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Child Care Providers Ratify Contract to Protect Benefits, Win Stabilization Pay and Ongoing COLAs

For Immediate Release 
September 22, 2025
Contact: Maya Polon, maya@paschalroth.com

SACRAMENTO, CA – Today, members of Child Care Providers United (CCPU) – the union representing more than 60,000 family child care providers in California – celebrated as months of negotiations, rallies, marches and vigils, culminated in members overwhelmingly ratifying their third contract with the State of California. The state ratified CCPU’s 2025-28 contract in SB 151 allowing providers to see overdue stabilization payments by the end of 2025.

Ana Valentino, a child care provider in Los Angeles County and member of CCPU’s negotiating team shared, “providers pour our heart and soul into providing quality care for our children. Yet, many of us struggle to make ends meet. The stabilization pay won in this contract provides us with some immediate relief to the rising costs of food, gas, and housing. It is a step forward toward securing pay that covers the true cost of care. We look forward to continuing to work with the state on permanent solutions to stabilize our profession and expand access to care for California’s working families.”

Key provisions of the contract include: 

  • $37 million ongoing, per year in Cost-of-Living Adjustments
  • $90 million one-time stabilization payments 
  • $80 million ongoing, per-year retirement funding
  • $100 million ongoing, per-year health care funding
  • $15 million ongoing, per-year for training and continuing education
  • Ability to re-negotiate rate increases if the legislature allocates more money in future budgets
  • A clearer timeline of reforming provider pay and a commitment to start paying providers at the start of the month to avoid continued issues with end-of-the-month payment delays, leaving providers putting bills on credit cards
  • Continuing payment by the number of children enrolled in care instead of daily attendance numbers.

“Providers fought for and won a contract we can be proud of, one that protects our healthcare benefits and positions us to truly transform the child care system our whole state counts on,” added Anita Vicini, a child care provider in Tuolumne County and member of CCPU’s negotiating team. “As someone who relies on life-saving medication, securing our healthcare coverage in this contract means everything. I’m proud we pushed back when the state put these benefits – and lives like mine – on the chopping block. Fighting for quality care for children in our communities means fighting to take care of our health.”

This contract was made possible by the tireless work of child care providers who took time away from their families and their businesses to organize, mobilize, and negotiate; by state legislators who listened to their constituents and prioritized COLAs for providers in the 2025-26 state budget; and by Governor Newsom’s commitment to continuing to listen to and be guided by provider input. 

“We were greatly hindered at the beginning of the pandemic when attendance dropped, as kids stayed home sick. Switching to payment by enrollment was, and continues to be, a lifeline for providers and families, helping many working parents find care more easily and allowing us to keep our doors open. Now I can count on consistent income, which makes it possible to pay for our mortgage, utilities, and food,” said Yolanda Thomas, a child care provider in Contra Costa County and member of CCPU’s negotiating team. “In my 25 years as a child care provider, I’ve bonded with close to 100 kids—cooking them meals, putting them down for naps, and giving them the high-quality care and early education they deserve. Our contracts have brought stability and real progress, but the fight isn’t over. We must be paid the true cost of care so providers can earn, and pay our staff, a living wage.”

Providers now look ahead as they begin meeting with the State of California in October to work towards reaching a final path to full reimbursement for the cost of providing care. Currently, according to state data, 73% of California child care providers caring for children in state programs do not pay themselves a salary due to inconsistent, low pay from the state that does not cover the full cost of providing care. Providers also work far more than 40 hours a week, with many providers providing round-the-clock care and reporting getting as little as 3 hours of sleep each night. 

While the benefits won in the 2025-28 contract ensures one-time stabilization funding to stem the tide of providers closing their doors every day due to low pay – an average of 24 per day – only by paying providers enough to cover the true cost of care can the state retain talent in the industry long term. Reforming provider pay benefits our whole state; working parents need stable child care to continue going to work as janitors, nurses, and delivery drivers. Any agreements reached with the state on payment for the full cost of care can be enacted as early as the 2026-27 state budget. 

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Child Care Providers United brings together 60,000 family child care providers across California and is a partnership of SEIU Local 99, SEIU Local 521 and UDW/AFSCME Local 3930.

Our Perspectives

Access your portal

Step 1

Go to portal site.

Go to www.MyParticipantEdge.com

STEP 2

Click “Create Account.”

step 3

Complete the following fields, using the information provided in the benefits letter you received.

  • User Type: Member
  • Email: Enter your email address and confirm your email
  • First and Last Name: Enter your first and last name
  • SSN/SIN: Enter the last 4 digits of the Retirement Identification Number you received from your benefits letter. Do not enter the last 4 digits of your Social Security number.
  • Date of Birth: Enter your actual date of birth. If this doesn’t work, then enter the temporary date of birth from your benefits letter.
  • Zip Code/Postal Code: Enter the zip code exactly as written on your benefits letter
step 4

Click “Next” and the following screen displays

Enter the password, and three Security Questions and answers, and select the Terms of Use and Privacy Policy checkbox.

step 5

Click Finish, the account is created, and you are returned to the initial screen (see following screen example)

You will also receive an access code which will be sent to the email that you entered when you created your account. Note: Each time you log in from a new computer/device, you must enter a new access code.

step 6

From the initial screen, enter the email address you used to set up your account and password, and click Login

step 7

Enter the access code you received in your email to access the Dashboard screen

If you have any questions, or would like assistance registering your portal, call our CCPU Provider Resource Center at (888) 583-CCPU (2278) or PRC@ccpuca.org.

