Rensselaer County Families Struggle as Child Care Subsidy Funding Dries Up

Dozens of families scramble to pay for after-school programs as county runs out of funding for child care subsidies.

Published on Feb. 12, 2026

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Rensselaer County, along with many other counties in New York, has run out of funding for child care subsidies, leaving dozens of families struggling to pay for after-school programs. In 2023, the state raised the income eligibility for subsidies, meaning more families qualified, but funding did not increase enough to cover everyone. The county's $8.5 million allocation from the federal Child Care Block Grant was not enough, forcing them to stop taking new applications on November 1, 2025.

Why it matters

This funding shortage is having a significant impact on working families in Rensselaer County who rely on these subsidies to afford child care. With schools and after-school programs at capacity, parents are left with few options and are having to pay hundreds of dollars per month out of pocket, which can be a major financial burden.

The details

Rensselaer County is one of 34 counties affected by the child care subsidy funding shortage. The county's Department of Social Services Commissioner, Micheal McMahon, said the county simply doesn't have the $6-7 million needed to fill the gap. As a result, parents like Gina Melendez, a mother of two, are struggling to find and pay for after-school care. Community centers like Hope 7, which relies on the subsidies to support working families, are also being impacted, having to cut staff hours and turn away families.

  • In 2023, New York State raised the income eligibility for child care subsidies.
  • On November 1, 2025, Rensselaer County had to stop taking new applications for child care subsidies.

The players

Micheal McMahon

Commissioner for Rensselaer County Department of Social Services.

Gina Melendez

A Rensselaer County parent affected by the child care funding shortage.

Holly Cargill-Cramer

The Interim Executive Director at Hope 7, a community center that relies on child care subsidies to support working families.

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What they’re saying

“Basically, I'm kind of like on my own. There's no more funds left. And so that put me into a really hard spot.”

— Gina Melendez, Rensselaer County parent (news10.com)

“We're not going to be able to keep as many staff members on either or we're going to have to cut the number of hours that they're working, preparing for their day or cleaning up at the end of the day to be able to keep them here just long enough for the families.”

— Holly Cargill-Cramer, Interim Executive Director at Hope 7 (news10.com)

What’s next

The Office of Children and Family Services is focusing on eligibility and application guidance, while counties and childhood advocates recommend that families ask to be put on a waitlist, look for other child‑care assistance programs, or contact local lawmakers and state representatives.

The takeaway

This child care subsidy funding shortage highlights the ongoing challenges facing working families in Rensselaer County and the need for increased investment in affordable, accessible child care options to support the local community.