tariffs, and new regulatory proposals already raising grocery costs, further SNAP cuts could force families to choose between staples and sacrifice even basic nutrition. “Our customers continue to report that their financial situation has worsened,” Dollar General CEO Todd Vasos said in March. “Some note they have had to sacrifice even on the necessities.”
As states like Arkansas and Indiana move to limit what SNAP benefits can buy — and others consider food dye bans that could dramatically raise prices — California finds itself at a crossroads: with more people than ever relying on food assistance, and a safety net that’s rapidly fraying.
