Trump Calls for States to Raise Taxes to Fund Child Care

President says federal government can't afford universal child care across 50 states

Apr. 3, 2026 at 4:07pm

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A quiet, cinematic painting of an empty government office space with a lone desk and chair in the center, bathed in warm, diagonal sunlight and deep shadows, conceptually illustrating the tension between federal and state responsibility for child care funding.As the federal government steps back from funding universal child care, states are left to grapple with how to provide affordable options for families.NYC Today

President Donald Trump said on Wednesday that states should raise taxes to pay for day care, arguing that the federal government cannot afford to fund child care for all 50 states. Trump stated the federal government's focus should be on 'military protection' while child care, Medicaid and Medicare should be handled individually by states.

Why it matters

Trump's comments highlight the ongoing debate over the role of the federal government versus states in providing and funding child care services. While some states like New Mexico have developed methods to fund universal child care, others like California and New York have struggled to provide affordable options for families due to their large populations.

The details

The federal government currently spends around $30 billion per year on child care. Trump said states 'have to raise their taxes, but they should pay for it' in order to fund child care, and that the federal government could 'lower our taxes a little bit to make up for it.' New Mexico is the only state to offer universal child care, using revenue from its oil and gas industry. Other states like California, Texas, Florida and New York receive the most federal funding for child care but have faced barriers to providing universal options due to their large populations.

  • On Wednesday, Trump made the comments during an Easter lunch at the White House.

The players

Donald Trump

The former President of the United States who made the comments about states needing to raise taxes to fund child care.

Kathy Hochul

The Democratic Governor of New York who has stated that providing affordable child care is a legislative priority.

Zohran Mamdani

The Democratic Mayor of New York City who has proposed using a millionaire income tax to subsidize publicly funded child care.

Bernie Sanders

The Independent U.S. Senator from Vermont who is backing a wealth tax on billionaires in California that would fund child care and other programs.

Gavin Newsom

The Democratic Governor of California who has expressed opposition to Sanders' wealth tax legislation.

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What they’re saying

“'The United States can't take care of day care. That has to be up to a state. We can't take care of day care. We're a big country. We have 50 states. We have all these other people.'”

— Donald Trump, President

What’s next

The debate over the role of federal versus state funding for child care is likely to continue, with some states pursuing their own tax-based solutions while the federal government maintains its current level of funding.

The takeaway

Trump's comments highlight the ongoing tensions between federal and state responsibility for providing and funding child care services. While some states have found innovative ways to fund universal child care, the lack of a cohesive national strategy has left many families struggling to afford quality options.