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The Government Can't Afford Daycare
-- Unless You Work For It
Congress has its own taxpayer-funded daycare center with a waiting list. Twenty federal agencies run childcare subsidies for government workers. The president says it is a state problem.

"We're fighting wars. We can't take care of daycare. It's not possible for us to take care of daycare, Medicaid, Medicare, all these individual things. We have to take care of one thing: military protection."

-- President Donald Trump, White House, March 2026

That statement deserves a response. Not an emotional one. A factual one. Because the federal government does take care of daycare. It runs daycare programs right now, today, as you read this. Extensive ones. Well-funded ones. The only difference between those programs and the ones being cut is who they serve.

If you work for the federal government, daycare is a recruitment and retention benefit paid for by the American taxpayer. If you do not, it is a state problem.

What the Child Care and Development Fund Actually Does

The primary federal childcare program is called the Child Care and Development Fund, or CCDF. It is a federal and state partnership funded at $12.38 billion per year. The money flows to states as block grants, which states then use to subsidize childcare costs for low-income working families -- parents who are employed or in job training and need care for children under age 13.

The Child Care and Development Fund is not a giveaway. It is a workforce program. Its entire design is built around the idea that parents cannot work if they cannot afford childcare, and a parent who cannot work becomes a greater burden on every other public assistance program. The math is straightforward: subsidize the childcare, keep the parent working, keep the family off deeper assistance. It costs less than the alternative.

The Cost of Childcare in America -- Documented Figures
$13,128
Average annual childcare cost per child in 2024 -- up $1,546 in a single year
$1,230
Average monthly cost for infant care -- exceeds federal affordability standard in all 50 states
78%
Of families who spend 10 percent or more of household income on childcare
134,000
Families pushed into poverty every year by childcare costs alone
29%
Rise in childcare costs over five years -- outpacing general inflation by 7 percent
7%
Federal affordability benchmark for childcare as a share of family income -- almost never achieved in the private market

The CCDF currently assists approximately 1.4 million children per month. That sounds significant until you learn what it represents: roughly 15 percent of children who are federally eligible for assistance under the program's own rules. The need is not being met. It never has been. States are already stretched past their limits trying to cover the gap.

The Hypocrisy That Needs to Be Said Out Loud

Here is the part the president did not mention when he said the federal government cannot be responsible for childcare.

What the Federal Government Actually Funds -- For Itself
1
Congress -- Inside the Capitol Building. A taxpayer-funded daycare center for members of Congress and their staff. Starting at $1,100 per month -- well below D.C. market rates. So popular it has a waiting list. Taxpayers have spent at least $10 million on it since 2019. The same Congress that says childcare is a state problem arranged childcare for itself inside the building where they make that argument.
2
Nearly 20 Federal Agencies -- Subsidy Programs for Employees. Under a law passed in 2001, Congress authorized executive agencies to use taxpayer appropriations to subsidize childcare for their employees. The IRS provides subsidies for employees earning up to $150,000 per year. The State Department provides up to $5,000 per year per employee. The list includes the VA, DHS, Customs and Border Protection, FEMA, the CDC, and more.
3
The GSA -- 100+ Childcare Centers in Federal Buildings. The General Services Administration operates more than 100 independently run childcare centers in federal buildings across the United States. These centers exist specifically to serve federal workers. Paid for with taxpayer dollars.
4
The Military -- $1.79 Billion Per Year. The Department of Defense operates Child Development Centers on bases across the United States and overseas. The Pentagon's budget for child development programs was $1.79 billion in fiscal year 2024 -- up 10 percent from the year before. Military families in a standard market area pay approximately 7 percent of their income for full-time care -- the exact affordability benchmark the civilian system almost never achieves. For families who cannot access on-base care, the Pentagon provides up to $1,800 per child per month in assistance to use community providers.

So let us be precise about what the federal government is saying. It can afford $1.79 billion a year to make sure the children of service members are cared for while their parents serve. It can afford a subsidized daycare center inside the Capitol building. It can afford childcare subsidy programs across nearly 20 federal agencies. It can afford more than 100 childcare centers in federal buildings for government workers.

What it cannot afford is childcare for the families of the workers who pay for all of the above.

Two States, Same Crisis, Different Politics

If the childcare problem were a partisan one -- a blue state problem, a Democrat problem -- it would be easy to dismiss. It is not. The numbers from Texas and California prove it.

