“A back-of-the-envelope calculation suggests that the annual direct benefit for a household with children amounts to a 25% reduction in shopping costs,” said Jessie Handbury, an assistant professor of real estate at the University of Pennsylvania, and Sarah Moshary, an assistant professor of marketing at the University of California, Berkeley, in a working paper analyzing the impact of the program for the National Bureau of Economic Research.
Colorado
In 2022, the Healthy School Meals for All Program was approved by Colorado voters. Since then, it has provided free breakfast and lunch to all public school students in districts that opt into the program. It was estimated to cost $100 million a year, and it was to be funded by a change in income tax for people who earn more than $300,000 annually.
While most consider this program to be a success given the number of children who are now being fed free of charge, there is a projected shortfall of up to $24 million in the 2024-2025 school year and up to $50 million in the 2025-2026 school year. When the program was originally instituted, the state greatly underestimated the number of students who would join the program. The projections estimated that there would be a 25% increase, but the number of students using the program for breakfast has actually increased by 35%. The lunch increase is 31%.
To cover the gap, the state’s Department of Education officials are proposing to a joint-budget committee that it consider:
- Finding other funds in the state budget to make up the difference
- Changing eligibility requirements for who eats free meals
- Delaying other parts of the ballot measure
- Hiring a contractor to see if Colorado is maximizing federal funding for meals
“This is an obvious investment in the kids of Colorado. But it was also an investment in local agriculture and our service workers who traditionally have been folks [who] have been overlooked or undervalued,” said Brian Kearney, a broker with the East Denver Food Hub. The issues from this shortcoming are causing concern not only among schools, but among food distributors as well.
Massachusetts
In September 2023, Massachusetts began offering free lunch to all public school students regardless of income. Alongside state and federal funding, the state implemented a 4% millionaire’s tax to fund the program as well as the state's public transportation system and tuition-free education for community college students. The law has raised $1.5 billion, some $500 million above projections.
“Universal free school meals are an investment in childhood nutrition, ensuring [that] each of our school-aged students has access to the healthy food they need to fuel their learning,” said Lieutenant Governor Driscoll. “This policy is also removing a source of stress from families and schools, leading to one less task for parents to complete in the morning, and making sure no student feels stigmatized or ashamed for accessing the food they need.”
