Daycare centers in urban and rural communities can apply for grants sponsored by several federal government agencies to purchase playground equipment. Grants cover the costs of purchasing and erecting playground equipment including labor and administrative expenses. Some grant programs require recipients to match percentages of their grant amounts with funds secured from other sources.

Child Care Development Grants

The Department of Health and Human Services (HHS) funds the Child Care and Development Block Grant program. Daycare centers are awarded funds to cover renovations and upgrades to its facilities to meet state and local standards. Grants are also used for developing and expanding child care activities to improve services provided by daycares. Up to five percent of the grants can be used for administrative costs.

Community Facilities Grant Program

Community daycare centers in rural towns of less than 20,000 are eligible for grants to purchase playground equipment under the Community Facilities Grant Program. Sponsored by the U.S. Department of Agriculture, the USDA, daycare centers and other facilities used for public safety, community and healthcare purposes are constructed or renovated using grants from the program. Rural areas with the lowest population and income levels receive higher priorities for grants. Up to 75 percent of the project costs are covered by grant funds.

Community Entitlement Grants

Neighborhood centers in urban areas, including daycares, are built or renovated with grants from the Community Entitlement Grants program. The Department of Housing and Urban Development, HUD, sponsors this program, which provides grants for communities to provide better living conditions and improve its economic development. Grants also cover construction and renovations to residential and non-residential structures and public facilities such as water and sewer systems. The Community Entitlement Grants program awards grants to cities and counties with over 50,000 and 200,000 residents, respectively.

Farm Housing Labor and Loans

The USDA funds the Farm Labor Housing Loans and Grants program. Farm operators and owners are awarded grants to construct or renovate housing units for its seasonal farm laborers. Recipients also use funds to build daycare centers and other facilities such as dining areas and laundromats. Only U.S. documented workers who makes most of their incomes from farming are eligible to used housing units and facilities. Up to 10 percent of the grants must be matched by applicants.