Senate subcommittee reviews May revision childcare cuts, automation funding and single-rate timeline

Good afternoon. Jennifer Troia, director of the California Department of Social Services, told the Senate Budget Subcommittee No. 3 that the governor's May revision includes major changes for childcare funding and implementation.

The May revision "includes $6,800,000,000 total funds in 24–25 for child care," Troia said, and proposes multiple general‑fund and federal‑fund adjustments in 25–26 to close the state's estimated shortfall and to begin implementation activities for a new single‑rate structure.

Why it matters: The proposals would suspend the 2025–26 cost‑of‑living adjustment (COLA) for subsidized childcare, reduce funding for the emergency childcare bridge program for foster children, and allocate one‑time federal funds to build automation and prospective payment capabilities. The changes affect providers, counties that administer local programs, and families relying on subsidized care.

What officials said

- Troia said the May revision contains a proposed reduction of "$60,700,000 general fund in 25–26," which "represents the amount of funding that would have otherwise been provided to childcare for the cost…