Reynolds’ plan calls for state to cover $1.9M for 2025 summer food assistance

DES MOINES — Administrative costs for Iowa’s proposed alternative summer food assistance program would total $3.9 million in the first year — which would be split evenly between the state and federal government — records from the Governor’s Office show.

The total price tag for Iowa Gov. Kim Reynolds’ proposed alternative to the federal Summer EBT program may not be known until a mid-February federal deadline.

Reynolds this year opted against including Iowa in the federal government’s Summer EBT program, which provides an extra $40 per month directly to low-income families to spend on groceries. The program is designed to ensure children who receive free or reduced-price lunches during the school year also have access to food during the summer.

Reynolds’ decision rejected $29 million in federal funding to Iowa’s low-income families for a program that would have cost the state $2.2 million annually to administer.

Reynolds instead used $900,000 in federal pandemic assistance funding to create new sites for Iowa’s current summer meal program. She said the state served more than 1.3 million healthy meals and snacks to Iowa children in May and June.

For 2025, Reynolds and the Iowa Department of Health and Human Services are proposing a much larger program: the state would use federal funding to offer healthy foods at distribution sites across the state in June, July and August next year. The proposed program would expand eligibility from 185 percent of the federal poverty level to 200 percent, making roughly 300,000 Iowans eligible.

Such a program requires approval from the U.S. Department of Agriculture, which operates the Summer EBT program, now called SUN Bucks.

According to documents submitted by the state to USDA, provided by the Governor’s Office following a records request by The Gazette, Reynolds’ new proposal would cost $3.86 million to administer in the first year. Half of that, $1.93 million, would be paid by the state.

States have until Feb. 15 to submit a complete budget for their requests, including costs for food and distribution.

Reynolds’ 2024 summer food assistance grant program was funded by federal funds from the American Rescue Plan Act, which was passed in 2021 as a pandemic relief package.

Beyond the administrative costs, Reynolds’ proposal for 2025 would be funded by federal funds available to states for the SUN Bucks program. It would not require the continued use of ARPA funds, the governor’s staff said.

Reynolds discusses her new proposal

Reynolds defended her proposal Thursday during a news conference. She said her proposal builds on existing state infrastructure by partnering with food banks, food panties, schools and other entities that are involved with summer food assistance programs. And Reynolds said her proposal enables the state to purchase food in bulk and thus at a lower cost, which she argued will present to low-income families a superior option to buying groceries amid high inflation.

“I saw this as an opportunity to serve more kids, to serve them more food, and to do it in a nutritional manner,” Reynolds said during the news conference. “So we’re actually providing more healthy food by buying wholesale instead of retail. …

“Instead of creating a new program, creating new people … we’re using an existing program, we’re using an existing network, we’re providing more food, we’re serving more kids, and we’re providing better nutrition.”

USDA, Reynolds trade comments over proposal

When Reynolds first announced the proposed program and the state’s waiver request, a USDA spokesman said the agency would consider the request just as it does all others, but also issued a comment that defended the federal SUN Bucks program to send aid directly to families, and criticized Reynolds for proposing an alternative where meals would be made and distributed.

“USDA’s Summer EBT program is designed to tackle one objective: feeding kids at a time when we know hunger goes up. It is backed by a decade of demonstration projects and rigorous evaluation showing that it works to reduce child hunger and support healthier diets,” USDA Press Secretary Allan Rodriguez said in a statement. “Through this waiver request, the governor is asserting that the State (of Iowa) knows better than its own families do about what their needs are.”

Reynolds responded to USDA’s comments with a statement the next day. She said Iowa’s proposal would accomplish SUN Bucks’ goal of ensuring every child has access to food when school is not in session.

“We have proven that we have robust infrastructure across our state to make this work for Iowa families,” said Reynolds’ statement in response. “If the purpose is truly to make sure kids don’t go hungry in the summer, the USDA will, in good faith, work with Iowa on this demonstration project. We’re ready to roll up our sleeves and join with them to feed Iowa children.”

Comments: (515) 355-1300, erin.murphy@thegazette.com

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