Combating Waste, Fraud, and Abuse in SNAP

Benefits Fraud and Improper PaymentsHouse Oversight and Government Reform Subcommittee on Delivering on Government Efficiency · June 25, 2026 · 119th Congress
The House Oversight Subcommittee on Delivering on Government Efficiency held its first formal hearing under the new chair to examine waste, fraud, and abuse in SNAP (food stamps), a roughly $100 billion annual federal program. Begins at ▶ 0:10:55
Transcript
Highlights

Title

Oversight of SNAP fraud, improper payments, and state data-sharing

Purpose

The House Oversight Subcommittee on Delivering on Government Efficiency held its first formal hearing under the new chair to examine waste, fraud, and abuse in SNAP (food stamps), a roughly $100 billion annual federal program. The hearing focused on USDA's request for five years of beneficiary data from all 50 states — 21 of which had not complied — as well as EBT card skimming, retailer trafficking, and eligibility rules, with testimony from an inspector general, a former fraud investigator, a conservative policy researcher, and an anti-hunger advocate. Begins at▶ 0:10:55

Who spoke

• Chairman (subcommittee chair)▶ 0:10:55: Opened by citing $100 billion in annual SNAP spending, 14,000 luxury vehicles owned by food stamp enrollees in one state▶ 0:11:24, $10 billion in improper payments in 2024▶ 0:11:24, and $3 billion in potential fraud identified from 29 compliant states' data, including benefits to 186,000 dead people and 442,000 fraudulent Social Security numbers▶ 0:13:30; noted he sent letters to non-compliant states▶ 0:14:14.

• Ranking Member Melanie Stansbury (D-NM)▶ 0:14:40: Argued the hearing is being used as cover to cut SNAP, citing 770,000 children losing food access under the "big ugly bill"▶ 0:16:36 and 3.5 million Americans losing food assistance▶ 0:16:57; noted the five states sent data-demand letters all have Democratic governors▶ 0:20:49; later displayed a photo of contractor Jon Carrasco and alleged a $1.7 million no-bid Reflecting Pool contract tied to fraud▶ 0:53:28.

• The Honorable John Walk, USDA Inspector General▶ 0:21:37: Described SNAP fraud as harming both taxpayers and legitimate recipients, citing EBT skimming, a $66 million terminal-fraud case▶ 0:27:31, and gang members trading SNAP cards for crack cocaine and guns▶ 0:26:34; said OIG's Ohio review found $13.3 million in anomalies▶ 0:48:39 and that six of ten target states still haven't provided data, prompting subpoenas▶ 0:49:48; confirmed under questioning he was a Project 2025 volunteer▶ 0:50:17 and had no prior audit or IG-office experience▶ 0:51:12; said skimming is often tied to transnational crime, especially from Romania▶ 1:11:04.

• Ms. Dawn Royal, United Council on Welfare Fraud▶ 0:28:48: Cited a case of 27 SNAP and 12 Medicaid beneficiaries listed at one one-bedroom address▶ 0:31:28 and a COVID-era loophole letting EBT deliveries go to any state▶ 0:32:21; recommended access to the National Accuracy Clearinghouse, ending self-attestation, and increasing state fraud-recovery retention▶ 0:59:41.

• Ms. Rachel Greszler, Advancing American Freedom▶ 0:34:00: Cited $184 billion in federal improper payments last year and GAO estimates up to $521 billion annually across government▶ 0:35:21; said SNAP's improper-payment rate hit 10.9% ($10.2 billion)▶ 0:36:13 and categorical eligibility let 5.6 million ineligible people receive benefits▶ 0:38:06; proposed 1099-style benefit reporting and closing eligibility loopholes▶ 0:57:58.

• Ms. Gina Plata-Nino, Food Research and Action Center▶ 0:39:03: Said 47 million Americans, including 14 million children, were food insecure in 2024▶ 0:40:26; distinguished fraud from administrative error▶ 0:41:16 and warned that H.R. 1's 25% administrative cost shift undermines accuracy▶ 0:42:33; under Rep. Gill's questioning declined to say sugary sodas lack nutritional value▶ 1:23:29 and acknowledged General Mills funds her organization▶ 1:27:12.

• Rep. Cloud (R-TX)▶ 0:54:56: Noted SNAP has nearly doubled in five years while poverty held flat▶ 0:56:15; asked panelists for integrity recommendations, prompting Greszler's 1099-reporting and loophole-closing proposals.

• Rep. William Timmons (R-SC)▶ 1:00:52: Promoted the bipartisan TABS Act using bank-data verification, citing a Missouri pilot that saved 20%▶ 1:02:13 and CBO scoring it as low-cost▶ 1:02:13; discussed ending "benefits cliffs"▶ 1:03:05.

