TWC Increases 2022 Child Care Relief Funding by $1 Billion to Strengthen Workforce

Texas Workforce Commission • February 3, 2022

$3.4 Billion Now Available to Eligible Providers, Plus Additional $75 Million Approved to Defray Startup Costs for New Child Care Businesses

The Texas Workforce Commission (TWC) this week approved an additional $1 billion in direct support for the Texas child care industry, increasing available funds for the 2022 Child Care Relief Fund (CCRF) to a total of $3.4 billion — with an estimated average award of over $250,000 per provider. In addition to the $1 billion approved for CCRF, the Commission has also approved an additional $75 million aimed to defray startup costs for new child care providers across the state.


The 2022 CCRF, now at $3.4 billion in available funds, is intended to help child care providers address the impacts of COVID-19. Eligible providers may use these funds in a variety of ways to support their program’s operating costs. Examples include supporting staff recruitment and retention by enhancing the benefits they provide to their employees such as paid time off and free or low-cost child care for their employees’ children. Other employee benefits could include signing bonuses, retention bonuses, wage stipends, or hazard pay.


The $75 million in additional funding aims to support the expansion of available regulated child care, which has declined following the pandemic and assist potential new child care providers. This funding may be used by new child care businesses to help support the initial costs of opening a new child care program, including, but not limited to: 

  • Indoor equipment and furnishings (cribs, changing tables, bookshelves, chairs, tables, rugs, etc.)
  • Office furnishings and equipment (desks, chairs, filing cabinets, computers, software, printers, etc.)
  • Outdoor equipment (playgrounds, shade structures, toys, balls, fencing, infant strollers, etc.)
  • Kitchen supplies, excluding food (appliances, cookware, serving items, etc.)
  • Safety supplies (fire extinguishers, smoke detectors, carbon monoxide detectors, baby gates, outlet covers, etc.)
  • Education supplies/classroom materials (curriculum, books, toys, etc.)
  • Permitting fees (Child Care Regulation, inspections, etc.)


“TWC remains committed to supporting Texas employers, including those in the child care industry, as they respond to economic and hiring challenges,” said TWC Chairman Bryan Daniel. “This latest action by TWC on behalf of the child care industry reflects the importance of child care providers not just as small businesses, but as critical support to the workforce needs of our state.”


The $3.4 billion 2022 Child Care Relief Fund is a new opportunity that will help strengthen a vital industry to the state’s workforce by offering direct support for existing child care programs. Beginning this month, over 13,000 eligible child care providers across the state, including licensed and regulated child care centers and homes, will have the opportunity to apply for this one-time stimulus funding.


“Texas’ workforce depends on reliable, quality child care, and the industry itself has faced staffing challenges in light of the pandemic,” said TWC Commissioner Representing Labor Julian Alvarez. “Not only do these funds help strengthen the quality of child care available to Texans, but they also offer needed support for wages, benefits, and more to those working in child care centers and homes.”


Child Care Relief Funding award amounts are based upon provider size, type, and the average cost of child care in their area. Through the first round of Child Care Relief Funding in 2021, approximately $581 million was awarded to more than 9,500 child care providers who received, on average, over $60,000 each in support. With the new 2022 CCRF opportunity, this year’s eligible providers have access to $3.4 billion and with an estimated average award of over $250,000.


“These funds will go a long way toward supporting our irreplaceable child care providers,” said TWC Commissioner Representing Employers Aaron Demerson. “Supporting our child care businesses across the state is a win-win situation for our Texas employers, their staff, and families that are seeking child care in order to remain and rejoin the workforce.”


Eligible child care providers will receive an invitation to apply for funding beginning later this month. For more information and to check eligibility, visit https://www.childcare.texas.gov/ or email CCReliefFunds@Trelliscompany.org.


East Texas Child Care Services
By Workforce Solutions East Texas • November 5, 2026
This event is open to the public!
November 4, 2026
TWC-led Statewide Initiative Connects Veterans and Employers
October 27, 2026
Texas recorded a total of 14,461,300 nonfarm jobs after shedding 11,100 positions in September. Over the year, the state added 154,300 jobs for an annual growth rate of 1.1 percent, outpacing the national rate by 0.8 percentage points. Texas’ civilian labor force registered at 15,948,400 after adding 15,800 people over the month. Over the year, Texas’ civilian labor force has added 3,600 people. The seasonally adjusted unemployment rate in Texas registered at 4.4 percent. “The addition of more than 154,000 jobs over the year reflects balanced growth across Texas industries,” said TWC Chairman Joe Esparza. “Texas continues to outpace the nation because of innovative programs like Jobs and Education for Texans (JET) grants, which are equipping students with skills that help businesses compete today and plan for tomorrow.” The Manufacturing industry had the largest private sector over-the-month increase in September after adding 4,700 jobs. Professional and Business Services added 1,600 jobs over the month while Information added 1,400. “The 15.9 million Texans in our labor force drive our economy, and TWC is dedicated to fueling their success,” said TWC Commissioner Representing Labor Alberto Treviño III. “Through statewide initiatives like our annual Hiring Red, White & You! career fairs and the Texas HireAbility campaign, we are actively connecting Texans of all abilities with the critical training and resources they need to build prosperous, lifelong careers.” The Midland metropolitan statistical area (MSA) had the lowest unemployment rate with a not seasonally adjusted rate of 3.2 percent in September. It was followed by the Abilene, Amarillo, College Station-Bryan, and San Angelo MSAs, which registered at 3.5 percent. “TWC is focused on ensuring that every Texan can find a rewarding career that allows them to contribute their unique skills and experiences to our economy,” said TWC Commissioner Representing the Public Brent Connett. “Initiatives like this month’s Texas HireAbility campaign help strengthen our communities and allow Texas businesses to tap into a dedicated and driven talent pool.” Employment estimates released by TWC are produced in cooperation with the U.S. Department of Labor’s Bureau of Labor Statistics. * All estimates are subject to revision. To access this and more employment data, visit TexasLMI.com . The Texas Labor Market Information Data for September is scheduled to be released on Friday, November 20, 2026, at 9:00 a.m. (CT).
Show More