Summary of Child Care and Preschool Recommendations [EdBudget]

May 2018

Summary of Child Care and Preschool Recommendations

Issue	May Revision Proposal	LAO Recommendation
CalWORKs child care	Increases spending by $104 million due to changes in Stage 2 and Stage 3 caseload.	*Modify.* Provide at least $154 million ($50 million more than May Revision) for CalWORKs Stage 2 and Stage 3 caseload to mitigate the risk of having a midyear shortfall.
Inclusive Early Education Expansion Initiative	Replaces $42 million in TANF funding with Proposition 98 General Fund. Scores all $167 million Proposition 98 General Fund to 2017‑18 rather than 2018‑19.	*Reject.* One‑time funding is unlikely to improve program quality on a lasting basis and facility needs could be funded through the state’s existing revolving loan program.
Subsidized county child care pilot programs	Increases CDE state operations by $624,000 to administer 13 child care pilot programs previously authorized by the Legislature.	*Reject and Revisit Next Year.* Require CDE to provide better documentation to justify need for additional staff.
TANF = Temporary Assistance for Needy Families and CDE = California Department of Education.