California State Assembly Democratic Caucus

03/24/2026 | Press release | Distributed by Public on 03/24/2026 13:49

Aguiar-Curry Unveils True Cost of Child Care Act to Improve Affordability and Accountability

Supporters say AB 1981 will help families, providers, and the economy by ensuring fair childcare reimbursement rates

For immediate release:
Tuesday, March 24, 2026

(SACRAMENTO, CA) - Assembly Majority Leader Cecilia Aguiar-Curry announced Assembly Bill 1981 (AB 1981)-the True Cost of Child Care Act-at a press conference joined by childcare advocates, providers, and labor partners. The legislation aims to ensure accountability and transparency in implementing fair childcare reimbursement rates across California.

"Childcare is essential to our workforce and economy, yet too many families are struggling to afford it while providers are underpaid," said Assembly Majority Leader Cecilia Aguiar-Curry (D-Winters). "AB 1981 creates a clear path forward to make sure reimbursement rates reflect the true cost of care, so our families can access the care they need and providers are fairly compensated."

Across California, many families spend 20-30 percent of their income on childcare-far exceeding the federal affordability benchmark of 7 percent. At the same time, childcare providers-98 percent of whom are women and over 70 percent women of color-often earn less than $16 per hour without benefits. This imbalance has contributed to workforce shortages and limited access to care for working families. AB 1981 addresses these challenges by requiring the California Department of Social Services to submit a clear timeline to the legislature for implementing childcare reimbursement rates that reflect the true cost of care. The bill also requires regular updates to ensure accountability, transparency, and measurable progress.

Aguiar-Curry was joined at the press conference by representatives from Child Care Providers United, United Domestic Workers, Service Employees International Union, and Parent Voices, who voiced strong support for the measure and highlighted the real-life impacts of unaffordable childcare. Childcare advocates emphasized the urgent need for reform and the broader economic stakes. Supporters noted that without affordable and accessible childcare, parents are forced out of the workforce, businesses struggle to retain employees, and providers are unable to sustain their operations.

"As a young girl I watched as my mother and fellow providers fought for basic rights and recognition as providers-and today I carry the torch on her behalf, and on behalf of the more than 40,000 providers across the state. I am grateful to Assemblymember Aguiar-Curry for truly listening to providers and fighting to ensure our pay reflects the full cost of providing care for California's working families. My community needs me to keep my doors open, and I need to pay the bills. AB 1981 is a critical step toward making that possible," said Miren Algorri, a family childcare provider from San Diego County.

"Being a childcare provider means living in constant fear that an unexpected expense will shut down our businesses and leave the families who count on us scrambling," said Nancy Harvey, a family childcare provider from Oakland. "AB 1981 by Assemblymember Aguiar-Curry demands California finally recognize the true value of childcare by paying us a living wage that will allow us to keep our doors open through the ups and downs of owning and operating our businesses."

"Systemic racism, sexism, and devaluation of care work have left childcare providers with empty pockets and empty plates on our family dining tables for far too long. Without access to quality, affordable childcare, thousands of providers and working-class parents are at risk of losing their jobs. Assemblymember Aguiar-Curry is fighting for providers with AB 1981, the True Cost of Care Act, to ensure we can keep our doors open and make a livable wage. With the support of this decades-long childcare champion and providers united in this fight, we know we'll win," said Sylvia Hernandez, a family childcare provider in Van Nuys.

By establishing a transparent and accountable framework for setting reimbursement rates, AB 1981 will create a more equitable childcare system that supports providers, expands access for families, and promotes long-term economic stability across the state. "AB 1981 brings transparency to the process, holds the state accountable, and keeps the focus where it belongs-on getting to a system that reflects the true cost of care," concludes Aguiar-Curry. "Because we've already made that promise. This bill just makes sure we keep it."

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Assemblymember Cecilia Aguiar-Curry represents California's 4th Assembly District, which includes all of Lake, Colusa, Napa, and Yolo Counties, and part of Sonoma County. She serves as the Assembly Majority Leader and Chair of the California Women's Legislative Caucus.

California State Assembly Democratic Caucus published this content on March 24, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on March 24, 2026 at 19:49 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]