Alex Padilla U.S. Senator for California

Republican-proposed funding cuts to pay for tax breaks for billionaires would eliminate child care for 40,000 children, according to recent CLASP analysis

WASHINGTON, D.C. — U.S. Senator Alex Padilla (D-Calif.) joined his colleagues in introducing bicameral legislation to help American families get access to the quality, affordable child care they need. The bill comes as Republicans are acting on their plan to eliminate child care for 40,000 children to pay for massive tax breaks for billionaires.

The need to rebuild a stronger, more robust, and more equitable child care system is greater than ever as working families across America struggle to access affordable, quality child care. But in addition to cuts to child care, the Trump Administration is conducting mass layoffs at the U.S. Department of Health and Human Services (HHS), including the offices at the Administration for Children and Families (ACF) that administer child care and Head Start programs. These layoffs will make child care even less accessible, less affordable, and less safe.

Earlier this week, Padilla and Senators Ben Ray Luján (D-N.M.) and Raphael Warnock (D-Ga.) led 25 Senators in condemning the Trump Administration’s mass firings of federal employees at the Office of Head Start (OHS) and the Office of Child Care (OCC) and demanding HHS Secretary Robert F. Kennedy, Jr. immediately reinstate these employees to full work status.

“As a father to three boys, I understand that having access to child care isn’t a luxury, it’s a critical necessity,” said Senator Padilla. “No parent should have to miss work because they don’t have access to child care, yet too many Californians either do not live near a caregiver or cannot afford it. As President Trump and his Administration wage a war on American families and intensify our child care crisis, we must fight to ensure every family, regardless of zip code, has access to reliable, high-quality child care.”

“At a time when families are struggling to find affordable child care so they can work and pay their bills, Republicans in Congress are making their priorities clear with 40,000 kids about to lose their child care to pay for another handout to billionaires. Taken together with the absolute gutting of HHS and the offices responsible for Head Start and child care, America’s child care crisis is on track to only grow worse,” said Senator Wyden. “It doesn’t have to be this way. Our bill invests in working families by making sure more families can get child care and new child care centers can be built to increase slots, while also guaranteeing a living wage for the essential workers who staff them. That is where priorities should lie.”

“Parents shouldn’t have to choose between breaking the budget, cutting back their work hours, or settling for lower-quality care to make sure their kids have child care,” said Senator Warren. “I am grateful for Senator Wyden’s partnership and commitment to investing in child care so working parents have a fighting chance in our economy.”

The price of child care continues to place a major financial burden on American families, with costs ranging from $5,357 to $17,171 per year depending on location and type of care. Additionally, the cost of center-based care for two children is more than the average mortgage in 45 states and more than the average annual rent in all 50 states plus D.C. The Building Child Care for a Better Future Act would address the child care crisis by providing new, permanent funding so states, tribes, and territories have the critical resources they need to develop a child care infrastructure that better serves all families.

The legislation would expand guaranteed child care funding by increasing annual funding for the Child Care Entitlement to States (CCES) to $20 billion per year (a $16.45 billion increase per year). It also would appropriate $5 billion to the CCES annually to provide new grants to improve child care workforce, supply, quality, and access in areas of particular need, including rural communities. Specifically, the funding can be used for Child Care and Development Block Grant purposes, including:

• Increasing child care slots in child care facilities and family child care homes;
• Establishing or expanding the operation of community or neighborhood-based family child care networks;
• Providing funding for construction and renovation of child care facilities and family child care homes;
• Providing start-up funding, technical assistance, support for improving business practices, and support navigating real estate financing and development processes;
• Providing guidance to child care providers on negotiating with landlords or applying for land or home ownership;
• Recruiting child care providers and staff;
• Supporting professional development and training for the child care workforce, including through apprenticeships, partnerships with labor unions or labor-management partnerships, and partnerships with public and nonprofit institutions of higher education;
• Contracting with an intermediary with experience securing private sources of capital financing for child care facilities or other low-income community development projects to provide technical support; and
• Maintaining an effective and diverse early care workforce by increasing total compensation, providing wage supplements or bonuses, or offering wage and retention rewards and ensuring adequate wages for staff of child care providers, including sole proprietors and independent contractors, that, at a minimum:
  • Provide a living wage for all staff of such child care providers and
  • Are adjusted on an annual basis or cost of living increases.

