Beyond Policy: How 2026 Could Reshape the Future of Early Childhood

Early childhood experts say 2026 could be a pivotal year for the sector, as pandemic relief funds have dried up and states now face difficult budget decisions around child care and early learning. According to EdSurge, rising costs and tightening state budgets risk widening inequities unless states increase their investments. National data show a child care access gap of roughly 28%, leaving an estimated 4.2 million children without nearby care. 

Several states have already begun expanding support – New Mexico has implemented universal free child care and is seeking additional funding to strengthen that commitment, Maryland and Massachusetts are increasing subsidies and early learning investments, while Illinois is boosting preschool seats and proposing a new early childhood department to streamline services. These efforts reflect a broader trend of states attempting to fill gaps left by stagnant federal funding and build more affordable, accessible systems for families.

The pressure extends beyond policy—it’s felt daily in classrooms, family budgets, and child care programs working to stay open. Stanford’s RAPID Survey Project found that more than 58% of child care providers surveyed in 2025 reported experiencing hunger, highlighting the severe financial strain on the workforce and the urgent need for support.

Beyond immediate challenges, this moment is influencing workforce stability, child development outcomes, and families’ ability to fully participate in the economy. This serves as a rare opportunity to build momentum and advance long-needed reforms that could strengthen the entire early childhood ecosystem.

How Can “Trump Accounts” Build Wealth for Low- and Moderate-Income Households?

A new federal program known as “Trump Accounts” has been signed into law, adding another savings option alongside existing 529 college savings plans. This Aspen Institute article examines how Trump Accounts will work alongside highlighting potential implications. While the program has clarified that account balances will not affect eligibility for safety‑net benefits like SNAP, a positive development for families, participation is not automatic. Families must actively open accounts through a tax form, with online enrollment expected in 2026. As highlighted in a PBS article, this requirement—along with the mandate that every child have a Social Security number—raises concerns that many eligible households may be excluded or fail to enroll.

Withdrawal penalties further limit how useful the accounts may be for some families. While the initial contribution of $1,000 (or $250 in certain cases) offers a meaningful starting boost, parents may still prefer 529 plans due to their greater flexibility, or high-yield savings accounts that impose fewer restrictions. In practice, penalties may not deter families from accessing the funds when unexpected expenses arise, potentially reducing the program’s intended long‑term savings benefit, or overall program uptake.

Cuyahoga Community College (Tri-C) Hosts Junior Days

This fall, Cuyahoga Community College (Tri-C) hosted Junior Days, the first event implemented as a result of ACS’ six-month collaborative design facilitation focused on expanding career-connected learning opportunities for Greater Cleveland youth.

Nearly 70 students from three school districts explored five career pathways through hands-on experiences and left with a clearer understanding of academies, short-term and stackable credentials, and earning potential, many for the first time.

Tri-C is the Greater Cleveland Career Consortium’s first higher education partner in this work, helping to advance a more coordinated, systems-level approach to career-connected learning. We’re proud to have partnered with Tri-C in creating this idea and excited to see how this collaboration continues to grow and translate into impact for greater Cleveland youth.

“All by April” Campaign Calls on Philanthropy to Fund Democracy Early

Democracy Fund recently launched All by April, a coordinated national effort urging philanthropy to accelerate and streamline election-related grant-making ahead of the 2026 election cycle. The campaign calls on foundations, donor networks, and individual philanthropists to commit and distribute nonpartisan 501(c)(3) election funding no later than April 2026.

The goal is simple but significant: ensure that the nonpartisan organizations working to protect access to voting, strengthen election administration, and support civic participation have resources in place BEFORE election pressures peak. Early funding allows grantee partners to plan effectively, hire staff, build capacity, and respond quickly to emerging needs—all of which become more difficult as the election season intensifies.

For ACS clients, particularly those supporting civic engagement, public policy, and movement infrastructure through philanthropic support, this model reflects an evolving expectation: philanthropy must not only fund the work but also support the conditions that allow it to succeed. That includes predictable timelines, fewer administrative barriers, and trust in the expertise of community-based organizations.

