Wednesday, July 1, 2009

More Stimulus Money For Daycare!




Another state has received additional funding - over $5 Million Dollars - to help low-income people help pay for child care! Those who are low-income may qualify for financial assistance from the state Department of Social Services to help pay for child care. Thousands of low-income parents in the state saw there child and daycare bills go down thanks to funding from the federal stimulus package.

For example one single mother's monthly child care bill decreased by $110! She will use that extra money to help pay other bills and to also help stimulate the economy by spending some of it in the local markets.

To qualify:

  • a family of two must have a monthly household income of $2,429 or less

  • a family of four, $3,675 or less


The funding is paid directly to the provider, and parents are responsible for a sliding co-payment, based on their income, which must be met before the subsidy is paid. In addition the funding will also provide two months of free day care for any qualified unemployed or dislocated workers in the state while they search for work!

According to one spokesperson, "There are growing numbers of families in this state who need help paying for child care while the parents look for jobs, and this program will be a tremendous help. This program will allow those families to breathe easier and focus on finding new employment."

These funding benefits are expected to last through September 2010.

Interested parents can contact any of the program's offices to verify eligibility and fill out applications. In one city, you can contact them by phone although the phone number is not a toll-free call.

This funding program also benefits the child care businesses themselves because it is they that receive the money! Says one daycare provider that provides 24-hour day care, "It means I can stay in business." Because of providing such a service the daycare provides has numerous clients with low-paying, shift-work jobs. Of the 24 children enrolled in her day care, 16 of them receive the subsidy, but she estimates 80 percent of her full-time clients are subsidized by the state.

Another part of this funding program will pay for one-time provider grants for equipment purchases and for training opportunities. The equipment grants range from $500 for registered day care homes to $4,000 for licensed day care centers. For example one daycare facility will apply for one of the $4,000 grants. Some of the things on their list are a train table and a double-sided art center. And as an added benefit, the grant money received will be spent locally to help stimulate the economy.

Between 30% and 40% of children at the daycare center receive child care assistance and many of the families have a co-payment of zero!