Arizona Must Fund SUN Bucks Before Children Pay the Price 

Without state funding, more than 640,000 eligible children could lose access to summer grocery benefits 

Arizona lawmakers face an immediate budget choice that could determine whether hundreds of thousands of children continue receiving summer food assistance — or whether the state leaves tens of millions of federal dollars on the table. 

The decision centers on SUN Bucks, also known as Summer EBT, a federal program that helps eligible families buy groceries during the summer months when school meals are unavailable. To keep the program operating effectively, Arizona must fund the state administrative costs required to deliver those benefits. 

Gov. Katie Hobbs’ budget proposal includes $1.8 million for summer 2026 and an additional $1.8 million for summer 2027 to cover Arizona’s share of those costs. Without that relatively small state investment, Arizona risks losing access to more than $80 million annually in federal food assistance — and more than 640,000 eligible children could lose access to SUN Bucks benefits.  

The stakes are even higher as Congress considers proposals under H.R. 1 that would restrict access to SNAP and weaken the broader nutrition safety net. If Arizona fails to fund SUN Bucks while federal food assistance is being scaled back, families could face a compounding crisis: fewer benefits, higher costs, and more children at risk of hunger. 

Child nutrition policy is often treated as a narrow social service. In reality, it is foundational infrastructure. It shapes educational outcomes, public health, family stability, and long-term economic security. 

Arizona’s budget decisions — especially around SUN Bucks and school meals — will determine whether the state strengthens that infrastructure or allows more children to fall through the cracks. 

SUN Bucks fills a predictable and well-documented gap 

SUN Bucks is designed to address a simple structural problem: When school is out, school meals disappear. 

Through the program, eligible families receive $120 per child during the summer months to purchase groceries. The benefit is modest, but it is one of the most effective tools available to reduce seasonal spikes in child food insecurity. Federal evaluations of the program found that it reduced very low food security among children by about one-third. 

Additional USDA research shows that children receiving Summer EBT consumed 13% more fruits and vegetables, 30% more whole grains, and 10% more dairy compared to non-participants — demonstrating measurable improvements in diet quality. 

Eligibility is tied primarily to children who already qualify for free or reduced-price school meals, including children who are directly certified through SNAP, TANF, or Medicaid. 

The scale in Arizona is significant — and so is what’s at stake 

When SUN Bucks launched in Arizona in summer 2024, approximately 763,000 children were eligible to receive benefits. 

Because the program provides $120 per child, SUN Bucks represents tens of millions of dollars in federal food assistance flowing into Arizona each summer. Current projections estimate the program will deliver approximately $72.5 million in benefits in FY 2026 and up to $81.5 million annually in future years. 

But while the benefits are federally funded, states must cover a share of the administrative costs needed to operate the program. That includes agency coordination, eligibility system data matching, benefit delivery, and outreach — work typically led by the Arizona Department of Economic Security. 

Without a dedicated appropriation in Arizona’s FY 2027 budget, the state risks under-enrollment, delayed benefits, or operational breakdowns that limit access to funds families can receive. 

The policy question is straightforward: Will Arizona invest a relatively small amount in administration to unlock tens of millions of dollars in federal food assistance for children? 

School meals are the backbone — and they reach a majority of Arizona students 

During the school year, child nutrition is anchored by the National School Lunch Program and the School Breakfast Program. These programs provide meals based on household income or direct certification. 

Students qualify for free meals if household income is at or below 130% of the federal poverty level and reduced-price meals if household income is up to 185% of the federal poverty level. Students are also automatically eligible if their household participates in programs like SNAP. 

In Arizona, approximately 58% of public school students qualify for free or reduced-price meals, underscoring how central school nutrition programs are for families across the state. 

These programs are central to how students experience the school day. Research consistently links access to school meals with improved attendance, better concentration, and stronger academic outcomes. 

Community Eligibility is one of the most effective tools — but it is not fully utilized 

The Community Eligibility Provision (CEP) allows schools with higher concentrations of low-income students to serve free meals to all students without requiring individual applications. 

This approach eliminates administrative barriers for families, increases participation among eligible students, and reduces the stigma associated with free meal programs. 

The federal government recently lowered the eligibility threshold for Community Eligibility, expanding the number of schools that can participate. Yet in Arizona, adoption remains uneven, meaning some eligible schools are not fully utilizing a policy that could significantly expand access to meals. 

Expanding Community Eligibility is one of the most immediate, evidence-based ways Arizona could increase access to school meals without creating a new program. But it requires intentional policy, outreach, and budget decisions. 

SNAP is the connective tissue — and federal changes will ripple through everything 

SNAP is not separate from school meals and SUN Bucks. It is part of the system that helps those programs function efficiently. 

Children in SNAP households are automatically eligible for free school meals and SUN Bucks through direct certification. This reduces paperwork, improves accuracy, and helps connect families to multiple supports at once. 

But proposed federal changes under H.R. 1 would tighten SNAP eligibility and impose additional administrative barriers, which the Center on Budget and Policy Priorities estimates would lead to significant benefit losses for eligible households. 

Arizona is already experiencing strain in its SNAP system, including delays and case processing challenges. As families are removed from SNAP or face disruptions, the effects can cascade across the child nutrition system: 

• Children may lose automatic eligibility for free school meals. 

• SUN Bucks enrollment may become less reliable. 

• Schools and agencies may face higher administrative burdens. 

• Families may be forced to navigate more paperwork at the same time they are losing support. 

A reduction in SNAP participation does not just affect grocery budgets. It weakens the entire child nutrition infrastructure. 

The economic case is clear 

Child nutrition programs are not just anti-poverty tools. They are economic stabilizers. 

Every federal dollar delivered through programs like SNAP and SUN Bucks generates local economic activity, particularly in grocery retail and food supply chains. For Arizona, that means SUN Bucks is not just supporting families — it is also injecting millions of dollars into local communities each summer. 

Failing to fully implement the program is not a neutral decision. It is a missed economic opportunity. 

Arizona’s budget is where this will be decided 

Arizona does not need to create a new program to address child summer hunger. The federal government has already done that. 

What Arizona must do is fund the administrative infrastructure required to make SUN Bucks work effectively. 

That means investing in DES capacity to administer benefits, supporting outreach to ensure eligible families are enrolled, coordinating with schools to align data systems, and expanding Community Eligibility participation where eligible. 

At the same time, the state must prepare for the downstream effects of federal SNAP changes by strengthening — not weakening — its child nutrition systems. 

The bottom line 

The choices Arizona makes in this budget cycle will determine whether existing federal resources reach the children they are intended to support. 

SUN Bucks, school meals, and SNAP are not separate programs operating in isolation. They are an interconnected system. When one is weakened, the others become less effective. When they are supported together, they create stability for families and stronger outcomes for children. 

If federal policy is moving toward restriction, state policy must move toward access. 

The need is clear. What remains is whether Arizona lawmakers will treat children’s nutrition as the priority it should be.