Cuts to Child Care Subsidies

Last Thursday, August 12th, Governor Gregoire outlined a number of spending reductions based on the potential shortfall in this current fiscal year’s budget.  As Governor Gregoire stated, “We were able to dodge a bullet” due to President Obama signing a $26 billion bill that sends money to cash-strapped states, including $338 to Washington for Medicaid match money and $205 million for education jobs.  However, Washington State still faces a budget deficit and warnings to prepare for future across the board cuts to state agencies of 4-7% .

At her press event, Governor Gregoire announced next steps for our state’s budget, including cuts to the WorkFirst budget, Washington State’s welfare-to-work program.  Of great concern to School’s Out Washington are the cuts made to the Working Connections Child Care Program, part of the WorkFirst budget which helps families pay for child care.   Currently, families at 200% of the Federal Poverty Line are eligible to receive subsidies through the Working Connections Child Care Program.  Effective October 10, 2010, the income eligibility will be reduced to 175% of the Federal Poverty Line.  The Department of Social and Health Services estimates that 2,500 families will no longer qualify for child care subsidies. 

While child care policy is often thought of as an early learning issue, in Washington State, child care programs serving school-age children up to age 12 are licensed by the Department of Early Learning and able to accept child care subsidies.  According to the Afterschool Investments Project Profile of Washington State, 36.1% of children receiving child care subsidies in our state are ages 5-12.   This issue matters and greatly impacts those of us working and serving young people in the afterschool field. 

School’s Out Washington will be working with partner organizations to prevent more cuts to the Working Connections Child Care Program.  With a glim budget future ahead of us, it will be an uphill battle, but we will keep advocating to preserve state services that support our working families with school-age children.