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10/24/25 ECEA Child Care Update--CCCAP on the Brink--But there is Hope!

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As the federal government navigates its ongoing shutdown, Colorado's child care leaders are in a tense wait-and-see mode. The state is poised to request a critical waiver from the Office of Child Care (OCC)—but only once it reopens. This waiver would exempt Colorado from rolling out the 2024 Federal Child Care and Development Fund (CCDF) regulations, which could saddle the Child Care Assistance Program (CCCAP) with an staggering $43 million in unfunded implementation costs. Think of it as an ambitious "field of dreams" mandate without the budget to build it.

A recent federal memo (linked here) spells out the government's roadmap forward, and the waiver process was designed to give states like ours breathing room to pause implementation until a revised rule set emerges. In the meantime, we're laser-focused on protecting CCCAP's stability for families and providers.

A Snapshot of the Stakes The chart below illustrates just how precarious CCCAP's future could be under the current trajectory—highlighting projected shortfalls that threaten access for low-income families. Importantly, this view doesn't yet factor in the anticipated federal de-regulation wave, which promises to trim statewide programmatic costs and offer some much-needed relief.

[Insert Chart: Projected CCCAP Funding vs. Demand, 2024-2026]

This raises burning questions for our community: With $102.5 million in unspent revenue on the table, why weren't those funds deployed to help families return to work, achieve self-sufficiency, and keep priority CCCAP slots open in underserved areas? Why did providers prioritizing low-income care continue to shutter doors amid the squeeze?

Members: Dive Deeper Today We've got answers—and actionable insights—in today's members-only update. From questions the JBC report raises for us regarding CCCAP to the Five Pronged advocacy plan we are utilizing to advocate for CCCAP to be restored, you will find it all there! Questions? Reply to your members only update or reach out to our policy team. Together, we're building a resilient child care ecosystem for Colorado.

Stay tuned for federal reopening alerts. Your voice matters—join the conversation on our member only community page. We will post updates there first!

Not a member and still want to help? ECEA asks that every staff member, Director and parent sign this petition to elevate the concern to Federal lawmakers. If you have difficulty filling out the petition, complete it from your phone! That seems to work much better. (Third party software issue.) Find the petition here: https://c.org/CNcBtQKMpx

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ECEA Members ONLY Content This Week

  • Comprehensive explanation of what is happening with CCCAP
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