Stop Child Care Scams Act of 2026

The Stop Child Care Scams Act of 2026 strengthens fraud prevention measures within the Child Care and Development Block Grant program and the Child and Adult Care Food Program. This legislation requires the federal Secretary of Health and Human Services to actively investigate fraud and permanently ban any child care providers found guilty of submitting false information or misusing funds from receiving future assistance. Additionally, states with improper payment rates exceeding five percent must submit corrective action plans and could lose funding eligibility if they fail to improve over two consecutive years. The bill also mandates regular performance reviews for states, removes the ability to waive sanctions for fraud, and directs the Government Accountability Office to study fraud prevention efforts across early childhood and nutrition programs.