Vermont Audit Finds Systemic Issues Endangering Children in State Child Care Programs

Serious violations, including child abuse, went unreported due to antiquated computer systems and lack of standardized reporting procedures.

Mar. 20, 2026 at 8:03am

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A new state audit has uncovered systemic issues within Vermont's Department for Children and Families (DCF) and its Child Development Division (CDD) that have endangered children in state-licensed child care programs. The audit found 131 serious violations, including 14 substantiated cases of child abuse, that were not properly reported or addressed from 2022 to 2025 due to outdated computer systems and lack of standardized reporting procedures.

Why it matters

The findings raise serious concerns about the safety and well-being of Vermont's youngest and most vulnerable residents in state-licensed child care facilities. The systemic failures also jeopardize critical federal funding for these programs, which receive over $17 million annually.

The details

The audit found that 28% of child care centers were not properly labeling violations as 'serious,' likely leading to an undercount of the true number of issues. It also discovered that new hires at child care centers were being allowed to work before their background checks were completed, a federal violation that could result in the state losing up to $500,000 in annual funding. The antiquated computer systems at DCF, which have been problematic for years, were cited as a key factor in the failure to properly track and report violations.

  • From 2022 to 2025, the CDD cited 131 serious violations by child care programs.
  • In August, more than half of 83 background check requests submitted to Vermont's crime information center had not been completed by October.

The players

Department for Children and Families (DCF)

The state agency responsible for overseeing child care programs in Vermont.

Child Development Division (CDD)

The DCF agency that reports on violations at child care centers, including cases of child abuse.

Tim Ashe

Deputy State Auditor who led the investigation into the systemic issues at DCF and CDD.

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What they’re saying

“Has it happened yet? I would say the answer is no. But do they know that it has to happen? The answer is yes.”

— Tim Ashe, Deputy State Auditor

“Not only do we need to make sure kids are safe from bad actors who might slip through the cracks and work in one of these facilities where they could re-offend in some way, but there's also a huge financial stake at play.”

— Tim Ashe, Deputy State Auditor

“Theoretically, they could take the money away, but what are the odds they're really going to do it? I think we know with the current administration that threat seems a little bit more real.”

— Tim Ashe, Deputy State Auditor

What’s next

DCF is seeking a vendor to fix its computer systems, but the auditor's office says it will take years to complete. The auditor's office is demanding that DCF standardize its reporting procedures and that the Vermont Crime Information Center complete background checks more efficiently to comply with federal regulations and protect children.

The takeaway

This audit reveals deeply concerning systemic failures within Vermont's child care oversight system that have put young children at risk. Addressing the antiquated technology, lack of standardized reporting, and lax background check procedures must be an urgent priority to ensure the safety and well-being of the state's most vulnerable residents.