Legislation & Politics

AFSCME's Position – Fighting for Federal Child Care Funding

Background

The need for government-subsidized child care has increased dramatically as more women with children have entered the paid workforce.  Yet the families of only one out of seven children eligible for subsidized child care receive any help.  High-quality, affordable child care is too often unavailable for the families that need it most. 

The Bush Administration and the Republican leadership in Congress have ensured that child care will remain unavailable by freezing federal funding for child care services.  This has resulted in reduced child care availability as costs increase every year. 

Lack of funding for child care results in states paying inadequate reimbursement rates to child care providers.  They then often refuse to accept children who are on subsidies, limiting the choices for parents or cutting off access to good care completely.  Those providers who do accept the low rates are faced with cutting corners, likely by paying low salaries and benefits to their staff, thus precluding them from attracting and retaining highly-qualified employees.      

Summary of legislation

Funding for the Child Care and Development Block Grant (CCDBG) remains frozen for the fifth consecutive year, and the House Labor-Heath and Human Services (HHS)-Education Appropriations Committee is seeking to freeze it for yet another year.  Changes to the Temporary Assistance for Needy Families (TANF) program contained in the Deficit Reduction Act of 2005 require a 69 percent increase in the number of low-income families that will have to participate in work-related activities.  The Congressional Budget Office estimates that states will need more than $12 billion to meet the new requirements and ensure that their current child care funding keeps pace with inflation.  The legislation includes only a $1 billion increase for child care over five years and no additional TANF funds.  

AFSCME position

Low-income parents need more help securing a foothold in the labor force.  Accessible, affordable, high-quality child care must exist to ensure their children are in safe environments.  Therefore, AFSCME joins with a large number of child care advocates in urging Congress to support a $540 million increase for the Child Care Development Block Grant (CCDBG) in the FY 2007 Labor-HHS-Education Appropriations bill.  This will make up for ground that was lost because of inadequate funding in recent years and will provide child care help to at least a portion of the 250,000 children who have lost assistance.

What you can do

Contact your Senators and Representative and urge them to support a $540 million increase for CCDBG in the FY 2007 Labor-HHS-Education Appropriations bill. 

Department of Legislation
September 2006

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