Federal Formula Grant Award Summary

The Texas Workforce Commission (TWC) received a $433.6 million Child Care and Development Fund (CCDF) State Matching formula grant from the U.S. Department of Health and Human Services Administration for Children and Families (CFDA 93.596) on October 1, 2025, with a completion date of September 30, 2027. This non-discretionary formula entitlement provides mandatory and matching funds to help low-income families access affordable, quality child care services while enhancing child care quality across the state. The funding supports three-year CCDF plans that establish sliding fee scales for eligibility, designate payment rates, and ensure compliance with the Child Care and Development Block Grant Act requirements, with lead agencies required to conduct public hearings and coordinate services with other federal, state, and local early childhood development programs.

TWC distributed the award to 28 sub-awardees—primarily regional workforce development boards, councils of governments, and workforce solutions entities across Texas—to deliver child care subsidies and development services at the local level. Sub-awards included both Child Care and Development Fund Childcare Local Match (CCM) allocations (awarded October 1, 2025) and Child Care Services Formula Allocation (CCF) funding (awarded August 31, 2025 and August 1, 2025). These sub-grantees provide direct child care financial assistance to eligible low-income families, support child care quality improvement initiatives, automate child care attendance tracking, and coordinate workforce development services with child care assistance to support parent employment and economic self-sufficiency across multiple Texas regions.