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City, state and federal funding changes put NYC childcare vouchers at risk; ACS says recertifications will continue
Summary
The Administration for Children's Services told the City Council it paused issuing new low‑income child care vouchers beginning May 5, 2025, after the state budget sharply increased New York City's maintenance‑of‑effort requirement and tied additional state matching funds to local spending.
The Administration for Children's Services told the New York City Council on May 1 that a change in the state budget has dramatically increased the city's financial obligation for child care assistance and forced ACS to pause issuing new low-income childcare vouchers from May 5, 2025.
Commissioner Jess Danhauser told the Council the enacted state budget raises New York City’s maintenance-of-effort requirement from $53,000,000 to $328,000,000 and ties additional state matching funds to city spending. “The state budget imposes a 518% increase to New York City's annual maintenance of effort requirement from $53,000,000 to $328,000,000,” Danhauser said. He said the state also made up to $350,000,000 available as a one‑time match, but city spending above the original $53 million is required before the match is released.
The change comes as ACS says the number of children enrolled…
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