Niagara County Announces Childcare Subsidy Waitlist Due to Insufficient State Funding

Niagara County Legislator Jeff Elder today said the Niagara County Department of Social Services (DSS) has had to implement a childcare assistance waitlist due to the State of New York’s failure to provide sufficient increase childcare funding for the 2025–2026 fiscal year. The county does not receive enough state and federal funding to support all families who now qualify under the state’s expanded eligibility rules and regulatory requirements.

“This is not the outcome we want for our families or our childcare providers,” said Elder.  “Niagara County is committed to supporting working parents, but we cannot fund what the state has expanded without providing the resources to sustain it. We continue to advocate for increased state support so that every family can apply for the childcare assistance they may be eligible to receive.”

According to DSS, in recent years, New York State has significantly broadened eligibility criteria, increased administrative mandates, and required counties to provide 12 months of continuous childcare eligibility for approved cases. However, despite these expansions, the state allocation to counties has not increased. As a result, Niagara County must begin limiting approvals once current funds are fully committed.  Continuing to fund all eligible childcare cases would require more than $3 million in additional county funds in the 2026 budget—an unsustainable increase that would continue to grow due to the mandated 12-month guarantee for approved cases.

Because childcare cases operate on a 12-month approval cycle, the impact will be phased in.  Beginning December 15, 2025, all new childcare subsidy applications and recertifications submitted after this date will be placed on a waitlist.  Current recipients will continue receiving benefits until their 12-month eligibility period ends. Families whose recertification occurs after December 15th will also be placed on the waitlist until additional funding becomes available.  Approximately 80 families recertify each month, meaning the financial impact—and the number of families placed on the waitlist—will increase gradually over the coming year.

“Niagara County acknowledges the hardship this situation creates for working parents, children, and childcare providers,” said DSS Commissioner Meghan Lutz.   “Affordable and reliable childcare is critical to family stability, early childhood development and the strength of the local workforce.”

To remain within its state allocation, the county must reduce its childcare subsidy spending until additional funding becomes available.   As such Niagara County will continue to monitor funding levels weekly and update the public as conditions change and continue advocating to New York State for increased allocations.  In addition, the county will explore potential state waivers, including amending the definition of “low income,” to prioritize the most financially vulnerable families.  The county will try to assist families and providers in identifying community resources and alternative childcare options wherever possible.

Elder said that as the county does its best to address this issue, it is important for families to fully complete the application and recertification process to ensure their case is placed on the wait list if eligible so they can be quickly contacted should funds become available.

“While this funding gap creates real challenges, I am working closely with county partners and pushing the State for a remedy,” said Elder. “I remain committed to finding a solution that protects working families and strengthens our childcare network.”