Arizona Launches $3M Childcare Grant Program for Working Families

New initiative aims to provide affordable options and support small childcare businesses

Apr. 17, 2026 at 10:42pm

An abstract, out-of-focus photograph in soft, warm tones showing a playful scene of children engaged in an after-school activity, conceptually representing the new state program to increase access to affordable childcare.The new state grants will help expand affordable childcare options and support small businesses that provide vital services for Arizona's working families.Phoenix Today

Governor Katie Hobbs has announced a $3 million childcare grant program in Arizona to help over 2,500 children. The Bright Futures AZ Out-of-School Time Grant Program will empower 59 providers statewide to serve more than 2,500 children between the ages of 5 and 12, slashing childcare expenses by two-thirds for working families. The governor also launched a new childcare provider search tool and is providing funding to nonprofit lenders to help childcare microbusinesses grow.

Why it matters

Access to affordable, high-quality childcare is a critical need for working families in Arizona, especially as costs for essentials like food, gas, and housing continue to rise. This new grant program aims to make childcare more accessible and support small businesses that provide these vital services.

The details

The $3 million Bright Futures AZ Out-of-School Time Grant Program will be administered by the Department of Economic Security and will benefit over 2,500 children across 59 childcare providers statewide. Thirty percent of the funds are earmarked specifically for rural communities. Additionally, four nonprofit community lending organizations will receive over $700,000 to help childcare microbusinesses expand their services.

  • Governor Katie Hobbs announced the new $3 million grant program on April 17, 2026.

The players

Governor Katie Hobbs

The current governor of Arizona who launched the new childcare grant program.

Arizona Department of Economic Security

The state agency that will administer the Bright Futures AZ Out-of-School Time Grant Program.

Arizona Center for Afterschool Excellence

The organization partnering with the state to distribute the childcare grant funds.

Mary Foote

The director of the Arizona Office of Economic Opportunity, which oversees the state's Microbusiness Loan Program that will provide funding to childcare microbusinesses.

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What they’re saying

“Child care is a lifeline for Arizona families. I'm proud that my administration is taking crucial steps to ensure Arizona families have access to affordable high-quality options. We are providing tools for families to find child care more easily, creating new opportunities for out-of-school programming, and supporting small businesses that offer child care.”

— Governor Katie Hobbs

“Arizona's Microbusiness Loan Program has been tremendously successful in providing capital to help grow Arizona's smallest businesses, fostering economic growth and job creation in locations across the entire state. Tying the Microbusiness Loan Program to the governor's priority focus area of creating more accessible and affordable child care opportunities will further serve Arizona's working families seeking safe and secure child care providers for their children.”

— Mary Foote, Director, Arizona Office of Economic Opportunity

What’s next

The new childcare grant program and provider search tool are expected to launch in the coming months, providing immediate relief for working families in Arizona.

The takeaway

This new initiative from Governor Hobbs demonstrates a commitment to supporting affordable, high-quality childcare options for Arizona's working families, which is crucial for economic stability and growth in the state.