Subsidized Care in CA Updates for 2026-27
As the early learning and care landscape continues to evolve, staying ahead of legislative shifts is essential to protecting your programs and empowering the communities you serve.
The 2026–27 fiscal year introduces significant statutory updates and operational directives designed to impact subsidized early learning across California. To help you navigate these updates with clarity and confidence, we have synthesized the latest legislative changes into a comprehensive guide, linked below.
Key Policy & Operational Highlights
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Preschool & Funding Reforms: Proposition 98 funding shifts for CBO-operated CSPPs are now active, and the permanent end of hold-harmless transitions reimbursement fully to enrollment-based models.
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Rate Structure & Quality Investments: Cost of Care Plus rates have replaced traditional COLAs for 2026–27, delivering an average 16.39% rate boost. Additionally, paid professional development days for CSPP staff expand from two days to five.
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Streamlined Eligibility & Access: New rules expand categorical eligibility to children of LEA employees, collapse lower enrollment priorities, add CalWORKs activities as a full-day need, and remove mid-term income reporting requirements during 24-month certifications.
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Health, Safety & Facilities Requirements: Comprehensive 72-hour disaster plans, updated health and safety training cadences, and expanded paid pregnancy disability leave for LEA staff are now in effect. Initial roll-out of health and safety training for all staff is delayed until October of 2027.
Read the Full 2026–27 ECE Legislative Overview & Action Guide Here.