Soda and energy drinks will be removed from Nebraska’s Supplemental Nutrition Assistance Program (SNAP) at the start of 2026, with more states likely to follow, per the U.S. Department of Agriculture (USDA).
On Monday, USDA Secretary Brooke Rollins signed the first waiver to amend the state’s statutory definition of SNAP food purchases and effectively remove soda and energy drinks from the approved purchases list.
Nebraska is the first state to secure approval to amend SNAP benefits, but it likely will not be the last. Arkansas, Colorado, Kansas, Indiana, Iowa and West Virginia have submitted similar waiver requests as they seek to take action on amending their respective states’ SNAP allowances. Missouri, Idaho, Louisiana and many other states are also debating the issue in statehouses.
Currently under SNAP, “any food or food product intended for human consumption,” except alcohol, tobacco and hot foods are allowed to be purchased. In order to make changes to that broad rule, states must secure USDA approval via a waiver submission
Many states are defining restricted beverages as fruit and vegetable drinks with less than 50% natural juice. This would encompass nearly all sodas and energy drinks, but could also include many juice drinks, hydration beverages and kombuchas.
In 2023, there were over 42 million people across the country receiving SNAP benefits, on average, each per month. Federal SNAP spending totaled $112.8 billion and benefits averaged $211.93 per participant per month, according to the USDA Economic Research Service.
How cuts could impact sales of these products remains unclear, as well as how these state-by-state policies will be policed. Past efforts to restrict candy, potato chips and soda have proven difficult to implement.
“There’s absolutely zero reason for taxpayers to be subsidizing purchases of soda and energy drinks,” said Nebraska Governor Jim Pillen, in a statement. “SNAP is about helping families in need get healthy food into their diets, but there’s nothing nutritious about the junk we’re removing with today’s waiver.”
As “Make America Healthy Again” (MAHA) proponents are already applauding the move, beverage strategics and carbonated soft drink makers could be poised to see revenues slump as SNAP recipients are barred from using their food dollars in high-value drink categories.
Soda is also facing headwinds beyond its future in the food stamp program. States and municipalities have been reviving soda taxes as well in another effort to discourage sales of high-sugar, carbonated drinks. The efficacy of soda taxes in improving public health and reducing obesity rates remains up for debate.
“Restricting SNAP purchases or banning safe ingredients won’t make anyone healthier – they only create headlines…The outcome? Empty grocery store shelves, increased prices and cashiers forced to be the food police,” said beverage industry group American Beverage Association in an April statement.
The news comes as Republican lawmakers are working to push through the Trump Administration’s new tax bill, which would cut federal SNAP funding by nearly $300 billion. A recent report from The Center for American Progress (CAP) also found that the cuts to SNAP could put nearly 27,000 retailers at “risk for financial burden.”