Early care and education

The law changes how subsidized preschool slots, reimbursements, staff training, and family daycare operations are managed. It also extends work on a statewide childcare payment-rate system.

What the law does ​

• Lets state preschool providers claim reimbursement for excused absences related to a child’s suspension or expulsion.
• Gives California Department of Education guidance on preschool eligibility, ongoing eligibility, and enrollment the force of regulations until formal rules are adopted.
• Sets income-ranked enrollment as the final priority for otherwise eligible children and preserves a 24-month eligibility period for full-day preschool families.
• Expands reimbursable staff-training topics, allows full or partial training days, and treats closure for training as an operating day.
• Requires contractors by January 1, 2027, to pay family childcare providers without deducting family fees while still collecting those fees.
• Temporarily requires health-and-safety training for one director or teacher per daycare center, rather than all childcare staff, before the broader requirement resumes October 1, 2027.
• Requires at least one family daycare licensee to be present and ends mandatory reports to the state of a licensee’s temporary absence.
• Extends quarterly reporting on the new childcare reimbursement methodology through July 1, 2028, and specifies intended rate categories, including age-based and inclusion rates.
• Reappropriates up to $1 million through June 30, 2027, for children’s-camp safety and regulation.

Who it affects ​

• Children and families seeking or receiving subsidized California State Preschool Program services.
• State preschool contractors, family childcare home education networks, and licensed family childcare providers.
• Daycare-center staff, directors, family daycare licensees, and substitute adults.
• California Department of Education and California Department of Social Services.

Context ​

The act takes effect immediately as a budget-related measure.

Breakdown ​

Preschool Reimbursement for Absences ​

The bill expands which excused absences count as attendance when California state preschool programs are reimbursed. Absences related to a child's expulsion or suspension can count, not only absences during an appeal of an expulsion or suspension.

Key takeaways

• California state preschool reimbursement can continue to treat certain excused absences as attendance.
• The bill adds excused absences related to expulsion or suspension to the definition of attendance.
• Previously, the definition covered excused absences while an expulsion or suspension appeal was pending.
• The change applies to reimbursement for both part-day and full-day state preschool programs.

Preschool Eligibility and Enrollment Priorities ​

The bill lets the Department of Education put preschool eligibility and enrollment rules into effect through management bulletins or similar instructions before formal regulations are adopted. Those instructions will have the same legal effect as regulations in the meantime. The bill also changes the last enrollment priority so that any eligible child is enrolled based on income ranking order.

Key takeaways

• The Department of Education may implement and clarify preschool eligibility, ongoing income eligibility, and certain enrollment rules through management bulletins or similar instructions before completing formal rulemaking.
• These temporary instructions have the same force and effect as regulations until formal regulations are adopted.
• The bill covers rules for families whose income eligibility remains in effect after a child enrolls, even if the family’s income later changes.
• The bill also covers enrollment authority for certain preschool providers serving areas with high numbers of low-income students, foster youth, or English learners.
• The final enrollment priority is changed to enroll any eligible child in income ranking order.

Preschool Staff Training Days ​

The bill expands how California State Preschool Program training days may be used and allows them to be scheduled as full or partial days. Training held during regular operating hours when children are not present counts toward the program’s required operating days. It also sets payment and training-access rules for eligible family child care home providers who use these days.

Key takeaways

• Programs may use up to five state-funded training days for additional purposes, including meeting certain staff professional development requirements.
• Training days may be scheduled as full days or partial days.
• A training day held during regular hours without children attending counts as an operating day for meeting minimum program-day requirements.
• Eligible family child care home providers using training days must be paid based on the maximum certified hours of care for the training time.
• Eligible family child care home providers may use full or partial training days to attend network training or training offered through the Joint Child Care Providers United–State of California Training Partnership Fund.

Preschool Provider Payments ​

By January 1, 2027, contractors must pay family childcare providers the full amount for California State Preschool Program services without subtracting family fees. Contractors must still collect required family fees from families.

Key takeaways

• The change applies specifically to family childcare providers serving the California State Preschool Program.
• Contractors must stop deducting family fees from payments to those providers by January 1, 2027.
• Families may still be required to pay family fees under the applicable rules.
• Contractors remain responsible for collecting those family fees.

Daycare Safety Training and Coverage ​

The bill temporarily reduces who must complete required health and safety training in daycare settings. Until October 1, 2027, only one director or teacher at each daycare center and each family daycare home licensee who provides care must complete the training; after that date, the broader training requirement returns. The bill also changes family daycare staffing rules by requiring at least one licensee to be present and ending required reports to the state about a licensee's temporary absence.

Key takeaways

• Until October 1, 2027, a daycare center needs only one director or teacher to complete the required health and safety training.
• Until October 1, 2027, each family daycare home licensee who provides care must complete the required health and safety training.
• Starting October 1, 2027, the prior requirement for all childcare staff, family daycare licensees, and substitute adults to complete the training returns.
• A family daycare home must have at least one licensee present, rather than requiring a particular licensee to be present.
• A substitute adult must be arranged when a licensee is temporarily absent while children are present in the family daycare home.
• Family daycare homes no longer must report a licensee's temporary absence to the State Department of Social Services.

Child Care Reimbursement Rates ​

AB 190 extends quarterly state reporting on the new child care reimbursement rates through July 1, 2028. It also directs the July 2027 report to examine adding monthly cost-of-care-plus amounts to existing alternative payment program contracts. The bill further clarifies the Legislature’s intended age groups, inclusion payments, and cost factors for the alternative rate-setting method.

Key takeaways

• The State Department of Social Services must continue quarterly updates on the alternative child care reimbursement rates until July 1, 2028.
• The July 2027 quarterly report must address considerations for adding monthly cost-of-care-plus amounts to existing reimbursement rates in alternative payment program contracts.
• The bill specifies the child age groupings that the Legislature intends the alternative rate structure to use.
• The bill states that the Legislature intends enhanced inclusion rates to be paid as a per-child amount.
• The bill states that the Legislature intends the alternative rate-setting method to rely on a cost study and cost estimation model that considers specified costs.

Children’s Camp Safety Funding ​

The bill reappropriates $1 million from funds provided in the 2025 Budget Act for work on the safety and regulation of children’s camps. It also allows the reappropriated money to be committed for use through June 30, 2027.

Key takeaways

• The bill makes $1 million available again for activities involving children’s camp safety and regulation.
• The funding comes from appropriations made by the 2025 Budget Act for social services.
• State agencies may encumber, or commit, the reappropriated funds through June 30, 2027.