PA Allocating $303M In Federal Funds To Child Care Providers

PENNSYLVANIA — A few hundred million dollars is going to support child care providers across Pennsylvania, Governor Tom Wolf recently said.

Wolf announced plans to allocate more than $303 million in federal funds to Pennsylvania's child care providers. This money comes from the Coronavirus Response and Relief Supplemental Appropriations Act of 2021, which was signed into law in December.

In a news release, the state said the child care industry is a cornerstone of Pennsylvania’s economy and a critical introduction to early education for children across Pennsylvania.

“Child care providers across our commonwealth have endured a year of challenges and changes – circumstances that have made doing business incredibly challenging," Wolf said. "A healthy, vibrant child care industry is a necessity to help our economy recover and support parents returning to work. We must remember this as we move forward and continue support for child care providers as they care for young Pennsylvanians and allow parents to work so our communities and economy can thrive."

Funds will be disbursed starting April 20 and will be divided to support child care providers through multiple channels, including: $140.7 million to support child care providers with reduced enrollments; $64.6 million to help child care providers offset increased costs to operate safely; $87.17 million to support increased, regionalized base payment rates for child care providers participating in subsidized child care; and $3 million to expand the number of child care professionals who can get pandemic relief awards to 5,000 more people.

An additional $984,000 will provide an administrative rate increase to Early Learning Resource Centers, the Office of Child Development and Early Learning’s regional partners that administer Child Care Works and distribute federal stimulus support to providers at the local level. About $7 million is reserved in case temporarily closed providers choose to reopen, which would then qualify them for support.

"Our child care industry has displayed incredible resiliency over the last year, but we know that has not been easy," Human Services Secretary Teresa Miller said. "Child care and early education is foundational to a child’s development, and as a working parent, I know how much it means to families. We are committed to helping our child care industry weather this difficult period, and I am incredibly grateful for their dedication to our children and families."

This builds off approximately $220 million in Coronavirus Aid, Relief, and Economic Security Act funding allocated in 2020 to support child care providers across Pennsylvania since the COVID-19 crisis began in Pennsylvania.