Shapiro Administration Proposes $900,000 'Food Is Medicine' Pilot to Provide Medically Tailored Meals for Medicaid Recipients
Key Insights
Governor Josh Shapiro's 2026-27 budget proposes $900,000 in state funding for a "Food Is Medicine" pilot program targeting Medicaid recipients with diet-sensitive chronic health conditions.
The program would provide medically tailored meals to patients with heart disease (search), diabetes (search), end-stage renal disease, and cancer (search) patients receiving chemotherapy, leveraging federal matching funds for a total of $2.3 million.
Food-as-medicine strategies have been shown to reduce health care spending by an average of 16 percent, with North Carolina data showing savings of $164 per member per month in a similar pilot.
The Shapiro Administration has unveiled a proposed "Food Is Medicine" pilot program as part of Governor Josh Shapiro's 2026-27 budget, aiming to provide medically tailored meals to Medicaid recipients with diet-sensitive chronic health conditions. The initiative, announced by Pennsylvania Department of Human Services (search) (DHS) Secretary Dr. Val Arkoosh and Pennsylvania Department of Agriculture Secretary Russell Redding, would invest $900,000 in state funding to leverage additional federal matching dollars, bringing total program funding to $2.3 million.
"Our health is so much more than access to care – what we eat, where we live, and our sense of community and support affect how healthy we are, how we manage illness and disease, and our overall quality of life," said Secretary Arkoosh. "Investments in Health is our opportunity to make strategic investments in proven prevention efforts like 'Food Is Medicine' that will help Pennsylvanians be healthier and improve our state's financial health as well by using strategies that lower Medicaid spending."
The pilot program will target Medicaid recipients with specific diet-sensitive chronic conditions, including heart disease (search), diabetes (search) (including gestational diabetes (search)), end-stage renal disease, and cancer (search) patients actively receiving chemotherapy. Currently, PA DHS works with community-based organizations to provide medically tailored meals under Medicaid on a limited basis; this investment would significantly expand that work.
Clinical and Economic Rationale
Food-as-medicine strategies have demonstrated measurable impact on both health outcomes and health care spending. According to the administration, such programs can significantly reduce hospital admissions for people with diet-sensitive conditions and reduce health care spending by an average of 16 percent. June 2026 data released by North Carolina showed that a similar pilot embedding food and housing supports for approximately 31,000 Medicaid recipients saved an average of $164 per member each month.
"Fresh, high-quality food can be our best preventative medicine," said Pennsylvania Agriculture Secretary Russell Redding. "That makes Pennsylvania farmers our best pharmacy. The Shapiro Administration is committed to investing in a strong, resilient food system as an investment in increased health and food security for the future of all Pennsylvanians."
Broader Investments in Health Initiative
The Food Is Medicine pilot is one component of a larger $1.9 million state-funded Investments in Health initiative, which leverages federal matching funds to reach a combined $7.5 million across three key areas:
- Food Is Medicine: $900,000 in state funds, totaling $2.3 million with federal match, for medically tailored meals.
- Housing Stability: $1 million in state funds, totaling $2.5 million with federal match, to help Pennsylvanians experiencing homelessness connect to stable housing and services.
- Reentry Supports: $900,000 in state funds, totaling $2.7 million with federal match, for pre-release Medicaid coverage for incarcerated individuals returning to communities from State Correctional Institutions.
Stakeholder Support
Dr. Elizabeth Cuevas, MD, Division Chief at the Allegheny Health Network (search) Center for Inclusion Health, endorsed the initiative: "As a healthcare provider, we see daily how access to nutritious food, coupled with education and support, directly impacts the health and well-being of our communities. Our Healthy Food Centers are a testament to this, demonstrating not only improved clinical outcomes for patients managing chronic conditions but also contributing to a more sustainable and cost-effective healthcare system for all Pennsylvanians."
Mark Edwards, President & CEO of The Food Trust (search), added: "Evidence-based Food Is Medicine programs like produce prescriptions, medically tailored meals and nutrition education are proven to address poor diets, in many cases with notable health and cost-savings outcomes. By investing in these programs, Pennsylvania has an opportunity to improve lives, strengthen communities, and support local farmers and food retailers at the same time."
Building on Prior Progress
The proposed pilot builds on several food security initiatives advanced under Governor Shapiro's leadership, including a historic $11 million increase for food security in the 2025-26 budget, expanded universal free breakfast for 1.7 million students, and the continuation of Summer EBT (SUN Bucks) programming. The administration has also taken legal action against the USDA for terminating the $13 million Local Food Purchasing Assistance Program and joined multi-state litigation to protect SNAP benefits.