California State Budget, Legislature & The Capitol

Announcements From the Governor's Desk

Today is the last day for Governor Newsom to act on all bills. The Governor has until midnight to either sign, veto, or allow a bill to go into effect without his signature. Click here to visit TFC's State Legislation page where you can view all bills TFC has tracked and whether each bill was chaptered, died, or is now a 2-year bill.

Last week, Governor Newsom signed the following bills:

• AB 607 (Rodriguez, Celeste) allows families continue receiving CalWORKs home visiting services for up to a year even if they stop receiving cash aid, and make sure families can stay in the program long enough to finish the home visiting model.
• AB 1318 (Bonta) makes more nonprofits eligible for state funding by recognizing California tax-exempt status—not just federal 501(c)(3) status—when awarding grants and contracts. This change gives nonprofits greater stability and access to resources, even if their federal tax status changes or is revoked.
• SB 582 (Stern) lets healthcare, childcare, and other state-licensed facilities affected by disasters pause their licenses (rather than lose them), simplify reopening rules, and offer relief (like waiving fees) while they recover.
• SB 778 (Limon) makes it easier for migrant farmworker families to qualify for child care by adjusting income rules and allowing simpler ways to prove their work or income, like self-certifying or using a tax return.

The Governor also vetoed the following bills:

• AB 1074 (Patel) would help parents in the CalWORKs program who are trying to reunite with their children by giving them the same financial support as if their kids were still at home, ending penalties tied to immunization rules once a child is removed, and merging welfare-to-work and reunification plans into a joint plan.
• The Governor stated he vetoed this bill due to ongoing costs not accounted for in the 2025 Budget Act. Click here to read the veto message.
• AB 1324 (Sharp-Collins) would require the California Department of Social Services to conduct a feasibility study on expanding the California Work Opportunity and Responsibility to Kids (CalWORKs) program; expands eligibility requirements for CalWORKs; and, prioritizes specified employers to participate in CalWORKs' employment services placements.
• The Governor stated he vetoed this bill due to significant cost pressures not accounted for in the 2025 Budget Act. Click here to read the veto message.

SAVE THE DATE! February 4, 2026 
7th Annual Hybrid "Lifting Up Families" Advocacy Day

Join us and our partners in family services, advocacy, business, and government on February 4, 2026 for the 7th annual "Lifting Up Families" Advocacy Day at the State Capitol and online! Click here to be directed to the 2026 advocacy day webpage for more information.

Interested in joining the advocacy day as a participant or sponsor? Email mckenzie@thrivingfamilies-ca.org.

Important Dates, Deadlines,

Hearings, and Bills

Dates & Deadlines:

• October 13, 2025: Last day for Governor to sign or veto bills passed by the Legislature before Sept. 13 and in the Governors possession on or after Sept. 13.
• Note: The original deadline was October 12th. Due to the Legislature adjourning on September 13th, the Governor will have until midnight on October 13th to take action on legislation.

The Legislature is on recess until January 5, 2026. This is a great time to schedule in-district meetings and site visits. Please let TFC staff know if you would like assistance with reaching out to your representative.

Legislative Resources:

• NEW: See the tentative 2026-27 Legislative Calendar here.
• Visit TFC's Legislation Page to find a comprehensive list of bills of interest.
• Visit TFC's Budget Page for full budget bill details, as well as budget hearing video archive links.
• Click here to view all the bills that the Assembly and Senate introduced this legislative year.
• Click here to view legislative committee information, rules, and position letter deadlines.

Did You Know?

Child Care Q&A's

NOTE: If you have a question you would like answered or researched, please email.

Question: Will child care providers continue to receive the Cost of Care Plus rate beyond 2026?

Answer: Yes. The once per month cost of care plus rate per child served and enrolled is permanent for child care centers and family child care providers.

• The new 2025-28 agreement between the Child Care Providers Union and the State of California extends the cost of care plus rate indefinitely.
• SB 120 (Chapter 13, Statutes 2025) allocated funding to extend the cost of care plus rate for center-based and family child care providers until June 30, 2026.
• SB 151 (Chapter 108, Statues 2025) made the cost of care plus payments permanent for both center-based and family child care providers, and increased the cost of care plus rate for both center-based and family child care providers (see below).

Question: Will family child care providers and license-exempt providers receive an increase to the Cost of Care Plus rate?

Answer: Yes. Beginning January 1, 2026, the new cost of care plus rate for family child care providers and license-exempt providers established by SB 120 will be the rates listed below. The rates are per child served and enrolled. This chart can be found here on Page 2.

