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Proposed Rules
Federal Register Vol. 86, No. 110
Thursday, June 10, 2021

This section of the FEDERAL REGISTER
contains notices to the public of the proposed issuance of rules and regulations. The purpose of these notices is to give interested persons an opportunity to participate in the rule making prior to the adoption of the final rules.

DEPARTMENT OF AGRICULTURE
Food and Nutrition Service 7 CFR Parts 272 and 273
FNS20180037
RIN 0584AE62

Revision of Categorical Eligibility in the Supplemental Nutrition Assistance Program SNAP; Withdrawal Food and Nutrition Service FNS, USDA.
ACTION: Withdrawal of proposed rule.
AGENCY:

This document informs the public that the Food and Nutrition Service FNS of the U.S. Department of Agriculture USDA is withdrawing the proposed rule titled Revision of Categorical Eligibility in the Supplemental Nutrition Assistance Program SNAP that published in the Federal Register on July 24, 2019. This rule would have refined how receipt of the Temporary Assistance for Needy Families TANF benefits may confer categorical eligibility for SNAP. The rule would have also required State agencies to include in their SNAP State Plan of Operations all non-cash TANF
benefits and certain cash TANF benefits that confer categorical eligibility. After reviewing and considering the comments received, the proposed rule is being withdrawn.
DATES: As of June 10, 2021, the proposed rule published on July 24, 2019, at 84 FR 35570, is officially withdrawn.
ADDRESSES: SNAP Program Development Division, Food and Nutrition Service, USDA, 1320
Braddock Place, Alexandria, Virginia 22314.
FOR FURTHER INFORMATION CONTACT:
Program Design Branch, Program Development Division, FNS, 1320
Braddock Place, Alexandria, Virginia 22314. SNAPPDBRules@usda.gov.
SUPPLEMENTARY INFORMATION: The decision to withdraw the proposed rule
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SUMMARY:

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and maintain the current categorical eligibility regulations is authorized by section 5a of the Food and Nutrition Act of 2008, as amended the Act, which provides that households in which each member receives benefits under a State program funded under part A of Title IV of the Social Security Act SSA also known as Temporary Assistance for Needy Families TANF
block grants 1 shall be categorically eligible for the Supplemental Nutrition Assistance Program SNAP. This action withdraws a proposed rule published in the Federal Register on July 24, 2019, 84 FR 35570, which would have revised how receipt of TANF benefits may confer categorical eligibility for SNAP. Specifically, the proposed rule would have limited the TANF
benefits that may confer categorical eligibility to ongoing and substantial benefits. The proposed rule defined ongoing benefits as those that a household receives or is authorized to receive for a period of at least six months and substantial benefits as those valued at a minimum of $50 per month. The proposed rule also limited the types of non-cash TANF
benefits conferring categorical eligibility to those that focus on subsidized employment, work supports, and childcare. Finally, the proposed rule would have required State agencies to inform FNS of all non-cash TANF
benefits that confer categorical eligibility. The proposed rule would have cost $2.314 billion in administrative expenses between 2019
2023 and resulted in 3.1 million individuals in 1.7 million households losing SNAP eligibility in Fiscal Year 2020.
During the proposed rules 60-day comment period, nearly 158,000
comments were received. All the comments may be viewed by going to http www.regulations.gov and searching for public submissions under docket number FNS20180037. The comments came from a broad range of stakeholders and generally opposed the 1 State
programs funded under part A of Title IV
of the SSA include programs funded by Federal TANF block grant funds, as well as programs funded by State maintenance-of-effort MOE
dollars that allow a State to receive Federal TANF
block grant funds. For simplicity, this notice of withdrawal will refer to all State programs funded under part A of Title IV of the SSA as TANFfunded programs, and to benefits from such programs as TANF benefits.

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proposed rule. Commenters opposed the rule largely due to concerns about the potential impacts on food insecurity, particularly among children, veterans, individuals with disabilities, and the elderly. Others expressed concerns that the proposed rule would discourage savings and make it more difficult for households to become financially selfsufficient and have adverse economic impacts for communities. Commenters largely opposed the proposed ongoing and substantial criteria, arguing that the criteria would have undermined the Departments stated goal of the supporting self-sufficiency, in addition to creating administrative burdens for State agencies and unnecessary barriers to program participation for applicants.
Numerous commenters expressed concerns about the legality of the framework of the proposed rule.
Commenters claimed the Department did not provide valid justifications for the changes proposed, identify any evidence to support the need for a regulatory change, or adequately explain its decision-making. Many commenters argued that the proposed rule was arbitrary and capricious.
More specifically, many commenters responded to concerns raised in the proposed rule regarding the impact of expanded categorical eligibility on SNAP program integrity. These commenters disputed the proposed rules assertion that States have abused the flexibility offered by categorical eligibility, writing that States have been responsible and methodical stewards of SNAP. Commenters also wrote that the proposed changes went well beyond shoring up the integrity of the program and were intended to reduce SNAP
benefits. Several commenters suggested that the program integrity concerns cited in the proposed rule were unwarranted since all households are required to submit and verify income and other eligibility information to determine the SNAP benefit allotment.
Withdrawal After reviewing and considering the comments received, the Department has determined that the proposed rule to revise categorical eligibility should not be finalized. In withdrawing this proposed rule, the Department reaffirms its longstanding categorical eligibility policy, codified in regulations at 7 CFR
273.2j. The Department has
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