The U.S. Department of Agriculture awarded Hawaii $660,422 last week for its success in quickly processing applications for the Supplemental Nutrition Assistance Program, also known as SNAP or food stamps, which provides food for low-income residents.

The award acknowledges significant improvements made by the state Department of Human Services, which was hit with a class-action lawsuit in 2010 for taking months to process applications. In some cases, only 29 percent of applications were processed within the 30 days required by federal rules, according to DHS.

At the time, the department was struggling with a major increase in SNAP applications and a reduction in staff due to the declining economy.

In fiscal 2014, DHS processed 94 percent of applications within the 30-day window. The department also is able to complete emergency food aid applications within a day.

"What a remarkable transformation for all of those naysayers that always say government takes forever to respond," Gov. David Ige said at a press conference at Washington Place to accept the Department of Agriculture award.

Hawaii now ranks among the top six states in the country for its timely filing of SNAP applications, but while the state has come into compliance with federal requirements for processing applications, as well as other terms outlined in the settlement of the lawsuit, critics say the SNAP program still has a long way to go.

Federal statistics rank Hawaii among the lowest in the nation for participation rates.

Only two-thirds of Hawaii residents who qualify for the program receive SNAP, according to USDA statistics from 2012 , which are the latest available numbers. Only three states ranked lower than Hawaii — Nevada, California and Wyoming.

The statistics also show that only about half of the working poor who qualify for food assistance receive SNAP.

"We think there is great improvement and we compliment the program on the timeliness of processing applications," said Victor Geminiani, an executive director of Hawaii Appleseed Center for Law and Economic Justice, formerly known as Lawyers for Equal Justice, which represented residents in the class-action lawsuit.

However, when it comes to participation, he said that the numbers show that "we are failing miserably."

Geminiani said, "In the context of the homeless and immigrant population and in the context of the elderly population and, we would argue, in the context of people with children in daycare, there is significant underutilization."

The food subsidies, which are funded 100 percent by the federal government, not only help residents who are struggling with Hawaii’s high food costs, they also help the state economy, according to information from Hawaii Appleseed. It’s estimated that every $5 in SNAP benefits generates $9 in total community spending.

Geminiani said that Hawaii’s SNAP program is "quite antiquated," noting that most states now allow residents to apply for food assistance online and have online calculators that allow them to easily plug in their income, expenses and other metrics to see if they qualify for assistance.

He also said a lot of people don’t know that they qualify for SNAP because of a lack of public outreach.

Hawaii’s program caps eligibility based on federal poverty limits, but households can deduct the cost of child care and other expenses in determining their income level, and doing so would significantly expand the number of people who qualify.

DHS officials didn’t respond to interview requests. But DHS spokeswoman Keopu Reelitz said in an email that the department works with community organizations, including Helping Hands Hawaii on Oahu, Child & Family Service on Kauai and HOPE Services Hawaii on Hawaii island, to conduct community outreach and help families apply for SNAP.

"Our most recent efforts have focused on underserved populations like elderly residents and U.S. citizen children of immigrants not eligible for SNAP benefits," she said in her email.

While Hawaii has ranked low for participation, she noted that the number of Hawaii residents served by SNAP has increased since the department began implementing major program improvements. DHS now allows residents to download applications online, conducts interviews over the phone and stores applications electronically to increase efficiency.

Between 2012 and 2014, there was an 18 percent increase in the number of residents using SNAP. Monthly benefits increased from about $35 million to $43 million during that same time period. It’s not clear how these increases affect Hawaii’s overall participation rate — there is a three-year lag in releasing that data.

The department is also planning to overhaul its system for applying for benefits under DHS’ Benefit, Employment and Support Services Division. The division oversees programs such as Temporary Assistance for Needy Families; Aid to the Aged, Blind and Disabled; and First-to-Work, among others.

Ultimately, the department wants residents to be able to apply for multiple programs through a single online portal.

Reelitz said that the project is still in the planning and approval phase and the technology upgrades have not been put out to bid . She said the department doesn’t have a cost estimate , but hopes to have the system available by 2018.

The online portal would likely mirror systems that have been set up in other states. In Michigan, residents can apply for and renew their applications for health care, food and cash assistance, and multiple other benefits through the state’s MI Bridges website. Development of the system, from 2005 to 2010, reportedly cost $175 million, with the federal government paying about 60 percent of that cost.

"(The) effort DHS is undergoing is really part of a broader shift at the federal and state levels," Reelitz said by email. "The goal is to build integrated systems for all human services to improve and streamline clients’ experiences, increase government efficiencies and employ IT in new and innovative ways."