Mamdani’s free day care plan in chaos as cash-strapped centers warn they may not open

Mayor Zohran Mamdani’s planned expansion of free child care for 2-year-olds is running into a serious problem just days before the program is set to launch, with providers saying delayed city payments are leaving them unable to cover basic startup costs.

The program is scheduled to begin Sept. 10, but some day care operators say they still have not received the funding needed for teachers, classroom supplies and furniture. Several have warned parents that their centers may not be able to open if the money does not arrive soon, reports the New York Times.

The delays have also affected city-backed bridge loans intended to help providers cover expenses while waiting for their contracts to be processed. Some operators say they have turned to personal loans, family members and their own savings to keep their businesses running.

“Yes, they have a 2-K program, but they didn’t set up the infrastructure to make it work,” said Nurita Love, who operates four Bronx day care centers preparing to offer four 2-K classes.

Love said her centers have monthly expenses exceeding $320,000. She took out a personal loan and a reverse mortgage on her home to cover employee wages, utilities and insurance.

“I had no choice,” she said, adding that this had been the most stressful period in her 43 years running daycares.

The situation has prompted criticism of the Department of Education, which oversees the early childhood programs. Providers say the agency has been difficult to reach and that they have received conflicting information about when contracts and payments will be processed.

City officials have blamed delays in contract approvals and said they are moving workers from other agencies into the Education Department to speed up the process.

“These delays are unacceptable, and we are going to fix them,” said Jenna Lyle, a spokeswoman for Mamdani. “The Mamdani administration is working around the clock to ensure child care providers have the funding they need by the first day of school.”

The city also plans to contact more than 1,100 providers about bridge loans. The Education Department is being rebuilt after hundreds of positions were lost under the previous administration.

The funding dispute has created a standoff between the Education Department and City Comptroller Mark Levine’s office. Education officials have said payments cannot be made until contracts are registered by the comptroller, while the comptroller’s office says the Education Department must first submit those contracts. “The start of the school year is not an unexpected event,” Levine said. “This needs to be fixed immediately.”

Mamdani made universal child care a major campaign promise and has promoted the addition of 2,000 2-K seats this fall. But providers say the problems extend beyond the new program, with some centers already struggling to meet payroll and basic expenses.

Maria Mavrides Calderon, an assistant professor at Hunter College and former preschool education director, said she was “deeply concerned that we are expanding a system that was on a very shaky foundation.” At some centers, operators have cut expenses or asked parents to bring supplies such as crayons, toilet paper and food. Others have considered closing entirely if funding does not arrive.