New Budget Center Report Finds Most Eligible Children Lack Access to Publicly Funded Care & Underfunding Threatens Family Economic Security and Deepens Racial Inequalities
February 25, 2026 - SACRAMENTO, CA — By Kyra Moeller - A new publication from the California Budget & Policy Center (Budget Center) outlines the gap between the number of children eligible for publicly funded child care programs and the number actually enrolled — leaving approximately 1.8 million eligible children without access to affordable care.
Without access to publicly funded child care, families are forced to pay unsustainable costs that undermine their economic security. In California, child care is a key driver of unaffordability. In 2024, a typical single mother with a school-aged child and an infant would spend 63% of her income on child care without access to a subsidy, far exceeding federal affordability guidelines.
“Publicly funded child care is essential for helping families meet their basic needs, ensuring a child’s healthy development, and supporting a strong state economy,” said Laura Pryor, research director at the California Budget & Policy Center. “When eligible families cannot access subsidized care, they are forced to make impossible choices between going to work and caring for their children.”
Despite improvements over the past three years, only 16% of eligible children are enrolled in publicly funded child care programs — meaning just 1 in 6 eligible children receive care through programs administered by the California Department of Social Services. Enrollment challenges are especially acute for families with infants and toddlers. In a survey of child care navigators, families were able to find affordable infant care only 31% of the time, compared to 77% for preschool-aged children.
Children of color (particularly Black, American Indian/Alaskan Native, and Latinx children) are disproportionately eligible for publicly funded child care, meaning that when supply fails to meet demand, these families are more likely to be left without access to affordable care.
According to a Parent Voices leader, “A lot of parents [quit their job] because I think they’re at their end. And they’re like, ‘I thought I could figure out child care without the subsidy with all this.’ Because I was gonna go back to work. But then they realized it cost so much money. That they would actually go into debt with their job. And that’s where I was at.”
The Budget Center’s report underscores that state leaders should fulfill their promise to expand publicly funded child care. Fully funding the promised child care spaces would move thousands of families off waiting lists and put California on a stronger path to address affordability challenges and longstanding inequalities.
To view the full publication, visit www.calbudgetcenter.org/resources/.
About the California Budget & Policy Center:
The California Budget & Policy Center (Budget Center) is a nonpartisan research and analysis nonprofit advancing public policies that expand opportunities and promote well-being for all Californians.
Source: California Budget & Policy Center
