PHOENIX (AP) — For parents required to be at work yet unable to cover the high costs cost of child care Federally funded scholarships can serve as a crucial support system. Offered via state childcare assistance initiatives, these scholarships can determine whether a parent is able to work full-time—or not at all.
However, more eligible families are now facing rejection due to escalating childcare expenses and the cessation of pandemic-related financial support. Some families previously benefiting from scholarships have also lost this aid. Parents applying in three states—Arizona, Colorado, and Texas—are confronted with extensive waiting lists. Meanwhile, several other states like Nevada and Oklahoma have either raised co-payments for parents or announced plans to assist a smaller number of children, as reported by an advocacy organization. Child Care Aware of America In Idaho, registrations were temporarily halted for some of the previous year.
The previous week, the Trump administration dismissed several workers who assisted states in providing childcare support. This move has caused concern among advocates regarding the prospects of federal childcare initiatives.
"What this signifies is that fundamentally childcare will become less secure, more costly, and increasingly difficult to locate," stated Ruth Friedman, formerly the head of the Office of Child Care during ex-President Joe Biden's administration.
Reduced childcare support, planned government employee cuts
As part of Trump's sweeping cuts To the federal government, the administration cut positions within the Office of Child Care, an entity responsible for managing federal child care subsidies and ensuring that states adhere to safety regulations.
In five out of the ten regional offices, all personnel have been let go, as well as additional staff at the main headquarters located in Washington. This affected workers responsible for maintaining federal standards for childcare facilities and ensuring that subsidies were utilized efficiently. These individuals collaborated with various states to implement measures requiring criminal record checks for those employed in childcare roles. Additionally, they played a crucial role in protecting these programs against misuse and fraudulent activities.
Throughout the pandemic, Congress sanctioned unprecedented funding to support the childcare sector, acknowledging its crucial role in reviving economic activity. The states were allocated $24 billion to aid caregivers in increasing salaries, purchasing masks and air purifiers, and training personnel, along with an additional $15 billion designated for childcare assistance scholarships.
The funds expired in September. Congress declined to extend it , even with support from Biden and childcare advocates. Since then, several states have tried to proceed with their own taxpayers' funds However, many states like Arizona have discontinued their special pandemic-era initiatives, including those that assisted teachers with childcare costs. As a result, parents applying for standard childcare support in Arizona now face long waiting lists without an apparent resolution in view.
There's a significantly greater demand than available funding," stated Kim Kofron from the Texas-based organization Children at Risk. "We understand that all these families are ready to contribute their efforts.
Not qualified for scholarships anymore — or placed on the waiting list
In Phoenix, childcare worker Janeth Ibarra wouldn’t have had to pay anything last year for caring for her twin boys due to receiving a specific scholarship aimed at professionals in her sector. However, this year, as her earnings now make her eligible for standard state childcare aid, she faced challenges when the funds allocated to the program were insufficient. Consequently, early this year, she found herself on a waiting list.
Currently, Ibarra, who is 22 years old, makes $16.50 per hour and pays over $1,200 monthly for childcare, following a significant reduction provided by her employer.
“Ibarra stated that even with overtime work, making ends meet is still a struggle.” Towards the end of last year, she was forced to use up her remaining savings to buy specialized formula for one of her children, as this expense wasn’t included in her food assistance benefits. In an effort to cut costs, she attempted to increase breastfeeding.
In Idaho, where legislators in 2023 declined pandemic relief funds designated for childcare, the state halted acceptance of new applications for its childcare assistance initiative. Upon reopening the application process, they imposed stricter income limits. Currently, eligibility is restricted to families earning below 130% of the federal poverty level, which equates to an annual income of $41,795 for a household of four. Previously, households with a yearly earnings cap of $56,000 were eligible for financial support through scholarships.
In Colorado, a dozen counties halted the acceptance of new applications for the state's child care assistance program as they had exhausted their funds. The Colorado Sun reported .
Trump cites tariffs as an answer to childcare issues
Trump has been unclear about his proposals to reduce childcare costs During his election bid, he stated that he was of this belief. tariffs could generate "trillions of dollars." He also mentioned that child care, "in relative terms, isn’t overly costly when compared to the figures we’re looking at."
Economists, though, have warned tariffs It might lead to dramatically higher costs for various household items, putting pressure on family finances, and there would likely not be sufficient funds remaining for the government to invest should Trump effectively enforce significant tax reductions. Supporters worry that child care financing may decrease as the president aims to reduce the size of the federal administration.
For states aiming to sustain child care assistance scholarships, the expenses associated with these programs have escalated. Given that numerous childcare providers function at slim profit margins, the Biden administration has boosted the funding they get for each scholarship student enrolled.
All this indicates that the issues plaguing the childcare sector haven’t necessarily subsided due to the pandemic, stated Karen Schulman, who serves as the senior director for childcare policy at the National Women’s Law Center.
"The crisis has been ongoing well before COVID," Schulman stated, highlighting the unaffordable cost of care for numerous families as well as the meager wages received by those working in childcare.
Choosing between options to cover childcare costs
Despite efforts, caregivers find it difficult to turn a profit, and childcare remains unaffordably costly for numerous households. research on 2022 childcare costs The Labor Department discovered that the median expense for caring for an infant in a center was over $15,600 in large counties—surpassing the typical rental price in numerous areas.
After Brooklyn Newman separated from her spouse, she relocated with her two sons, aged 2 and 4, into a trailer as they started rebuilding their lives. As a parent in Phoenix, she was keen on enrolling her elder child in preschool to provide some routine during this challenging time. However, she couldn’t manage the fees for her younger son’s education until the preschool offered her a scholarship supported by pandemic relief funds.
Given that both boys were attending school part-time, Newman was able to increase her work hours as a freelance business analyst. However, once the scholarship concluded, she faced an additional financial burden of paying $1,000 monthly for preschool fees. This led her to make a difficult decision: balancing evening jobs alongside caring for her kids at home—thus reducing the amount of meaningful time spent with them—to ensure they could keep attending preschool.
"I'm always glued to my computer, pouring out all I have," Brooklyn remarked earlier this year, her voice growing tense with feeling. Sometimes, her boys will sneak away with her computer mouse to prevent her from working.
However, she notices development from their early years in preschool — improvements in their vocabulary, self-assurance, and interactions with educators and peers. "It's incredible to witness their progress. That's what makes me strive to keep them enrolled."
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Moriah Balingit from The Associated Press