AG Jackson and Department of Health and Human Services Secretary Dev Sangvai responded to reports that the federal government may be freezing childcare funding to all 50 states. At this time, North Carolina has not received official notice from the federal government about this action. 

The Child Care and Development Fund (CCDF) is a federal grant program administered by the U.S. Department of Health and Human Services. It helps low-income families pay for childcare so parents can work or attend school. States use the funds to reimburse childcare providers, subsidize care costs for eligible families, and ensure basic safety and quality standards. North Carolina issues subsidy payments to childcare providers after attendance is submitted, therefore the HHS notification sent on Monday, Jan. 5, 2026, does not apply to North Carolina. 

“If fraud is discovered here, we will pursue it aggressively and make sure those responsible face consequences. That’s what our fraud prosecutors do every day. When people steal taxpayer money, they’re stealing from kids and families. We have zero tolerance for it, and we’ll use every tool we have to stop it. The North Carolina Department of Health and Human Services has been a reliable partner in past efforts to uncover and stop fraud, and that partnership has helped us save taxpayers millions of dollars.” – AG Jackson