Just days before the start of the 2026-2027 school year, Mayor Zohran Mamdani and New York Public Schools Chancellor Kamar Samuels announced a plan to streamline back payments to child care programs, mobilizing additional staff and $43 million in funding.
As part of the response, the Mayor’s Office will almost triple the number of employees responsible for finalizing early childhood education contracts. It will also help distribute essential supplies to daycares, facilitate access to interest-free bridge loans, and restore some full-time positions in the Department of Education’s Early Childhood Education Division.
The loans, according to municipal officials, will be processed within five business days of submitting the application.
The announcement came after a City & State report published last week revealed significant delays in contract payments to Pre-K and 3-K programs. The situation led some centers to use their own funds or request loans to be able to open their doors on September 10, the date scheduled for the start of the new school year.
Mamdani assured that his administration is working so that programs throughout the city can start operating on time.
“We are putting every resource available to pay providers, open classrooms and make sure families receive the care they were promised,” Mamdani said. “And we are changing this system so that providers never have to bear the cost of city bureaucracy again.”
Universal child care was one of Mamdani’s main campaign commitments. Since taking office, the mayor has moved quickly with his plans to expand free access to child care for more three-year-olds and, with the support of Governor Kathy Hochul, create the city’s first 2-K programs.
Mamdani has also promoted these initiatives through a series of events and the participation of public figures as spokespersons.
However, delays in funding put the financial stability of some centers at risk and provoked criticism of the Mayor’s Office for problems in implementing programs a few days before the start of the school year.
Samuels struck a conciliatory tone in an Aug. 31 statement in which he announced new resources aimed at resolving the delays and promised changes to prevent similar problems from happening again.
“As a father of three, I know firsthand the importance of finding safe, affordable child care. Our families and small business owners can’t wait for contracts to be approved; they need access to child care now,” Samuels said.
“Our families should not have to worry about whether their provider can pay the bills, and those who offer these services should focus on preparing their classrooms for learning, not wondering when a check will arrive,” he added.
Last week, the City Comptroller’s Office told The New York Times that the Mayor’s Office had not yet sent any corresponding contracts to the centers that will offer the new 2-K program. The office has not yet informed amNewYork how many, if any, 2-K contracts it has received.
According to city officials, the $43 million will also be used to implement long-term solutions and correct some administrative errors that contributed to the delays. Among the measures is bringing back staff positions that were eliminated during the administration of former Mayor Eric Adams.
Funding problems, however, are not new for the city’s child care programs.
Susan Stamler, executive director of United Neighborhood Houses, said early childhood education centers have been facing cash flow difficulties and issues related to their contracts for years.
“To realize our shared vision of a universal birth-to-five system, this administration must address all of the problems that have perpetuated this situation,” Stamler said in a statement to amNewYork. “These proposed reforms are important and will go a long way to stabilizing the system.”