As the 2026 elections approach, All by April is a reminder that timing matters. When resources arrive early, organizations are better positioned to build meaningful, equitable, and lasting impact. Learn more about the initiative, its impact in the 2024 election, and how nonprofits say funders can go further here.

HUD Withdraws Major Homelessness Funding Shift After Widespread Pushback

Monday afternoon, HUD abruptly withdrew its FY2025 Continuum of Care (CoC) Notice of Funding Opportunity (NOFO) just 90 minutes before a federal court hearing. The proposal included significant changes that would have capped permanent housing funding at 30 percent — down from the current national average of 87 percent — and imposed requirements that prioritized temporary housing and compliance-based services. The NOFO also included restrictions affecting organizations affirming transgender or nonbinary individuals.

For many communities, the impact would have been immediate and severe. According to the National Alliance to End Homelessness, in Ohio alone, where CoCs currently allocate between 82 percent and 92 percent of funding to permanent housing, the cap would have resulted in an estimated $103.5 million loss in renewal funding and put housing and services for roughly 13,000 people at risk.

HUD’s decision to withdraw the NOFO followed:

  • Legal action by 21 attorneys general and a coalition of local governments and nonprofit organizations.

  • A national response effort led by the National Alliance to End Homelessness and partners.

  • Growing bipartisan concern among federal lawmakers following sustained outreach from communities across the country.

HUD has stated it will reissue the NOFO “as quickly as possible” with technical corrections, but the timing and scope remain unclear..

At ACS, we are encouraged by what this development underscores: public policy is movable when communities speak with urgency, clarity, and collective alignment. The response from the field helped create pressure that federal decision makers could not ignore.

While this is not the final outcome, it is a meaningful step. ACS will continue tracking updates, and we will share additional guidance as more information becomes available.

This moment reinforces what we see every day in our work with dedicated leaders across the country: Advocacy works.

Allowing Affordable Care Act Credits to Expire Will Cost Americans Big

new analysis shows that letting the enhanced premium tax credits lapse would reduce health care spending in Ohio by $363 million next year and increase uncompensated care demand by $163 million — a 10.3% jump. States across the U.S. will likely see a similar trend. That means more strain on hospitals, higher costs for communities, and more individuals and families left uninsured. At ACS, we believe these are not just numbers — they’re real impacts to community health, financial stability, and equity for our nation’s families. Policymakers must act now to protect these credits and safeguard access to care.

ACS 6-year Effort to Make School-Based Health a Reality for Public School Students

On September 4, ACS joined partners for the ribbon cutting of the John Marshall Wellness Center at John Marshall High School in the Cleveland Metropolitan School District (CMSD). Operated by the MetroHealth System, and funded through ARPA dollars through the City of Cleveland, as well as funds from the Cleveland and The George Gund Foundations, the clinic will offer physical and mental health services for all students.
Since 2019, the ACS team has helped develop and implement the policy strategy and advocacy effort to secure public dollars to support school-based health.

Five Years Later: How Ohio Leaders Are Acting on Racism as a Public Health Crisis

In 2020, numerous Ohio leaders, including those in Columbus and Franklin County, declared racism a public health crisis, committing to address systemic inequities. Since then, initiatives such as Columbus Public Health’s Center for Public Health Innovation have implemented programs like the “Vax Cash” incentive, a flavored tobacco ban, and the establishment of the Office of Violence Prevention to tackle disparities in health and safety. This article from The Columbus Dispatch examines how, despite changing political climates, public health officials remain dedicated to promoting racial equity and addressing the long-term impacts of systemic racism on community health.

Ohio Budget Plan Sparks Backlash Over Forced School Closures and Sales

This article by the Statehouse News Bureau examines a provision in Ohio’s proposed budget that would allow the state to force the closure of underused public school buildings and require districts to sell them to charter or private schools at below market value—something school leaders like Canton Superintendent Jeff Talbert call unfair to local taxpayers. While Governor DeWine argues the measure addresses districts hoarding buildings to block competition, critics say it disregards community investments and essential space needs for specialized programs.