Skip to main content
See every side of every news story
Published loading...Updated

Review Finds Little Fraud in Texas Child Care Spending

Texas reported an improper payment rate of 0.44% in child care scholarships, equivalent to about $4.3 million of nearly $990 million, with ongoing anti-fraud measures and enhancements planned.

  • A report ordered by Governor Greg Abbott found Texas's child care scholarship program had a 0.44% improper payment rate, equivalent to about $4.3 million of the more than $990 million budget.
  • Abbott's directive followed unverified claims by YouTuber Nick Shirley of a $110 million fraud scheme in Minnesota, which triggered federal funding freezes in five states.
  • To enhance oversight, Texas is now requiring all providers to use one child care management system and flagged 125 of approximately 7,500 facilities as high-risk during the investigation.
  • Kathlyn McHenry, director of state government relations for the Early Care and Education Consortium, warned the single-system requirement creates an 'unfunded mandate' without evidence preventing fraud.
  • The Texas Senate Health and Human Services Committee is seeking public recommendations on fraud prevention to improve the child care and Medicaid systems.
Insights by Ground AI

12 Articles

Associated Press NewsAssociated Press News
+7 Reposted by 7 other sources
Lean Left

After Minnesota scandal, Texas reviewed its child care spending. It found little fraud.

Less than half a percent of federal money spent on child care scholarships in Texas was considered “improper,” a new report ordered by Gov. Greg Abbott found.

·United States
Read Full Article
Think freely.Subscribe and get full access to Ground NewsSubscriptions start at $9.99/yearSubscribe

Bias Distribution

  • 46% of the sources are Center
46% Center

Factuality Info Icon

To view factuality data please Upgrade to Premium

Ownership

Info Icon

To view ownership data please Upgrade to Vantage

The Texas Tribune broke the news in Austin, United States on Friday, March 27, 2026.
Too Big Arrow Icon
Sources are mostly out of (0)

Similar News Topics

News
Feed Dots Icon
For You
Search Icon
Search
Blindspot LogoBlindspotLocal