S. 1622: Stop Child Hunger Act of 2025

The Stop Child Hunger Act of 2025 aims to address child hunger by expanding a program that provides electronic benefits specifically for children during summer breaks and school closures. Below are the main features of the bill:

Expansion of Benefits

The bill amends the Richard B. Russell National School Lunch Act to allow:

• Electronic benefits transfer (EBT) for children not only during summer months but also during any school closure periods.
• Parents to receive benefits that equal at least the value of free breakfast, lunch, and a snack for each day of the summer or during school closures.

Definitions

The bill defines a school closure period as any time an elementary or secondary school is closed, operating remotely, or operating in a hybrid manner for 5 or more consecutive weekdays during a calendar year.

Administrative Expenses

For states and tribal organizations administering these benefits, the bill provides specific guidelines on covering administrative expenses:

• Full reimbursement for fiscal year 2026, with decreasing percentages for subsequent years (90% in 2027, 80% in 2028, etc.).

Implementation Grants

Additionally, the bill proposes a program to offer grants to states for:

• Developing or upgrading data systems necessary for the effective implementation of the expanded benefit program.
• Subject to availability of funds, an allocation of $50 million from the Treasury would be made for these purposes, effective October 1, 2025.

Summary of Changes

Overall, the Stop Child Hunger Act of 2025 seeks to enhance food security for children by ensuring they have access to nutrition during school closures in addition to the traditional summer months.

Relevant Companies

• SFM - Sprouts Farmers Market, as a grocery retailer, may see changes in demand related to children's nutrition programs.
• USFD - US Foods Holding Corp., will likely experience an increase in food distribution needs for schools and community programs.
• CAG - ConAgra Brands may see an uptick in the production of specific food items that meet the criteria for school feeding programs.