Sponsors (26)
The bill directs substantial new federal funding to expand affordable, higher‑quality child care—targeting tribes, territories, high‑need areas, workforce pay, and facility expansion—while increasing federal spending and imposing state/administrative requirements and rules that can raise costs or shift burdens.
Parents, children, and child care providers gain a large federal investment: a $20 billion FY2026 infusion plus a recurring $5 billion/year grant program (with future funding indexed to inflation) to expand affordable, higher‑quality child care nationwide.
Indigenous tribes and U.S. territories receive guaranteed set‑asides (5% for tribes, 4% for territories) across the new funding, ensuring targeted resources for tribal communities and territory residents.
Child care workers can get higher pay, bonuses, and training supports, improving recruitment and retention in the workforce.
Taxpayers face materially higher federal spending (the $20 billion infusion plus $5 billion/year) that could increase the deficit or require offsetting cuts elsewhere if not fully paid for.
States are required to certify they will maintain or increase state/local child care spending, which may strain state budgets or force reallocation from other programs.
New administrative, planning, reporting, and evaluation requirements increase compliance burden for state, local, tribal, and territorial lead agencies.
Based on analysis of 3 sections of legislative text.
Provides $20B (FY2026) for the Child Care Entitlement (CPI‑U indexed) and creates a $5B/year grant program to boost child care workforce, supply, quality, and access with set‑asides for tribes, territories, TA, and evaluation.
Introduced April 2, 2025 by Danny K. Davis · Last progress April 2, 2025
Provides large, permanent increases in federal child care funding and creates a new dedicated grant program to strengthen the child care workforce, supply, quality, and access. It directs $20 billion for the Child Care Entitlement to States in fiscal year 2026 (with annual increases keyed to CPI-U or the prior year amount, whichever is greater) and creates a separate $5 billion-per-year grant program for areas of particular need, with set‑asides for tribes, territories, technical assistance, evaluation, and administrative costs.