🧮 The Economics of Universal Childcare - What You Need to Know

Today's Issue: Groundhog Phil's Prediction; The Economics of Universal Childcare; ECE in the News = 1.5 cups of coffee.

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🦫 Phil Says Winter Wins: Punxsutawney Phil saw his shadow this Groundhog Day, meaning six more weeks of winter according to folklore! The beloved rodent made his 140th prediction from Gobbler's Knob in Pennsylvania, where thousands gathered in the early morning cold. Phil's prediction this year came with a special twist - he mentioned America's 250th birthday celebration and even threw a jab at AI, saying "you can't trust AI" when it comes to weather predictions. NOAA says he’s got a 40% success rate. Check out the full story 👉👉 HERE!

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💰 The Economics of Universal Childcare - Breaking Down the Numbers

2026 is shaping up to be a pivotal year for universal childcare in America. From New York's ambitious plans to New Mexico's groundbreaking implementation, states are wrestling with how to make ECE affordable and accessible for all families. But what does "universal childcare" really mean, and can states afford it?

The Big Picture: Universal childcare treats early education like public schools - funded by taxpayers and free at the point of service. New York is considering a $2 billion annual investment for universal 3-K and Pre-K statewide. New Mexico became the first state to offer free childcare regardless of income in November 2025. NYC announced plans to deliver free childcare for 2-year-olds, potentially making New York City the first major American city with truly universal care.

The Crisis: By The Numbers - A Gut Check The childcare affordability crisis is dragging down state economies:

• NYC infant care: $26,000/year average (more than many college tuitions)

• Affordability: Families need $300k+ income to meet the federal 7% standard

• Reality check: NYC's median household income is just $76,000

• Economic impact: NYC lost $23 billion in 2022 alone due to childcare crisis

The Path Forward: Experts emphasize that universal systems work best when they include community childcare centers alongside public schools, invest in the local workforce that powers the sector, and address the complete age spectrum from infants to school-age children. As states watch New Mexico and New York's experiments closely, 2026 may prove whether universal childcare can become a reality nationwide.

💡 Want to dive deeper? Read our full analysis below 👇👇👇

ECE In The News

🏛️ Indiana Finds Emergency Funding for Childcare: The Indiana Senate unanimously passed a bill allowing the state to tap into a $300 million fund to temporarily boost the struggling Child Care Development Fund (CCDF) voucher program. The move comes after the state announced it would issue NO new childcare vouchers through 2026, leaving roughly 33k children on a waitlist. Check out the details HERE.

California's Free Pre-K Success Has an Unintended Consequence: California's expansion of free kindergarten for all 4-year-olds had an unintended consequence - more than 150 childcare centers in LA County closed their doors between 2020 and 2024. A new study found that while families in wealthier neighborhoods flocked to the free public program (148% increase in the wealthiest ZIP codes), enrollment rose just 50% in the poorest areas. The problem? Many childcare centers couldn't pivot to serving younger children due to regulatory hurdles and economics. Centers rely on revenue from 3- and 4-year-olds to offset losses on infant programs. Read the full story HERE.

The Internet is a Playground:

📜 On this Day in History: Duct tape is born when Vesta Stoudt, a factory worker packing WWII munitions, writes, then president, FDR outlining—with drawings—her idea to replace weak paper packing tape with a tougher waterproof cloth version. Impressed, FDR pushed her idea into production. The rest is history as we use it to fix, well, just about everything. 🧑🏽‍🏭

🌿 That’s cool: A map of Spain’s flora and fauna. 

🛌 Awww: Wish we can all sleep like this guy.

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