It’s Time to Update Federal Child Care Policy: Pass the Child Care Modernization Act in Children

The Child Care and Development Block Grant (CCDBG) has not been reauthorized in over a decade, and in the 12 years since, the cost of care has climbed, supply has tightened, and the structure of work has shifted, but the program that helps families navigate those pressures has stayed largely frozen in time. The Child Care Modernization Act (CCMA)—S. 2828 in the Senate and H.R. 9224 in the House—would fix that.

Introduced by Sens. Deb Fischer (R-NE), Kirsten Gillibrand (D-NY), Susan Collins (R-ME), and John Hickenlooper (D-CO) in the Senate and Reps. Ryan Mackenzie (R-PA), Kristen McDonald Rivet (D-MI), Ashley Hinson (R-IA), and Susie Lee (D-NV) in the House, this bill would reauthorize CCDBG, make critical improvements to the program, and strengthen access to child care. Bipartisan Policy Center Action urges Congress to act on this legislation now.

What the CCMA Does: 

  1. Modernizes Child Care for Today’s Families: Reauthorizes CCDBG and modernizes core policy tools so states can innovate, preserve a mixed-delivery system, and better align policies with the needs of today’s working families and diverse care arrangements.
  1. Ties Costs to Outcomes: Requires states to adopt cost estimation models within five years to better inform payment decisions, improving visibility into policy and cost tradeoffs related to rates, supply, quality, and access.
  1. Expands Care Where It’s Needed Most: Creates a child care supply and facilities grant authority to help states address provider startup, expansion, and infrastructure costs, giving priority to providers serving underserved and rural communities and other high-needs populations of children.
  1. Protects Choice of Care: Reaffirms the mixed-delivery child care ecosystem families rely on by giving states clearer guidance to support a variety of care options, strengthening access to quality care and supporting workforce participation and local economies.
  1. Builds a Clearer National Picture: requires states to report on child care costs and availability for families eligible for assistance but not currently receiving it, including a feasibility study on how the state could lower families’ copayment burden and increase access so all eligible children are served. Also adds a new 10-year progress report tracking outcomes like affordability, access, workforce retention, and program integrity over time.

Why It Matters: Families and the Economy Can’t Afford to Wait 

Families are feeling the squeeze: Recent polling from the Bipartisan Policy Center (BPC) shows 4 in 10 caregivers say they have trouble finding child care that meets their needs, and 6 in 10 of those say it has caused someone in their household to miss work, reduce hours, or change jobs in the past year. 

The consequences extend beyond families: Limited access to child care undermines longer-term workforce participation, strains local businesses, and limits the broader U.S. economy. BPC estimates show that gaps in child care could cost the economy as much as $329 billion over the next 10 years in lost productivity, workforce shortages, and decreased income and revenue. Families cannot afford to wait, and neither can our country. The Child Care Modernization Act is an important step in giving families the support they need to balance the demands of caregiving and workforce participation.

“CCDBG has been a cornerstone bipartisan program for decades—but it hasn’t been reauthorized in over ten years, and the gaps are showing. New Bipartisan Policy Center polling finds nearly half of caregivers struggle to find care that meets their needs, and 60% say difficulty accessing care caused someone in their household to miss work, reduce hours, or change jobs in the past year. A system that doesn’t reach families isn’t serving today’s workforce or building tomorrow’s. The Child Care Modernization Act takes a critical step by modernizing the way CCDBG works to better meet the real needs of working families,” says Michele Stockwell, president of Bipartisan Policy Center Action