Summary#
This bill adds a new section to the Social Security Act to fund assessments and grants to improve child care facilities. It requires an immediate needs assessment and a long-term assessment of child care facilities. The bill lets the Secretary award grants to States and to intermediary organizations to help acquire, build, renovate, reconfigure, or expand child care facilities. Grants must prioritize facilities serving low-income families, infants and toddlers, programs that lost capacity, nontraditional hours, and rural or underserved communities. Grants to States can last up to 5 years. State grant applications must include disaggregated data and a plan to report on impacts. States generally must provide a 10 percent match. The bill sets a $250 million annual cap per State grant and a $15 million cap per intermediary grant. It requires Davis-Bacon prevailing wage rules for construction work paid with these funds. The bill authorizes $10 billion for fiscal year 2026, available through 2030, with 3 percent reserved for Indian tribes and 3 percent for territories. Between 10 and 15 percent of total funds may be used for intermediary grants. No more than $5 million may be used for the needs assessments. The Secretary must report assessment results to Congress and make them public, and submit an overall report on grant effects by the end of fiscal year 2030.
What it means for you#
- Child care providers: May be able to get federal grant money to buy, build, or fix facilities if your State applies and prioritizes your program. Home-based and center-based programs are included. States must generally provide a 10% match.
- Families: The bill aims to direct funds toward programs that serve low-income families, infants and toddlers, and programs in rural or underserved areas, but specific local changes depend on State grant plans and awards.
- Construction workers: Projects paid in whole or in part by these grants must follow Davis-Bacon prevailing wage rules.
- Intermediary organizations: Certified community development financial institutions and other qualified groups may get grants to provide technical help, financing tools, and capacity building.
Expenses#
- Authorized appropriation: $10,000,000,000 for fiscal year 2026, available through fiscal year 2030.
- Reservations: 3% of total reserved for Indian tribes and 3% for territories.
- Intermediary grants: 10%–15% of total funds may be used for intermediary organization grants; each intermediary grant may not exceed $15,000,000.
- State grant limits: Annual amount of a State grant may not exceed $250,000,000; grants may last up to 5 years.
- Needs assessments: Not more than $5,000,000 may be used for the immediate and long-term needs assessments.
- Matching: States (other than Indian tribes) must provide contributions equal to 10% of the grant amount (cash or in-kind), which may include federal funds or private donations.
Proponents' View#
No publicly available information.
Opponents' View#
No publicly available information.