Where Will the Children Go? Child Care Cuts Leave Families with Few Options

Posted: 06 Jul 2010 07:35 AM PDT

by Stephanie Robinson, Intern,

National Women’s Law Center

Many parents across the country are unable to work because they can’t afford child care for their children, and help with child care costs is likely to become even harder to get. At least 12 states have made cuts to their child care programs, even with the availability of additional federal child care funding through the economic recovery package. As the economic recovery funds are used up, some of these states will make additional cuts, and additional states will start making cuts, leaving many more low-income families without the child care assistance they need.

Arkansas used the economic recovery funding to provide child care assistance to over 12,000 additional children and as a result reduced its waiting list for assistance. However, 5,000 children remain on the waiting list, and that list is expected to double now that the state’s economic recovery funds for child care have run out. As a result, some families with very tight budgets will be forced to come up with a way to pay for child care on their own. Some families will have no choice but to use lower-cost child care that may not offer the early learning environment their children need to get a strong start. Some parents will lose their jobs when unreliable child care arrangements fall through or when they cannot find affordable child care at all. This could ultimately lead some parents to turn to welfare in order to support their families, despite their desire to work.

Meanwhile, in Arizona, 13,000 children have been placed on the state’s waiting list for child care assistance since February 2009, and the list keeps growing. The Arizona Child Care Association and Early Care and Education Consortium recently released a video showing what these cuts mean for Arizona families relying on child care and child care providers trying to stay in business. Child care centers and classrooms previously filled with children are now closed and empty because of a lack of funding to help families pay for child care. The average annual cost of center care in Arizona is $6,626 for a four-year-old and $8,505 for a one-year-old. Few low-income families can afford these costs without some sort of financial help.

Unfortunately, what is happening in Arizona and Arkansas is not unique. With many states cutting child care and other funding in order to close budget gaps, low-income families and child care programs across the country are struggling. And the number of families without child care assistance and the number of child care programs forced to shut their doors are likely to increase unless additional federal child care funding is provided.

Restore Child Care Video and send messages to Arizona’s Leaders

Arizona child care providers urge elected officials to restore child care cuts.

More than 13,000 children have been denied child care assistance so far. But just who is impacted by this? The fact is, all Arizonans are! Check out this video message from child care providers to Arizona’s leaders.

Thank you to all ACCA and ECEC members who contributed to the video message.

Take Action: Help make sure Governor Brewer and all Arizona State Legislators see the video message!

1.     Watch the video above to see the impact of the waiting list.

2.     Click here  to urge Governor Brewer to reconsider the decisions to deny eligible families child care assistance

3.     Click here to urge your State Representatives and Senator to restore Arizona’s investment in child care!

If you would like to read more about how this effects Arizona families click here. Please read the Governor’s letter  ACCA sent on June 1, 2010  asking the Governor to restore child care to low income working families.

Over 13,000 children denied by “waiting” list

In February 2009, the State began turning away all eligible families and placing them on a “waiting” (denial) list.  The Governor and legislature will turn away all eligible children until at least June 2011, dramatically reducing child care for low income working families.  As families struggle in the current economy to provide for and protect their children, the State has stopped helping low income parents who want to work but cannot afford child care.  Reducing child care support jeopardizes the safety of children and is having a serious negative economic impact: reducing employment and damaging small businesses and non-profits. 

FAMILIES WANTING TO WORK ARE BEING TURNED AWAY WITH NO END IN SIGHT.  “Waiting’ makes no sense; parents are denied child care at the very time parents need help to accept a job or keep working.  The State provides child care for families with ties to welfare and CPS, but is phasing out subsidy for new parents wanting to work to avoid welfare:

• Before the waiting list, 48,300 children received a subsidy versus 32,118 in March 2010
• With 16,728 fewer children, the total subsidy program has decreased by 34% already.
• Over 13,000 children have been placed on the waiting list with 15,000 projected by June 2010. 
• By June 2011, overall 50-60% fewer children will receive a subsidy.
• 23,000 fewer children from low income working families will receive subsidy, a 76% reduction.

 

THESE PARENTS HAVE NO GOOD OR SAFE OPTIONS.  Families only seek State help with child care when they have no other options.  Without state assistance parents have no choice but to leave their children home alone or with siblings, or boyfriends, quit or reduce work hours, use caregivers who do not meet basic qualifications, or seek other more costly State aid to support their family.

CUTTING CHILD CARE COSTS MORE.  The cuts have increased unemployment.  Parents lose jobs when denied a subsidy and fewer children in care results in the elimination of teaching jobs. Employers do not hold low wage jobs for parents with no hope of getting off the turn away list. 

• At least 2,100 jobs in child care have been lost already.
• Over 3,000 child care jobs will be lost and over 4,500 total jobs will be eliminated.

 

PERMANENT DAMAGE TO CHILD CARE IN ARIZONA. Payment rates for providers who serve poor children have been pushed back to the cost of care in 2000 and parents’ required share of costs increased significantly. The dramatic decline of public support for child care jeopardizes the entire child care infrastructure that all working parents and employers rely on.  Reduced State support will continue to result in centers closing, particularly in low income neighborhoods.

  

We call upon the Governor and Legislature to find solutions to remove children from the denial list and serve all eligible low income parents who need child care assistance to work.  Protecting essential safety net work supports, allowing working poor families to place their children in safe settings is the right thing to do for children, families, and Arizona.