FOR IMMEDIATE RELEASE
Contact: Jennifer Adach, 202.986.2200 x3018; Ellen Vollinger, 202.986.2200 x3016

1.5 Million More People on Food Stamps in March 2008 than in March 2007

Near-Record Number of Participants Plus Newest Jobless Rate Signal Growing Need

Connecting More People with Food Stamps and Temporarily Boosting Benefits
Can Help Stimulate Economy and Cushion Blow on Families

Washington, D.C. – June 6, 2008 – New data from the federal government documenting a very large jump in food stamp caseloads and the largest monthly increase in the jobless rate since 1986 underscore the need for action to boost the economy and cushion the blow on hard-hit families, according to the Food Research and Action Center (FRAC). “Now is the time for Congress to pass temporary increases in food stamps, extended unemployment insurance, and other targeted relief that will stimulate the economy and help struggling families,” said FRAC President Jim Weill.

March 2008 food stamp participation was 27.8 million persons – an increase of more than 1.5 million people compared with the prior March, according to FRAC’s analysis of data from the U.S. Department of Agriculture.

The March number was close to a record number of participants for the program, exceeded only by 27.97 million recipients in March 1994 and 29.85 million in November 2005, which included those receiving emergency assistance in the wake of the hurricane season.

Seven states registered double digit percentage caseload increases compared to March 2007: Florida, Nevada, Arizona, Idaho, Maryland, Rhode Island and Massachusetts. Three of these states – Florida, Nevada, and Arizona – are among the hardest hit by foreclosures and the economic downturn.

This Food Stamp Program growth, building on increases over the several years, reflects continuing wage stagnation, state actions to improve access, the effects of the 2002 food stamp reauthorization implementation, and disaster relief. Food Stamp Program growth is expected to continue, with the Congressional Budget Office predicting the FY 2009 monthly caseload will average 28 million persons.

Currently, the weak economy and food price inflation are taking a toll on low-income households. “Today’s news from the U.S. Department of Labor that the nation’s jobless rate rose in May to 5.5 percent is bad news for fighting hunger,” Weill said. “Even before this deepening unemployment, more than 35 million people in the U.S. live in households that face a constant struggle against hunger.”

Based on research by USDA, FRAC Legal Director Ellen Vollinger points out, each one dollar in federal food stamp benefits generates nearly double that in economic activity. More background on the economic stimulative effects of food stamp spending is posted at www.realstimulus.org.