Issued by: Ronald Jarrett, Director of Policy and Public Affairs
Policy Focus: Federal Budget Reconciliation
Action Status: Immediate Advocacy Needed
Summary
Congress is advancing H.R. 1, the “One Big Beautiful Bill,” a sweeping budget reconciliation bill that would significantly restructure programs that millions of families and home-based family child care educators rely on every day. The Senate has already passed the bill with a single vote and now heads to the House of Representatives.
This legislation would impose devastating cuts to core public assistance programs and destabilize the early care and education system, particularly for home-based child care educators.
What’s in the Bill
H.R. 1 includes:
- Major funding cuts to:
- Medicaid
- SNAP (Supplemental Nutrition Assistance Program)
- The Affordable Care Act
- Medicare
- Child and adult nutrition programs
- No additional funding for child care or early learning.
- Permanent extension of tax breaks from the 2017 tax law, primarily benefiting the top 1% of earners.
- New, burdensome work and documentation requirements for benefit eligibility that are proven to remove eligible individuals from programs due to paperwork issues or access barriers
Projected Impact
If H.R. 1 becomes law:
- Over 17 million people could lose health insurance.
- SNAP benefits would be reduced for all 40 million current recipients.
- States would be forced to cover 5–15% of the cost of food assistance, which may result in reduced eligibility or benefit amounts.
- Families, immigrants, people with disabilities, and low-income workers—including child care educators—would bear the most significant burden.
- Many eligible individuals would lose benefits due to administrative hurdles, not actual ineligibility.
Why This Matters for Family Child Care
The consequences of H.R. 1 are particularly damaging for home-based child care educators:
- Up to 40% of the early childhood workforce depends on at least one public assistance program.
- Losing Medicaid or SNAP could make it impossible for educators to care for children and remain financially stable.
- Families who lose these supports may no longer be able to afford care or participate in programs like CACFP (Child and Adult Care Food Program).
- Past state-level experiments with work requirements have shown that thousands of eligible people lost coverage due to administrative barriers.
- The bill undermines the essential supports—health, nutrition, and income security—that allow family child care educators to do their work.
Despite claims that it promotes work, H.R. 1 would directly undercut the child care workforce and the families they serve.
What You Can Do Now
NAFCC urges all members and supporters to take immediate action to oppose H.R. 1.
Here’s how:
- Visit the NAFCC Action Center to send a message to your Representative.
- Call your Representative’s office to voice your concerns directly.
- Share your story—how would these cuts affect your program, your livelihood, and the children and families you serve? Email policy@nafcc.org.
- Talk to families and fellow educators to raise awareness about what’s at stake.
- Post publicly using the hashtags #StopHR1 and #NAFCCVoices to amplify the message.
The Bottom Line
H.R. 1 would dismantle public programs that support family child care and working families while increasing tax breaks for the wealthiest households. This is a direct threat to the care infrastructure in this country.
Tell Congress: Vote NO on H.R. 1. Protect child care. Protect our communities.
