Budget & Tax, Law & Principles

Oklahoma food-stamp numbers raise fraud concerns

November 4, 2025

Ray Carter

In Oklahoma, public data show that 11.6 percent of Oklahomans live in poverty, but the share of Oklahomans on the Supplemental Nutrition Assistance Program (SNAP, better known as the food-stamp program) is around 17 percent.

In most other states, the share of people on food stamps generally aligns with the poverty rate, leading some to question if Oklahoma’s program is being inflated by a significant amount of fraud.

“This highlights why, in addition to changes coming from Washington, the state needs stronger program integrity in food stamps,” said Tim Puglisi, associate fellow at the Foundation for Government Accountability (FGA). “Policies like broad-based categorical eligibility (BBCE) have expanded eligibility to Oklahomans with assets far above the federal asset limits, which drives up administrative costs and increases exposure to federal payment error penalties.”

A Sept. 26, 2024, report by the U.S. Government Accountability Office noted that the U.S. Department of Agriculture reported most states made improper payments related to SNAP “mainly because they did not verify recipients’ eligibility for program benefits.”

The report noted that states failed to determine if recipients were U.S. citizens or lawfully present immigrants, and also failed to confirm recipients’ employment status, finances, and household size, among other things.

The Government Accountability Office report estimated that 10.64 percent of SNAP payments in Oklahoma went to unqualified individuals in 2023.  

All states in the region, aside from New Mexico, had lower error rates than Oklahoma.

Oklahoma’s error rate could create significant new state liabilities that divert hundreds of millions of dollars away from other needs, such as schools, roads, and public safety.

Under the newly passed federal “One, Big, Beautiful Bill,” Oklahoma could be responsible for covering a share of the food stamp benefits based on the state’s payment error rate starting in FY 2028.

The Foundation for Government Accountability estimates that Oklahoma’s error rate in FY2024 was slightly higher than the rate noted in the GAO report and had increased to 10.87 percent. That would translate into an increased state cost of nearly $226 million annually from penalties under the new federal law.

If Oklahoma’s payment error rate were reduced to less than 6 percent, however, no penalty would be imposed.

The Foundation for Government Accountability recommends that Oklahoma officials use modern data cross-checks to ensure SNAP recipients’ continued eligibility. FGA calls for frequent cross-checks of free and readily available state and federal records and databases, including state wage records, state tax records, state incarceration records, state lottery and gaming records, state death records, out-of-state Electronic Benefits Transfer (EBT) card transaction data, federal pension data, federal new hire and child support data, federal earnings data, and federal fleeing felon data.

FGA also recommends that Oklahoma prohibit illegal aliens from receiving food-stamp benefits, noting that a current loophole allows illegal immigrants to qualify even when their incomes are above the normal cut-off.

There are monetary reasons individuals may seek food-stamp benefits for which they do not qualify. Nationally, individuals have been caught selling their benefit cards to others, receiving perhaps $1 to $2 in cash for every $4 in benefits sold, for example.

In May, federal officials filed charges against six individuals in connection with a scheme that generated more than $66 million in unauthorized food-stamp transactions.

Nationally, the U.S. Department of Agriculture estimated that 11.7 percent of SNAP benefits, amounting to approximately $10.5 billion, were paid out improperly in fiscal year 2023.

Oklahoma is a national outlier when it comes to the sizable difference between the percentage of the population living in poverty and the share receiving food-stamp benefits. In only two states is there a larger gap between the poverty rate and the share on SNAP.

In contrast, in many states, the share of the population on SNAP is less than the share in poverty, and in the local region most states have SNAP rates that generally align with poverty rates.

In Texas, 14.3 percent of people live in poverty but just 10 percent receive SNAP subsidies. In Arkansas, 13.6 percent live in poverty but only 8 percent are on SNAP. In Louisiana, 17.7 percent of people live in poverty and 18 percent are on SNAP. In Missouri, 10 percent of people live in poverty and 11 percent are on SNAP. In Kansas, 9.1 percent live in poverty, but just 6 percent get SNAP benefits.

“It’s urgent that Oklahoma crack down on waste and fraud in food stamps and close the loopholes bureaucrats have used to expand the program,” Puglisi said. “By tightening eligibility verification, running more frequent and comprehensive cross-checks of state and federal databases, and limiting policies that expand enrollment like BBCE, the state can ensure benefits go to those who truly need them, protect taxpayers, and reduce dependency on the program, particularly for able-bodied adults.”

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