Historic Investments for Child Care in Massachusetts
Guest contributor Tom Weber is the Executive Director of the Massachusetts Business Coalition for Early Childhood Education
The end of the 2021-22 Legislative session promises to be one of the most consequential in the history of Massachusetts’ early care and education (ECE) system. First, there is unprecedented proposals pending approval including historic investments proposed by both the House and Senate budget. Second, additional funding is available through remaining American Rescue Plan Act (ARPA) dollars and surplus FY22 funds. Third, the Joint Committee on Education has released a significant piece of legislation for consideration, which reflects recommendations proposed by the Special Legislative Early Education and Care Economic Review Commission. Lastly, tax proposals impacting dependent care, including ECE, are being considered.
As we push towards the finish line on all of these efforts, the Massachusetts Business Coalition for Early Childhood Education continues to advocate—in partnership with the Massachusetts Business Roundtable—for these proposals. Specifically, we are just days before the Massachusetts Legislature finalizes FY2023 budget recommendations for the Governor’s approval. Both the House and Senate have dedicated unprecedented attention to addressing the early childhood education sector, which is essential to working families and households.
It is a costly undertaking, but a critical investment to improve a system that will have generational impacts on Massachusetts children and families, early childcare providers, and the state’s economy. The Massachusetts Taxpayers Foundation recently released a report that found that the lack of access to child care in Massachusetts is resulting in at least $2.7 billion each year in lost earnings for individuals, lower productivity and additional costs for employers, and lost tax revenue for the Commonwealth. This includes $812 million loss to employers due to lower productivity and turnover/replacement costs; $1.7 billion loss in wages to individuals and families from missing work or reducing their hours; and $188 million in lost tax revenue to the state due to lower earnings and lost wages. This report clearly demonstrates that thoughtful investment in our state’s child care system could unlock billions of dollars in economic activity that stands to benefit working families and their employers, along with the local economy.
As the Conference Committee evaluates proposals for the budget, recommendations made by both branches are the thoughtful investments needed to deliver an improved, affordable, and accessible early care and education system in Massachusetts. The House makes key investments in reimbursement rates and provider professional development, while the Senate focuses on Commonwealth Cares for Children (C3) grants and infrastructure improvements. Taken together, these recommendations represent groundbreaking progress toward our shared goal of establishing a “world-class” early care and education system for all children and families in Massachusetts.
A few key line items we hope will be part of the final budget recommendation include:
- 3000-1045 – Accept the Senate appropriation to provide grants to ECE providers, building upon the success of the C3 program, which helped to stabilize and, in many instances, save ECE providers during the Covid-19 pandemic. Importantly, this appropriation would codify the concept of establishing a foundation level of funding, an important reform for the long-term viability of the ECE industry.
- 3000-1042 – Accept the House appropriation making an unprecedented investment in the rates paid to providers who accept subsidized children, including new and necessary resources to address the ECE needs of providers themselves. These funds will directly support the salaries, benefits and professional development of providers, a key element of quality and, in the case of an ECE field who have been historically underpaid, basic fairness.
- 3000-7066 – Accept the House appropriation for professional development, and higher education opportunities and supports for early educators.
- 3000-1046 – Accept the Senate appropriation funding initiatives to help implement the recommendations of the Special Legislative Early Education and Care Economic Review Commission. We both served on the Commission and believe it to be a comprehensive blueprint for action, and this line-item includes important investments navigational support and outreach to families, the review and management of subsidy regulations and policies, and financial assistance to early childhood educators employed by programs serving high percentages of subsidized families.
- 3000-6025 – Accept the Senate appropriation for the Commonwealth Preschool Partnership Initiative. Local preschool expansion planning efforts will coordinate and leverage community resources and expand access for families.
By working collaboratively with the Legislature and Baker Administration, we are getting one step closer to stabilizing and ultimately building an affordable, accessible, and high-quality early care and education system.
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