FNS provides state administrative expense (SAE) funds to state agencies to support administration and oversight of federal child nutrition programs in their state. This study examines the formula used for allocations of SAE funds, identifies factors that influence state agency spending, and presents a series of options for consideration to potentially improve SAE allocations and procedures.

The Federal Government fully funds SNAP benefits, but FNS and state agencies share administrative expenses, with each paying about 50 percent. State administrative costs per case varies widely by state. This study explores a number of factors, including state economic conditions, SNAP caseload characteristics, state SNAP policies, to try to explain the variation by state.