Missouri Submits Federal Justification as $25.7 Million in Child Care Payments Remain Delayed
A new federal verification policy following fraud claims is holding up Missouri’s December child care disbursements.
Overview
- HHS now requires states to justify Child Care and Development Fund spending, with Deputy Secretary Jim O’Neill saying payments will flow only after legitimate use is proven.
- Missouri’s Office of Childhood sent a comprehensive “Defend the Spend” breakdown on Friday, but officials have not been given a timeline for when funds will be released.
- The delay affects roughly 1,743 providers across the state, about 53% of Missouri’s total, leaving December reimbursements outstanding.
- Providers describe acute cash‑flow strain, including delayed bills, payroll pressures, loans, and consideration of leaving the subsidy program.
- State officials initially cited holiday and system maintenance factors before receiving late‑Thursday federal notice, and they say the request indicates Missouri’s funds were not frozen.