For child care providers impacted by Helene, what to know about federal funds on the way
Another $75.8 million is on the way to North Carolina child care programs from the U.S. Department of Health and Human Services to help them recover from Hurricane Helene and Tropical Storm Debby.
More than 230 child care programs were impacted by Helene, and more than 100 child care facilities were impacted by Debby, according to a February press release announcing the award.
“North Carolina families depend on having quality and affordable child care, so I thank US DHHS for awarding this funding to help them,” said Gov. Josh Stein in the press release. “When a natural disaster forces a child care center to close, people’s lives are turned upside down. This federal funding will help providers rebuild, restore services, and ensure parents can get back to work knowing their children are safe and well cared for.”
The state Division of Child Development and Early Education (DCDEE), under the Department of Health and Human Services (DHHS) has until Sept. 30, 2030 to disburse the funding.
DCDEE is encouraging impacted child care programs to complete Disaster Impact Reports to share their needs through a portal the division launched in May 2025. This DCDEE site provides step-by-step instructions, including disaster-specific information, to complete a report. The division is still determining a timeline for distribution, said Kimberly Mallady, DCDEE’s senior early childhood policy advisor, in a WNC Hurricane Helene State Child Care Task Force meeting on Wednesday.
The funds may be used for:
- Construction, major renovation, or alteration
- Materials, supplies, furnishings, vehicles, and equipment
- Other activities that build child care services in impacted areas
- Mental health consultation or services
- Quality improvement activities
This funding comes from a total $250 million in child care relief Congress passed in December 2024.
DCDEE requested $91.5 million in September 2025 from the national allocation through the Administration for Children and Families’ (ACF) Office of Child Care (OCC) for recovery from two 2024 declared disasters: about $3 million for Tropical Storm Debby, about $57 million for Hurricane Helene, and about $31 million in assistance across areas impacted by both storms, according to a DHHS statement.
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North Carolina received the most child care relief funding of any state, representing about 30% of the total national allocation, Mallady said in Wednesday’s meeting.
Task force members asked about using the funding to build new child care programs and to increase early childhood educators’ wages.
Mallady said the division will work with DHHS and the Governor’s Recovery Office for Western North Carolina (GROW NC) to plan how to use and sequence the funding.
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Programs with the most damage, she said, will be prioritized.
“We’re still trying to determine how to prioritize all the activities, but I think we all agree that providers who have sustained the most damages and need the most in those reports will be a top priority,” Mallady said in the meeting.
“Child care providers are cornerstones of their communities, and many are still working to recover from the damage caused by Helene and Debby,” Matt Calabria, director of GROW NC, said in the press release. “Through close coordination with DHHS and local partners, GROW NC will work to ensure these federal dollars move quickly and strategically so providers can reopen and continue serving families who are counting on them.”
DCDEE also plans to coordinate with the North Carolina Partnership for Children (NCPC), the organization administering the $10 million the state legislature allocated in child care Helene relief in October 2024. As of December 2025, local Smart Start partnerships were still disbursing the first half of this funding to impacted providers, according to the NCPC.