H.R. 10407 — Childcare Cost Relief Act of 2026

This section provides additional grants equal to 2 percent of the year-over-year increase in total funds available for Child Care and Development Block Grant reservations and allotments to affected states and territories before regular distributions occur. It applies only in fiscal years when total available funding exceeds the prior year (excluding supplemental appropriations) and requires the Secretary to annually determine affected jurisdictions based on disproportionately high aggregate child care costs as a percentage of state median income, assess workforce adequacy, and report the results to Congress.