USDA first learned about delays in deliveries to tribal and senior food assistance programs in May, but senior staff, including Ag Secretary Tom Vilsack were not informed until late July, he told lawmakers Wednesday.
Participants in the Food Distribution Program on Indian Reservations (FDPIR) and Commodity Supplemental Food Program (CSFP) have been experiencing delayed, cancelled or partial food packages since May due to supply chain disruptions.
Vilsack, senior USDA staff and tribal leaders testified during a joint committee hearing on the causes of and solutions to these shortages. The hearing included members of the House Agriculture subcommittee on Nutrition, Foreign Agriculture and Horticulture and the House Appropriations Subcommittee on Agriculture, Rural Development, FDA and Related Agencies.
Nearly 800,000 people rely on FDPIR and CSFP. They opt into the programs from SNAP and other federal nutrition programs, often because they lack access to grocery stores. Food packages are sourced by USDA’s Agricultural Marketing Service and Food and Nutrition Service.
In April, the agency made Paris Brothers Inc. the sole distributor of the programs, despite concerns tribes expressed during a February consultation.
Beginning in May, sites began to see delays, unexpected cancellations or incomplete food packages. Some also reported receiving expired items.
During the hearing, Vilsack apologized on behalf of the department for the failures that led to the existing shortages. He committed to "listening better" in conversations with tribes.
USDA has presented numerous short term solutions to remedy the situation, and Paris Brothers has invested in additional staffing, equipment and training. However, some tribes are still missing entire categories of foods.
Lawmakers pressed Vilsack and other representatives of the agency on the process of consolidating the distributor contract from two to one.
Vilsack said the contract bidding process began in 2022 because the department was unable to extend the existing one. Eight bids were submitted, but only seven were considered as one was technically not viable.
A panel of individuals with experience in nutrition, manufacturing and other key topics weighed each contract beginning in 2023. Some of the bids wanted to alter the nature of the contract, which the department could not do without completely restarting the process.
Ultimately, Paris Brothers was the only bid that met all the qualifications and was notified they had won the contract last January. The company has worked with the agency on other programs for about 17 years, which gave the agency confidence it would be successful, Vilsack said.
Vilsack acknowledged that senior staff at USDA should have reviewed Paris Brothers' ability to meet the contractual obligations.
The House Agriculture Committee's top Democrat, David Scott of Georgia, suggested the company needs to speak with members of Congress at a later date to assure they can deliver on the contract moving forward. Ag Appropriations Subcommittee Chairman Andy Harris, R-Md., appeared to support bringing Paris Brothers before lawmakers.
Tribal leaders were informed of the contractual change during a February consultation and raised concerns that this could result in backlogs. Representatives that appeared before lawmakers at Wednesday's hearing said those concerns were ignored, and the consultation itself was ineffective.
Tribes have also called for other changes to strengthen FDPIR and to prevent shortages like some sites are still experiencing. These calls began 10 years ago after similar shortages occurred in 2014. These shortages were associated with a government shutdown, Vilsack said.
Mary Greene-Trottier, president of the National Association of Food Distribution Programs on Indian Reservations, said factors like FDPIR funding levels and a lack of a contingency plan contributed to the current shortages. Funding for the program have been flat since the 1970’s, she said, with the average monthly cost of a box of food sitting at $70.
“Nobody can feed their families for that much,” Greene-Trottier told lawmakers.
Additionally, FDPIR program managers have repeatedly asked USDA for a contingency plan should shortages occur, but this has never been granted, Greene-Trottier said.
Lawmakers raised questions about USDA’s consultation practices given the build-up to the shortages and the warnings given about the contract.
Greene-Trottier said USDA’s consultation practices are meaningful, but other representatives agreed that what occurred in February was not a proper consultation. There’s another USDA consultation with tribes on FDPIR scheduled for Thursday, and the witnesses at the hearing are hopeful it will be more productive.
“I hope for solutions,” said Greene-Trottier.
Representatives from the tribes also highlighted long-term solutions that USDA or Congress could implement.
Lawmakers, including Rep. Chellie Pingree, D-Maine, took particular interest in allowing eligible participants to enroll in and use FDPIR and SNAP simultaneously. Pingree said she is looking for bipartisan cosponsors on a House version of a bill previously introduced in the Senate that would provide this authorization.
This alone won’t fix some of the challenges associated with FDPIR and tribal food sovereignty, however, Pingree said. The panel also took interest in potentially making permanent the 638 self-determination FDPIR pilot program authorized in the 2018 farm bill. Lawmakers suggested this measure along with other solutions should be included in the upcoming farm bill.
Lawmakers also asked about the possibility of recouping any financial losses by imposing penalties on Paris Brothers. Vilsack said the company has invested in steps to fix the situation, including additional staffing, training and equipment. The contract does include a clause allowing the agency to implement financial penalties if the company cannot fulfill its obligations.
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