Early Edge Updates
Governor’s May Revise Preserves Early Learning Gains but Misses Opportunity to Strengthen Child Care
May 14, 2026 | For Immediate Release
May 14, 2026
For Immediate Release
SACRAMENTO, CA – With Governor Newsom’s announcement of his May Revise, Early Edge California recognizes the challenges his Administration has navigated in facing a potential deficit. California, like many other states, is experiencing the impact of H.R. 1 and the federal budget cuts to programs and services that are vital to families. We appreciate the Governor’s efforts to increase revenue and stabilize the State’s budget for this budget year and future years.
During Governor Newsom’s time in office, he has been a champion for issues impacting young children, their families, and the workforce through the historic expansion of Universal Transitional Kindergarten (UTK) and with the landmark agreement with home-based provider union Child Care Providers United. While we thank Governor Newsom for his strong commitment to Early Learning and Care (ELC) and the continued investments in UTK, we are concerned with the omission of the plan to fulfill the State’s promise of funding an additional 44,000 slots for our youngest learners, the lack of dedicated funding for implementing alternative methodology that reflects the true cost of care to ensure child care providers are paid a fair and just wage, and the rollback of child care cost-of-living adjustments (COLA).
Today, families and providers across California are facing persistently high costs of housing, gas, and food. Access to high-quality child care is crucial for the economic stability of families, yet the providers who make that care possible are left behind. Child care providers deserve a fair and just wage for the essential and critical role they play. Access to affordable child care is an issue that impacts all Californians. When child care programs are sustainable, the workforce is stronger, businesses grow, and our economy prospers.
Some key takeaways from the Governor’s proposed May Revise for 2026-27 related to investments in ELC include:
Transitional Kindergarten and State Preschool
- Paid Pregnancy Leave: All TK-12 local educational agencies (LEAs) and community colleges must provide all employees with up to 14 weeks of paid pregnancy disability leave beginning in 2026-27. This affects all TK and school-based state preschool programs (CSPP), but does not include community-based state preschool programs.
- School Leadership Academy: $15 million for the 21st Century California School Leadership Academy (21CSLA) program, to prepare school leaders to improve student outcomes and implement initiatives like universal transitional kindergarten.
- Discretionary Block Grant: $5 billion (up $2.8 billion from January) of one-time Proposition 98 for the Student Support and Professional Development Discretionary Block Grant, which includes literacy support for English Learners and developmentally appropriate instruction for TK.
- Reduction of COLA for CSPP: Reduces the cost-of-living adjustment for the CA State Preschool Program from 2.41 percent (from January) to 2.01 percent, aligning with other child care and development programs.
Child Care
- Reduction of Child Care COLA: A 30-percent reduction to the revised 2026-27 child care cost-of-living adjustment, resulting in a 2.01 percent COLA for DSS administered child care programs.
- Wildfire Recovery: Maintains a one time $11.8 million investment (up $308,000 from January) in child care infrastructure for communities impacted by recent wildfires.
It is not too late to prioritize families, young children, and providers. The Governor and Legislature can do this by funding additional child care slots and by adopting the alternative methodology to implement true cost of care reform for our providers, which can be done by passing Assembly Bill 1981 (Aguiar-Curry). While we applaud the requirement of paid pregnancy leave for school district and community college employees, we believe this benefit must be extended to the entire ELC workforce to ensure equity across all early learning settings. We will continue to work with the Administration and the Legislature in urging them to fulfill the promise of funding additional child care slots and restoring COLA before the budget is finalized.
Early Edge California advocates for accessible, high-quality early learning and care, with a focus on the earliest years. Through targeted advocacy and policy development, we champion nurturing environments for children and promote the professional growth of teachers and trusted caregivers, establishing a foundation for community resilience and economic mobility.
