ACFProposed Rule

Restoring Flexibility in the Child Care and Development Fund 0970-AD20

EducationLabor & WorkplaceFinance & Banking

Summary

This proposed rule would give states and child care providers more flexibility in how they use federal funding for child care assistance programs. The changes aim to make it easier for families to access affordable child care by allowing programs to adapt rules to better fit their communities' needs.

Key Points

  • 1States would have more freedom to decide how to spend federal Child Care and Development Fund money to meet local needs
  • 2Child care providers could have fewer restrictions on eligibility requirements and paperwork requirements
  • 3Families seeking child care assistance could potentially see faster approvals and simpler application processes
  • 4The public can submit comments on this proposal until February 5, 2026
  • 5The final rule could take effect later in 2026 if approved by federal officials

Impact Assessment

If you are a parent seeking child care, this means your state may be able to offer more flexible assistance programs tailored to your community's specific needs, potentially making affordable child care easier to access.

Impact Level
Moderate
Geographic Scope

National

Compliance Cost

Minimal

Who is Affected
Small BusinessesConsumersState GovernmentsWorkers/Laborers

Key Dates

Published

January 21, 2026

Comment Deadline

February 5, 2026

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Regulatory Connections

Amends CFR Sections
45 CFR Part 98
Other Documents in This Rulemaking (ACF-2026-0001)

This summary is for informational purposes only. It may not capture all nuances of the regulation. Always refer to the official text for authoritative information.

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