The Child Care and Development Fund (CCDF) program is a state and federal partnership used to provide assistance to low-income families to access child care, as well as build supply and improve program quality. Since 2016, states, territories and tribes have been required to outline how they will use this dedicated federal funding over a three-year period. Plans cover a multitude of areas, including how states will promote family engagement and consumer outreach, ensure equal program access, establish health and safety standards, recruit and retain a qualified workforce and support continuous quality improvement.

The pandemic has resulted in state and federal policymakers taking notice of the essential role child care plays. Child care has been prioritized as an issue desperately needing support and has been included in each of the three relief packages to date. But relief funds have only provided temporary solutions for the child care system and are just the beginning of what is needed to recover and rebuild after decades of underfunding. Federal policymakers are listening and are in the midst of considering additional funds to sustain child care long-term.

Since the CARES Act was enacted in April 2020, two additional federal relief packages have been passed by Congress that include significant increases in emergency funding for child care: the Coronavirus Response and Relief Supplemental Appropriations (CRRSA) Act of 2021 and the American Rescue Plan (ARP) Act. These funds began to flow to states during the spring with the intention to get funds out the door and provide relief to providers and families as quickly as possible. While we are still a year away from the first deadlines for states to obligate some funds, it’s important for advocates to monitor state progress to ensure funds are distributed efficiently and equitably. So far, state progress has varied greatly. 

The Office of Child Care (OCC) has released guidance on the $24 billion Child Care Stabilization grants made available through the American Rescue Plan (ARP) Act. The purpose of the guidance is to help states quickly distribute the stabilizations funds to protect and support the existing child care market. As the guidance emphasizes, this funding represents an important opportunity for states to stabilize and rebuild a stronger child care system that meets the diverse needs of all children and families, and of the child care workforce.  

Update: With news that the American Rescue Plan Act (ARPA) is now law, Child Care Aware of America is republishing this resource to support states as they consider spending child care relief funds. ARPA provides $39 billion in child care relief, of which $15 billion in additional funding is made available through the Child Care and Development Block Grant (CCDBG). These funds can be distributed like the December relief funds ($10 billion) and the CARES Act relief funds ($3.5 billion), including towards the proposed policies detailed in this resource. The remaining $24 billion under ARPA will be made available through a separate child care stabilization fund. 

The 2020 election cycle set a record for voter turnout. Preliminary estimates show that more Americans— about two-thirds of eligible voters— voted in 2020 than in any other election in U.S. history. And in every single community, child care was on the ballot in the positions of the officials elected. In addition, in some communities child care, early learning or support for children and families were directly on the ballot, and in many of these cases, there was robust support.