pause federal child care funding nationwide until states could prove funds were being “spent legitimately.”
Such a freeze had the potential to send shockwaves through the child care industry.
low wages and thin profit margins, especially for smaller centers and home child care providers.
$969 million per year on publicly funded child care, a subsidy program for low-income parents who are working or in school.
Wente said preventing fraud has been a top priority for ODCY since the agency was created in 2023. But there was an uptick in interest — and accusations — after New Year’s Eve.
“We already had a fraud line. We had a button (on our website) that said ‘report fraud’
We were already working our program integrity cases,” she said.
“But after New Year’s Eve, the volume and the attention to it just drastically changed. People wanted to know what we were doing, how we were doing it…
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