The New Jersey Business and Industry Association (NJBIA) has expressed support for legislation that would require the state Division of Family Services to keep a waiting list of lower income working parents who qualify for childcare subsidies but are unable to receive assistance due to limited funding.
The New Jersey Child Care Assistance Program (CCAP), funded by the federal Child Care and Development Fund, provides help to eligible parents for childcare or afterschool care for children under 13. To qualify, parents must work at least 30 hours per week, be enrolled in school with at least 12 credits, or participate in job training for 20 hours or more. The subsidy is paid directly to approved childcare providers, while parents pay a co-pay.
Althea D. Ford, NJBIA’s Vice President of Government Affairs, emphasized the importance of understanding how many lower income parents need CCAP subsidies in order to return to work but cannot access them. “The Child Care Assistances Program funding freeze that occurred in August 2025 created significant challenges for working families who rely on the program to subsidize childcare costs,” Ford said. “With no clear direction on how long the freeze would last or whether it would be permanent, working families were left with no information and support.
“An additional challenge created by this freeze was the lack of knowledge about the full scope of need. While no new children could be added to the program, there was no mechanism set up to ascertain how many parents were relying on this program to return to work, and with it not available, how the workforce could be impacted.”
In November 2025, the Department of Human Services announced that new CCAP applications would reopen for a limited number of slots reserved for priority groups such as homeless families, children with special needs, and very low-income households. As of January 2026, applications are being accepted again; however, availability remains limited and there has been no increase in funding for fiscal year 2026.
The Assembly Aging and Human Services Committee amended and released bill A-2247—sponsored by Assemblywoman Shanique Speight—to require that presumptively eligible parents whose applications cannot be processed due to funding shortfalls are placed on a waiting list and notified when funds become available.
The proposed law also calls for an annual report detailing application numbers received; how many working parents were approved; and how many were eligible but put on a waiting list. Amendments require further reporting on average processing times; average waitlist duration; geographic distribution by county; as well as total number and ages of children represented in applications.
“With this bill, the state can obtain more information about how funding freezes impact working families, our state’s workforce and the economy and can make more informed decisions about how to prioritize its resources to support working families,” Ford said.
NJBIA serves as one of the largest statewide employer associations in the country representing private-sector employers throughout New Jersey across various industries (official website). The association aims to advance competitive excellence among its members while providing advocacy services and practical information (official website). Michele Siekerka is president and chief executive officer (official website).
