S. 302 — Snap Back Inaccurate SNAP Payments Act

This section revises the Supplemental Nutrition Assistance Program (SNAP) quality control system's tolerance level and state liability provisions as follows: (1) sets the tolerance level for excluding small errors at $0 for FY2025 and each fiscal year thereafter (previously applicable through FY2024); (2) requires the Secretary to assess liability against state agencies with payment error rates exceeding thresholds (previously at Secretary's discretion); (3) increases the threshold for full liability from 10 to 25 percentage points above the national average payment error rate; and (4) for FY2025 and each fiscal year thereafter, reduces a state agency's payment error rate for liability purposes by multiplying it by the percentage of overpayments to recipients not recouped that fiscal year. The section also requires each state agency to seek recoupment of overpayments to benefit recipients. (Thus, states face stricter error accountability and incentives to recover overissued benefits, potentially reducing SNAP improper payments estimated at over $1 billion annually in recent years.)