United States Court of Appeals for the Fifth Circuit United States Court of Appeals ____________ Fifth Circuit

FILED No. 24-60309 April 10, 2025 ____________ Lyle W. Cayce Clerk State of Mississippi; United States of America

Plaintiffs—Appellants,

versus JXN Water,

Defendant—Appellee, ______________________________ United States of America,

Plaintiff,

versus City of Jackson, Mississippi,

Defendant. ______________________________

Appeal from the United States District Court for the Southern District of Mississippi USDC Nos. 3:12-CV-790, 3:22-CV-686 ______________________________ Before Smith, Higginson, and Douglas, Circuit Judges. Dana M. Douglas, Circuit Judge: Case: 24-60309 Document: 95-1 Page: 2 Date Filed: 04/10/2025

No. 24-60309

This appeal involves various failures of Jackson, Mississippi’s water- related utilities. In two consolidated enforcement actions, the district court ruled that a court-appointed federal receiver operated a “[f]ederal assistance program” under the Food and Nutrition Act of 2008 (“FNA”) by setting municipal utility rates and, therefore, was entitled to access data governing recipients of the Supplemental Nutrition Assistance Program (“SNAP”). We now consider for the first time the definition of a “[f]ederal assistance program” under the FNA. For the reasons that follow, we REVERSE the district court’s order and REMAND for further proceedings in accordance with this opinion. I A The FNA establishes SNAP, a federal benefit program assisting low- income households to afford nutritious food. 7 U.S.C. §§ 2011–2036d. Typically, a household is SNAP-eligible when its financial resources “are determined to be a substantial limiting factor in permitting them to obtain a more nutritious diet.” Id. § 2014(a). States voluntarily participate in and administer the SNAP program, id. §§ 2013(a), 2020(d), but must meet federal requirements and be approved by the Department of Agriculture (“USDA”). Id. § 2020(d). When a state participates in SNAP, it becomes responsible for accepting and approving applications and keeping records, while the USDA monitors compliance. Id. § 2020. If a state fails to comply, the USDA may withhold funds from the state as appropriate. Id. § 2020(g). In Mississippi, the Mississippi Department of Human Services (“MDHS”) administers SNAP and maintains records of its recipients. 18- 14 Miss. Code R. § 1.2. Pursuant to federal rules protecting the data security of SNAP recipients, Mississippi has enacted various laws prohibiting disclosure of information received from SNAP applicant

2 Case: 24-60309 Document: 95-1 Page: 3 Date Filed: 04/10/2025

No. 24-60309

households, unless the disclosure is otherwise permitted by federal law. Miss. Code Ann. § 43-1-19(1). Further, the State has enacted various regulations prohibiting disclosure of “[n]ames and addresses or lists of [SNAP] applicants and recipients”; rather, an adult household member must provide written consent. 18-14 Miss. Code R. §§ 1.11(B)(1), (C). B