Stop Child Care Scams Act of 2026
Key claim: HR7726 would make it mandatory for the Office of ACF to impose sanctions—including disqualification from funding—on states that substantially fail to comply with Child Care and Development Block Grant requirements, replacing the current discretionary authority.
Abstract
(HR7726 · 119th Congress) No Funds for Repeat Child Care Violations Act of 2026 This bill subjects states to additional sanctions for improperly using funds under the Child Care and Development Block Grant program. The program provides grants to states to support child care programs for low-income working families. Specifically, if the Office of the Administration for Children and Families (ACF) finds that a state has failed to comply substantially with the requirements of the program, the ACF must impose additional sanctions, which include disqualifying the state from receiving funds under the program. Under current law, the ACF is permitted, but not required, to take such actions for a state’s noncompliance. Latest action (2026-06-04): Received in the Senate and Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
Why this matters
The bill shifts CCDBG oversight from discretionary to mandatory enforcement, meaning ACF would be required—not merely permitted—to sanction and potentially defund noncompliant states. This changes the risk calculus for state child care agencies and could affect continuity of subsidies for families and providers if a state falls out of compliance, while adding a compliance-enforcement lens to the broader child care policy debate already reflected in modernization and expansion proposals.