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We examine the effect of state-specific policies on early education centers’ participation in the child care subsidy system. Relying on a nationwide sample of centers and state subsidy policies, we use propensity score matching to create comparable groups of subsidy centers and non-subsidy centers based on a series of center and community-level predictors of subsidy participation. Logistic regression models using the matched sample demonstrated that state-specific subsidy policies impacted subsidy participation. Specifically, as the state subsidy reimbursement rate increased, centers were more likely to accept subsidies. Other policies that increased revenue for centers (e.g., tiered reimbursement), were associated with subsidy participation. Results suggest there may be meaningful actions and policies states can implement to incentivize ECE centers’ subsidy participation.