THE BLUEPRINT:
Gov. Kathy Hochul proposes $1.7B investment to expand universal childcare statewide
Plan aims to guarantee universal pre-K for all four-year-olds by 2028–2029
Federal freeze on $10B in funds could impact childcare assistance programs
Freeze could hurt families, workers and small businesses
New York Gov. Kathy Hochul announced plans on Thursday to invest $1.7 billion to expand universal childcare for children under age five so that it is more affordable and accessible across the state. At the same time, New Yorkers may face added pressure from a federal childcare funding freeze that could make it harder for parents to balance work and family.
Hochul said the new investment, which is part of her 2026 legislative agenda, would ensure universal pre-K for all four-year-olds in the state by the start of the 2028-2029 school year. Hochul committed to delivering affordable childcare for nearly 100,000 more kids.
“There’s one thing that every family in New York can agree on, the cost of childcare is simply too high,” Hochul said in a news release about expanding universal childcare. Families in New York can pay between $25,000 and $40,000 for childcare, Hochul said.
Hochul’s announcement comes days after the U.S. Department of Health and Human Services said it is freezing $10 billion in funds to New York and four other Democratic-led states due to fraud concerns. The decision halted federal money for three programs, including childcare and monthly cash aid to low-income workers.
On Long Island, where high costs make two-income households the norm, access to quality childcare matters.
Hochul’s plans “would be very beneficial to Long Island families and employers,” Jennifer Rojas, executive director of the Child Care Council of Suffolk, told LIBN.
“When parents have access to affordable childcare, they are able to fully participate in the workforce,” she said. “In addition, as small businesses themselves, childcare programs are an important part of our local economy.”
In response to the federal freeze on childcare funds, Sen. Kirsten Gillibrand on Thursday called on the Trump administration to resume the grants, which provide childcare assistance to thousands of families in the state – underscoring the stakes not only for working parents but also employers navigating staffing challenges.
Freezing funding “will hurt families, children and childcare providers who are already struggling to get by,” Gillibrand told reporters.
According to Gillibrand, evidence of fraud in New York has not been provided by the Trump administration.
Rojas shared that sentiment.
“New York State has a very strong Child Care Assistance Program that is highly regulated and monitored,” Rojas said. “There has not been any evidence of widespread fraud.
“A freeze of this funding could lead to thousands of Long Island families losing access to childcare making it hard for parents to work,” she added. “It could also lead to the closure of childcare programs, the loss of small business [childcare programs] and childcare workers losing their jobs.”
It would “have a ripple effect throughout the economy,” Gillibrand said. “Parents will have to quite their jobs to stay at home with their children.”
Hochul, a Democrat who is running for reelection this year, said the state would also partner with New York City to provide free childcare for two-year-olds and strengthen the 3K program to serve all families in the five boroughs. The plan includes supporting other counties in building new childcare pilots that offer high-quality affordable care to families regardless of income, and expand childcare subsidies to tens of thousands of additional families.
Bruce Blakeman, the Republican Nassau County executive who is running for governor, criticized what his campaign press office said he deemed “an inequitable, city-first approach.”
“Working moms and dads everywhere deserve support,” Blakeman said in a written statement. “What they don’t deserve is to be used as a bankroll to finance a day care program for New York City which excludes their children.”
Reuters contributed to this report.