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Federal Shutdown Halts SNAP Benefits for Hoosiers, Philanthropy Responds

This alert outlines the current situation and philanthropic response efforts to support communities in need.

As the federal government shutdown continues, a critical safety net for Hoosier families has been disrupted: SNAP benefits have been halted, affecting more than 570,000 Indiana residents who rely on this program to put food on the table.

What's Happening

  • Nov. 10: The Administration returned to the Supreme Court in a push to keep full payments frozen while the government is shut down. Lower courts have ruled that the government must keep full payments flowing, and the Supreme Court asked the administration to respond after an appeals court ruled against it again late Sunday. The Supreme Court has allowed the government to pause full payments so far, and is expected to decide late Tuesday whether to extend the freeze. Congress could also decide this week to fund SNAP through the end of the fiscal year under a proposal to end the government shutdown. Meanwhile, Indiana's Family and Social Services Administration announced its plan to move forward with partial payment of SNAP benefits to Hoosiers as early as Tuesday, Nov. 11.
  • Nov. 8: The Department of Agriculture ordered states to stop issuing full food stamp benefits for November and to “immediately undo” any issuance of the full allotments, after a Supreme Court justice paused the lower court order requiring the agency to pay Americans their full assistance. In their directive, the USDA told states to instead proceed with issuing partial benefits — which will provide 65% of the maximum allotments for November — as ordered by the same lower court judge earlier in the week.
  • Nov. 7: A federal judge has issued a second temporary restraining order requiring the Administration to deliver full SNAP benefit payments to states by November 7, a significant win in litigation brought by the National Council of Nonprofits and its allies. Following this order, the administration asked a federal appeals court to suspend any court orders requiring it to spend more money than is available in a contingency fund, insisting it is up to Congress to appropriate funds for the program, while hoping to continue with planned partial SNAP payments for the month.
  • Nov. 3: Court Orders Funding Restarted but Delays Remain. Following an order on Oct. 31 by Federal judges in Rhode Island and Massachusetts, on Nov. 3, the USDA said it will use all remaining contingency funds to partially cover November SNAP benefits. A USDA official cautioned that it could take weeks or even months for recipients to receive their partial payments because states must recalculate benefits.
  • Oct. 29: Indiana’s State Budget Committee Declines Action. A proposal to use state surplus funds to temporarily cover SNAP shortfalls was rejected by the Indiana State Budget Committee. The Indiana Family and Social Services Administration (FSSA) acknowledged its inability to issue benefits without federal funding. According to food security advocates such as Feeding Indiana’s Hungry and the United Way of Central Indiana, Indiana relies on $100 million in SNAP benefits each month, with 600,000 Hoosiers currently relying on the program. The recommendation had called for Gov. Mike Braun and the State Board of Finance to allocate $100 million in contingency funds to FSSA and an additional $10 million for Indiana food banks statewide for each month the government doesn’t reopen.
  • SNAP Payments Halted. The U.S. Department of Agriculture (USDA) confirmed it did not have sufficient appropriated funds to distribute November SNAP benefits on schedule. Contingency reserves existed within the USDA but were initially withheld.
  • Oct. 1: The Federal Government Shut Down due to a lapse in funding authorization. The U.S. House of Representatives has been in recess since September 19, 2025, with no immediate resolution, while the Senate has remained in session, unable to pass a continuing resolution.

What Funders Can Do Right Now

As we approach Thanksgiving and the winter season, uncertainty remains high. Philanthropy cannot solve this crisis alone, but our sector plays a critical role in mobilizing resources, advocating for systems change, and supporting recovery long after the shutdown ends. Your foundation’s leadership can make a difference.

✓ Communicate with Community Partners

Contact your grantees and nonprofit partners in the food security space to understand what they’re facing on the ground and how it will impact your community. 

✓ Deploy Flexible, Rapid Response Funding

Assess discretionary or donor-advised funds (DAFs) for immediate deployment. Unrestricted emergency grants allow food banks and pantries to quickly purchase high-demand items, often at bulk/wholesale costs that stretch your impact further.

✓ Mobilize Your Donors

If you’re a community foundation, rally your DAF holders. Make it simple for them to give and spotlight local food banks across your communications.

✓ Share Vital Community Resources

Ensure your community knows where to turn for help. 

✓ Contact Your Representatives

Reach out to your state and federal representatives to share what you’re hearing from your community and emphasize the importance of restoring and sustaining SNAP funding. Personal stories and data from local partners can help legislators understand how policy decisions directly affect Hoosier families and nonprofits.

How Philanthropy Is Stepping Up

Indiana foundations and philanthropic networks are responding with urgency, flexibility, and collaboration (see relevant news stories linked below).

At IPA’s recent Grantmaking Peer Community meeting, over 40 members, including community and private foundations, came together to share what they’re seeing on the ground and how they’re responding. Some are proactively issuing emergency grants, others are convening food pantries and coalitions to assess needs, and several are coordinating logistics or providing fiscal sponsorships. While some members report that food pantries in their area are stable, others note a rapid uptick in demand. Several discouraged traditional food drives due to lack of storage, emphasizing the need for flexible funding over donated goods.

If your foundation is involved in this work, please share your efforts so we can help elevate and connect them statewide. Email us at news@inphilanthropy.org.

Learn about a national funders’ working group.

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