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NEW REPORT FINDS STATE PILOT PROGRAM INCREASED CHILD CARE AVAILABILITY, STAFFING

BY: ROBIN OPSAHL - NOVEMBER 19, 2024 2:53 PM



A report found that a state pilot program increased the availability of child
care in participating communities. (Photo by Rebecca Rivas/Missouri Independent)

A report published Tuesday found that Iowa’s “Childcare Solutions Fund” pilot
program has increased the availability of child care resources by expanding the
child care workforce.

The Common Sense Institute Iowa, a nonpartisan research group focused on
economic issues, released the report titled “Iowa Childcare Solutions Fund: A
Model for Closing the Childcare Gap” in collaboration with the Iowa Women’s
Leadership Project. The report studied the impact of the CSF pilot program,
launched in November 2023, that provided participating communities with funding
to increase child care provider wages.

The pilot program was built on $3 million from the American Rescue Plan Act
(ARPA), with the Iowa Department of Health and Human Services matching $2 for
every $1 raised from local businesses, non-profits, and individuals.

Five counties — Allamakee, Cerro Gordo, Hamilton, Howard and Mitchell counties —
participated, as did the cities of Dubuque, Mount Vernon and Lisbon. Three other
communities participated, but did not report back to the state with data needed
to be included, according to the report.

The report found that communities involved in the pilot program saw an expansion
in both child care workers joining the labor force, as well as an increase in
available child care slots.

From those seven communities, a total of 233 child care workers were added or
retained at 105 local child care providers, the report found. Additionally, 275
new child care slots were added in these Iowa localities — an estimated 21.5 new
child care slots per 1,000 children in the state.

Sheri Penney, employment engagement director at the Iowa Women’s Foundation,
said in a news release the report shows that the pilot program is a successful
step toward addressing child care shortages in the state.

“The data shows us that our efforts are making a positive impact, helping more
women access the childcare they need to stay in the workforce and improve their
lives economically,” Penney said in a statement. “This research reinforces the
importance of expanding these solutions statewide to continue driving real
change for women and families across Iowa.”

Based on the data from the pilot, CSI estimated that a statewide version of the
program would add nearly 11,000 child care slots around the state.

Additionally, the group said a statewide version of the program would allow for
more women — an estimated 5,000 — to enter the workforce who are currently not
employed because of child care needs. The report also estimated the state would
see an increased $13 billion and rise in statewide personal income by $6.1
billion over 10 years if the program were implemented statewide.

“Common Sense Institute’s analysis found the CSF pilot program had its intended
effect,” Ben Murrey, director of policy and research at CSI Iowa, said in a news
release. “The program allowed participating communities to open more quality
affordable child care slots, allowing more parents to enter the workforce. If
expanded across the state, this program could have a substantial impact on
Iowa’s economy.”

Of the seven localities that shared their data, more than $2.88 million in HHS
funds went to the pilot communities, in addition to $1.4 million raised for the
HHS match, an additional $1 million raised since meeting the requirements and
$2.38 million in expected private investments for the upcoming year.

The CSF pilot program is not the only initiative being pursued by the state to
increase child care availability in Iowa. In August, Gov. Kim Reynolds announced
the launch of a new online tool, iachildcareconnect.org, to help connect parents
seeking child care assistance with resources in the state.

State lawmakers also passed a measure in 2024, signed by Reynolds, to raise the
rates for child care providers through the state assistance program and remove
the income limit for child care assistance for workers in the industry in
efforts to address workforce shortages. Another bill that failed to advance
would have allowed workers under age 18 at child care facilities to perform
certain duties without adult supervision, like assisting with five-minute breaks
and naptimes, in an effort to alleviate shortages.


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ROBIN OPSAHL

Robin Opsahl is an Iowa Capital Dispatch reporter covering the state Legislature
and politics. They have experience covering government, elections and more at
media organizations including Roll Call, the Sacramento Bee and the Wausau Daily
Herald.

Iowa Capital Dispatch is part of States Newsroom, the nation’s largest
state-focused nonprofit news organization.