Question: Center-based providers have already begun receiving cost of care plus payments based on the new rates established in SB 120. Will family child care providers and license-exempt providers receive the same parity for care provided between June 30, 2025 and January 1, 2026 when the new rates take effect?

Answer: Yes. Per SB 151 (Chapter 108, Statues 2025) and the new CCPU agreement, family child care providers and license-exempt providers who were paid based on April 2025 enrollments will receive a one-time "true up" payment to account for the cost of care plus rate increase established in SB 120 (see above) for the payment months of July 1, 2025 through December 30, 2025

Family child care providers who were paid based on April 2025 enrollments shall receive, no later than January 1, 2026, a one-time, per-child payment for each child enrolled in April 2025 based on the rates below. This chart can be found here on Page 1.

Federal Update

Resources on the Federal Shutdown

On Wednesday, October 1, 2026, the federal government shut down after Congress failed to pass a budget for Fiscal Year 2026 by the September 30 deadline. Below are a few resources on what to expect. Visit TFC's website to learn more.

NEW: LAist: Food assistance programs like CalFresh and WIC remain open amid government shutdown — for now

• President Donald Trump’s administration said they would use revenue from tariffs to keep the Special Supplemental Nutrition Program for Women, Infants, and Children, known as WIC, program afloat.
• Sarah Diaz, policy and media coordinator at the California WIC Association, said she expects programs to continue for at least several more weeks.
• The National WIC Association had anticipated the program would have enough funding to remain open for the short term of up to two weeks. California is using leftover funding that hasn’t been spent yet, according to U.S. Rep. Judy Chu’s office.
• CalFresh (known federally as Supplemental Nutrition Assistance Program, or SNAP) is funded through October. Officials say families will continue to get their October benefits, but a long-term shutdown could affect future benefits.

First Five Years Fund: STATE OF PLAY: Federal Shutdown and Child Care/Early Learning Programs

• Child Care and Development Block Grants: States have multiple streams of funding and flexibility in timing for spending funds. In a short shutdown, services are unlikely to be disrupted on a wide scale. 
• Before the shutdown, both the House and Senate passed Appropriations bills with funding proposals for child care and early learning programs, with level funding in the House and a slight funding bump in the Senate.
• With child care specifically, Hill watchers are keeping an eye on whether payments systems continue to operate as they should, the impact furloughed workers will have on services, and the impact other facets of the shutdown could have on families also served by CCDBG and Head Start.  

The Georgetown Center on Poverty and Inequality: Interactive Map - SNAP Changes Will Upend State Budgets

"The Georgetown Center on Poverty and Inequality released an interactive map today showing the massive hits to state budgets from the SNAP changes in the reconciliation megabill.

We find that on average, states will have to spend two to three times more of their budgets on SNAP, with a median increase of about 202 percent, leaving them with fewer resources for other services such as education and health care."

SNAP Changes Will Upend State Budgets - Georgetown Center on Poverty and Inequality

CalNonprofits Webinar - The Big, Ugly Bill: What H.R. 1 Means for Nonprofits

Date: Tuesday, October 21, 2025

Time: 11:00 a.m. – 12:00 p.m. PT via Zoom

Click here to register

"Join us as we unpack the implications of the “One Big Beautiful Bill Act” for nonprofit organizations and help nonprofit leaders understand how H.R. 1’s budget and tax changes intersect with mission-driven work, nonprofit advocacy, and public trust in this critical moment.

We’ll explore:

• Key provisions impacting nonprofits, including changes to charitable tax rules, endowment excise taxes, and unpaid student loan forgiveness
• Shifts in Medicaid, SNAP, and funding for safety-net services that may increase demand for nonprofit programs even as resources tighten
• Why preserving the tax-exempt sector matters, and how new financial measures could affect nonprofits’ fundraising capacity"

Click here to read the most recent weekly federal update from the National Women's Law Center.

Federal Government Update 

Both chambers have left DC for the long weekend without a plan to reopen the federal government. The Senate will return Tuesday to vote for an eighth time on the GOP-led Continuing Resolution (CR). Senate Minority Leader Schumer (D-NY) can still force one more vote on the Democratic stopgap.

Any tweaks to the CR would also require the House to pass a new CR — and Speaker Johnson (R-LA) is dead set on keeping the House out of session as long as it takes to pressure Senate Democrats.

