Montana Faces $16 Million SNAP Cost Sharing Starting 2027

Montana could face $16 million in annual SNAP cost sharing starting in 2027.

The U.S. Department of Agriculture announced Montana’s 2025 fiscal year SNAP error rate at 8.86%, exceeding the 6% threshold that triggers state cost-sharing under a new federal provision. This structural shift means Montana may pay 10 percent of SNAP costs, a significant budgetary impact for the Department of Public Health and Human Services.

Montana’s error rate, while below the national average of 10.62 percent, is still high enough to prompt a potential $16 million charge based on the roughly $164.4 million in SNAP benefits distributed to about 80,000 participants. State officials, including spokesperson Jon Ebelt, emphasize efforts to lower the 2026 error rate to possibly avoid or reduce this cost. Meanwhile, the Montana Food Bank Network advocates for a two-year delay in enforcement, citing SNAP as a critical anti-hunger program.

The final determination on cost sharing will depend on the 2025 or 2026 fiscal year error rates, with cost sharing potentially commencing in 2027.

Montana’s rural and dispersed population might present challenges that could influence administrative accuracy, potentially affecting error rates and cost-sharing risks. The state’s commitment to reducing errors may be influenced by challenges in managing SNAP compliance across its varied geography and smaller communities.

Montana could be required to pay millions for SNAP benefits
By Jonathon Ambarian, KTVH