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flag A state-funded preschool program launched in 2026 is reducing private daycare enrollments and causing business closures.

flag A new state-funded preschool initiative launched in early 2026 has disrupted the private daycare market, with providers reporting sharp declines in enrollment and rising financial strain. flag The program, which offers free full-day preschool to children aged three to five, has drawn families away from private centers, particularly in urban areas. flag Many daycare operators say they lack the resources to compete with state-provided services, leading to closures and staff layoffs. flag Critics argue the plan undermines family choice and local businesses, while state officials maintain it improves access to early education and long-term child development outcomes.

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