Johnson is sticking to his strategy amid growing pushback from his own members. That includes Rep. Stefanik (R-NY), a member of Johnson’s leadership team, who said the House should come back to pass standalone funding to pay the troops. Active-duty service members are on track to miss their first paychecks of the shutdown on Wednesday (10/15). More: Capitol agenda: No deal as the shutdown marches toward Week Three - POLITICO

As of Friday (10/10), it does not appear that Congress is close to coming to a deal to reopen the government. Not only does this impasse affect the operation of the federal government, but it is also delaying overdue agreement on FY26 appropriations. Federal ECE and other programs are currently operating on the FY24 budget. More: The approps battles won’t get easier after the shutdown - Punchbowl News

We urge Congress to adopt the Senate Democrats' version of the Continuing Resolution, which would lower health care costs by repealing the catastrophic Medicaid cuts and making the enhanced ACA premium tax credits permanent. Importantly, their 30-day continuing resolution includes safeguards to prevent Trump from illegally withholding federal funds from programs like Head Start. More: NWLC Action Fund Endorses Democrats’ Proposal to Fund the Government; Rejects Republicans’ Spending Bill

⇒ Take Action: Tell Congress: Reopen the Government AND Protect People’s Health Care (NWLC)

Protect Head Start & Early Head Start 

Head Start Litigation

Federal Court Halts Trump Administration’s Unlawful Attacks on Head Start Families: In a win for working families, a federal judge has granted a preliminary injunction effectively blocking an exclusionary directive of the U.S. Department of Health and Human Services’ (HHS), which sought to shut out immigrant families from participating in Head Start based on their immigration status for the first time in the program’s history since it was created in 1965. The ruling prevents the HHS directive from going into effect and enjoins the government from implementing or enforcing it against any Head Start agencies, program providers, student or family participants, or other similar persons. More: Federal Court Halts Trump Administration’s Unlawful Attacks on Head Start Families | American Civil Liberties Union 

Importantly, this emergency injunction applies to every state across the country.

We are still awaiting a ruling on the anti-DEIA executive order and RIFs/regional office closures.

• Head Start Funding: Supporting Early Education | Start Early

Executive Actions

• Tracking the Harm of DOGE Cuts | CLASP
• Executive Action Watch | Center on Budget and Policy Priorities
• EducationCounsel - Executive Actions Chart.docx - Google Docs
• Executive Action Spotlight - Protecting Immigrant Families

Take Action

• Child Care Messaging Post-Reconciliation (c3/c4) (Child Care for Every Family Network)
• Find in-person and online events here: CHN/partner events joint calendar
• SRA+SiX TOOLKIT: State Response to Federal Tax Bill
• Tell Congress: Save Head Start for Families (NWLC)
• Messaging Guide for Child Care (c3 version) (c4 version) (Child Care for Every Family Network)
• Interactive Data Dashboard (Center for American Progress)
• Click the link below for a full list of actions under "Federal Update"

What does the federal government shutdown mean for ECE?

From The Century Foundation:
Are you or someone you know affected by the shutdown? Please fill out this form (it can be anonymous). Together, these stories will inform policymakers, alert the public, and strengthen the movement for change.

Government Shutdown

• Real People, Real Pain: The Deadly Cost of Washington’s Cuts - Coalition on Human Needs
• WEBINAR | The Shutdown: What’s Happening, Who’s Affected, and How to End it
• 5 Things to Know About the Government Shutdown - The Century Foundation
• FAQs on Government Shutdowns (CPCC)
• The government is shut down. Here's what that means across the U.S.: NPR
• PolitiFact | Fact-checking political talking points about the 2025 government shutdown
• Understanding the Legal Framework Governing a Shutdown | Center on Budget and Policy Priorities

Impacts on ECE

• What a Government Shutdown Means for Early Childhood Programs | NAEYC
• Together for Head Start: Potential Government Shutdown: What You Need to Know (Webinar) | Start Early
• ISSUE BRIEF: How a Government Shutdown Hurts Kids | First Focus on Children
• How Will a Government Shutdown Affect WIC Benefits? - Food Research & Action Center
• In the U.S. Department of Agriculture Lapse of Funding Plan, it appears USDA has the dollars and a staffing plan for September and October CACFP payments/reimbursements to states. You’ll find CACFP on pages 15 and 16.
• Understanding Federal Government Shutdown Impacts on Tribal Nations - Webinar Resources | NCAI

C4-only Resources (Child Care for Every Family Action)

• Budget Threats + Potential Shut-Down: Partner Resources 
• Talking Points: What’s At Stake with the Budget & Looming Government Shutdown

Most Viewed Bills of the Week:

1.H.R.1 [119th] One Big Beautiful Bill Act

2.H.R.5371 [119th] Continuing Appropriations and Extensions Act, 2026

3.S.2882 [119th] Continuing Appropriations and Extensions and Other Matters Act, 2026

4.H.R.5401 [119th] Pay Our Troops Act of 2026

5.S.Res.412 [119th] An executive resolution authorizing the en bloc consideration in Executive Session of certain nominations on the Executive Calendar.

