County staff warn of large SNAP and Older Americans Act funding risks if state does not act
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Summary
Adams County economic support staff told the committee that federal changes to FoodShare/SNAP administrative funding and newly defined error‑rate penalties could shift tens of millions of dollars in costs to state and potentially counties; staff urged rapid state action and outreach to Representative Tony Kurtz.
Amber, Adams County’s economic support manager, briefed the committee on impending state and federal changes that could produce significant fiscal impacts for counties if the Wisconsin Legislature does not act before the end of the session.
Amber said the federal government is reducing its share of administrative funding for the SNAP/FoodShare program — effectively shifting about 25% of administrative program costs to states and possibly counties — and that Wisconsin would need an additional $32,400,000 during the current biennium to make up the shortfall if state action is not taken.
She also warned of a new set of state financial penalties tied to error rates as measured by federal review. Amber gave these penalty benchmarks: if a state's error rate is between 6% and 8%, "there will be a penalty of nearly $69,000,000;" between 8% and 10%, a penalty of $137,000,000; and for error rates above 10% the transcript record contains an unclear numeric value. Amber stressed the uncertainty about whether and how the state would allocate penalty costs to counties or consortiums and noted that consortium error‑rate disparities could shift liability across counties.
"It is imperative that funding action is taken prior to the end of this legislative term in a few weeks," Amber said, urging committee members to contact their state representative. Amber provided a phone number for Representative Tony Kurtz and staff offered to distribute talking points for members who want to call.
Kelly said SNAP has been added to the department's project status report for ongoing tracking and the committee discussed placing regular legislative updates on future agendas. On Older Americans Act funding, staff said hold‑harmless protections in previous years were removed for 2026 allocations, producing potentially dramatic fluctuations in local aging unit allocations; staff will report back when state contract allocations are available.
Committee members asked for comparative 2025/2026 allocation figures at a future meeting and requested continued monitoring and follow‑up with county administration if allocations or penalties materialize.