Once approved, these waivers may be renewed if the areas covered continue to have high unemployment or insufficient jobs. Most States Taking Actions to Address Changes in Food Stamp Program

At the time of our survey of states in the summer of 1997, the states were pursuing a variety of options to address changes in the Food Stamp Program that affected able-bodied adults without dependents and legal immigrants. Some state actions, such as job training assistance, although primarily intended to move individuals toward self-sufficiency, may have the effect of allowing some able-bodied adults without dependents to retain food stamps by meeting the act’s work requirements. Other state actions are intended to replace the food stamp benefits that individuals have lost. At the time of our survey, 20 states provided or planned to provide legal immigrants—who were scheduled to lose their food stamps—with information on how to become U.S. citizens. Because it takes an average of over 1 year to process applications for citizenship and legal immigrants were not eligible to receive food stamps after August 22, 1997, many legal immigrants have lost their federal food stamp benefits. However, as of December 1997, estimates are that over one-quarter, or about 241,000, of these individuals are receiving food stamps funded by the states. Ten states decided to purchase federal food stamps with their own funds for certain legal immigrants—primarily children and the elderly. According to FNS and the states, 9 of the 10 states have estimated that about 241,000 legal immigrants are now receiving state-funded food stamps. Most nonprofit organizations that we contacted said that although it is too soon to assess the impact of welfare reform, they anticipate an increased need for their services. Specifically, we describe the (1) actions, if any, that states have taken to assist those individuals who lose eligibility for the Food Stamp Program and (2) related actions, if any, taken by other organizations in selected localities—local governments and nonprofit organizations—to assist those individuals who lose their eligibility for the Food Stamp Program. To address the second objective, we visited five localities. V-IX for individual reports on the food assistance provided in these localities.) Finally, we met with officials from the U.S. Department of Agriculture’s (USDA) Food and Nutrition Service (FNS) to obtain program information and statistics. (continued)
Manages a kosher food pantry that provides food for those who meet income requirements. However, if participants in these programs meet income and work requirements, they may still qualify for food stamps. According to an FIA official, the state is not planning to create a new food assistance program to assist legal immigrants who lost food stamp benefits. According to officials of 10 nonprofit agencies, able-bodied adults without dependents and legal immigrants who lose their food stamps as a result of welfare reform will look for food assistance from these nonprofit organizations. At the time of our visit, most of the organizations reported that their ability to provide food assistance for those needing it had not yet been affected by welfare reform. Most organizations did not have planned approaches for dealing with the expected increase in the need for their services.
Why GAO Did This Study

Pursuant to a congressional request, GAO reviewed the impact of welfare reform on the Food Stamp Program, focusing on: (1) the actions, if any, that states have taken to assist those individuals who lose eligibility for the Food Stamp Program; and (2) related actions, if any, taken by other organizations in selected localities--local governments and nonprofit organizations--to assist those individuals who lose their eligibility for the Food Stamp Program.

What GAO Found

GAO noted that: (1) most states are taking a variety of measures to address the changes in the Food Stamp Program as a result of welfare reform; (2) for able-bodied adults without dependents, many states are providing employment and training assistance; (3) this assistance, although primarily intended to move these individuals toward self-sufficiency, may still allow them to qualify for food stamp benefits if they meet both income and work requirements; (4) most states have obtained the authority from the Department of Agriculture, if they choose to exercise it, to continue providing food stamp benefits for individuals in areas with high unemployment or in areas with insufficient jobs; (5) 20 states are providing or plan to provide legal immigrants with information on how to become U.S. citizens; (6) because it takes over 1 year on average to process citizenship applications, many legal immigrants lost their food stamp benefits as of August 22, 1997; (7) the Food and Nutrition Service estimated that 935,000 legal immigrants had lost their federal food stamp benefits; (8) some states have existing programs that provide food assistance for the needy--such as food pantries--that able-bodied adults without dependents and legal immigrants who have lost their food stamps already had access to; (9) some states have developed new programs to specifically meet the needs of individuals who lose their food stamps; (10) 10 states--including 4 states estimated to have about 70 percent of the legal immigrants who receive food stamps in the U.S.--are purchasing or planning to purchase federal food stamps with their own funds--primarily for legal immigrant children and the elderly; (11) in December 1997, the states involved indicated that about 241,000 of these individuals are now receiving food stamp benefits funded by the states; (12) the extent to which any of these actions will meet the food assistance needs of those affected remains unknown; (13) in the five localities GAO visited, government officials are implementing their state's efforts to address changes in the Food Stamp Program and, in some cases, are working with local nonprofit organizations to plan for an expected increase in the need for food assistance; (14) most of the nonprofit organizations GAO visited said that it is too early to assess the impact of welfare reform on their food assistance programs; and (15) however, the organizations fear that their limited resources may be insufficient to meet the needs of the individuals who have lost their food stamps, which included the basic foods that the program provided.