Merced, CA Home Business: Home Daycare (2026)

Family day care homes are broadly protected in the City of Merced because state law preempts most local regulation. The Zoning Code's residential land use table, MMC Section 20.08.020, lists "Day Care Home Facilities, Small (1-8 children)" and "Day Care Home Facilities, Large (9-14 children)" as Permitted (P) uses in residential zoning districts, and MMC Section 20.28.020.A.3 expressly recognizes "state-licensed small family day care homes of one (1)-eight (8) children, and state-licensed large family day care homes of no more than fourteen (14) children" as permitted residential accessory uses. By contrast, a commercial "Day Care Center" is not permitted (X) in residential zones and must locate in appropriate commercial or other districts. The City's definitions in MMC Section 20.90.020 mirror state thresholds: a small family day care home serves eight children or fewer and a large family day care home serves nine to fourteen children, in both cases including the provider's own resident children under age ten. These local provisions track California Health and Safety Code Sections 1597.40-1597.46 (as amended by SB 234), which declare that the use of a home as a small or large family day care home is a residential use and a use by right for all local ordinances, preempt local zoning, building, and fire rules governing such homes, and prohibit a local jurisdiction from imposing a business license, fee, or tax for the privilege of operating one. Family day care homes are licensed by the California Department of Social Services, Community Care Licensing Division.