Governor Kathy Hochul has unveiled a major new investment aimed at addressing New York’s ongoing child care shortage. The state is launching a $100 million Child Care Capital Construction Funding Program, an effort designed to expand high-quality child care options, create thousands of new seats, and support families struggling to find reliable care.
The initiative continues what the administration describes as a historic commitment to affordability and access. The program will fund the construction, expansion, and renovation of child care centers and school-age care facilities across the state. It is expected to add 6,000 to 10,000 new child care seats, easing pressure on providers and offering families more stability.
Governor Hochul emphasized the urgency of the investment as the state works to strengthen its workforce and support working parents.
“I deeply understand how important it is for New York State to continue to address the critical child care shortage that makes it difficult for families to find the safe, quality child care services they need,” Hochul said. “Our construction grants will go a long way to increase the availability of quality child care statewide. Affordable, high-quality child care is a necessity that I want to see extended to all New York families.”
Since taking office, Governor Hochul has directed more than $8 billion toward child care, creating a multi-pronged strategy that includes workforce support, provider reimbursement increases, regulatory modernization, tax incentives for employers, and expanded access through the Child Care Assistance Program (CCAP). That program alone has helped make affordable care available to 170,000 children, with most families paying no more than $15 per week.
The new construction fund expands upon a $50 million Child Care Capital Program launched in 2024, which supported roughly 5,500 new child care seats. The 2026 initiative doubles that investment and extends its reach to communities with pressing shortages.
The funding—administered by the Dormitory Authority of the State of New York (DASNY) and overseen by the Office of Children and Family Services (OCFS)—will support design, construction, renovation, equipment purchases, and other capital expenses.
Eligible applicants include:
Facilities must commit to operating as child care centers for at least eight years and must be located in areas currently facing shortages.
Applications will open February 2, 2026, and close March 13, 2026, with awards expected no earlier than May 4, 2026. Individual grants will range between $500,000 and $5 million.
To encourage statewide equity, 60% of funding will go to downstate—New York City, Long Island, and the Mid-Hudson Region—while 40% will support upstate and other regions. Each region will allocate 40% of grants to school-age programs and 60% to child care centers.
OCFS Commissioner Dr. DaMia Harris-Madden underscored the long-term benefits of the initiative.
“OCFS is proud to work with Governor Hochul and the Dormitory Authority to implement this significant new initiative that will greatly increase the availability of quality child care throughout New York State. This program is a key part of the Governor’s historic effort to provide New York families with affordable, accessible, and quality child care that enables children to be well-cared for and nurtured while their parents are at work or furthering their education.”
Assemblymember Andrew Hevesi said the scale of the investment reflects what families and providers have been asking for.
“This investment is exactly the kind of long-term, structural support New York needs to expand access to safe, high-quality, affordable child care and ensure that our providers are fully equipped. By helping build and grow facilities in communities with the greatest need, we can create thousands of new seats for families and ensure that caregivers have the tools to deliver the care children deserve. I’m grateful to Governor Hochul and Speaker Heastie for continuing to prioritize child care and for recognizing the scale of investment required to meet our goals.”
DASNY President Robert J. Rodriguez noted the role of infrastructure in community resilience.
“Access to quality, affordable childcare is essential for New York families and communities to thrive. DASNY is proud to administer the Child Care Capital Construction Funding Program and help transform Governor Hochul's vision into reality. This program reflects the Governor's unwavering commitment to supporting working families and building the infrastructure that makes our communities stronger.”
The effort aligns with New York’s broader agenda to support families, stabilize the child care workforce, and ensure economic mobility. The funding is expected to particularly benefit neighborhoods with limited availability of regulated child care—areas where long waitlists and high costs have forced families to make difficult choices about work and education.
With applications set to open in early 2026, providers and municipalities now have several months to prepare proposals that expand capacity and fill service gaps.
Originally reported by Governor Newyork Government.
