USDA Reports High SNAP Error Rates in Arizona and Hawaii

The U.S. Department of Agriculture reported that Arizona and Hawaii both exceeded the national average for Supplemental Nutrition Assistance Program (SNAP) payment error rates for the 2025 federal fiscal year. Arizona's error rate rose to 10.8%, while Hawaii's jumped to 10.92%, up from 6.68% the previous year. Under the H.R. 1 budget bill, states with error rates of 6% or higher face penalties, including requirements to co-pay benefit costs.

Arizona faces a potential $208 million penalty starting in the 2027-2028 budget year. In an effort to lower the rate, the Arizona Department of Economic Security implemented stricter screening and reduced self-attestation, which resulted in more than 450,000 people losing benefits. Director Michael Wisehart attributed the errors to underfunding and a shortage of eligibility workers, while Governor Katie Hobbs has since allocated funds to hire more staff.

Hawaii faces potential penalties of up to $104 million starting in the 2028 fiscal year. The Hawaii Department of Human Services attributed the spike to rapid policy changes and a federal government shutdown. To rectify these issues, the state is implementing new staff training, updated income verification, and AI-driven policy clarifications. Officials report that Hawaii's error rate had dropped to 6.52% as of June 2026.