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Hello Rapp Up! readers. Are you worrying about how to get affordable childcare so you, your spouse or partner can go to work to make ends meet and get ahead? Well, you are not alone! In fact, the National Database of Childcare Prices reports that “childcare expenses are untenable for families throughout the country”. A big part of the reason is that the U.S. ranks 35th out of 37 countries in early childcare and education funding among economically developed democracies. Our governments – federal and state combined – spend only about 0.3% of gross domestic product, less than half of the OECD average of 0.7%, on helping families with childcare. The result is that childcare in America suffers from both high operating costs and unattractive wages. For rural communities, longer travel distances makes the problem even worse. What can be done? Last week, New Rural Virginia’s interview with Congresswoman Wexton focused heavily on the challenges of childcare and family leave. This week we are following up with a conversation about the challenges of childcare from a rural practitioner’s perspective. Our guest is Lisa Paine-Wells, Executive director of The Child Care & Learning Center in Washington, VA. NewRuralVa: What is your initial reaction to this information? Ms. Paine-Wells: Couldn’t agree more about the need for high quality child care, paid family leave and the other programs for families with small children. Universal Pre-K could be a huge benefit to families who work, but the benefits for children depend on the kind of child care and pre-school facility they attend. I’ve been quoting the landmark Perry Preschool Project results forever, which showed that high-quality pre-school led to higher high school graduation rates, better jobs, higher earnings and fewer societal problems, and that the benefits were multi-generational. However, I was surprised (but shouldn’t have been) with the results of a recent Vanderbilt Study that showed that access to pre-school in and of itself may not produce durable advantages for children. It may depend on other factors. Quality preschools that are play and nature-based may better help children to become lifetime learners than more traditional schools designed for older children. As the Virginia Department of Education has taken oversight over from Social Services, there has been an emphasis on teaching to testing/assessments. I believe the emphasis needs to be on bringing out the child’s own thinking, imagining and self-expression for them to thrive further in their lives. That is what we strive to do here at CCLC. NewRuralVa: Please say more about the financial benefits of good child care. Ms. Paine-Wells: The lack of funding for an economic driver like child care is short-sighted. More women in the workforce could increase the US GDP at more than enough to offset the cost of federally-subsidized child care, such as was proposed as part of the Build Back Better legislation. A recent analysis by Moody’s, the financial analysis company, concluded that “the U.S. economy could get a $1 trillion boost over the next 10 years if female labor market participation grew to the levels seen in other developed economies.” NewRuralVa: How is federal money currently disbursed? Ms. Paine-Wells: A federal Child Care and Development Block Grant is distributed to the states and disbursed by local Departments of Social Services. The program funding was expanded during the pandemic and many of the restrictions and the parent copay were lifted. In Virginia, the new household income ceiling was set at $88,944 for a family of four or roughly 300% of the Federal Poverty Level., and it has so far not been ratcheted back. While this was a great start, there are still too few slots available. NewRuralVa: Where does CCLC’s funding come from? Ms. Paine-Wells: Tuition paid by parents covers about 50% of our budget, another 40% comes from government sources - the Federal block grants and a smaller portion from the State. The final 10% is from charitable giving by our very generous donor base. NewRuralVa: Many of us have heard about the low salaries that child care workers receive, and the high turnover to other better paying jobs. Ms. Paine-Wells: Yes, the national and Virginia state average is only about $14 per hour. At CCLC we pay a base of $17 per hour with a range up to $23 per hour. We have also started to offer health insurance, a 3% match to an employee retirement plan and we help pay for furthering employees’ education. We are dependent on a strong donor base to make that possible. So, our turnover is relatively lower. Most of our employees come out of high school and this is their first job. Child care is a very hard and demanding job, but we want to be their best first employer. NewRuralVa: Yours is a very farsighted and principled approach. Tell us what else is going on at the state level in Virginia and elsewhere to improve funding? Ms. Paine-Wells: Recent data shows that 74% of our child care centers are experiencing staffing shortages, and the lack of access to affordable child care keeps 68% of parents from working. But there has actually been a good amount of collaboration and progress in the Virginia state legislature. Successive study commissions on early childhood education have increased the rate paid to providers, and established more equitable copays from parents. This has not been altered so far by the Youngkin administration. There is legislation currently in the works (HB 1423) to create a commission to study how more broadly available child care could be implemented in Virginia. Across the country, one of the big wins recently was in New Mexico. Following the elections in late 2022, it became the first state in the nation to create a permanent fund for child care. It took a lot of door knocking, phone calls and text messages to amend the state constitution and elect a childcare-friendly Democrat as governor. About $150 million a year could be spent on early learning. The fund will make child care more affordable for hundreds of thousands of families in the state, and child care workers will win much needed wage increases. So, if this could happen in a poor state like New Mexico, everything is possible. New Rural Virginia’s editor’s note: Unaffordable and hard-to-find childcare has a direct impact on employment and earnings — one that continues even after children leave home as mothers and fathers fall behind early on in their careers as they scramble to get and keep jobs while caring for their kids. What can you do to help? Ask your elected officials in Washington and in Richmond whether they’re fighting for affordable, quality childcare, universal pre-K, paid family and medical leave, and expanding the Child Tax Credit. News Flash: The Biden administration just announced that companies receiving large federal subsidies under the CHIPS and Science Act must have a plan that ensures their employees and construction workers get access to affordable, high-quality childcare. The companies will be free to use some of the funding to build new facilities, subsidize existing ones, or find other ways to provide the childcares. The policy is designed to address acute labor shortages by helping women enter the workforce. To learn more: https://www.npr.org/2022/02/10/1079406041/researcher-says-rethink-prek-preschool-prekindergarten https://aspe.hhs.gov/sites/default/files/2021-08/cy-2018-child-care-subsidy-eligibility.pdf https://www.reuters.com/business/women-workers-could-drive-1-trln-rise-us-gdp-moodys-2022-03-08/ https://legiscan.com/VA/text/HB1423 https://www.washingtonpost.com/dc-md-va/2022/11/10/new-mexico-child-care-fund/ https://abcnews.go.com/Politics/commerce-department-requiring-chip-money-child-care/story?id=97521974
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