In New York City, families are currently unable to apply for childcare vouchers as Mayor Eric Adams and Governor Kathy Hochul face issues with funding the program, which has nearly $1 billion behind it.
First Deputy Mayor Randy Mastro stated on Monday that the city lacks the funds to accept new applicants, only being able to support those currently enrolled. New applicants will have to go on a waitlist.
“Unfortunately, the state budget isn’t providing sufficient funding for its program,” Mastro shared with reporters at city hall.
“Starting May 5th, we won’t be able to register new eligible applicants for vouchers. We are urging our state partners to secure more funding to sustain the state program,” he added.
Currently, about 70,000 low-income families benefit from these vouchers, which help cover childcare costs managed by city officials.
According to the Adams administration, this application freeze will likely affect between 4,000 to 7,000 families.
Governor Hochul and lawmakers in Albany recently allocated $350 million to support the state program in a budget deal unveiled last week. However, this funding still falls short of the program’s total cost, which exceeds $100 million.
Mastro emphasized that cities need upwards of $800 million to fully meet the demand as federal COVID-19 relief funds waned.
“State programs should be funded at the state level,” he pointed out.
“There’s still time; the state budget isn’t finalized,” he continued. “We’re working with our state partners to address this, as childcare vouchers are crucial for families in need, and we remain hopeful.”
Meanwhile, Hochul mentioned on Friday that her administration had already allocated another $400 million to the city, on top of current funding. “Most of this is going directly to New York City to help parents,” she noted, promising to ease the strain on families.
The pause on new applications follows Adams revealing a substantial $115 billion budget plan last week.
Concerns over funding have also arisen in 12 other counties within the state, which have similarly implemented waitlists for the program.
The vouchers operate on a sliding scale based on income, with the potential to reduce daycare costs substantially. Last year, average childcare fees in NYC soared to around $26,000, according to a report from the city’s director’s office.
Families receiving cash assistance who need to enroll will still be accepted into the program.
