South San Francisco warns of after-school care cuts due to state funding dispute

By CBS Bay Area

SOUTH SAN FRANCISCO, Calif.(KPIX) – For Magaly, a single mother in South San Francisco, the after-school program her children attend is what makes her work schedule possible.

Magaly works at a mechanic’s shop from 9 a.m. to 5 p.m., and she says the hours often run longer. Her children’s school day ends around 2:30 p.m.

“We do need help taking care of our kids while we’re at work,” she said. “When I’m working, and I don’t have no one to look after my kids, this program is the one who helps me.”

But city leaders say afterschool programs, particularly those that are subsidized, could be at risk because of a long-running funding dispute with the state.

A dispute over a promised funding replacement

South San Francisco City Manager Laura Snideman said the state has failed to keep a commitment made years ago. 

“The state has broken a promise made many years ago to keep us whole,” she said.

According to Snideman, the roots of the problem go back to when drivers paid vehicle licensing fees that helped fund critical services in San Mateo County. When those fees were rolled back, the state put a replacement funding plan in place. County officials say that plan has stopped working as originally intended.

“We have been fighting annually for the money that we have promised and that we are owed,” Snideman said.

The county said it is facing a shortfall of nearly $230 million in expected state funding this year. Snideman said South San Francisco is one of 20 cities in San Mateo County facing a financial crisis as a result.

What could be affected?

Snideman said the city’s potential cuts would extend well beyond childcare. 

“Our police services, our fire services, childcare, after-school programs,” she said.

She noted that South San Francisco has more than 800 children enrolled in subsidized childcare programs. 

“We provide a great service,” she said. If the city does have to make cuts, she added, “it’s likely to increase the cost of childcare for parents.” 

She also said the educators who supervise children like Magaly’s after school could lose their jobs.

Lawmakers agree to negotiate, but details are unclear

State lawmakers have recently agreed to work toward a solution. The Legislature approved language in its 2027 budget trailer bill that allows officials to negotiate a new reimbursement plan for San Mateo County.

The details of that plan have not been made public, and Snideman said the uncertainty remains a concern. “We’re still very worried this funding is absolutely at risk,” she said, though she described herself as cautiously optimistic about the negotiations.

For parents like Magaly, the stakes are practical and immediate. She says affordable childcare lets families do more than get by. “We need these kind of programs,” she said.