States are anticipated to see a significant drop in Emergency Child Care investment beginning September 30, the expiration date for pandemic-era funding that has helped stabilize the market over the last two years. According to The Century Foundation, the funding drop for Emergency Child Care could result in the elimination of 70,000 programs and more than 3 million child care places.
Emergency Child Care Fund (Photo: njymca)
Emergency Child Care Has Long Been Pricey and Not Accessible To Many Americans
According to USA Today, emergency Child Care has long been pricey and not accessible to many Americans, costing parents on average more than $10,000 per year, while more than half of the population lives in “child care deserts” with insufficient supply.
Advocates for the industry warn that the situation of Emergency Child Care could worsen in the coming months.
States are expected to experience a major decline in Emergency Child Care investment beginning September 30, when pandemic-era funding that has helped stabilize the market over the last two years expires.
According to The Century Foundation, the reduction in financing for Emergency Child Care might result in the abolition of 70,000 programs and over 3 million child care places.
READ ALSO: Harris County Commissioners Approve The Ballot For The $2.5B Harris Health Bond
Budget for Emergency Child Care
As per the recent article published by Yahoo Finance, the US Health and Human Services Department stated that, the $24 billion Emergency Child Care Stabilization Program, passed through the American Rescue Plan of 2021, provided money to more than 220,000 Emergency child care programs and impacted up to 9.6 million children. Health and Human Services Department.
More than 80% of licensed child care centers across the country received assistance, with funds used to pay expenses such as personnel costs, rent and utilities, and PPE.
The American Rescue Plan also included $15 billion in funding to extend the Emergency Child Care and Development Block Grant, which assists low-income families with Emergency child care costs. This financing for Emergency Child Care will run out at the end of September 2024.
The additional funding, according to Melissa Colagrosso, CEO and senior director of A Place To Grow Children’s Center in West Virginia, allowed the child care center to staff up by offering bonuses and make “much needed” infrastructure improvements, such as lighting updates and replacing outdated HVAC systems.
Colagrosso has been administering the facility since 1995, but she is unsure whether she will be able to keep it going once additional funds for Emergency child care run out.
