PER-2026-4420

The audit evaluated the Division of Child Development and Early Education’s oversight and monitoring of child care centers for Fiscal Year 2025. In 2025, North Carolina had more than 5,100 licensed child care facilities serving over 213,000 children with a direct cost of more than $2 billion. The audit find that annual compliance visits did not consistently meet unpredictability requirements.

Although the audit primarily focused on oversight and monitoring, it also identified several issues for parents to consider when evaluating a potential care provider, including

• The delay in child care center star ratings.
• Delays parental notification of violations.

Details about each item are provided in the Findings and Recommendations and Matters for Further Consideration sections of the report.

The Division disagreed with the findings and recommendations, and its formal response is included in the report. However, the report includes a State Auditor’s response to ensure readers are not misled.