The Department of Youth and Community Development told the City Council on May 1 that the administration will significantly expand after‑school funding over the next three years, but council members and providers warned that immediate rate increases, contract stability, and payment delays must be fixed first.

DYCD Commissioner Keith Howard said the administration's plan would increase the Compass after‑school portfolio to a record $755 million over several years and bring 5,000 additional seats online for the upcoming fall semester. "This expansion will start with an immediate $21,000,000 investment in FY26 that will bring 5,000 additional ... seats online for the upcoming fall semester," the commissioner said, and said the department expects future rate increases to accompany RFP awards in FY27.

Council members and multiple providers said the funding announcement is welcome but stressed that many existing programs operate on rates that do not cover costs, that providers remain unpaid for past summers, and that rolling out a concept paper and RFP in the busy spring/summer calendar will strain already stretched nonprofit partners. "Providers have reached out to us. We've had conversations with them," DYCD said, but council members pushed for nearer‑term action. Chair Althea Stevens said the sector needed stabilization, not just soundbites: "Just because you can do something doesn't mean we should not have been more prepared."

Providers told the committee that compound problems—stagnant slot rates, higher operating costs and late payments—are fueling staff turnover and making it difficult to plan for expansion. DYCD said it will offer advances and is planning to distribute up to 80% cash advances for some registered contracts to ease cash‑flow pinch points, and that the RFP for the larger procurement will aim to stabilize rates when the new contracts begin in FY27. DYCD also said it would prioritize deployment of the initial FY26 slots in communities of highest need and expected to release a concept paper and fall RFP.

Council members pressed DYCD for more immediate remedies: baseline or near‑term rate increases for elementary and middle‑school providers, clearer timelines for the concept paper and RFP, and guarantees that new procurement will not siphon staff away from cornerstones, beacons, or other programs. DYCD said stakeholder engagement is ongoing and indicated it will share maps showing proposed seat locations with council members for feedback.

The discussion underscored three tensions: the administration's multi‑year commitment to expand after‑school access; providers' demand for immediate rate relief and reliable payments; and council interest in shaping where new seats go and protecting existing programs during procurement and implementation. DYCD also said it planned to expand workforce supports and other youth initiatives in the FY26 plan, but council members urged faster action to close current funding and payment gaps so providers can staff up for summer and fall programs.