STRATEGIC PRIORITY: Vibrant
AGENDA DATE: September 24, 2025
COUNCIL DISTRICT(S): Citywide
DEPARTMENT: Office of Community Care and Empowerment
EXECUTIVE: M. Elizabeth Cedillo-Pereira
______________________________________________________________________
SUBJECT
Title
Authorize (1) execution of contracts with fully-licensed childcare providers (see Exhibit A), and with any other fully-licensed childcare providers, pursuant to the Early Childhood and Out-of-School Time Services Program (the “ECOSTS Program”), selected by eligible parents whose income falls in the low-to moderate income range of the U.S. Department of Housing and Urban Development Area Median Income criteria and who otherwise meet the ECOSTS Program requirements; (2) execution of any and all documents required by the contract; for the period of October 1, 2025 through September 30, 2026; (3) approve the ECOSTS Program Statement (see Attachment A); and (4) approval of the ECOSTS Policy and Procedures for Providers and Parents (Subsidy Program Only) (see Attachment B and C) - Not to exceed $550,000.00 - Financing: 2025-26 Community Development Block Grant Fund
Body
BACKGROUND
On August 6, 2025, the City Council authorized final adoption of the FY 2025-26 HUD Consolidated Plan Budget for U.S. Department of Housing and Urban Development Grant Funds. The grant funds are available beginning October 1, 2025, contingent upon approval of the City’s FY 2025-26 Action Plan and execution of grant agreements with HUD. The FY 2025-26 HUD Consolidated Plan Budget includes a budget line item for the ECOSTS Program, in an amount not to exceed $650,000.00. The funds will be distributed as follows:
$550,000.00 - Childcare Providers including one full-time employee
$100,000.00 - Contracts with Specialized Services Providers
The ECOSTS Program (Subsidy Program Only), administered by the Office of Community Care and Empowerment in accordance with the City of Dallas’ ECOSTS Program Policies and Procedures for Parents, promotes stability for low-to-moderate-income working parents and/or parents who are attending school, including teen parents who are full-time high school students by reducing the cost of childcare to enable them to strive for self-sufficiency. The ECOSTS Program also provides programing for special populations, which may include daycare for children with physical and mental disabilities, and children whose family is experiencing homelessness, through contracts with nonprofit agencies. Approximately 300 children will be served through the subsidy and contracts with specialized services providers programs for a one-year period.
Once approved, eligible parents would be able to select a childcare provider, regardless if the provider is listed in Exhibit A. Any childcare provider not listed in Exhibit A, will be reviewed by the City to ensure the provider meets the requirements of the ECOSTS Program prior to receiving any payments. If the provider agrees to accept the funds from the City of Dallas, and follows all ECOSTS Program requirements, they will be added to the list during the year. If childcare allotted funds from the City of Dallas are not spent, such remaining funds may be directed to other fully licensed childcare providers selected by eligible parents, including, to potentially increase contracts with these providers.
If approved, this item will allow the City to enter into contracts with fully-licensed childcare service providers listed in Exhibit A, and will also allow the City to enter into contracts with other fully-licensed childcare providers that are selected by eligible parents not listed in Exhibit A, subsequent to the passage of the resolution, as long as the childcare provider meets the requirements of the ECOSTS Program.
Effective October 1, 2025, the Office of Community Care and Empowerment, the Office of Homeless Solutions, the Office of Equity and Inclusion, and the Department of Housing and Community Development will merge and become the new Office of Housing and Community Empowerment.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On May 28, 2025, the City Council held a public hearing to receive comments on the Proposed FY 2025-26 HUD Consolidated Plan Budget for U.S. Department of Housing and Urban Development (HUD) Grant Funds by Resolution No. 25-0867.
On August 6, 2025, the City Council authorized the final adoption of the FY 2025-26 HUD Consolidated Plan Budget for the U.S. Department of Housing and Urban Development (HUD) Grant Funds; and authorize final adoption of the FY 2025-26 HUD Consolidated Plan Budget for HUD Grant Funds in an estimated amount of $29,886,873 for the following programs and estimated amounts: (a) Community Development Block Grant (CDBG) in the amount of $12,944,689; (b) HOME Investment Partnerships Program (HOME) in the amount of $5,082,901; (c) Emergency Solutions Grant in the amount of $1,144,567; (d) Housing Opportunities for Persons with AIDS in the amount of $10,014,716; and (e) estimated CDBG and HOME Program Income in the amount of $700,000 by Resolution 25-1185.
The Community Development Commission’s Public Services, HOPWA, and ESG Subcommittee was provided an update at their August 18, 2025 meeting.
FISCAL INFORMATION
|
Fund |
FY 2026 |
FY 2027 |
Future Years |
|
Community Development Block Grant Fund |
$550.000.00 |
$0.00 |
$0.00 |