6.H.R.1968 [119th] Full-Year Continuing Appropriations and Extensions Act, 2025

7.S.2296 [119th] National Defense Authorization Act for Fiscal Year 2026

8.H.Res.353 [119th] Impeaching Donald John Trump, President of the United States, for high crimes and misdemeanors.

9.H.Res.719 [119th] Honoring the life and legacy of Charles “Charlie” James Kirk.

10.S.24 [116th] Government Employee Fair Treatment Act of 2019

R&R Network and Thriving Families CA Foundation 2025 Hybrid Joint Conference

In-Person Conference is THIS WEEK!

Virtual Conference is in 3 Weeks!

Register For the Virtual Portion of the Conference!

Register Online HERE.

Exhibitor and Sponsor Opportunities Still Available for The Virtual Conference!

There are a variety of ways to sponsor The Hybrid Conference or show your support. Whether you are interested in one of our many sponsorship opportunities, purchasing ad space in the Conference program or hosting an exhibit booth to showcase new products or launch promotions, there will be ample opportunity for your company to be recognized as a contributor to the early learning and child care field and for you to build visibility and connect with senior management and key decision makers.

See the Exhibitor and Sponsor Packet Here.

Visit the Conference Webpage for more information as it becomes available.

CDSS & CDE Upcoming Events

CCDD Monthly Contractor Meeting - October 2025 Presentation

The Child Care and Development Division held a Contractor Meeting on Thursday, September 18th, 2025, from 10 am to 11 am.  Below are the presentation slides from the meeting. 


September 2025 Contractor Meeting Presentation PowerPoint Slides

September 2025 Contractor Meeting Presentation Hyperlinks

The next meeting will be on October 23rd, 2025, from 10:00 a.m. to 11:00 a.m. Please use this Zoom link to register for the meeting.

CDSS & CDE Information & Updates

Child Care Bulletin (CCB) 25-21E: ERRATUM TO ALTERNATIVE PAYMENT PROGRAM ADMIN SUPPORT ALLOCATION

The California Department of Social Services (CDSS) Child Care and Development Division (CCDD) has recently posted the following document on its Internet website: Child Care Bulletin (CCB) 25-21E

The purpose of this erratum Child Care Bulletin is to revise communication to provide information to child care and development contractors regarding administrative allocations appropriated in Assembly Bill (AB) 102 for the administration and support costs associated with implementing ongoing provisions of the Memorandum of Understanding with Child Care Providers United.

If you have questions or need additional guidance regarding the information in this letter, please contact the Child Development Fiscal Services inbox at childdevelopmentfiscal@dss.ca.gov

RELEASED September 26, 2025: CCB 25-24 CONTINUATION OF REIMBURSEMENT BASED ON ENROLLMENT AND MAXIMUM AUTHORIZED NEED

The California Department of Social Services (CDSS) Child Care and Development Division (CCDD) has recently published the following document: 

Child Care Bulletin (CCB) 25-24 CONTINUATION OF REIMBURSEMENT BASED ON ENROLLMENT AND MAXIMUM AUTHORIZED NEED

Child Care Bulletin (CCB) 25-23: FISCAL YEAR 2025-26 CHILD CARE AND DEVELOPMENT BUDGET OVERVIEW AND GUIDANCE

The purpose of this Child Care Bulletin (CCB) is to notify counties and child care and development contractors of the continuation of reimbursement based on enrollment and maximum authorized need provisions through June 30th, 2026, pursuant to Senate Bill (SB) 120, (Chapter 13, Statutes of 2025).

Infant and Early Childhood Mental Health Consultation: Family, Friend, or Neighbor Consultation Available!

The California Infant and Early Childhood Mental Health Consultation (IECMHC) Network is offering virtual consultation services at no cost to Family, Friend, or Neighbor (FFN) caregivers across California.

If you care for the children of a family member, friend, or neighbor on a regular basis, then you may participate in FFN Consultation! If you are a service agency administrator, please share this exciting opportunity with FFN caregivers in your community.



Consultation is a service of the IECMHC Network that connects you with an infant and early childhood mental health consultant who supports you over a series of sessions to connect and understand your questions about children’s behavior and development, reflect on your relationship with the child and family, grow your community connections, and care for yourself. 

