July 2019

Child Care and Preschool

Changes in Child Care and Preschool Spending

2019-20 (In Millions)

  General Fund      
Change Prop. 98 Non-Prop. 98 Prop. 64 Federal
Funds		 Total
Slots          
Converts 11,307 AP slots from one time to ongoing — — — $102 $102
Adds 9,461 more AP slots starting July 1, 2019 — — $80 13 93
Adds 3,086 General Child Care slots starting July 1, 2019 — $50 — — 50
Adds 10,000 full-day State Preschool slots at non-LEAs starting April 1, 2020 — 31 — — 31
Annualizes cost of 2,959 State Preschool slots for LEAs initiated April 1, 2020 $27 — — — 27
Reduces non-CalWORKs slots by -0.68 percenta -8 -7 — — -16
Adds 1,014 foster bridge slots starting July 1, 2019 — 10 — — 10
Annualizes cost of 2,100 Alternative Payment slots initiated September 1, 2018 — 3 — — 3
Subtotals ($19) ($87) ($80) ($115) ($301)
Reimbursement Rates          
Provides a 3.26 COLA to certain child care and preschool programs $39 $36 — — $75
Annualizes cost of increasing certain adjustment factors initiated January 1, 2019 — 50 — — 50
Subtotals ($39) ($87) ($0) ($0) ($125)
Other          
Provides grants to construct or renovate child care facilities — $263 — — $263
Provides grants to enhance the child care and preschool workforce — 150 — $45 195
Makes changes to CalWORKs Stage 1 rules — 56 — — 56
Makes CalWORKs caseload and average cost-of-care adjustments — 74 — -18 56
Adjusts Transitional Kindergarten for attendance and LCFF funding rate $26 — — — 26
Requires the sharing of certain provider information for the purpose of supporting future collective bargaining — 10 — — 10
Funds improvements to CDE's early education data system — 10 — — 10
Funds inclusive early education initiative 10 — — — 10
Funds research to inform master plan — 5 — — 5
Creates Early Childhood Policy Council — 2 — — 2
Supports construction of child care facility in Reseda — 2 — — 2
Shifts all part-day State Preschool slots at non-LEAs out of Proposition 98 -309 309 — — 0
Makes conforming and technical changes — -118 — 20 -98
Subtotals -($273) ($763) ($0) ($47) ($537)
Totals -$216 $937 $80 $162 $963
 Note:

Costs are included in California Department of Education budget except for the following: Foster Bridge and Stage 1 CalWORKs Child Care are reflected in the Department of Social Services budget, the planning initiative and Early Childhood Policy Council are reflected in Health and Human Services budget, and the family child care homes information sharing is allocated across numerous state agencies by the Controller.
a Reflects statutory adjustment based on the projected decrease in the birth-through-four population.
AP = Alternative Payment. COLA = cost-of-living adjustment. LEA = local education agency. LCFF = Local Control Funding Formula.