PILLAR: Vibrant
AGENDA DATE: September 23, 2026
COUNCIL DISTRICT(S): Citywide
DEPARTMENT: Office of Housing and Community Empowerment
PRIORITY: N/A
______________________________________________________________________
SUBJECT
Title
Authorize (1) execution of contracts with fully-licensed childcare providers (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 October 1, 2026 through September 30, 2027; (3) approve the ECOSTS Program Statement (Attachment A); and (4) approval of the ECOSTS Policy and Procedures for Providers and Parents (Subsidy Program Only) (Attachment B and C) - Not to exceed $550,537.00 - Financing: 2026-27 Community Development Block Grant Fund
*In alignment with Drivers of Opportunity Framework.
Body
BACKGROUND
On June 24, 2026, the City Council authorized final adoption of the FY 2026-27 HUD Consolidated Plan Budget for U.S. Department of Housing and Urban Development (HUD) Grant Funds by Resolution No. 26-1077. The grant funds are available beginning October 1, 2026, contingent upon approval of the City’s FY 2026-27 Action Plan and execution of grant agreements with HUD. The FY 2026-27 HUD Consolidated Plan Budget includes a budget line item for the ECOSTS Program, in an amount not to exceed $650,537.00. The funds can be distributed as follows:
• $550,537.00 - Childcare Providers including one full-time employee
• $100,000.00 - Children Experiencing Homelessness and/or Children with Special
Educational and Physical Needs
The ECOSTS Program (Subsidy Program Only), administered by the Office of Housing and Community 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 programs for special populations, which may include daycare children with special needs (such as children with physical and mental disabilities) and children who are experiencing homelessness, through contracts with nonprofit agencies. Approximately 200 children will be served through the subsidy and homeless/special needs 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 follow 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.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On June 10, 2026, the City Council authorized and held a public hearing to receive comments on the Proposed FY 2026-27 HUD Consolidated Plan Budget Grant Funds by Resolution No. 26-0991.
On June 24, 2026, the City Council authorized the final adoption of the FY 2026-27 HUD Consolidated Plan Budget for HUD Grant Funds in an estimated amount of $30,460,978.92 for the following programs and estimated amounts: (a) Community Development Block Grant (CDBG) in the amount of $12,758,917.00; (b) HOME Investment Partnerships Program (HOME) in the amount of $5,085,781.92; (c) Emergency Solutions Grant in the amount of $1,137,702.00; (d) Housing Opportunities for Persons with AIDS in the amount of $10,778,578.00; and (e) estimated CDBG and HOME Program Income in the amount of $700,000.00, by Resolution No. 26-1077.
The Quality of Life, Arts, and Culture Committee was briefed by memorandum regarding this matter on September 14, 2026. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=15845256&GUID=E70A95B7-F243-4BEF-AEE1-A916836CAC16>
FISCAL INFORMATION
|
Fund |
FY 2026 |
FY 2027 |
Future Years |
|
2026-27 Community Development Block Grant Fund |
$0.00 |
$550,537.00 |
$0.00 |