Governor Katie Hobbs Announces $7.5 Million to Streamline SNAP Benefits and Unemployment Insurance

Phoenix, AZ – Today, Governor Katie Hobbs announced a $7.5 million investment to reduce wait times for SNAP benefits and unemployment insurance (UI), providing Arizona families with the stability they need during the holiday season. Federal budget cuts and new requirements from the partisan Washington budget have led to staffing shortages at the Department of Economic Security (DES), resulting in delays for families seeking critical support.

“Programs like SNAP and unemployment insurance help families put food on the table and keep the lights on during times of economic uncertainty," said Governor Katie Hobbs. “I understand the frustration Arizonans feel with these delays. Families deserve stability, and I’m committed to ensuring they can access the support they need when they need it while protecting critical programs from further federal cuts.”

The $7.5 million from the Governor's Office will address staffing constraints for both programs and improve the accuracy of SNAP payments by increasing capacity and enabling key process improvements. Specifically, the funding will:

• Immediately add 15 temporary staff to help resolve claims and assist callers, increase capacity for appeals and pre-authorization teams, and upskill customer service representatives.
• Expand vendor operating capacity by 100 FTE.
• Continue overtime opportunities for eligibility staff to enhance capacity, process applications and resolve reported changes.
• Enhance technology and third party verification, including:
  • Streamlining and automating manual processes
  • Helping to proactively identify eligibility issues for SNAP participants
  • Providing user-friendly tools to assist SNAP participants in submitting required documentation
  • Expanding income validation capacity
  • Automating tools for eligibility workers

Improving payment accuracy will reduce Arizona’s SNAP error rate. The SNAP error rate represents underpayments or overpayments made in the program from miscalculation, typically due to fluctuations in the recipient’s income. In FY24, Arizona’s error rate was 8.84%, well below the national average of 11%. 

The partisan Washington budget increased penalties for states with an error rate above 6%, threatening hundreds of millions of dollars in fines.