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NEW REPORT FINDS STATE PILOT PROGRAM INCREASED CHILD CARE AVAILABILITY, STAFFING

by Robin Opsahl, Iowa Capital Dispatch
November 19, 2024

<h1>New report finds state pilot program increased child care availability,
staffing</h1> <p>by Robin Opsahl, <a href="https://iowacapitaldispatch.com">Iowa
Capital Dispatch</a> <br />November 19, 2024</p> <p>A report published Tuesday
found that Iowa’s “Childcare Solutions Fund” pilot program has increased the
availability of child care resources by expanding the child care workforce.</p>
<p>The Common Sense Institute Iowa, a nonpartisan research group focused on
economic issues, <a
href="https://www.commonsenseinstituteus.org/iowa/research/workforce/iowas-childcare-solutions-fund-a-model-for-closing-the-childcare-gap">released
the report</a> titled “Iowa Childcare Solutions Fund: A Model for Closing the
Childcare Gap” in collaboration with the Iowa Women’s Leadership Project. The
report studied the impact of the CSF pilot program, launched in November 2023,
that provided participating communities with funding to increase child care
provider wages.</p> <p>The pilot program was built on $3 million from the
American Rescue Plan Act (ARPA), with the Iowa Department of Health and Human
Services matching $2 for every $1 raised from local businesses, non-profits, and
individuals.</p> <p>Five counties — Allamakee, Cerro Gordo, Hamilton, Howard and
Mitchell counties — participated, as did the cities of Dubuque, Mount Vernon and
Lisbon. Three other communities participated, but did not report back to the
state with data needed to be included, according to the report.</p> <p>The
report found that communities involved in the pilot program saw an expansion in
both child care workers joining the labor force, as well as an increase in
available child care slots.</p> <p>From those seven communities, a total of 233
child care workers were added or retained at 105 local child care providers, the
report found. Additionally, 275 new child care slots were added in these Iowa
localities — an estimated 21.5 new child care slots per 1,000 children in the
state.</p> <p>Sheri Penney, employment engagement director at the Iowa Women’s
Foundation, said in a news release the report shows that the pilot program is a
successful step toward addressing child care shortages in the state.</p> <p>“The
data shows us that our efforts are making a positive impact, helping more women
access the childcare they need to stay in the workforce and improve their lives
economically,” Penney said in a statement. “This research reinforces the
importance of expanding these solutions statewide to continue driving real
change for women and families across Iowa.”</p> <p>Based on the data from the
pilot, CSI estimated that a statewide version of the program would add nearly
11,000 child care slots around the state.</p> <p>Additionally, the group said a
statewide version of the program would allow for more women — an estimated 5,000
— to enter the workforce who are currently not employed because of child care
needs. The report also estimated the state would see an increased $13 billion
and rise in statewide personal income by $6.1 billion over 10 years if the
program were implemented statewide.</p> <p>“Common Sense Institute’s analysis
found the CSF pilot program had its intended effect,” Ben Murrey, director of
policy and research at CSI Iowa, said in a news release. <strong>“</strong>The
program allowed participating communities to open more quality affordable child
care slots, allowing more parents to enter the workforce. If expanded across the
state, this program could have a substantial impact on Iowa’s economy.”</p>
<p>Of the seven localities that shared their data, more than $2.88 million in
HHS funds went to the pilot communities, in addition to $1.4 million raised for
the HHS match, an additional $1 million raised since meeting the requirements
and $2.38 million in expected private investments for the upcoming year.</p>
<p>The CSF pilot program is not the only initiative being pursued by the state
to increase child care availability in Iowa. In August, Gov. Kim Reynolds
announced the launch of a new online tool, <a
href="https://iachildcareconnect.org/">iachildcareconnect.org</a>, to help
connect parents seeking child care assistance with resources in the state.</p>
<p>State lawmakers also passed a measure in 2024, <a
href="https://www.legis.iowa.gov/legislation/BillBook?ga=90&ba=HF2658">signed by
Reynolds</a>, to raise the rates for child care providers through the state
assistance program and remove the income limit for child care assistance for
workers in the industry in efforts to address workforce shortages. Another bill
that <a
href="https://iowacapitaldispatch.com/2024/03/25/iowa-house-passes-child-care-bills-regarding-teen-workers-aid-for-caregivers/">failed
to advance</a> would have allowed workers under age 18 at child care facilities
to perform certain duties without adult supervision, like assisting with
five-minute breaks and naptimes, in an effort to alleviate shortages.</p>
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