The South Dakota Child Care Task Force has released its first report on sustainable solutions to the state's child care shortage.
The 60-page document includes community success stories, the cost of care and policy proposals. One of those proposals highlights the Child Care Assistance program as an opportunity for the state to make a difference.
The report shows a high rate of early childhood educators leaving the profession, due in part to low wages. Yet if child care providers raise their prices, they risk pricing out the very families who need their services.
"The current model we have to child care is not sustainable. Providers are struggling, and many are closing," said Republican state senator Tim Reed of Brookings. After an online presentation on the report, he outlined possible legislative action, starting with improved investment in the Child Care Assistance program.
Federal Child Care and Development Block Grants help low-income families afford care, according to the state Department of Social Services. South Dakota is required to match 40% of those funds, but policy makers could increase the state's contribution.
]Reed notes 39% of child care programs are operating under their desired enrollment.
"And the number one issue why they were not able to have the desired enrollment was they just didn't have the workforce," he said. "So we need to be able to increase what we're paying at the child care assistance level—and I think it's gonna have to increase at other levels too—but we need to start there just to make sure we can keep these employees."
Reed compares Child Care Assistance to state reimbursement rates for skilled care facilities and nursing homes.
"We had to get that up to a market base because they were losing all their employees and then there was no services. These homes were closing. And so it's the same thing here, that we now have to take a look at the child care providers and be sure they're not closing. What will it take?"
Other legislative recommendations from the task force include scholarships for those entering the child care workforce, and offering child care assistance to parents who become child care providers.
The task force plans to build off this initial report, including a focus on after-school care.
