On July 4, 2025, President Trump signed the omnibus appropriations bill, informally dubbed the “One Big Beautiful Bill Act” (OBBBA), into law. This legislation, passed through the reconciliation process, included several provisions typically found in the Farm Bill, notably amendments to the Supplemental Nutrition Assistance Program (SNAP). These changes, particularly to the Thrifty Food Plan (TFP) and work requirements, have significant implications for SNAP participants and the broader agricultural landscape.
Reconciliation, a process that allows Congress to bypass the typical three-fifths majority vote in the Senate, has been used for major legislative actions in the past, such as the Affordable Care Act and the Tax Cuts and Jobs Act. For the OBBBA, both the House and Senate Agriculture Committees were directed to cut their budgets, leading to specific amendments to SNAP. These amendments focus on the Thrifty Food Plan and work requirements, two critical aspects of the program.
The Thrifty Food Plan, established in 1975, determines the maximum SNAP benefits a household can receive by estimating the cost of feeding a nutritious, practical, and cost-effective diet for a reference family. Prior to 2021, adjustments to the TFP were solely based on inflation. However, in 2021, the USDA re-evaluated the TFP considering current food prices, food composition data, consumption patterns, and dietary guidance. This re-evaluation resulted in a 21.03% increase in the cost of market baskets for the reference family, leading to an increase in SNAP benefits.
The OBBBA permits the re-evaluation of market baskets based on the same factors but includes a prohibition against increasing the cost of the TFP on such re-evaluation. This means that future adjustments to the TFP will be cost-neutral and only according to inflation. While this provision will not reduce the current market basket cost, it limits the potential for future increases based on other factors. This change reflects a similar provision included in the 2024 Farm Bill proposal, which advanced through the House Committee on Agriculture but ultimately failed to reach a vote on the House floor.
In addition to the Thrifty Food Plan, the OBBBA modifies work requirements for SNAP participants. Currently, there are two categories of work-related requirements: the general work requirements and the able-bodied adult without dependents (ABAWD) work requirements. The general work requirements apply to all participants between the ages of 16-59 who are able to work, while the ABAWD requirements apply to a subset of participants aged 18-54 who do not meet an exemption.
The OBBBA makes key changes to the ABAWD work requirements. First, it raises the age limit to 65, meaning individuals between the ages of 18-65 must comply with the additional ABAWD work requirements. Secondly, it lowers the exemption age for households with dependents to only apply to households with children under the age of 14. This change requires that households with dependents aged 14 or older must comply with the ABAWD requirements. Participants who fail to meet these requirements will lose benefits after three months and must meet the ABAWD work requirements for 30 days to have their benefits reinstated.
The implications of these changes are significant. The cost-neutral provision for the Thrifty Food Plan ensures that current SNAP benefits will not be reduced, but it also limits the potential for future increases based on changing food prices and dietary guidelines. This could impact the purchasing power of SNAP participants in the long run, particularly if food prices rise faster than inflation.
The modifications to the ABAWD work requirements expand the pool of participants subject to these requirements, potentially affecting their ability to receive benefits. While these changes aim to encourage work and self-sufficiency, they may also present challenges for individuals who struggle to meet the new requirements. The lower exemption age for households with dependents could particularly impact single parents and caregivers, who may find it difficult to comply with the work requirements while caring for their children.
Overall, the OBBBA’s amendments to SNAP reflect a broader trend in agricultural and nutrition policy, emphasizing cost-neutral adjustments and expanded work requirements. These changes will have lasting effects on SNAP participants and the agricultural sector, shaping the future of food assistance in the United States.