Reynolds’ plan calls for the state to cover $1.9 million in food assistance in the summer of 2025.

DES MOINES — Administrative costs for Iowa’s proposed alternative summer food assistance program will total $3.9 million in its first year — and will be split evenly between state and federal governments, according to the Governor’s Office.

The full cost of Iowa Gov. Kim Reynolds’ proposed alternative to the federal Summer EBT program may not be known until mid-February, when the federal application deadline is.

Reynolds this year opted out of Iowa’s Summer EBT program, which provides an extra $40 a month directly to low-income families for grocery shopping. The program is intended to ensure that children who receive free or reduced-price lunches during the school year have access to food during the summer.

Reynolds’ decision rejected a request for $29 million in federal funding for low-income Iowa families for a program that would cost the state $2.2 million a year to administer.

Reynolds instead used $900,000 in federal pandemic relief funds to create new sites for Iowa’s current summer meal program. She said the state served more than 1.3 million healthy meals and snacks to Iowa children in May and June.

For 2025, Reynolds and the Iowa Department of Health and Human Services are proposing a much larger program: The state would use federal funds to offer healthy food at distribution points across the state in June, July and August of next year. The proposed program would expand eligibility from 185 percent of the federal poverty level to 200 percent, making about 300,000 Iowans eligible.

Such a program requires approval from the U.S. Department of Agriculture, which runs the Summer EBT program, now called SUN Bucks.

Reynolds’ new proposal would cost $3.86 million in the first year, according to documents filed by the state with the USDA, provided by the Governor’s Office through a records request from The Gazette. Half of that, $1.93 million, would be paid by the state.

States have until February 15 to submit a complete budget for their requests, including costs for food and its distribution.

The Reynolds Summer 2024 Food Assistance Scholarship Program was funded with federal funds from the American Rescue Plan Act, which was passed in 2021 as a pandemic relief package.

Aside from administrative costs, Reynolds’ 2025 proposal would be funded from federal funds available to states for the SUN Bucks program. It would not require further use of ARPA funds, the governor’s staff said.

Reynolds discusses his new proposal

Reynolds defended her proposal Thursday during a news conference. She said her proposal builds on existing state infrastructure by partnering with food banks, food pantries, schools and others involved in summer food assistance programs. And Reynolds said her proposal allows the state to buy food in bulk and therefore at a lower cost, which she argued would be a better option for low-income families than buying groceries in the face of high inflation.

“I saw this as an opportunity to serve more kids, serve more food, and do it in a way that is nutritious,” Reynolds said during a news conference. “So we’re actually serving more healthy food by buying wholesale, not retail. …

“Rather than creating a new program, creating new people… we leverage an existing program, leverage an existing network, deliver more food, serve more kids and provide better nutrition.”

USDA, Reynolds exchange comments on proposal

When Reynolds first announced the proposed program and the state’s request for a waiver, a USDA spokesman said the agency would consider the request like any other, but he also issued a comment defending the federal SUN Bucks program, which is designed to send aid directly to families, and criticized Reynolds for proposing an alternative in which meals would be prepared and distributed.

“The USDA Summer EBT program was designed to address one goal: feeding children at a time when we know hunger is rising. It is supported by a decade of demonstration projects and rigorous evaluation that show it works to reduce childhood hunger and support healthier diets,” USDA Press Secretary Allan Rodriguez said in a statement. “With this waiver request, the governor is claiming that the state (Iowa) knows better than his own families what their needs are.”

Reynolds responded to the USDA’s comments with a statement the next day. She said Iowa’s proposal would achieve SUN Bucks’ goal of ensuring every child has access to food when school is not in session.

“We’ve proven that we have a solid infrastructure across the state to make this work for Iowa families,” Reynolds said in response. “If the goal is to truly make sure kids don’t go hungry in the summer, USDA will partner with Iowa on this demonstration project in good faith. We’re ready to roll up our sleeves and join them in feeding Iowa’s kids.”

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