Amid fraud claims, HHS reveals changes to child care funding : NPR

Amid fraud claims, HHS reveals changes to child care funding : NPR

NPRnation

Key Points:

  • The U.S. Department of Health and Human Services (HHS) announced it will rescind Biden-era rules for the Child Care and Development Fund (CCDF), reverting to attendance-based billing and ending advance payments to providers to prevent fraud.
  • This policy reversal follows a recent freeze on all federal CCDF funding, with HHS requiring states to submit administrative data before funds are unfrozen, causing confusion among states and child care advocates.
  • Child care advocates warn that these changes could destabilize the industry, as providers operate on thin margins and delays in funding risk closures that would affect families relying on assistance.
  • The scrutiny of federal child care funding intensified after allegations of fraud involving Minnesota day care providers, sparked by a viral social media video and prompting