U.S. Senators Ron Wyden (D-Ore.) and Elizabeth Warren (D-Mass.) lead the legislation. In addition to Senator Padilla, the Building Child Care for a Better Future Act is cosponsored by Senators Cory Booker (D-N.J.), Dick Durbin (D-Ill.), Andy Kim (D-N.J.), Edward J. Markey (D-Mass.), Bernie Sanders (I-Vt.), Jeanne Shaheen (D-N.H.), Tina Smith (D-Minn.), and Peter Welch (D-Vt.). U.S. Representative Danny Davis (D-Ill.-07) introduced companion legislation in the House.

A one-page summary of the legislation is here.

Ful text of the bill is available here.

The Building Child Care for a Better Future Act is endorsed by: AFL-CIO, AFSCME, American Academy of Pediatrics, American Federation of Teachers, Caring Across Generations, Center for Law and Social Policy (CLASP), Child Care Aware of America, Child Care for Every Family Network, Community Change Action, Early Care & Education Consortium (ECEC), Family Values at Work, First Five Years Fund, First Focus Campaign for Children, KinderCare, MomsRising, National Association for Family Child Care (NAFCC), National Association for the Education of Young Children (NAEYC), National Education Association, National Indian Child Care Association (NICCA), National Women’s Law Center, Save the Children, SEIU, Small Business Majority, ZERO TO THREE, Campaign for a Family Friendly Economy, Communications Workers of America (CWA), Family Forward Oregon, First Children’s Finance, Iowa Association for the Education of Young Children, Little Miracles Early Development Center, Massachusetts Association for the Education of Young Children (MAAEYC), Maine Association for the Education of Young Children, Maine People’s Alliance, Maryland Association for the Education of Young Children (MDAEYC), Montana Family Childcare Network, New Jersey Association for the Education of Young Children, NJ Communities United, Ohio Association for the Education of Young Children, Oregon Association for the Education of Young Children (ORAEYC), Our Children Oregon, Pennsylvania Association for the Education of Young Children, Pennsylvania Child Care Association, Pennsylvania Partnerships for Children, Prevent Child Abuse America, Rhode Island Association for the Education of Young Children, South Carolina Association for the Education of Young Children (SCAEYC), Southwest Ohio Association for the Education of Young Children, Trying Together, Virginia Association for the Education of Young Children, Virginia Organizing, and Wisconsin Early Childhood Association.

“Right now, this country is facing a serious child care crisis–parents are struggling to find or afford child care, child care workers are making poverty wages, and child care providers are struggling to keep their doors open and make ends meet. Republicans’ only proposal is to make this crisis even worse by cutting child care funding and putting more wealth in the hands of billionaires over supporting our families,” said Andrea Paluso and Erica Gallegos, Executive Directors of the Child Care for Every Family Network. “But there is another way. Senator Wyden and Warren’s Building Child Care for a Better Future Act will boost child care funding, instead of taking a hatchet to it. We are proud to endorse this critical bill that will invest in our child care supply, support the child care workforce, and help make child care easier to find and afford. The contrast couldn’t be clearer: support for care or support for cuts. Instead of non-stop Republican threats to cut child care, Congress must pass the Building Child Care for a Better Future Act.”

“Families across the country are sending us a clear message that child care prices are too high and they need help,” said Julie Kashen, Senior Fellow and Director of Women’s Economic Justice at the Century Foundation. “Instead of tax cuts for billionaires and big corporations, we should work towards child care solutions that give parents room to breathe, providers wages they deserve, and children the opportunity to grow and flourish. The Building Child Care for a Better Future Act would be a big step in the right direction walking the walk for families and workers, not just talking the talk.”

