Spring - Klein Edition | December 2023

BY WESLEY GARDNER

A closer look

Looking ahead

Nationwide child care costs

$5,520 lost by families per working parent in reduced earnings due to insucient child care access and time spent looking for work if they’re red as a result, totaling roughly $78 billion annually $1,640 lost by businesses per working parent in reduced revenue and in extra hiring costs, totaling roughly $23 billion annually $1,470 lost in tax revenue per working parent due to decreased income tax revenue and decreased sales tax revenue from reduced spending, totaling roughly $21 billion annually

While Kofron said she was disappointed the state Legislature failed to approve an additional $2.29 billion for early child care that was originally included in the state’s budget, she pointed to a handful of bills that were approved aimed at assisting child care providers in Texas. Child care bills approved in 2023 Senate Bill 1145 Allows local tax authorities to give property tax relief to some child care programs House Bill 2729 Lowers hiring qualications for pre-K teachers at child care centers partnering with local school districts House Bill 1615 Helps child care centers become eligible to partner with local school districts to provide care for pre-K aged students

Kofron said the industry could take an additional hit with the loss of federal relief funds. According to the nonprot’s report, the relief funds helped support more than 80% of the existing child care centers in Texas. “Really, what that extra money provided was a bedrock of funding that allowed centers to pay their sta more—to be able to keep tuition lower for families,” Kofron said. “That money is gone now.” Sandy Priska, Klein-Spring Montessori School director and co-owner, said she was able to use the relief funds to provide her sta with additional incentives and training opportunities. “We really poured a lot of money back into the sta,” Priska said. Statlander said the additional money helped keep her business aoat and allowed her to keep tuition rates around $300 per week. She has since main- tained that tuition, but she said she isn’t sure how long her business can survive at reduced capacity while maintaining that rate.

SOURCE: COUNCIL FOR A STRONG AMERICACOMMUNITY IMPACT

Kofron noted the loss of federal funding coupled with the rising cost of ination could lead child care providers to raise tuition rates that are already too high for many families, which could have adverse eects on other sectors of the economy. According to an March economic impact analysis by nonprot Council for a Strong America, the nation’s child care crisis now costs an estimated $122 billion in lost earnings, productivity and revenue from parents, businesses and taxpayers every year.

SOURCE: TEXAS LEGISLATURECOMMUNITY IMPACT

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