Harrisburg, PA – The Pennsylvania Department of Human Services (DHS) announced the third round of the Keystone STARS Continuous Quality Improvement (CQI) Awards for child care programs, providing flexible dollars for providers use on program improvements, staff retention, facility upgrades. The funding opportunity is now open for all eligible certified child care providers in Pennsylvania to apply.
“Child care providers and early childhood education professionals are an invaluable workforce who foster the educational and social development of our youngest Pennsylvanians, and we must continue to invest in their success,” said DHS Secretary Dr. Val Arkoosh. “This award offers critical dollars with the flexibility to use it however is most impactful for their program, whether that be new technology, facility upgrades, or additional resources for staff.”
The Office of Child Development and Early Learning (OCDEL) is jointly overseen by DHS and the Pennsylvania Department of Education (PDE). Keystone STARS is OCDEL’s quality measurement for certified child care providers that measures and recognizes work of Pennsylvania early learning and school-age programs. OCDEL provides awards and financial supports, such as tiered reimbursement, to Keystone STARS 2, 3, and 4 providers as part of their comprehensive support programs for child care providers in the Commonwealth.
The Keystone STARS CQI Award is issued to eligible child care providers designated with a Keystone STARS 2, 3, and 4 rating through the regional Early Learning Resource Centers. The award is provided with federal Child Care and Development Fund (CCDF) funds for child care programs to maintain and invest in quality activities and expenditures that will positively impact children in care. In previous years, providers have used this funding to invest in outdoor educational opportunities for children by creating a garden, outdoor circle time area, and a nature kitchen.
Programs can use the Keystone STARS CQI Award funds for eligible expenses in the following categories:
- Staff qualifications and professional development
- Early childhood education program
- Partnerships with families and communities
- Leadership and management
- Accreditation costs
Governor Josh Shapiro knows providers are struggling to hire and retain staff — that’s why his 2025-26 proposed budget includes investments to retain and recruit child care workers and increase child care services for Pennsylvania families, including:
- $55 million to give eligible child care providers in Pennsylvania’s Child Care Works Program up to $1,000 for staff retention or recruitment bonuses
- $10 million to increase Early Intervention (EI) provider rates, to ensure every Pennsylvania child has the support and resources needed to succeed — regardless of family income
Providers should refer to the Keystone CQI Award FAQ for Providers for additional information on allowable expenses, exceptions for STAR 1 providers and other considerations.
Eligible providers should expect a Keystone STARS CQI Award Eligibility and Acceptance Letter in early September 2025 that includes the total award amount they are eligible for. To receive the funds, eligible providers must respond to the letter on or before December 1, 2025.
Find more information about the Keystone STARS Continuous Quality Improvement (CQI) Awards.