Governor announces $200M to expand child care affordability

Today Indiana Governor Mike Braun announced an investment of $200 million to expand affordable child care.

News release from the Indiana Governor Mike Braun’s office:

Governor Braun Announces $200 Million Investment to Expand Child Care Affordability and Reduce Waitlists

Indianapolis, Indiana (April 14, 2026) – Today Indiana Governor Mike Braun announced an investment of $200 million to expand affordable child care. This week the State Budget Committee will review the Governor’s bold decision to augment an additional $200 million into the Financial Responsibility and Opportunity Growth (FROG) Fund to expand access to Child Care and Development Fund (CCDF) vouchers.

“Indiana’s child care voucher system is more than a support program — it’s an economic engine,” said Governor Mike Braun. “When parents have access to reliable, affordable child care, they can pursue better jobs, gain new skills, and build stronger futures. And this investment isn’t just for one year. It marks the start of a sustained commitment to keeping care affordable and giving families long-term confidence that the support they count on will remain in place. This investment strengthens our workforce while expanding opportunity for families.”

With this funding, the state will resume enrolling CCDF voucher-eligible children and increase the number of CCDF enrollments by 14,000 to a projected level of 57,000.

Rollout of this investment will prioritize enrollment of siblings of current voucher holders, infants, toddlers, and 3-, 4-, and 5-year olds. Additionally, a set of exemptions is created for children of foster and kinship families, children with special needs, homeless children, children of child care workers, and children of Ivy Tech students.

Indiana’s child care system reached a breaking point in late 2024 when temporary federal COVID‑19 relief funding expired, putting care for more than 55,000 children in jeopardy and creating serious challenges for families, providers, and employers. The previous administration had expanded CCDF enrollment using one-time funds without a long‑term plan, preparing to remove children from the program as the funding cliff neared.

When Governor Mike Braun took office in January 2025, he rejected that course of action. Instead, he partnered with the General Assembly to secure $147 million in new state funding—then the largest single child care investment in state history—ensuring every currently enrolled child could maintain access to care and preventing mass disenrollment.

To ensure every taxpayer dollar is protected, at Governor Braun’s direction, the Family and Social Services Administration has implemented robust, ongoing anti‑fraud safeguards—including a significant increase in site visits and enhanced provider oversight.

These efforts underscore Governor Braun’s commitment to not only making child care more affordable for Hoosier families, but also to maintaining a secure, transparent, and accountable system—so public resources support high‑quality care, not fraud.

“Every voucher is a commitment to a working family. This investment allows us to reopen access after 15 months of frozen admissions, address the most urgent needs, and put Indiana on a sustainable path forward.” – Office of Early Childhood and Out of School Learning Director Adam Alson

“Such a significant investment in Indiana’s Child Care and Development Fund is tremendous news for working families and the state’s economy because no parent should have to choose between a paycheck and safe, reliable childcare. This is also welcome action for Hoosier businesses as childcare-related employee turnover and absenteeism costs employers over $3 billion annually. We look forward to partnering with the Governor and General Assembly on a sustainable funding model that keeps more Hoosiers in the workforce.” – Indiana Chamber of Commerce President and CEO Vanessa Green Sinders

“This FROG Fund investment is great news for Indiana and for the small businesses we represent. Affordable, reliable child care keeps parents in the workforce, and that stability is essential for employers. This commitment strengthens families, supports our workforce, and helps small businesses grow.” – National Federation of Independent Business​​​​ Indiana State Director Natalie Carroll

“The IMA supports the Braun administration’s request for an allocation of $200M from the Financial Responsibility and Opportunity Grown fund for CCDF vouchers. Increasing access to affordable child care directly benefits Indiana’s workforce by allowing employees to maintain regular work schedules and seek new education and training opportunities.” – Indiana Manufacturers Association President and CEO Andrew Berger

“We see every day how hard it is for parents to work when they can’t find or afford care. These new vouchers will make a real difference for thousands of families.” – VIP Kinder College Owner Abby Noblitt

“Every child deserves a start in life that sparks their curiosity and nurtures their potential. This commitment to stable, affordable child care is about more than just business; it’s about ensuring every child has the strong foundation they need to thrive. It gives providers like me the confidence to hire the best educators and expand our reach, ensuring that the high-quality early learning experiences that shape a child’s future are available to every single Hoosier family.” – Co-Founder and Operations Manager at Winamac Early Learning Academy Amy Swails

 

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