Child care funding decisions affect all of us – from families who depend on it, to providers who nurture the next generation, and the children who rely on care to learn and grow.
On June 22nd, the Governor, Senate, and Assembly reached an agreement on the language for FY 2024-25 California State Budget. Governor Newsom signed the Budget Act of 2024 and related Budget Junior bills and trailer bills in time for the fiscal year starting July 1, 2024.
What’s in the Budget?
Key highlights in the budget include:
- A committed intent to release 11,000 spaces this fiscal year, and issue the remaining 88,000 of the promised 206,800 child care spaces by 2028-2029.
- A plan to set new subsidy payment rates based on the alternative methodology by July 1, 2025. This plan also ensures that future subsidy payments will not be less than the amount providers currently receive.
- Continued funding for CalWORKs Expanded Subsidized Employment, Home Visiting, and Mental Health programs.
- Continued funding of child care spaces in the Emergency Child Care Bridge Program for Foster Children.
- Permission for California State Preschool Programs to now serve two-year-old children until 2027.
Our commitment to protecting child care providers and California’s families made an enormous impact. Because of our collective advocacy, California will continue to fund necessary programs and right the historical wrongs of racist child care policies.
What’s Next?
The Budget Act of 2024 and child care trailer bill language have been passed.
Find our comprehensive Budget Analysis and Legislative Roundup here.
