Hirono, Colleagues Urge Congressional Action Ahead of Child Care Funding Cliff Following Warnings of Economic Consequences in New Report
WASHINGTON, D.C. – U.S. Senator Mazie K. Hirono (D-HI) joined Senators Patty Murray (D-WA), Bob Casey (D-PA), and Tim Kaine (D-VA) in urging congressional action to address the continued child care crisis and coming funding cliff, pointing to a new report released today by The Century Foundation (TCF). TCF’s report finds that on September 30, 2023, child care for millions of children and families nationwide could begin to disappear with dire consequences for children, families, early educators, and state economies. TCF projects that without congressional action, a projected 3.2 million child care slots could be lost and roughly 70,000 child care programs could close. Parents nationwide will be forced to either pay more for child care or pull their children from care and work fewer hours. Economic growth in all fifty states and the District of Columbia will suffer.
“The shortage of quality, affordable child care is a major challenge for families in Hawaii and across the country,” said Senator Hirono. “That’s why Democrats took action in the American Rescue Plan to keep our child care crisis from getting even worse. But with ARP funding for child care set to expire later this year, it’s critical that Congress act once again to prevent existing child care providers from being forced to close. Quality, affordable child care is critical for our children, families, and our entire economy—it’s time for Congress to act like it.”
Key projections from the report include:
- Approximately 3.2 million children could lose their child care spots as roughly 70,000 child care programs—one-third of those supported by stabilization funding—close.
- The loss in tax and business revenue could cost states $10.6 billion in economic activity per year.
- In addition, millions of parents will likely either leave the workforce or reduce their hours, costing families an estimated $9 billion each year in lost earnings.
- The child care workforce, which has been one of the slowest sectors to recover from the pandemic, could lose another 232,000 jobs.
- In five states—Arkansas, Montana, Utah, Virginia, West Virginia—and, as well as Washington, D.C.,—the number of licensed programs could be cut by half or more. In another 14 states, the supply of licensed programs could be reduced by one-third.
- In Washington state, more than 58,000 children could lose their child care spots.
Senator Hirono is a strong and consistent advocate for expanding access to high-quality, affordable early childhood education programs. In May, Senator Hirono reintroduced the Child Care for Working Families Act with Senators Murray, Casey, and Kaine. She and Senators Murray and Casey originally introduced the this bill during the 115th Congress (2017-2018), and reintroduced the legislation during the 116th and 117th Congresses. Earlier this year, Senator Hirono also led a letter with Senators Casey and Smith calling for strong funding for Head Start, Early Head Start, and other early childhood programs in FY24. In 2021, Senator Hirono helped pass the American Rescue Plan Act, which included $39 billion for child care programs in the United States—including nearly $130 million to support Hawaii child care programs.
###
