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Stop Child Care Funding Fraud Act of 2026

This bill aims to ensure federal child care funds are used correctly by penalizing states with high rates of improper payments. It focuses on transparency and accountability to protect taxpayer money and ensure aid reaches eligible families.
Key points
States face funding cuts of up to 15% if they have high rates of incorrect child care payments.
States must report their error rates and create corrective action plans if errors exceed 6%.
New requirements for tracking child attendance to verify that subsidized services were actually provided.
The government will publish a state-by-state breakdown of how well child care funds are being managed.
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Status:
Introduced
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Additional Information
Print number: 119_HR_7794
Sponsor: Rep. Kennedy, Mike [R-UT-3]
Process start date: 2026-03-04