• Rep. Burlison (R-MO)▶ 1:06:20: Pressed Plata-Nino on whether she believed IG/audit fraud findings▶ 1:07:29 and on the $39 trillion national debt, citing $356,000 per taxpayer▶ 1:09:22.

• Rep. Stansbury (second round, chair-lady)▶ 1:11:32: Quizzed panelists on top causes of improper payments, average benefit ($174–177/month)▶ 1:14:15, and SNAP demographics (39% children, 20% disabled, 10% seniors)▶ 1:15:09; argued no one could feed a family on $174/month▶ 1:16:02.

• Rep. Fallon (R-TX)▶ 1:17:31: Cited SNAP spending rising from $65 billion (2019) to $102 billion (2025), a 68% increase versus 8.9% GDP-per-capita growth▶ 1:18:32; pressed Plata-Nino on able-bodied adult eligibility▶ 1:19:28 and noted the 21 non-compliant states all have Democratic governors▶ 1:22:03.

• Rep. Gill (R-TX)▶ 1:23:01: Repeatedly questioned Plata-Nino on SNAP-funded soda purchases and possible conflicts of interest with General Mills funding▶ 1:23:29.

• Rep. Jack (R-TX)▶ 1:28:37: Asked Walk why 21 states haven't released USDA-requested data▶ 1:28:37 and Royal about the luxury-vehicle findings▶ 1:31:25; entered UCF's report into the record▶ 1:33:54.

• Rep. Anna Paulina Luna (R-FL)▶ 1:34:22: Cited "Operation Cold Snap" hitting 20 Minnesota retailers and a $300 million Somali-community child nutrition fraud case▶ 1:34:49; questioned Walk on sanctuary-jurisdiction cooperation▶ 1:35:47 and Greszler on SNAP-linked chronic illness and beverage-industry lobbying against nutrition waivers▶ 1:37:35.

Key moments

• Chairman: 29 of 50 states shared SNAP data, revealing $3 billion in potential fraud, including 186,000 deceased beneficiaries and 442,000 fraudulent Social Security numbers▶ 0:13:30.

• Walk: A single EBT terminal-fraud case caused a $66 million loss, and a Southern California store trafficked SNAP cards for crack cocaine and guns▶ 0:27:31▶ 0:26:34.

• Stansbury: Displayed contractor Jon Carrasco, tied to a $1.7 million no-bid Reflecting Pool water-filtration contract, alleging fraud and a Mar-a-Lago connection▶ 0:53:28.

• Walk revealed he was a Project 2025 volunteer, had never conducted an audit, and had never worked in an IG office before his appointment, unlike his predecessor's 22 years of experience▶ 0:50:17▶ 0:51:12▶ 0:52:01.

• Greszler: GAO estimates improper payments across government could reach $521 billion annually, and states using strict federal eligibility standards instead of categorical eligibility have 50% fewer SNAP enrollees at the same poverty rate▶ 0:35:21▶ 0:59:14.

• Rep. Timmons cited a Missouri pilot of income-verification technology (the TABS Act) that saved 20% of benefit costs, which he said could total over $2 trillion across a decade▶ 1:02:13.

• Sharp exchange: Rep. Burlison asked Plata-Nino whether she believed IG and audit findings on organized fraud rings; she said she did not fully believe the figures were accurate▶ 1:07:59.

• Rep. Gill's extended questioning pressed Plata-Nino to state whether sugary sodas have nutritional value; she repeatedly declined to answer directly and acknowledged General Mills funds her organization▶ 1:23:29.

• Walk testified OIG's Ohio review found $13.3 million in anomalies, while California, New York, Illinois, and Michigan still had not turned over data despite subpoenas▶ 0:48:39▶ 1:30:33.

• Rep. Luna cited "Operation Cold Snap" (20 Minnesota retailers) and a nearly $300 million child-nutrition fraud scheme involving 98 people charged, 85 of Somali descent, and asked whether sanctuary policies enabled it▶ 0:34:49▶ 1:35:16.

Metadata

CommitteeHouse Oversight and Government Reform Subcommittee on Delivering on Government Efficiency
Chamber / CongressHouse · 119th Congress
DateJune 25, 2026
TypeHearing
Witnesses
Ms. Dawn Royal — Current Director and Former President, United Counsel on Welfare Fraud
Ms. Rachel Greszler — Senior Research Fellow, Advancing American Freedom
Ms. Gina Plata-Nino, JD — Director of SNAP Policy and Advocacy, Food Research and Action Center
The Honorable John Walk — Inspector General, U.S. Department of Agriculture
Videoyoutube
Transcript205 caption blocks · 14,794 words · 1:41:18 runtime
EventCongress.gov 119410