Indiana slashes child care voucher rates, halts new enrollments in 2025

Indiana is reducing the reimbursement amount for child care providers who serve low-income families through a voucher program to address a $225 million funding gap.

Indiana’s Office of Early Childhood and Out-of-School Learning, which administers the vouchers, said that the rate cuts were to focus their help on families.

“We made this decision to protect the children and families that depend on CCDF vouchers,” said Adam Alson, Director of the office, in a news release on Sept. 4, 2025. “There is only one pot of money – we could either protect providers or kids, and we chose kids.”