Because of concerns about poor diet, overweight, and obesity among low-income Americans, there is considerable interest in using federal nutrition assistance programs to promote healthy choices. Some argue that food stamp recipients should be prohibited from using their benefits to buy foods with limited nutritional value (commonly described as “junk” foods). The Food Stamp Act currently places few limits on the use of food stamp benefits, as long as they are used to buy food to eat at home. The idea of restricting the use of food stamp benefits may be appealing on its face. However, upon closer examination, serious concerns emerge regarding the feasibility and rationale for the proposed restriction.

Describe how participants redeem their food stamp  benefits (including the number and types of stores frequented by typical clients, the timing and amount of purchases during the month, the frequency of benefit exhaustion, and the amount of benefits carried over into following months). And, identify redemption patterns across groups and analyze differences in redemption and shopping patterns if such exist.

The report is based on a telephone survey of all states with SLEB agreements and case studies of 6 states with noteworthy levels of SLEB agreement-generated activity.

A fundamental issue in the design of the Food Stamp Program (FSP) is the form benefits should take.

A fundamental issue in the design of the Food Stamp Program is the form the benefits take. From the inception of pilot programs in the early 1960s to the contemporary program, the vehicle of choice has been the food stamp coupon, a voucher that can be redeemed for food at authorized retailers. For nearly that same period analyses have considered the relative merits of cash--or, in practice, checks--as an alternative. Advocates of the current coupon system argue that coupons are a direct and inexpensive way to ensure that food stamp benefits are used to purchase food, that the unauthorized use of food stamps is relatively limited despite some evidence of fraud and benefit diversion, and that coupons provide some measure of protection to food budgets from other demands on limited household resources. Advocates of cash benefits argue that the current system limits the purchasing choices of participants; places a stigma on participation; does not prevent the diversion of benefits (as evidenced by the existence of illegal trafficking); and entails excessive costs for coupon production, issuance, transaction, and redemption.

The primary objective of this study was to determine the savings in Medicaid costs for newborns and their mothers during the first 60 days after birth resulting from participating the Special Supplemental Food Program for Women, Infants, and Children (WIC) during pregnancy.