No Waivers for Fraud Act of 2026

Last action on Apr 6, 2026Placed on the Union Calendar, Calendar No. 510.

Summary

H.R. 7724, the No Waivers for Fraud Act, would amend the Child Care and Development Block Grant Act of 1990 to remove the federal government's authority to waive sanctions against states that fail to comply with program requirements. Currently, states can sometimes have sanctions lifted or waived if they do not meet specific requirements under the child care grant program. If enacted, this bill would eliminate that waiver authority, meaning states would face guaranteed penalties without exception for noncompliance.

The bill's intent is to strengthen accountability in the child care system by ensuring stricter enforcement of federal regulations governing how states use federal funds designated for child care services to low-income families. Supporters argue that removing the ability to waive sanctions would deter fraud and mismanagement at the state level, thereby protecting the integrity of taxpayer-funded child care assistance programs. The bill has passed committee review and is eligible for a floor vote in the House.

Lifecycle of the Bill

Committee Consideration and Mark-up Session Held

Mar 5, 2026

Ordered to be Reported (Amended) by the Yeas and Nays: 20 - 15.

Mar 5, 2026

HearingHouseMarkup

Mar 5, 2026 · 15:15

H.R. 7720, the "Child Care Payment Integrity and Fraud Accountability Act"; H.R. 7721, the "Combating Regulatory Abuse, Closing Known Deficiencies, and Overseeing Waste Nationwide (CRACKDOWN) Act"; H.R. 7722, the "Child Care Integrity Monitoring Act"; H.R. 7723, the "Safeguarding Taxpayer Dollars in Child Care Act"; H.R. 7724, the "No Waivers for Fraud Act"; H.R. 7725, the "Stop Child Care Fraud Act"; H.R. 7677, the "Closing the Provider Fraud Gap Act"; H.R. 7726, the "No Funds for Repeat Child Care Violations Act"

Committee

House Committee on Education and Workforce

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Summary

On March 5, 2026, the House Committee on Education and Workforce held a markup session on eight bills designed to address fraud and improper payments in the Child Care and Development Block Grant (CCDBG) program. The bills include the Child Care Payment Integrity and Fraud Accountability Act (H.R. 7720), which would require states to submit annual fraud reports and give the HHS Secretary authority to reduce payments for fraudulent payments; the CRACKDOWN Act (H.R. 7721), which would lower the overpayment threshold triggering corrective action plans from 10 percent to 5 percent; the Child Care Integrity Monitoring Act (H.R. 7722), which would codify HHS reviews of states every three years; the Safeguarding Taxpayer Dollars in Child Care Act (H.R. 7723), which would permanently debar providers found to have committed fraud; the No Waivers for Fraud Act (H.R. 7724), which would eliminate the Secretary's authority to waive sanctions; the Stop Child Care Fraud Act (H.R. 7725); the Closing the Provider Fraud Gap Act (H.R. 7677), which would direct the Government Accountability Office to study fraud prevention measures; and the No Funds for Repeat Child Care Violations Act (H.R. 7726). The legislation came after the Trump Administration alleged fraud in child care programs in Minnesota, California, Colorado, Illinois, and New York, though the Administration did not provide evidence to support those allegations. The committee voted along largely partisan lines, with six bills passing on party-line votes with no Democratic support and two bills receiving unanimous approval from both parties. All Republicans voted in favor of all eight bills. The markup session had no listed witnesses, indicating this was a legislative work session rather than a traditional hearing with testimony. The bills now advance to further consideration in the House, though passage is not guaranteed.

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Reported (Amended) by the Committee on Education and Workforce. H. Rept. 119-590.

Apr 6, 2026

Reported (Amended) by the Committee on Education and Workforce. H. Rept. 119-590.

Apr 6, 2026

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No Waivers for Fraud Act of 2026

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Committees (1)

House Committee on Education and Workforce

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