Summary
Federal childcare funding in 2026 flows through several distinct programs targeting different needs: the Child Care and Development Fund (CCDF) supports subsidies for low-income families and quality improvements for providers; Head Start and Early Head Start fund comprehensive early childhood programs; and the Preschool Development Grant Birth through Five program helps states build coordinated early childhood systems. Understanding which program fits your situation is essential to accessing available funding.
Child Care and Development Fund (CCDF)
The Child Care and Development Fund is the primary federal program supporting childcare access for low-income families. Administered by the Office of Child Care within HHS, CCDF distributes approximately $8 billion annually through mandatory and discretionary funding to states, territories, and tribes. Families with incomes below 85% of state median income (though most states set lower thresholds) who are working, attending school, or participating in training programs can receive subsidies to pay for licensed childcare of their choosing.
For childcare providers, CCDF participation means accepting subsidized children and receiving payment from the state at established market rates. Many states have used CCDF quality funds to offer bonuses, workforce retention grants, and professional development support to providers who serve subsidized children. Providers should contact their state's Child Care Resource and Referral (CCR&R) agency to understand how to become a CCDF-eligible provider and what quality improvement funds may be available. CCDF also includes a Quality Set-Aside, which states must use for activities like training, technical assistance, consumer education, and increasing the supply of high-quality care in underserved areas.
Head Start and Early Head Start
Head Start is a comprehensive federal program providing early childhood education, health, nutrition, and family support services to children from birth to age five in low-income families. The program serves approximately 830,000 children annually with a budget exceeding $12 billion. Head Start (ages 3β5) and Early Head Start (birth to 3, including pregnant women) are operated by local grantee organizations including nonprofits, public agencies, school districts, and tribal governments that apply directly to the Administration for Children and Families (ACF) within HHS.
Existing Head Start grantees receive ongoing funding through non-competitive continuation grants, but the program periodically opens competitions for expansion slots or when a grantee is not meeting performance standards. Organizations interested in becoming Head Start grantees should monitor the Early Childhood Learning and Knowledge Center (ECLKC) website and grants.gov for funding opportunities. Head Start grantees must provide comprehensive services including medical and dental screenings, mental health consultation, family engagement activities, and transition services to kindergarten. The program has strict performance standards that all grantees must meet, including requirements for teacher qualifications and classroom quality.
Child Care Access Means Parents in School (CCAMPIS)
The CCAMPIS program, administered by the Department of Education, funds institutions of higher education to provide childcare services to low-income student parents. Awards support campus-based childcare centers, partnerships with community childcare providers, and subsidy programs that reduce the cost of childcare for student parents. The program prioritizes institutions that demonstrate a commitment to increasing access for low-income, nontraditional students.
Eligible applicants are institutions of higher education that participate in the Pell Grant program and have a plan for providing childcare services to low-income students. Award amounts are based on the institution's Pell Grant expenditures, with larger Pell-spending institutions receiving higher award ceilings. CCAMPIS grants are renewable and typically run for four years. Institutions that have successfully operated CCAMPIS programs report significant improvements in student retention and completion rates, particularly among single-parent households. Colleges and universities that do not currently participate should monitor the Department of Education's grant competitions on grants.gov.
Preschool Development Grants Birth Through Five
The Preschool Development Grant Birth through Five (PDG B-5) program, jointly administered by HHS and the Department of Education, awards grants to states to improve their mixed delivery early childhood care and education systems. States use PDG B-5 funds to conduct needs assessments of their early childhood landscape, develop strategic plans for system improvement, and implement activities that increase access to high-quality care, particularly for underserved families. Grants are awarded to state agencies, which then implement activities with local partners.
While individual childcare providers cannot apply directly for PDG B-5 funds, the program creates significant local opportunities. States use PDG B-5 funding to contract with providers for quality improvement activities, fund workforce development programs, expand access in underserved communities, and build data systems that inform resource allocation. Providers and local organizations should monitor their state's early childhood agency for subgrant opportunities generated by PDG B-5 activities. The program has distributed over $1 billion to states since its establishment, with renewal competitions held periodically.
Tribal and Military Childcare Programs
Federally recognized tribes can access childcare funding directly through the CCDF Tribal program, which provides approximately $200 million annually for tribes to operate their own childcare subsidy and quality improvement programs tailored to the needs of Native children and families. Tribal CCDF grantees have significant flexibility to design programs that reflect tribal culture and community needs.
Military families have access to the Department of Defense's (DoD) Child Development Program, one of the largest employer-sponsored childcare systems in the world. DoD child development centers operate on military installations worldwide and provide subsidized care to active duty, Reserve, and National Guard families. The DoD also operates the Military Child Care in Your Neighborhood (MCCYN) program, which provides fee assistance to military families using off-installation childcare. While these programs are not grants in the traditional sense, they represent substantial federal childcare support that families should factor into their planning. Researchers and local governments can also access Child Care Research Partnership grants from ACF to study childcare quality and access challenges in specific communities.