The State-by-State Reality
Texas
Deep Red -- Voted Trump
100,000 children currently on the childcare scholarship waitlist. The legislature allocated $100 million -- enough to help 10,000 of them. One in ten. 94 percent of Texas childcare scholarship funding comes from the federal government. The state covers 6 percent. To eliminate the waitlist entirely would cost Texas an additional $860 million per year.
California
Deep Blue -- Voted Harris
2.1 million children whose families qualify for childcare subsidies. The state funds enough slots for 16 percent of those eligible. 25,000 children on the waiting list of a single nonprofit agency in Southern California alone. California spends $7.2 billion of its own money on childcare -- and still falls billions short.

Texas cannot pick up the federal share. California is already spending $7.2 billion and reaching 16 percent of eligible children. The argument that states can simply handle this on their own collapses when you look at what states are already spending and how far short it falls. This is not a partisan failure. It is a structural one. The federal partnership is not optional -- it is load-bearing.

The Immigration Question -- Addressed Directly

Someone will raise this, so let us address it straight. Federal law requires that the child receiving Child Care and Development Fund benefits must be a U.S. citizen or a qualified legal resident. That requirement applies to the child -- the primary beneficiary of the benefit.

What this means in plain language: a child born in the United States to undocumented parents is an American citizen. That child is eligible for CCDF benefits because of their own citizenship, not their parents' immigration status. The benefit belongs to the American child.

Under current law, today, the children on those 100,000-child waitlists in Texas and those 25,000-child waitlists in California are American children. Citizens. Legally entitled to be here. Being denied access to a program their own government runs generously for its own employees.

What Happens When the Federal Funding Goes Away

This is not a theoretical question. We have already seen the answer. During the federal government shutdown in the fall of 2025 -- which lasted 43 days -- childcare funding was among the programs disrupted. Within days, 134 Head Start programs across 41 states and Puerto Rico, serving 58,627 children, faced immediate closure.

In California alone, one Head Start program closed and three more faced imminent closure, affecting roughly 1,000 children and 270 teachers. In Kentucky, nearly 200 childcare centers serving more than 12,000 children said closure was their most likely scenario if federal payments stopped. One Arizona provider described her situation plainly: 85 to 90 percent of her revenues come from government dollars. That is not an unusual number. It is representative of how the childcare industry is structured across the country.

According to CLASP, a policy research organization, stagnant federal funding with no additional cuts will mean 24,000 fewer children have access to care in 2026. If nothing changes over the next two years, that number grows to 50,000. A full elimination of federal childcare funding would produce consequences no individual state could absorb -- forcing low-income working parents out of the workforce, increasing reliance on other public assistance programs, reducing tax revenue, and creating exactly the fiscal death spiral that the childcare program was designed to prevent in the first place.

Bottom Line -- No Spin

The president said the federal government cannot be responsible for childcare. The federal government operates its own subsidized daycare center inside the Capitol building with a waiting list. It runs taxpayer-funded childcare subsidy programs across nearly 20 federal agencies. It operates more than 100 childcare centers in federal buildings for government workers. It spends $1.79 billion a year on childcare for military families and calls it a quality of life benefit.

The argument is not that the federal government cannot afford childcare. The record shows clearly that it can and does -- for the people who work for it. The argument being made is that the federal government is not responsible for childcare for anyone else.

For the 100,000 children on the Texas waiting list in a state that gets 94 percent of its childcare funding from Washington. For the 25,000 children on one California nonprofit's waiting list alone. For the 1.4 million children currently served by the CCDF every month.

If America can fund a war, it can fund the people fighting it and their families. The question is whether it can extend the same logic to the working parents who fund everything else. America First -- for whom?

Plain Citizen← Back to Home
A Note From the Author

I am not a journalist, a policy expert, a think-tank fellow, or a political operative. I am retired, living in East Texas with my partner Lora in a 55-plus RV community. I am unaffiliated -- I have voted for presidents from both parties my entire life. I got fed up watching dangerous ideas go unchallenged because the people pushing them are counting on the rest of us to stay quiet.

I use Claude AI as a research and writing partner. Every idea, every editorial direction, every decision about what to include and what to cut -- that was me. Claude helped me find the facts, organize my thinking, and say clearly what I have been feeling for a long time. The facts in this article are real. The sources are documented. The conclusions are mine. Make up your own mind -- that is all I am asking.

Sources
Child Care Aware of America 2024 Price and Supply Report; Administration for Children and Families CCDF Data; U.S. GAO Child Care Subsidy Report January 2025; Center for American Progress; Children at Risk Texas Analysis 2025; Texas Tribune; California Budget and Policy Center; Governing Magazine; Child Care Technical Assistance Network; Federal News Network; Military.com; Congressional spending records via The Center Square; CLASP; First Five Years Fund; NPR; CBS Minnesota. Research assistance provided by Claude AI (Anthropic). All facts independently sourced and verified.

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