Info Sessions Recordings:

July 9 CCPU Retirement Fund Info Session

July 18 CCPU Retirement Fund Info Session

Frequently Asked Questions

Find answers to common questions in the FAQ section below.

Are the benefits from the Retirement Plan taxable income to me?

The State contributions to your Retirement Plan account are not taxable to you until you receive a distribution. There may be distributions options to defer those taxes.

When can I sign up for the Retirement Fund and where can I learn more?

Eligible providers are automatically enrolled in the retirement fund. However, the administrator, Zenith American Solutions, will ask eligible providers to update necessary information. It is important to provide this information so that your records are accurate, and to avoid delays accessing your account.



If you believe you are eligible, but have not received this mail, you may contact the CCPU Provider Resource Center for assistance at (888) 583-CCPU (2278) or PRC@ccpuca.org.

Have more questions?

If you have additional questions, you can call the CCPU Provider Resource Center at 888-583-CCPU (2278) from 9am to 5pm Monday-Friday or email at PRC@ccpuca.org.

WHAT – What benefits does the Retirement Fund expect to offer providers?

Expand the Retirement Fund Benefits Table to see benefits.

 Plan Rules
Eligible participants*

You are eligible to participate in the Retirement Plan for a 2024 contribution if you are:

  • A licensed child care provider
  • Who has been paid 6 or more months of child subsidy in the 2023 calendar year (can be non-consecutive months).
Eligibility for benefit credit for contributions in 2024*You will earn your full service credits for 2023 if you were paid for ten or more months of child subsidy in 2023. If you were paid for 6 or more months of child subsidy, you will receive 60% of your service credits, 70% for 7 months, 80% for 8 months and 90% for 9 months. You will not earn any service credit if you were paid for less than 6 months.
ContributionsThe only contributions to the Retirement Plan will be paid from funding won through the CCPU collective bargaining agreement. The Plan does not accept contributions from you.
Amount of annual employer contributions for 2024 service allocable to participants in 2025*You will earn one full service credit for the State contribution on your behalf in 2025 if you were paid for ten or more months of child subsidy in 2024. If you were paid for 6 to 9 months in 2024, you will receive a pro-rated service credit. You will not earn any service credit if you were paid for less than 6 months in 2024.
VestingYou are “vested” in any contribution correctly made to your account. You do not need to work a minimum number of years before 2024 to be entitled to a benefit.
Distribution events

You can elect to receive your account when:

  • You stop all work as a licensed provider paid for state subsidized child care for 9 consecutive months at any age (“terminate from service”);
  • You stop all work as a licensed provider paid for state subsidized child care for 3 consecutive months at age 60 or older (“retirement”); or
  • You attain age 73, which is the age you are required to start receiving payments, unless you are still working.
Forms of distributions

If you are age 60 or older and stop all work as a licensed provider for 3 consecutive months and elect to retire, you can choose to receive your account balance as:

  • One lump-sum payment
  • Approximately equal monthly payments for 5 years
  • Approximately equal monthly payments for 10 years

If you are younger than age 60 and stop all work as a licensed provider for 9 consecutive months, you can only elect to receive your account as one lump-sum payment.

Death benefitsSince your account is 100% vested, you can designate a beneficiary (or multiple beneficiaries) to receive your account balance if you die before you receive it.
InvestmentsThe Board of Trustees will manage how the Retirement Plan is invested on your behalf, with the assistance of investment professionals.

*Special rules apply to providers where more than one provider is on the payment record.

who

Who is eligible for the Retirement Fund benefits?

State contributions to the Retirement Plan are tied to the child care subsidy program. To be eligible for retirement benefits in 2024, you must be a licensed provider who has have been paid for work with a subsidized child in at least 6 months in 2023-these months do not need to be consecutive. License exempt providers are not eligible; however, if you become licensed in a year, your work in that year may count for eligibility.

when

When will the benefits be available?

Contributions to the Retirement Plan are tied to the child care subsidy program. To be eligible for retirement benefits in 2024, you must be a licensed provider who has have been paid for work with a subsidized child in at least 6 months in 2023-these months do not need to be consecutive. License exempt providers are not eligible; however, if you become licensed in a year, your work in that year may count for eligibility.

how

How can I get help enrolling?

If you are eligible, the Plan will automatically enroll you based on data received by the State of California. You should immediately update your information with the Plan so it has has all of your current information and you receive credit for your years of licensed work.