Lots of places around town are showing free or very inexpensive kids movies in the morning.
Here are the ones I know about:
Regal Cinemas offering free kids movies on Tuesdays and Wednesdays, starting at 10am (call to confirm). To see the list of movies, go to this link and then pick your state:http://www.regalcinemas.com/freefamilyflicks/index2.jsp
Cinemark Movies 8 (behind the Hooters on San Mateo) has $1 kids movies on Tuesdays & Wednesdays at 9:30am all summer. The movies are a dollar each or if you buy in advance you can get 10 tickets for $5. http://www.cinemark.com/marketing/smc2006/14.html