New York, other states won't be penalized amid battle over SNAP benefits, federal court rules

Pantry shelves at the Gerald J. Ryan Outreach Center in Wyandanch last month. During the federal shutdown, when SNAP benefits were not being distributed, food banks like these were in high demand. Credit: Newsday/Drew Singh
A federal judge on Monday temporarily halted the Trump administration from fining New York and other states as they spar over SNAP benefits, according to New York Attorney General Letitia James.
The ruling out of the U.S. District Court for the District of Oregon prevents the U.S. Department of Agriculture, which administers the food assistance program alongside state governments, from penalizing states for failing to adapt to policy changes regarding noncitizen eligibility for SNAP with only one day’s notice, according to a news release from James’ office.
"Our most vulnerable residents rely on SNAP to put food on the table," James said in a statement. "Despite the federal government's best efforts to make it more difficult for food assistance to reach those in need, today's decision ensures New York's SNAP program can continue running without interruption. I am grateful to the court for recognizing the urgency of this matter, especially this holiday season."
James, along with attorneys general from 20 other states, filed a lawsuit on Nov. 26 to stop the Trump administration from denying certain legal immigrants SNAP benefits as per USDA guidance issued Oct. 31, according to the release. These policy changes adhere to provisions in the One Big Beautiful Bill Act, which was signed into law July 4, according to the USDA website.
James and other attorneys general argue the USDA’s Oct. 31 "guidance in reality goes beyond the Act, arbitrarily excluding from SNAP many lawful permanent residents who remain eligible under the statutory scheme established by Congress," according to the lawsuit.
Compliance with the Oct. 31 guidance would have revoked SNAP benefits for up to "35,000 lawful permanent residents," while disobeying could cost New York up to $1.2 billion in fines, "placing a catastrophic strain on the state’s SNAP program and draining resources from other essential services," according to a news release James issued last month announcing the lawsuit.
The attorneys general also challenge the USDA claim that states had until Nov. 1 to comply with its guidance, as opposed to the normal 120-day grace period in accordance with agency policy, or else face financial penalty, according to the court filing. The federal court on Monday gave the states until April 9 to come into compliance.
Despite a Wednesday "reversal" that confirmed "lawful permanent residents — including former refugees and asylees" could continue to receive SNAP funds, the federal government has "continued to threaten states with millions of dollars in fines" for failing to adapt to its guidance, the attorney general’s Monday release said.
When asked about Monday’s court decision, as well as the Wednesday guidance, a spokesperson for the USDA said in an email to Newsday: "We will not comment on pending litigation."

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