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NYC moves quickly to register childcare providers after delays threatened Mamdani's 2-K rollout

Cayla Bamberger, New York Daily News on

Published in News & Features

NEW YORK — Almost two months into the school year, the vast majority of New York City’s thousands of early childhood contracts have now been registered, paving the way for providers to be reimbursed after late payments threatened to derail Mayor Zohran Mamdani’s signature childcare programs, according to new data released Friday.

City Comptroller Mark Levine said in a news release that his office has registered 1,144 of the 1,191 submitted contracts — or roughly 96% — so that funding can reach childcare workers who coordinate with the city to provide 2-K, 3-K and Pre-K services.

“Small providers who already operate with little financial cushion were forced to start the year under immense strain due to the logjam in getting their contracts processed,” Levine said in a statement. “I’m incredibly proud of my Office’s work to register these contracts at a heroic pace to ensure these providers were paid for their critical services.”

The comptroller said his office did not even receive 80% of childcare contracts until after August, all but ensuring payments would come later than the first day of school on Sept. 10. To prevent further payment delays, the comptroller’s office said it “swiftly processed” the contracts once submitted, averaging a 5-day registration period, compared to 30 days as required by the city charter.

The city’s early childhood system has long been plagued by late payments, which got renewed attention this school year as Mamdani prepared to launch his signature free daycare program for 2-year-olds.

This year’s payment delays even pushed some childcare providers to the brink of closure.

 

While past administrations have tried — and failed — to resolve the issue, Mamdani and his top aides have proposed their own ideas to guarantee on-time payments once and for all. Most recently, the deputy schools chancellor for early childhood education told the Daily News she is working on a new management system to simplify the payment process.

“I know that it can be done, and that we are working on the systems to make that happen,” Deputy Chancellor Erica Phillips said in an interview last month.

The comptroller said there remain outstanding contracts that have yet to be submitted to his office, with a total of 1,550 contract actions expected this fiscal year, according to the news release. Officials pledged to complete all registrations by the end of this calendar year.

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