SP Futures Updates

A federal judge on Friday issued a ruling preventing the Trump administration from halting SNAP benefits that support 42 million Americans amid the U.S. government shutdown. The oral ruling issued by Judge Jack McConnell mandated that food stamp benefits be disbursed from emergency funds “as soon as possible,” occurring just one day prior to the administration’s planned cessation of the aid. “There is no doubt, and it is beyond argument, that irreparable harm will begin to occur if it hasn’t already occurred in the terror it has caused some people about the availability of funding for food for their family,” McConnell stated. McConnell’s ruling arrived shortly after a federal judge in Boston, presiding over a distinct yet analogous lawsuit, indicated that the coalition of states acting as plaintiffs in that case is likely to demonstrate that the suspension of Supplemental Nutrition Assistance Program benefits was “unlawful.” The presiding judge, Indira Talwani, has mandated that the administration provide a response by Monday regarding the potential authorization of at least diminished SNAP benefits for the month of November.

President Donald Trump, in a statement on social media later Friday, remarked, “Our Government lawyers do not think we have the legal authority to pay SNAP with certain monies we have available, and now two Courts have issued conflicting opinions on what we can and cannot do. I do NOT want Americans to go hungry just because the Radical Democrats refuse to do the right thing and REOPEN THE GOVERNMENT,” Trump stated. “Consequently, I have directed our legal team to seek clarification from the Court regarding the legal avenues for funding SNAP at the earliest opportunity. If we receive the appropriate legal direction from the Court, it will be my honor to provide the funding, just as I did with military and law enforcement pay,” he stated. At a court hearing on Friday, attorneys representing the plaintiffs in the case before McConnell contended that the termination of SNAP benefits constituted an “arbitrary and capricious act” that has precipitated “a crisis” for those Americans reliant on food stamps for sustenance.

A lawyer from the Justice Department contended that SNAP is no longer in operation due to the absence of congressionally appropriated funds resulting from the shutdown. The attorney, Tyler Becker, contended that it was within the administration’s discretion to utilize up to $6 billion in contingency funds that Congress had previously allocated for the ongoing issuance of SNAP benefits. “There is no SNAP program and, consequently, the government is unable to simply offer SNAP benefits,” Becker stated. “A shutdown is not an emergency,” stated Becker, noting that if an emergency existed, it was one manufactured by Congress’s failure to allocate funds necessary for the government’s continued operation. However, McConnell advised the administration to utilize the available contingency funds to preserve a portion of the SNAP benefits that are typically disbursed. The judge indicated that the administration must assess the availability of alternative federal funds to sustain the program should Congress fail to pass a funding bill. McConnell’s ruling issued a temporary restraining order to plaintiffs who initiated a lawsuit on Thursday in U.S. District Court in Providence against the Trump administration to preserve the benefits.

During an interview Kevin Hassett refrained from commenting on whether the Trump administration would adhere to either court ruling. “Today’s ruling is a lifeline for millions of families, seniors, and veterans who depend on SNAP to put food on the table,” stated the coalition. “It reaffirms a fundamental principle: no administration can use hunger as a political weapon,” stated the coalition. “This victory transcends a single program — it embodies the American principles of fairness, compassion, and accountability that underpin our democracy.” The Boston judge indicated that she was still deliberating the plaintiffs’ appeal for a temporary restraining order to preserve the benefits. However, she also instructed the administration to inform her by Monday whether it would “authorize at least reduced SNAP benefits for November, and, if so, their timeline for determining whether to authorize only reduced SNAP benefits using the Contingency Funds or to authorize full SNAP benefits using both the Contingency Funds and additional available funds.” Senate Minority Leader Chuck Schumer expressed approval of both rulings, calling Trump’s decision to cut off SNAP “vindictive and heartless.” Meanwhile, Hassett criticized the rulings, warning that emergency funds could be depleted, stating, “We must ensure the government is operational.”