DCF warns H.R.1 could raise Florida SNAP administrative costs by $50.6M and ties state exposure to payment-error rates

The Department of Children and Families told the Health Care Budget Subcommittee on March 16 that changes in H.R.1 could substantially increase Florida’s share of Supplemental Nutrition Assistance Program administrative costs and expose the state to financial contributions tied to the SNAP payment-error-rate.

Jamie Detoli, Deputy Assistant Secretary for Economic Self Sufficiency at DCF, said the federal law (referred to in the hearing as "H.R.1, known as the 1 Big Beautiful Bill Act") raises the state administrative match from 50% to 75% effective Oct. 1, 2026. Detoli said that increase would "equate to an approximate $50,600,000 increase to the state in the cost of administering SNAP in Florida." She also noted that H.R.1 could require states to contribute to SNAP benefit allotments based on their quality-control payment-error-rate.

Detoli described how the federal quality-control (QC) review works: states complete monthly QC case reviews that re-evaluate eligibility at the review date, which can identify errors driven by household changes that were not reported to the department. She told the committee Florida’s FY2024 payment-error-rate was 15.13% and that recent internal monthly tracking showed progress (Detoli cited a May monthly result of about 8% and an August result around 6.99%). "We are moving in the right direction," she said, while adding that USDA’s official annual numbers lag and are provided the following June.

Lawmakers pressed DCF on the calculations and on the department’s plans. Ranking Member Woodson asked how the $50.6 million figure was derived and whether DCF’s LBR (legislative budget request) accounted for administrative needs across other programs; Detoli said the $50.6 million represents the additional 25% the state would have to pay under the new match and that DCF had submitted an LBR for administrative funds. On sampling, Detoli said DCF currently reviews 1,020 QC cases per year (the federal sample size) but that the agency has expanded internal, real-time quality-assurance sampling to identify errors earlier.

Members asked about client error (errors caused by applicants failing to report changes) and whether waivers are possible. Detoli confirmed that client error is currently counted against the state’s payment-error-rate and said DCF has been in conversations with USDA and other states (including Texas) about potential waivers, such as excluding client error from the calculation; she said it is unknown whether such waivers have been or will be approved.

On worst-case fiscal exposure, Detoli offered an illustrative figure: "as of now, it would be about $1,000,000,000" if high error rates persisted, though she emphasized DCF's intent to use the 2026 rate and that the department is implementing QA and technology changes to avoid having to contribute toward benefit amounts.

Detoli outlined DCF actions to reduce the error rate: a centralized QA team formed in early 2025, standardized review tools aligned with federal QC requirements, enhanced staff training, interactive dashboards for performance visibility, tightened verification for rent and utilities documentation, and plans for system modernization including improved identity verification and data integrations to reduce manual entry.

The subcommittee requested additional follow-up on DCF’s calculations and contingency planning for potential contributions toward benefits; Detoli offered to take further questions back to Assistant Secretary Chad Barrett and to provide additional details.

Next steps: DCF will provide requested clarifications and the subcommittee will monitor implementation and budget implications as the fiscal effects of H.R.1 are assessed.