The Foodbank Dilemma: Post-COVID Demand Went Up While Funding Went Down

Emergency measures during the pandemic temporarily alleviated symptoms but did not address root causes, leading to a rebound in need once supports ended.

Persistent Hunger Gap: Why Food Demand in Vermont Remained High Post-COVID as Funding Vanished

In the summer of 2025, the Vermont Foodbank announced layoffs affecting about 10% of its workforce, citing a structural budget shortfall amid dwindling federal support.

This scenario encapsulates a broader paradox in Vermont: while emergency funding from the COVID-19 era has largely evaporated, food insecurity rates have persisted at elevated levels or even climbed higher.

According to data from Hunger Free Vermont and the University of Vermont (UVM), approximately 40% of Vermonters experienced some form of food insecurity in 2023 and 2024, a figure that has not declined significantly since the pandemic's peak. This article explores why demand for food aid in the state has remained stubbornly high post-COVID, driven by economic pressures, policy shifts, and local crises, even as funding sources have dried up.

The Data: No Return to Pre-Pandemic Norms

Food insecurity, as defined by the U.S. Department of Agriculture (USDA), refers to households lacking consistent access to enough nutritious food due to limited resources. In Vermont, rates surged during the 2020-2021 height of the pandemic but failed to recede afterward, according to annual USDA household surveys and more granular local assessments.

National trends mirror this, with rates rising from 10.5% in 2021 to 13.5% in 2023, but Vermont's rural and economic profile has amplified the issue, per reports from Feeding America and state advocates.The following table summarizes key trends, drawing from USDA data, UVM studies, and Hunger Free Vermont briefings:

Why Demand Increased: Unpacking the Drivers

The failure of food insecurity to decline post-COVID stems from a confluence of factors that built on pandemic disruptions rather than resolving with them. As explained in a 2023 UVM study, emergency measures during the crisis temporarily alleviated symptoms but did not address root causes, leading to a rebound in need once supports ended.

Inflation's Persistent Bite

Food prices have risen by about 25-30% nationally since 2019, but in Vermont, this inflation has been compounded by higher baseline costs for groceries, energy, and heating in a rural state. According to the Economic Policy Institute and local analyses from Hunger Free Vermont, wage growth has lagged behind these increases, leaving 40% of adults struggling to afford basics and forcing trade-offs like skipping meals to pay rent.

The Benefits Cliff: Loss of Temporary Supports

The phase-out of expanded programs like enhanced Supplemental Nutrition Assistance Program (SNAP) benefits, child tax credits, and unemployment extensions in 2022-2023 created an abrupt "cliff" for many households. In Vermont, this resulted in average monthly losses of around $100 per household, contributing to a 30% uptick in reported hardships, as detailed in UVM surveys and USDA follow-ups. Nationally, this policy shift drove much of the 2.3% increase in insecurity rates from 2021 to 2023, per federal reports.

Systemic Inequities and Rural Challenges

Underlying issues such as unaffordable housing (with rents up 30% post-2020), childcare shortages, and racial disparities have worsened. Hunger Free Vermont reports that Black, Indigenous, and People of Color (BIPOC) communities face rates up to 10 times higher than white households, while rural Vermonters contend with limited transportation and fewer food access points—factors that elevate insecurity by 10-15% compared to urban areas, according to state and national studies.

Vermont's Local Crises: Flooding and Agricultural Disruptions

Consecutive floods in July 2023 and 2024 devastated farms, destroying crops worth $16 million in 2023 and $5 million in 2024, and affecting over 27,000 acres statewide. These events created "newly food insecure" populations by disrupting local supply chains and personal access, as documented in reports from the Vermont Agency of Agriculture and emergency response teams. Initiatives like Vermont Emergency Eats provided temporary meals to thousands, but long-term recovery has kept demand elevated.

The Funding Vanishes: A Perfect Storm of Cuts

While demand endured, funding plummeted as pandemic-era boosts expired by 2023, followed by targeted reductions in 2024-2025. The Vermont Foodbank's recent layoffs stem directly from this, as federal grants that supported staff expansion during COVID were not renewed. Key cuts include a 20% reduction in SNAP allocations, potentially costing Vermont $7-33 million annually and affecting thousands of households, according to state budget analyses. USDA grants for local food programs were slashed by $498,000, and The Emergency Food Assistance Program (TEFAP) deliveries dropped by 12 truckloads (about 375,000 pounds of food), per agency announcements. Flat-funding under continuing resolutions has acted as an effective cut amid inflation, forcing nonprofits like the Foodbank to streamline operations without new resources.

Bridging the Gap

Vermont's persistent hunger crisis underscores the need for renewed policy focus, such as reinstating expanded federal supports or investing in local agriculture resilience, as advocated by groups like Hunger Free Vermont. For families like those displaced by floods or squeezed by rising costs, the mismatch between high demand and vanishing funds means greater reliance on strained community networks. As Sayles told Vermont Public, adapting to this "new normal" is essential, but without broader interventions, the gap may widen further.