[Federal Register Volume 59, Number 49 (Monday, March 14, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-5811]
[[Page Unknown]]
[Federal Register: March 14, 1994]
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DEPARTMENT OF AGRICULTURE
Food and Nutrition Service
RIN 0584-AB61
Food Stamp Program: Maximum Allotments for Alaska, Hawaii, Guam,
and the Virgin Islands
AGENCY: Food and Nutrition Service, USDA.
ACTION: General Notice
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SUMMARY: By this notice, the Department of Agriculture is updating the
maximum food stamp allotments for participating households in Alaska,
Hawaii, Guam, and the Virgin Islands. These annual adjustments,
required by law, take into account changes in the cost of food and
statutory adjustments.
EFFECTIVE DATE: October 1, 1993.
FOR FURTHER INFORMATION CONTACT: Judith M. Seymour, Supervisor,
Eligibility and Certification Regulations Section, Certification Policy
Branch, Program Development Division, Food Stamp Program, Food and
Nutrition Service, USDA, Alexandria, Virginia 22302, (703) 305-2496.
SUPPLEMENTARY INFORMATION:
Publication
As required by law, State agencies implemented this action on
October 1, 1993 based on advance notice of the new amounts. Based on
regulations published at 47 FR 46485 (October 19, 1982) annual
statutory adjustments to the maximum allotment levels, income
eligibility standards, and deductions are issued by General Notices
published in the Federal Register and not through rulemaking
proceedings.
Classification
Executive Order 12866
The Food and Nutrition Service is issuing this proposed rule in
conformance with Executive Order 12866, and has determined that it is
not a ``significant regulatory action.'' Based on information compiled
by the Department, it has been determined that this action: (1) Would
have an effect on the economy of less than $100 million; (2) would not
adversely affect in a material way the economy, a sector of the
economy, productivity, competition, jobs, the environment, public
health or safety, or State, local or tribal governments or communities;
(3) would not create a serious inconsistency or otherwise interfere
with an action taken or planned by another agency; (4) would not
materially alter the budgetary impact of entitlements, grants, user
fees, or loan programs or rights and obligations of recipients thereof;
and (5) would not raise novel legal or policy issues arising out of
legal mandates, the President's priorities, or principles set forth in
Executive Order 12866.
Executive Order 12372
The Food Stamp Program is listed in the Catalog of Federal Domestic
Assistance under No. 10.551. For the reasons set forth in the Final
rule and related Notice to 7 CFR Part 3015, Subpart V (48 FR 29116,
June 24, 1983), this program is excluded from the scope of Executive
Order No. 12372 which requires intergovernmental consultation with
State and local officials.
Regulatory Flexibility Act
William E. Ludwig, the Administrator of the Food and Nutrition
Service, has certified that this action will not have a significant
economic impact on a substantial number of small entities. The action
will increase the amount of money spent on food through increases in
food stamp benefits issued to participating households. However, this
money will be distributed among the nation's food vendors as the food
stamps are used by households, so the effect on any one vendor will not
be significant.
Paperwork Reduction Act
This action does not contain reporting or recordkeeping
requirements subject to review by the Office of Management and Budget.
Background
Thrifty Food Plan (TFP) and Allotments
The TFP is a plan for the consumption of foods of different types
(food groups) that families might use to provide nutritious meals and
snacks for family members. The plan suggests amounts of food for men,
women, and children of different ages, and it meets most dietary
standards. The cost of the TFP is adjusted monthly to reflect changes
in the costs of the food groups.
TFPs for Alaska and Hawaii are based upon an adjusted average for
the six-month period that ends with June 1993. Since the Bureau of
Labor Statistics (the source of food price data) no longer publishes
monthly information to compute Alaska and Hawaii TFPs, the adjusted
average provides a proxy for actual June 1993 TFP costs. The adjusted
average is equal to January-June 1993 TFP costs for Alaska and Hawaii
increased by the average percentage difference between the cost of the
TFP in Alaska and Hawaii in June and the January-June average from 1976
through 1986 (a 1.53 percent increase over January-June costs in Alaska
and a 1.82 percent increase in Hawaii).
