January 2026

Child Care and Preschool

Child Care Budget

(Dollars In Millions)


  2024-25
Reviseda
2025-26
Revisedb
2026-27
Proposedc
Change from 2025-26  
  Amount Percent  
Expenditures            
CalWORKs Child Care            
Stage 1  $614  $615 $630  $15 2%  
Stage 2d  549 598 620 22 4  
Stage 3  537 581 609 27 5  
Subtotals ($1,700) ($1,794) ($1,859) ($65) (4%)  
Non-CalWORKs Child Care            
Alternative Payment Program  $1,990  $2,058 $2,058  
General Child Caree 1,495 1,510 1,487 -$23 -2%  
Bridge program for foster children  107 62 62  
Migrant Child Care 79 79 79  
Care for Children With Severe Disabilities  2 2 2  
Subtotals  ($3,672) ($3,711) ($3,688) (-$23) (-1%)  
Support Programs  $2,161f  $1,825g  $1,934h  $109 6%  
Totals  $7,533 $7,330 $7,481 $150 2%  
Funding            
 Proposition 98 General Fundi  $2 $1 $1 $0.04 4%  
 Non-Proposition 98 General Fund 4,450 4,812 5,076 263 5  
 Proposition 64 Special Fund 639 199 184 -14 -7  
 Federal 2,442 2,230 2,220 -10  
             
a Reflects 2025-26 May Revision estimates with LAO adjustments.
b Reflects 2026-27 Governor's Budget estimates with LAO adjustments.      
c Reflects 2026-27 Governor's Budget with LAO adjustments.
d Does not include $4.4 million provided to community colleges for certain child care services.
e Includes funding for family child care home education networks.
f Includes cost estimates for quality programs, child care infrastructure, Child and Adult Care Food Program, CCPU Training Fund, CCPU Retirement Benefit Trust, CCPU Health Benefit Fund, accounts payable, whole child community equity, court cases and costs associated with 2023-24 MOU and parity agreement.
g Includes cost estimates for quality programs, child care infrastructure, Child and Adult Care Food Program, accounts payable, prospective pay, reimbursement based on certified need, rate reform support, administrative support, and whole child community equity. The budget authorizes the Department of Finance to increase spending by up to $195 million on CCPU funds for retirement, health, and training.
h Includes cost estimates for quality programs, child care infrastructure, Child and Adult Care Food Program, accounts payable, prospective pay, reimbursement based on certified need, administrative support, low income investment fund, whole child community equity, and the child care COLA. The budget authorizes the Department of Finance to increase spending by up to $195 million on CCPU funds for retirement, health, and training. 
i Reflects Proposition 98 funds for Child and Adult Care Food Program.
CCPU = Child Care Providers United, MOU = memorandum of understanding, and COLA = cost-of-living adjustment.