South Carolina Pauses Child Care Scholarship Program

Thousands of families left without funding as state cites federal budget issues

Published on Mar. 5, 2026

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The South Carolina Department of Social Services has temporarily paused applications for its Working Families Child Care Scholarship Program, leaving over 50,000 children across the state without access to subsidized childcare. The program, which provided financial assistance based on income, has run out of federal funding, forcing many childcare centers to cut staff and services.

Why it matters

The pause in the childcare scholarship program has created a significant financial burden for thousands of working families in South Carolina, forcing some parents to make difficult decisions about their children's care. This issue highlights the ongoing challenges of affordable and accessible childcare, especially for low-income families.

The details

The South Carolina Department of Social Services paused the scholarship program in December 2025 after federal funding for some vouchers ran out in 2024 and a government shutdown in 2025 delayed additional funding. There is currently no announced end date for the pause. The scholarship program supported over 50,000 children across the state, with the amount based on factors like income. Childcare centers that relied heavily on the program, like Miss Tammy's Little Learning Center, have had to cut staff and services, with up to 95% of their funding coming from the now-paused scholarships.

  • The South Carolina Department of Social Services paused the scholarship program in December 2025.
  • Federal funding for some vouchers ran out in 2024.
  • A government shutdown in 2025 delayed additional funding for the program.

The players

South Carolina Department of Social Services

The state agency that administers the Working Families Child Care Scholarship Program, which has been temporarily paused due to federal funding issues.

Kayla Stivers

A single mother in South Carolina who works and attends school full-time, and whose childcare scholarship expired in February, leaving her with difficult financial decisions.

Thomas Compton

The regional director of Miss Tammy's Little Learning Center, a childcare provider that has had to cut staff and services due to the program's pause, with up to 95% of its funding coming from the scholarships.

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What they’re saying

“You kind of have to look at where your money is at and what you can afford, and if you're going to have to pull your kids, and if I pull my kids, who's going to watch them.”

— Kayla Stivers, Single mother (wrdw.com)

“It's caused a huge burden on the families, students and even the staff. Staff members are starting to be concerned are they even going to have jobs.”

— Thomas Compton, Regional director, Miss Tammy's Little Learning Center (wrdw.com)

What’s next

State representatives are proposing a temporary moratorium on new data center projects, which could free up funding to restore the childcare scholarship program.

The takeaway

The pause in South Carolina's childcare scholarship program has created a significant financial hardship for thousands of working families, highlighting the ongoing challenges of affordable and accessible childcare. This issue underscores the need for sustainable funding solutions to support working parents and ensure the stability of the state's childcare infrastructure.