“America’s moms support the Building Child Care for a Better Future Act, and applaud its sponsors, cosponsors and champions,” said Kristin Rowe-Finkbeiner, Executive Director and CEO of MomsRising Together. “Millions of young families simply can’t access quality, affordable child care in our country today. Without it, children miss opportunities to learn, moms are pushed out of the workforce, businesses go without the workers they need, families can’t contribute and make ends meet, and our economy suffers terribly. Moms want Congress to support this bill to stabilize the child care infrastructure and improve wages for educators – not give even more tax breaks to billionaires and wealthy corporations.” 

“At a time when President Trump and congressional Republicans are proposing dramatic cuts to child care, the Building Child Care for A Better Future Act provides meaningful investments that would make a real dent in addressing the child care crisis,” said Fatima Goss Graves, President and CEO of the National Women’s Law Center. “With families at a breaking point with the soaring costs of child care, we need real, sustained investment to make care more affordable and to invest in the early learning workforce. If Congress is serious about lowering child care costs, they’ll pass this bill instead of pretending that small tax credits—which provide only a fraction of relief that families need—are a real solution.”

“The Building Child Care for a Better Future Act will make child care more affordable for families and invest in the workforce that makes it all possible. By ensuring sustainable and reliable funding and bolstering the supply of child care, we can build a stronger, more equitable child care sector,” said Stephanie Schmit, Director of Child Care and Early Education at Center for Law and Social Policy (CLASP). “This legislation is an essential step toward a much-needed child care system that meets the diverse needs of all children and families.”

“Child care is essential for parents who are continuing to struggle with long waitlists and skyrocketing costs. Providers are barely scraping by due to the ever-rising costs of providing safe and quality care,” said Samantha Cadet, Legislative Director for ZERO TO THREE. “ZERO TO THREE is proud to support the Building Child Care for a Better Future Act, which addresses the root issue of chronic underinvestment by increasing mandatory funding for child care so that states, tribes, and territories have the resources they need to build a child care infrastructure that works for everyone.”

“The Building Child Care for a Better Future Act is a powerful step forward in ensuring that Tribal Nations have meaningful access to the resources needed to strengthen child care in our communities. By increasing dedicated funding and continuing the flexibility in how those funds are used, this bill honors the sovereignty of Tribal Nations to lead the development of early care and education systems that reflect our unique cultures, needs, and priorities,” said Jennifer Rackliff, Executive Director of National Indian Child Care Association (Cherokee Nation — Anisahoni Clan). “We commend this legislation for recognizing that lasting solutions come from within the community—and for giving Tribes the tools to build the systems our children and families deserve.”

“As a national coalition of child care providers, education service providers, and state child care associations, ECEC is pleased to endorse the Building Child Care for a Better Future Act. This legislation recognizes that the child care workforce is the workforce behind the workforce—without well-qualified and compensated child care educators and staff, many parents cannot go to work with the comfort that their children are being educated and cared for in safe and healthy environments. Furthermore, the legislation takes needed steps to help provide support to providers that serve communities that are most in need of high-quality early education,” said Radha Mohan, Executive Director of ECEC. “The long-term investments proposed in the Building Child Care for a Better Future Act will better equip our nation’s child care system to serve all who rely on it every day, and support the continued growth of the American economy.”

“Virtually every segment of our population is struggling with access to childcare, and small businesses are no exception. In fact, Small Business Majority’s research found that most small business owners said a lack of access to quality, affordable childcare for their own children made it difficult to start and grow their business. These business owners also said childcare challenges are an ongoing problem that have forced many to take time away from work, miss out on opportunities or hire additional help,” said John Arensmeyer, Founder and CEO of Small Business Majority. “We support the Building Child Care for a Better Future Act because it will improve our nation’s childcare infrastructure to more effectively address the needs of America’s small businesses.”

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