The FFN Consultation will be provided virtually through a combination of one-on-one and group sessions with an IECMHC Network consultant. Consultation will begin in October 2025 and includes 7 sessions over a 3-month period. Stipends and Connect. Reflect. Grow. Kits will be provided.

Please view the FFN Consultation Flyer for group session dates and more information visit IECMHC Consultation to register.

Join us! Focus group on revisions to the California Preschool Program Guidelines

The California Department of Social Services would like to hear from you! We are seeking focus group participants to provide feedback on revisions to the California Preschool Program Guidelines. We are beginning revisions on the Guidelines to incorporate current research in the field and best practices for supporting culturally diverse children, multilingual children, and children with disabilities.



We invite you—those working with preschool-age children in center-based and home-based early learning and care settings, coaches, and trainers—to share your feedback in virtual focus groups. If you are interested in participating in a focus group about the Preschool Program Guidelines revision, please fill out this short interest form.

RELEASED September 23, 2025: Child Care Bulletin 25-18: All Licensed Providers Displayed on Mychildcareplan.org Website

The California Department of Social Services Child Care and Development Division has recently posted the following document on its website: Child Care Bulletin (CCB) 25-18: All Licensed Providers Displayed on Mychildcareplan.org Website.

The purpose of this CCB is to provide information about recent updates to the MyChildCarePlan.org Consumer Education Website for families seeking child care services. All licensed child care providers statewide are now included in the online directory, regardless of their referral status or affiliation with a local California Resource and Referral program.

Continued Funding Application Office Hours Information

Attention: Executive Directors and Program Directors of California State Preschool Programs  

This is a reminder that contractors holding a current California State Preschool Program (CSPP) contract, and if applicable a Prekindergarten and Family Literacy Support (CPKS) contract, who wish to be considered for continued funding for fiscal year (FY) 2026–27 must submit a Continued Funding Application (CFA).

The FY 2026–27 CFA is due November 14, 2025. Detailed instructions for completing and submitting the FY 2026–27 CFA are posted on the CDE CFA web page.

The Early Education Division (EED) will host Office Hours on the following dates to assist contractors with completing and submitting the CFA. Contractors are encouraged to attend these office hours to ask questions and receive technical assistance, as needed.

September 26, 2025, 10 to 11 a.m. Pacific Daylight Time (PDT)

October 3, 2025, 10 to 11 a.m. PDT

October 10, 2025, 10 to 11 a.m. PDT

Select this link to join any of these Office Hours: https://us02web.zoom.us/j/89078320354

Passcode: 730492

If you have any questions regarding the CFA process, please contact the CFA team by email at CFA@cde.ca.gov. Include your agency’s name, vendor number, and phone number on all inquiries.

STD 204 Form Update for Direct Deposit Transition

Dear Child Care and Development Contractors, 

The California Department of Social Services’ (CDSS) Administration Division, in partnership with the Child Care and Development Division (CCDD), is currently working with Fi$cal, the state’s financial system, to establish a direct payment system from the State of California to CCDD contractors. The new direct deposit State system is expected to be implemented on or after January 1, 2026. The CDSS will be testing functionality in the Fall and will provide more information on how contractors will be impacted. We are committed to ensuring a seamless transition. The direct payment from CDSS to CCDD contractors streamlines the process, ensuring faster, more efficient payments. 

Click Here to Learn More.

October 2025 Monday Morning Update Sponsor

Social Media Spotlight

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We would love for you to tag us in your posts and use the hashtag #TFC2025

On Our Reading List

Information & Updates

Happening This Week, October 13 - 17, 2025:

Tuesday, October 14th:

• TFC Foundation Weekly Member Connections Meeting @ 1:00 p.m. Email to register.
• TFC Foundation Board Meeting @ 2:00pm

Wednesday, October 15th:

• R&R Network and Thriving Families CA In-Person Joint Conference 

Thursday, October 16th:

• R&R Network and Thriving Families CA In-Person Joint Conference 

Friday, October 17th:

• R&R Network and Thriving Families CA In-Person Joint Conference 

Thriving Families CA Foundation is committed to supporting our field with a coordinated calendar. Click here to see our current calendar of events. If you have an event to add, email us and it will be added.

The Weekly Good

An uplifting way to start the week, for those of us who need a break from the chaos that is our lives.

During this time where we are all stressed, it would be great to celebrate the positive. Each week we will celebrate everyday heroes, inspiring movements and great things happening in our field.