At a time when children and providers are going hungry and federal food aid is shrinking, food costs pose a significant risk to provider sustainability and the wellbeing of children that they serve. The new brief underscores how the current increases in CACFP reimbursement fail to grapple with the broader, structural challenges facing HBCC providers: rising food costs, inadequate reimbursement rates, burdened policy systems, and shifting eligibility criteria. All of which leave puts provider sustainability at risk and impacts child wellbeing.
Brief: Revised CACFP Rates Don’t Make a Dent
Home-based child care providers share feedback and insight on their experiences with legislative visits during the 2025 August recess.
Families and child care providers are being squeezed as pandemic-era supports expire and federal funding stalls. Across the country, home-based providers are struggling to stay open amid lower reimbursements and rising costs. Without stronger federal investment in the Child Care and Development Block Grant (CCDBG), tens of thousands of children could lose access to care.