The year ahead: Afterschool and summer policy landscape for 2026

What might we expect in 2026? Here are our topline takeaways: 

• Safe to say, we’ll see continued challenges and changes to federal funding and agency operations. At the same time, we’re following a few emerging opportunities. 
   
• In Congress, mid-term elections will consume members’ attention as we get closer to the fall, and partisan rhetoric will amplify. On the flip side, Congress will aim to be very productive in the first half of the year to wrap up business— and so far, they seem to be making progress. 
   
• In states, momentum for funding is strong but budget trends unfortunately are not. 

The Administration

Funding freezes and additional requirements to access federal reimbursement: We are entering the year with at least two challenges to existing funding: for childcare programs and full-service community schools. There could be additional funding challenges during 2026 like we saw last year with AmeriCorps funding pauses in the spring and the withholding of 21st Century Community Learning Centers and other federal education funding in July of 2025.

Dismantling the Department of Education: The six interagency agreements between the Departments of Education (ED) and the Departments of Labor (DOL), Interior, Health and Human Services, and Department of State announced last November that moves programs out of ED could proceed this year. The 21st Century Community Learning Center (21st CCLC) initiative that funds local afterschool and summer learning programs is one of the programs slotted to move to DOL. Of particular concern is the staffing for 21st CCLC and the grant management and funding infrastructure which will differ from the customized system used by ED.

New Education Tax Credit: Be on the lookout during the first half of the year for an opportunity to comment on the Department of Treasury’s proposed regulations for the new education tax credit scholarship program. Initial comments on the program were collected in December, and the program is expected to take shape over the year ahead in anticipation of “going live” for the 2027 tax year. The programs could increase access to afterschool (and summer?) programs by providing parents with scholarships to cover the cost of programs fees.

Make America Healthy Again: We could see movement on the Make America Healthy Again recommendations which included emphasizing physical activity in afterschool and summer programs. In a year that will include North America hosting the World Cup, look for policy and awareness opportunities to highlight the role of afterschool and summer programs in encouraging youth participation in sports.

Congress

Appropriations: The federal appropriations process promises to have challenges but also opportunities. Congress has to finish FY 2026 funding bills with three complete and 9 pending. The FY 2027 budget proposal from the Administration is expected in late February or March and could echo a lot of the themes and proposed cuts we saw in the President’s FY 2026 proposal. Members of Congress will again need to hear from friends of afterschool and summer programs about the value and importance of investing in these programs.

Mid-term elections: Mid-term elections in November could initially increase Congressional action then slow it down as we get closer to Election Day and the atmosphere gets more political and partisan. The first two weeks of the year have seen a flurry of Congressional action, including addressing some issues that have been pending for years, which bodes well in terms of making progress on things like appropriations bills. Typically, in a mid-term election year Congress goes on recess for some time in October to allow members to campaign, shortening the calendar for legislative action.

Other Congressional activity: Congress could possibly take up other items related to afterschool and summer such as:

• Reauthorization of the Workforce Innovation and Opportunity Act – although this remains uncertain
• Addressing waste, fraud and abuse in a range of federal programs
• Weighing in on Interagency Agreements between Department of Education and other agencies
• Data privacy and policies impacting technology platforms and social media companies, including heightened scrutiny around child online safety and other privacy issues

States
At the state level we expect funding challenges and opportunities. Most states are starting new legislative sessions this month; some are short, while others last into the summer and fall. The momentum of the last few years in increasing the number and amount of state funding for afterschool and summer may slow a bit this year as some states are struggling with balancing their budgets. Additionally, changes to Medicaid and the federal tax code enacted last year as part of HR 1 could result in major federal funding losses and budget shortfalls at the state level. That said we continue to see signs that governors and legislators of both parties in a wide variety of states view investments in afterschool and summer programs as critical to supporting students and families.

As the saying goes, we can and should expect the unexpected. There will be surprises again this year and challenges that we will need to confront as a field. We can also expect afterschool and summer programs, staff, leaders, intermediaries, networks and supporters to meet those challenges and overcome them. We look forward to working together to seize the opportunities and address the challenges and continue moving forward.