Accessing fresh, healthy food is essential for all, but every county in Nebraska has an increasing number of people who don’t know where their next meal is coming from.
During the first week of February, two standing committees in the Nebraska Legislature heard proposals to improve food access in our state. Together these bills support Nebraskans by securing food purchasing benefits for low-income households and improving the availability of fresh, healthy food in rural areas.
SNAP access
Legislative Bill (LB) 192, introduced by Sen. Dan Quick, would maintain the income eligibility for the Supplemental Nutrition Assistance Program (SNAP) at 165% of the federal poverty level (FPL); if the bill does not pass, SNAP eligibility in Nebraska will revert to 130% of the FPL on Oct. 1, 2025.
The Nebraska Legislature temporarily raised the income eligibility for SNAP in response to the COVID-19 pandemic in 2021 and extended the provision in 2023. For those facing food insecurity, SNAP is a vital program. Though inflation has slowed and the pandemic has officially ended, the cost of living, and grocery prices in particular, remain a high concern, especially for those with low incomes.
SNAP impacts in Nebraska
- If action is not taken by the Legislature this year, nearly 10,000 Nebraskans, or about 4,000 families, will lose their SNAP benefits
- The American Community Survey found that 8% of Nebraska households are enrolled in SNAP
- Of households enrolled in SNAP, 48.6% are families with children, and 48.9% include at least one person with a disability
Without SNAP benefits, families must make impossible choices about where to make up those dollars in their budget. Other bills are left unpaid, vehicles go unrepaired, and children miss out on activities that become too expensive. Furthermore, food banks across Nebraska report that the number of families served has not returned to pre-pandemic levels, and a growing number of people are accessing their services for the first time.
Beyond groceries, SNAP provides additional benefits as well. The U.S.Department of Agriculture estimates that for every $1.00 in SNAP benefits spent, an estimated $1.54 in economic activity is generated through what is known as a “multiplier effect.” There is a ripple effect from SNAP dollars spent by both rural and urban residents that help sustain every stage of the food supply chain—from farming and processing to labor and distribution, and finally in retail stores. The financial multiplier effect has a greater impact on rural economies like Nebraska’s where agriculture and food production are major industries.
SNAP dollars provide an important revenue stream for locally owned grocery stores, which are most often found in rural communities. Studies have found that 48% of each purchase at a local independent business recirculates back into the community. However, small grocery stores have been disappearing across the state, negatively impacting food access and security for rural residents.
Support for rural grocery stores
In small towns, independent grocers are typically the only fresh, healthy food access point for many miles. LB 375, introduced by Sen. Teresa Ibach, seeks to support these anchor businesses by creating a grant program for small, locally-owned grocery stores in rural areas to help struggling stores stay open and provide access to fresh food for their communities.
Last year, Sen. Ibach introduced an interim study to evaluate the role independent grocery stores have in rural food access, the challenges these stores face, and how to best support them. The Center for Rural Affairs led the interim study and presented its report to the legislature.
Between 2016 and 2021, Nebraska lost 30% of its independent rural grocery stores, with more closing every year. The most significant challenges faced by independent rural grocery stores over the past three decades include competition with big box stores, rising minimum wholesale purchasing requirements, and slim profit margins.
Local stores are critical to their communities, especially for those facing food insecurity, senior citizens, and people who lack access to reliable transportation. Additionally, rural grocery stores offer more than just food for their towns—they serve as social hubs, complement other local businesses, and provide jobs. Supporting small-town grocers is an investment in economic development and rural vitality.
The grant funding established in LB 375 would assist independent grocery stores in rural areas to achieve business sustainability. Grant funds could be used to:
- Purchase technology upgrades. Innovations like automated checkouts and inventory software improve competitiveness, sales, and business efficiency. Investing in tools such as website design to enable e-commerce can increase sales capacity and business resilience.
- Innovate ways to increase wholesale purchasing power. Shared purchasing among area businesses lowers wholesale prices, reduces costs, and expands product variety, which benefits communities and provides a key way for independent grocers to compete with big box stores.
- Transition to a cooperative or multi-owner model. Grocery stores operating under cooperative or multi-ownership models have been successful in even Nebraska’s smallest towns. Helping stores with a business transition to this kind of model will help more stores stay open and serve their communities.
- Access federal funding. Technical assistance to help busy grocers write and apply for complex federal grants will leverage state investment for maximum impact.
Expanding food access across the state
Food insecurity is complex, and no single policy can fully address it. LB 192 and LB 375 are both part of the ways in which Nebraska can expand access to food throughout the state. Maintaining the expanded eligibility of SNAP supports low-income families who truly need the benefits, and supporting rural grocery stores keeps food accessible. Together, SNAP dollars that are spent in local grocery stores benefits rural Nebraska economically and in ways that deeply matter to struggling families.
LB 192 and LB 375 are important for food access in our rural communities. You can support the advancement of these bills by contacting your senator.
