H.R. 4418 creates a comprehensive federal child care assistance program running from 2026 through 2031, establishing both a new entitlement program providing subsidies to eligible families and a universal preschool initiative for children ages 3-4. The entitlement program covers child care costs for children under age 6 from families earning up to 85% of state median income, with the federal government covering 90% of direct service costs and capping family copayments at 0-7% of income; states must also ensure provider wages match or exceed elementary teacher pay and prioritize access for low-income families, infants and toddlers, children with disabilities, and underserved populations. The universal preschool component requires participating states to offer free, high-quality preschool for all 3-4 year-olds, with federal cost-sharing declining from 90% to 60% over the program period, and mandates that preschool teachers hold bachelor's degrees and earn elementary teacher-level salaries. The bill appropriates unlimited funding through 2031 for the entitlement program, plus $20 billion for local grants, $9 billion annually for provider operating grants and workforce support, $4.8 billion for Head Start expansion, and $2.7 billion annually for Head Start staff wages, with additional funding for federal administration and state quality improvement initiatives.
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