HARRISBURG, PA — Pennsylvania’s Department of Human Services on Tuesday announced the delayed opening of the 2025-26 Low-Income Home Energy Assistance Program, while also rolling out major new investments aimed at stabilizing the state’s strained child care workforce. Together, the moves represent some of the most consequential family-support initiatives of the Shapiro Administration to date.
LIHEAP Season Opens After Federal Shutdown Delayed Funding
The LIHEAP season will begin accepting applications Wednesday, December 3, running through April 10, 2026. The federally funded heating assistance program — normally launched in November — was postponed after the government shutdown halted block grant disbursements. The Trump Administration released the funds in late November after the shutdown ended.
To protect residents during the delay, Governor Josh Shapiro coordinated with the Public Utility Commission and utility companies to trigger the winter shutoff moratorium a month early, on November 1, ensuring vulnerable households did not lose heat as temperatures dropped.
“Pennsylvanians deserve the safety and health benefits that come from being able to heat their homes and keep themselves and their families warm through the winter,” DHS Secretary Dr. Val Arkoosh said.
The 2025-26 LIHEAP season will provide cash grants ranging from $200 to $1,000 and crisis grants from $25 to $1,000. Eligibility is set at or below 150 percent of the Federal Poverty Limit. Last season, nearly 293,000 households received cash benefits averaging $291, and more than 128,000 received crisis grants averaging $523.
Applications can be submitted at dhs.pa.gov/COMPASS or by calling 1-866-550-4355.
New $25 Million Plan Targets Severe Child Care Workforce Shortages
DHS also highlighted the launch of the state’s new $25 million Child Care Staff Recruitment and Retention Program, established in the 2025-26 budget to address persistent shortages across the early learning sector. The program will provide $450 bonuses to roughly 55,000 workers at Child Care Works providers beginning in early 2026.
“High quality child care helps our children grow and thrive while allowing parents to work and participate in our economy,” Arkoosh said during a visit to Little Learners CDC Academy in Harrisburg. “Our dedicated, passionate child care workers are the ones who make that possible.”
More than 300,000 children participate in Pennsylvania’s early learning and child care system annually, including about 94,000 subsidized through Child Care Works. But with an estimated 3,000 unfilled positions statewide, providers have been forced to close classrooms or reduce enrollment.
Administrators say competitive wages remain a major barrier to hiring and retention — a challenge the new bonuses are designed to ease.
Budget Expands Pre-K Counts, Early Intervention, and Tax Credits
The 2025-26 budget also includes:
- A $7.5 million increase for Pre-K Counts to boost wages for early educators.
- A $13.2 million increase for Early Intervention’s Infants and Toddlers program, with $10 million earmarked for provider rate increases.
- Continued matching of federal dollars to bring total Early Intervention funding to $22.6 million.
These efforts build on earlier Shapiro Administration actions, including raising Child Care Works reimbursement rates to the 75th percentile of private pay for the first time — a federal best-practice benchmark.
The administration has also expanded statewide tax credits supporting working families, including:
- A historic expansion of the Child and Dependent Care Enhancement Tax Credit, increasing the maximum benefit from $630 to $2,100.
- Creation of the Employer Child Care Contribution Tax Credit.
- The new Working Pennsylvanians Tax Credit, modeled on the federal earned income tax credit, which will deliver $193 million to 940,000 residents next tax season.
Providers Say Investments Are Arriving at a Critical Moment
Little Learners CDC Academy Director Denise Metzger welcomed the new support, saying it may finally help stabilize a workforce that has struggled with low pay and high turnover.
“We are deeply grateful that our Governor recognizes how essential child care is to families, the workforce, and the broader economy,” Metzger said. “This continued investment will help strengthen employee recruitment and retention, allowing us to maintain a stable, high-quality team.”
Pennsylvanians seeking information about certified child care providers can visit findchildcare.pa.gov.
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