Release No. 0374.04

Contact: Jean Daniel 202-720-4623
Susan Acker 703-305-2286 

USDA Awards $30 Million to States for Exemplary Administration of the Food Stamp Program 

WASHINGTON, Sept. 8, 2004 –- Secretary Ann M. Veneman today announced the award of $30 million to States with the best or most improved performance administering the Food Stamp Program (FSP). 

"The Food Stamp Program is the cornerstone of our nation's nutrition assistance programs," said Veneman. "We are pleased to recognize States that have ensured access to nutrition assistance for low-income individuals while maintaining program integrity. For the last three years, the Food Stamp error rate has been the lowest in the program's history." 

The 2002 Farm Bill authorized USDA to provide awards to States with the best as well as the most improved performance in administering the Program. Awards are given to States with the lowest and most improved payment error rates and lowest and most improved negative error rates. The payment error rate indicates the percentage of accuracy in determining the correct amount of benefit for recipients. The negative error rate measures the frequency of improper denials or termination of benefits. 

"Ensuring that all who are eligible for the Food Stamp Program receive the appropriate level of benefits is a top priority for this Administration," said Veneman. "These awards recognize both improvement and high performance in the administration of the Food Stamp Program." 

Twenty-four million dollars will be divided among the 10 States with the lowest and most improved payment error rate. An additional six million dollars will be awarded to the six States with the best and most improved negative error rate. 

The Food Stamp provides support to needy households and to those making the transition from welfare to work. The Program serves as the first line of defense against hunger. It enables low-income families to buy nutritious food with Electronic Benefits Transfer (EBT) cards. Almost 24 million individuals in over 10 million households currently participate in the Program. 

The following States will be receiving bonus awards:

Further information about the Food Stamp Program is available at www.fns.usda.gov . 

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