California tucked a one-time $20 million line item into its 2026–27 budget to restart the CalFresh Fruit & Vegetable EBT pilot, bringing back a popular rebate that helped low-income households stretch their food dollars on fresh produce. The cash arrives after the program paused at the end of June when incentive dollars ran out, cutting off thousands of shoppers from the extra monthly boost.
The Assembly Budget Committee signs off on $20 million General Fund one-time for the CalFresh Fruit and Vegetable Pilot Project and extends the pilot’s sunset to June 30, 2028. The budget agreement itself was announced by the governor and legislative leaders last week, according to the governor’s office.
The California Department of Social Services had already warned that the pilot would pause beginning July 1 because available incentive dollars were fully used. Previously earned CF&V incentives that are already on EBT cards can still be spent until they expire, but no new bonuses are loading while the program is on ice, according to the California Department of Social Services. The department’s page also lists which retailers are in the pilot and reiterates that no fresh CF&V incentive dollars will be issued during the pause.
How the pilot worked
The pilot, which rolled out in February 2023, offered a point-of-sale rebate described as "a dollar-for-dollar match, up to $60 per month" when CalFresh shoppers bought fresh fruits and vegetables at participating stores, according to CDSS. That legislative evaluation found the pilot had issued roughly $17.9 million in incentives to more than 155,600 households through February 2025 and flagged technical snags and retailer-onboarding challenges that kept it from reaching more of the state.
Who the pilot reached
Advocates and local coverage show the effort scaled fast once it got going. KQED reported that in May alone the pilot disbursed more than $5 million and "served 95,520 California households" that month. Advocacy group Nourish California says the program has reached more than 325,000 Californians since it began. By May, the pilot had reached roughly 546,000 Californians and delivered about $44 million in rebates statewide, according to CBS Sacramento.
Why advocates want more
Food-security groups had pushed hard for a much bigger line item, with some calling for $100 million, arguing that the pilot cushions families just as federal SNAP rules are shifting. Analysis from the Legislative Analyst’s Office warned that H.R. 1’s changes will reduce benefits for many recipients and raise state implementation costs, a one-two punch that advocates say makes state-funded incentives more critical, not less.
Supporters are quick to note that the $20 million is a one-time infusion, not a permanent solution, and say they will be tracking how quickly counties, retailers, and state systems can flip the switch back on for incentive issuance. "Our renewed investment in the CalFresh Fruit and Vegetable EBT Program will ensure low-income families have access to healthy and affordable food," Assemblymember Alex Lee said in a statement backing the budget action, per advocacy reporting.
