The state's Child Care Assistance Program is up against a nearly $300 million funding shortfall in the current fiscal year and "state-funded payments to the program will cease this month unless a responsible solution and appropriate funding source is found," according to the Rauner administration.
In a Thursday letter to child care providers, the state Department of Human Services said only federal funds are currently available to pay for the program.
"This means that we are unable to make CCAP payments to providers until the latter part of the month, which is when we receive our Federal funding," the letter reads. "Because the allocation of Federal funding is not enough to pay an entire month, unpaid bills will be carried over to the next month and payment delays will get progressively longer each month."
The Rauner administration asserts that the funding problem stems from last year's budget, which "did not provide adequate funding for the entire Fiscal Year 2015."
Gov. Bruce Rauner told the Chicago Tribune on Thursday that he is looking into ways to address the issue, but did not offer specific details on a potential solution.
"Working closely with the General Assembly, we are going to make sure that we do the reallocations necessary to make sure the essential services of government stay open and functioning," the governor added.