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JFO warns payroll-tax fund and current subsidies fall short; FY27 adds $6.5M for childcare assistance
House Human Services Committee and House Education Committee (joint hearing) · February 25, 2026
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Summary
JFO told lawmakers that payroll-tax receipts and the Child Care Contribution Special Fund do not cover current CCFAP commitments alone and that the FY27 budget includes an additional $6.5 million in general-fund support to DCF to meet anticipated costs.
Lawmakers at a Feb. 24 joint hearing heard from the Legislative Joint Fiscal Office that the child-care payroll tax and the Child Care Contribution Special Fund do not currently generate enough revenue to cover the state's commitments under the Child Care Financial Assistance Program (CCFAP).
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