Republican lawmakers in several states are advancing reforms to close loopholes in the Supplemental Nutrition Assistance Program (SNAP) that allow millionaires and others to qualify for benefits. Federal legislation passed in July 2025 requires states to cover more costs if error rates exceed 6% by 2028. Efforts aim to reduce waste as payment errors rise in many areas.
In Minnesota, retired engineer Rob Undersander discovered in 2016 that he, as a millionaire, qualified for SNAP benefits due to the state's broad-based categorical eligibility policy, which skips asset checks. He received $278 monthly and donated the equivalent to charity, later testifying at hearings. 'Being a conservative, I just felt that was really wrong,' Undersander told The Daily Wire. Republican Rep. Pam Altendorf's 'Stop Welfare for the Wealthy' bill seeks to end this loophole but stalls in the Democrat-controlled legislature, where the error rate nears 9% and fraud cases include a couple allegedly receiving $800,000 while owning 17 cars and spending lavishly on jewelry and travel. Altendorf said, 'If you’re a millionaire and you’re qualifying for SNAP, that’s probably an abuse of the system.' Governor Tim Walz claims sufficient anti-fraud steps, but Republicans disagree, with Altendorf noting, 'The guardrails completely came off under the Governor Walz administration.' States face new pressures from the Big, Beautiful Bill, which shifts 5%-15% of benefit costs to high-error states by 2028 and raises administrative cost shares to 75% from October 2026. New Mexico Sen. Crystal Brantley pushes similar reforms amid a 14% error rate and cases like fentanyl trades for SNAP cards. Sierra County Sheriff Joshua Baker said dealers charge double or triple for drugs paid with EBT cards. Brantley's bill awaits hearings; she warns of deserved federal funding losses without changes. In contrast, Indiana Gov. Mike Braun signed a law earlier this year ending broad eligibility, limiting benefits to citizens or legal residents, and banning junk food purchases. Georgia Rep. Martin Momtahan's bill passed the House and adds verification; the state risks penalties with over 15% errors. The America First Policy Institute aids these efforts, with Trump administration reforms removing over 4 million ineligible recipients. Agriculture Secretary Brooke Rollins noted 14,000 luxury vehicle owners on SNAP in one state. Executive VP Ashley Hayek said, 'We are activating our state chapters... to advance policies that strengthen oversight.'