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Child Care Stabilization Act expiring, thousands of child care providers set to close if funding stops

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BUFFALO, N.Y. (WKBW) — There is now a new push from one of Western New York's top lawmakers on Capitol Hill to help families and childcare providers make ends meet.

Childcare facilities around the country are benefiting from federal funding made available to keep them afloat during the pandemic.

Under the American Rescue Plan, the Child Care Stabilization Grant provided about $24 billion in aid for states to role out grant funding to childcare providers.

That money helped more than $15,000 facilities across New York keep the lights on.

Senator Kirsten Gillibrand outlined a renewed push to keep that money flowing, as the grant program is set to run out of funding.

With federal funding set to expire on September 30, more than 250,000 children are expected to lose access to child care.

Danielle Kinsman, for example, started Jumped Up Jellybeans three years ago, in the height of the pandemic.

Kinsman said, "Throughout the 3 years of doing business, I have relied heavily to all of those grant opportunities that have been made available to us, to help pay the mortgage, pay the rents, buy the supplies that are needed for the children to keep everything clean and safe and to help retain and train staff."

The Child Care Stabilization Act helped child care providers with things like rent, payroll and bonuses to staff that have worked through the pandemic or had worked extra hours.

Kinsman said, "Because of these staffing shortages, a lot of times these staff are going without lunch breaks, working 10 to 12 hour days and usually minimum wage or slightly above that."

Angelic Holt is in the same boat. She started Scholar Toddler Daycare Childcare five years ago.

"They did really take care of the providers by providing funding for us so we can pay our employees so that we can remain open," Angelic Holt said.

Without it the the Child Care Stabilzation Act thousands of child care centers will likely close across the country.

In New York, more than 250,000 children could lose care, 5,700 childcare programs could close across our state and more than 19,000 childcare jobs could be lost.

Senator Kirsten Gillibrand is an original cosponsor of the Child Care Stabilization Act.

To address this looming childcare issue, she is proposing this:

"This legislation would make sure that the childcare stabilization grant program gets $16 billion in mandatory grant funding each year for the next five years. It would make sure this program continues to be funded past September and it would allow childcare providers to stay in business in the future," Senator Kirsten Gillibrand said.

Just like Kinsman and Holt, Senator Gillibrand is a parent so she understands first hand why childcare is imperative for families.

"Making sure parents have affordable access to childcare is essential. It allows them to succeed in their careers and continue contributing to our national economy. It increases labor force participation, reduces absenteeism among workers and helps contribute to the child's future," Senator Gillibrand said.

In the meantime, Kinsman said to keep her childcare service going the burden may fall on the parents.

Kinsman said, "In hindsight, takes away from the children. It's hard as a business owner because you want to care about the kids too but you also have to care about your staff and make sure that they're cared appropriately and that the bills are paid so that you can keep your doors open."

"Our workers, our providers, they deserve that. Being able to give staff compensation has been amazing," Holt said.