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First 5 Sacramento warns of state and federal funding risks to early-childhood services

First 5 Sacramento Commission · January 15, 2026

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Summary

Executive Director Julie Galaylo told the commission Jan. 12 that recent county and proposed state funding changes and a federal funding freeze threaten local home‑visiting, dental and childcare services, and First 5 Sacramento is coordinating advocacy.

At the Jan. 12 meeting of the First 5 Sacramento Commission, Executive Director Julie Galaylo described multiple funding pressures that could reduce local early‑childhood services.

Galaylo said Sacramento County experienced a prior reduction of about $1,000,000 in CalWORKs home‑visiting allocations and a further $750,000 cut the past year; public‑health partners absorbed the most recent reduction to maintain Birth & Beyond services, but staff warned there is little room left to absorb further cuts.

She also flagged proposed state budget language that, in staff’s reading, would eliminate Proposition 56 supplemental payments that increase Medi‑Cal dental provider reimbursement. "The budget currently as it stands eliminates prop 56 supplemental funding for dentists," Galaylo said, warning that lower payments could discourage dentists from serving Medi‑Cal patients and harm children’s access to dental care. Staff reported they have submitted letters and asked the Sacramento County Health Authority to weigh in; local dental associations discussed legal options if funds are redirected.

Galaylo additionally reported a federal freeze on three major childcare funding programs in several states, including California, citing an attorney‑general lawsuit and a temporary restraining order but noting continued uncertainty about federal data requirements to lift the freeze. Staff cited an initial local estimate that about 2,000 children could be cut from childcare roles in California if the freeze continues.

Commissioners discussed advocacy options. Commissioner Wesley and others urged using parent‑voice storytelling and local partnerships; Vice Chair Eric Guerra and other commissioners offered to assist with outreach to legislative contacts. Staff said they will coordinate advocacy through the First 5 association and county health partners.