For the period January through June 1993, the average cost of the
TFP was $467.70 in Alaska and $596 in Hawaii. The proxies for actual
June 1993 TFP costs were $474.86 in Alaska and $606.85 in Hawaii. The
June 1993 cost of the TFP was $587.70 in Guam and $469.10 in the Virgin
islands.
The TFP is also the basis for establishing food stamp allotments.
Food stamp allotments are adjusted periodically to reflect changes in
food cost levels. Section 3(o)(11) of the Food Stamp Act of 1977, as
amended (7 U.S.C. 2012(o)(11)) provides for an adjustment on October 1,
1993, based upon 103 percent of the June 1993 cost of the TFP for a
family of four persons consisting of a man and woman ages 20-50 and
children ages 6-8 and 9-11.
The maximum food stamp benefit or allotment is paid to households
which have no net income. For households which have some income, their
allotment is determined by reducing the maximum allotment for their
household size by 30% of the household's net income. To obtain the
maximum food stamp allotment for each household size, the TFP costs for
the four-person household were increased by 3 percent, divided by four,
multiplied by the appropriate household size and economy of scale
factor, and the final result was rounded down to the nearest dollar.
Pursuant to section 3(o)(3) of the Food Stamp Act (7 U.S.C.
2012(o)(3)), maximum food stamp benefits for Guam and the Virgin
Islands cannot exceed those in the 50 States and D.C., so they are
based upon the lower of their respective TFPs or the TFP for rural II
Alaska. In addition, the urban Alaska allotment is the higher of the
allotment that was in effect in urban areas on October 1, 1985 or
100.79 percent of the adjusted Anchorage TFP (see 50 FR 18456, dated
May 1, 1984, and 51 FR 16281, dated May 2, 1986).
According to regulations published at 51 FR 16281, on May 2, 1986,
the allotment for rural I areas is the higher of the allotment that was
in effect in each rural I area on October 1, 1985 or 128.52 percent of
the Anchorage TFP (as adjusted). The rural II allotment is 156.42
percent of the adjusted Anchorage TFP (Alaska TFP). For further
information concerning the allotments for urban Alaska, rural I Alaska,
and rural II Alaska, see 51 FR 16281, dated May 2, 1986.
The following table shows new allotments for urban Alaska, rural I
Alaska, rural II Alaska, Hawaii, Guam, and the Virgin Islands.
Maximum Allotment Amounts\1\--October 1993, s Adjusted
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Urban Rural I Rural II Virgin
Household size Alaska\2\ Alaska\3\ Alaska\4\ Hawaii Guam\5\ Islands\5\
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1................................. $147 $188 $229 $187 $166 $144
2................................. 271 345 420 343 304 265
3................................. 388 495 602 492 436 380
4................................. 492 628 765 625 553 483
5................................. 585 746 908 742 657 573
6................................. 702 895 1,090 890 789 688
7................................. 776 990 1,204 984 872 760
8................................. 887 1,131 1,377 1,125 997 869
Each additional member............ +111 +141 +172 +141 +125 +109
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\1\Adjusted to reflect the cost of food in June 1993, adjustments for each household size, economies of scale, a
1.03 percent increase in the TFP and rounding.
\2\These levels are 100.79 percent of the Anchorage TFP, as adjusted.
\3\These levels are 128.52 percent of the Anchorage TFP, as adjusted.
\4\These levels are 156.42 percent higher than the Anchorage TFP, as adjusted.
\5\Adjusted to reflect changes in the cost of food in the 48 States and D.C., which correlate with price changes
in these areas. Maximum allotments in these areas cannot exceed those in rural II Alaska.
Maximum allotments for the 48 States and D.C. were published in a
separate notice in the Federal Register. These adjustments were made
sooner than the adjustments for Alaska, Hawaii, Guam and the Virgin
Islands because the data to accomplish the update for the 48 States and
D.C. were available sooner than the data for the other areas covered by
this notice.
(7 U.S.C. 2011-2032)
Dated: March 3, 1994.
William E. Ludwig,
Administrator.
[FR Doc. 94-5811 Filed 3-11-94; 8:45 am]
BILLING CODE 3410-30-U
