Safeguarding Taxpayer Dollars in Child Care Act of 2026
- Bill Number
- H.R. 7723
- Origin Chamber
- House
- Congress
- 119th Congress, Session 2
- Policy Area
- Families
- Status
- Introduced
- Latest Action
- 2026-04-06: Placed on the Union Calendar, Calendar No. 509.
- Last Updated
- 2026-06-11T23:41:32Z
AI-Generated Summary
Purpose
The Safeguarding Taxpayer Dollars in Child Care Act of 2026 (H.R. 7723) aims to prevent fraud in federal child care programs by permanently barring providers who commit fraud from receiving funding. It targets two key programs: the Child Care and Development Block Grant (CCDBG) program and the Child and Adult Care Food Program (CACFP).
Key Provisions
- Amendments to CCDBG (42 U.S.C. 9858g(b)):
- Requires the Secretary of Health and Human Services (HHS) to investigate fraud related to CCDBG financial assistance.
- Mandates permanent debarment (exclusion from funding) for providers with a final determination of fraud, defined as a settled administrative or court decision (after appeals are exhausted or waived) involving:
- Knowingly submitting false statements or documents.
- Misrepresenting ownership, enrollment, attendance, services, or eligibility.
- Operating without required state licensing (or an exception).
- Making improper expenditures.
- Other fraud under federal or state law.
- Automatically debars CCDBG providers previously barred from CACFP.
- Amendments to CACFP (42 U.S.C. 1766(d)(5)):
- Requires permanent debarment for institutions, family, or group day care homes terminated due to a final determination of fraud, similarly defined as settled decisions involving false statements, misrepresentations, improper expenditures, or other fraud.
- Automatically debars CACFP providers previously barred from CCDBG.
Significant Changes to Existing Law
- Introduces permanent debarment specifically for fraud in both programs, which was not previously mandated.
- Creates cross-debarment between CCDBG and CACFP, ensuring providers barred from one program are excluded from the other.
- Adds explicit HHS investigation duties for CCDBG fraud and standardized definitions of "final determination of fraud" to ensure consistency.
Potential Impacts
- Government agencies: Increases HHS workload for investigations and enforcement; protects federal funds (taxpayer dollars) from fraudulent claims, potentially saving money.
- Citizens: Enhances program integrity, ensuring funds support legitimate child care for low-income families; fraudulent providers are removed, improving access for honest ones.
- No direct impact on international relations.
Main Stakeholders Affected
- Child care providers (institutions, family/group day care homes): Face permanent exclusion for fraud, affecting their ability to receive federal subsidies.
- HHS Secretary and state agencies: Responsible for investigations, debarments, and program administration.
- Families and children: Benefit indirectly from fraud prevention and reliable child care services.
- Taxpayers: Protected from misuse of public funds in these programs.
Notable Legal, Constitutional, or Political Implications
- Legal: Emphasizes due process by requiring "final determinations" only after appeals are exhausted, reducing challenges to debarments. Aligns with existing federal fraud standards without creating new crimes.
- Constitutional: No apparent issues; debarment is an administrative sanction, not a criminal penalty.
- Political: Strengthens accountability in child care funding amid concerns over waste, potentially appealing to fiscal conservatives while supporting child welfare programs.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (1)
Recent Actions
- 2026-04-06: Placed on the Union Calendar, Calendar No. 509.
- 2026-04-06: Reported (Amended) by the Committee on Education and Workforce. H. Rept. 119-589.
- 2026-04-06: Reported (Amended) by the Committee on Education and Workforce. H. Rept. 119-589.
- 2026-03-05: Ordered to be Reported (Amended) by the Yeas and Nays: 20 - 15.
- 2026-03-05: Committee Consideration and Mark-up Session Held
- 2026-02-26: Referred to the House Committee on Education and Workforce.
- 2026-02-26: Introduced in House
- 2026-02-26: Introduced in House
Bill Versions
- Safeguarding Taxpayer Dollars in Child Care Act — issued 2026-02-26 — PDF (6 pages)
- Safeguarding Taxpayer Dollars in Child Care Act of 2026 — issued 2026-04-06 — PDF (8 pages)