Appropriations panel questions TFAP operations as state moves to single contractor

The joint Appropriations Committee heard a Department of Education briefing on the Emergency Food Assistance Program (TFAP), focusing on how federal entitlements and state administrative dollars are handled.

Joe Graves, secretary of education, introduced the department team and said members would focus on TFAP operations and administrative funding. Alan Harstad, director of Child and Adult Nutrition Services, told the committee TFAP "is a federal program. We get a federal award that is an entitlement number" and explained the entitlement is USDA Foods purchasing authority rather than cash. Harstad said that, depending on federal appropriation and carryover, the entitlement purchasing power has ranged "between about 600,000 up to about 1,400,000." He said separate federal administrative dollars come to the state and that the department uses its administrative allocation for staffing, reviews and program monitoring.

Committee members pressed for specifics on administrative dollars and how they flow to the state's ERA. Harstad and Cody Stultz, director of finance management for the Department of Education, said the state had roughly $315,000 in TFAP administrative allocation in 2025; after state-level staffing and obligations, the department reimbursed Feeding South Dakota about $247,000 for handling and administration. Stultz noted the department retains a portion for state match and staff time and that administrative reimbursements to the ERA are limited to the federal admin allocation.

Laurie Dykstra, chief executive officer of Feeding South Dakota, clarified the organization's role: "We are the main contractor at the state, and then we have partners. Our pantries in the small town communities that are TFAP enabled, we deliver that food directly to them," she said, adding the organization manages compliance for its subrecipients and does the physical handling and packaging.

Members also questioned how many people the entitlement serves. Harstad said Feeding South Dakota and its subrecipients hold the detailed distribution numbers and the department could provide state plan and grant-award documents. Representative Muckey told the committee he would withdraw a motion sheet after the explanation and suggested pursuing a letter-of-intent process to address outstanding concerns.

The committee did not adopt new budget authority for TFAP at the hearing; members requested the department provide the state plan and grant-award documents for further review. The committee scheduled additional time later in the day to continue budget-setting work.