Pennsylvania is facing what children's advocacy groups call a historic child care crisis, leaving thousands of young children without access to early learning programs.

A new report estimates Pennsylvania loses $6.65 billion annually when families do not have child care and preschool options.

Kari King, president and CEO of Pennsylvania Partnerships for Children, said the report examines the policies on child care and pre-K, and highlights workforce challenges affecting many families with young children.

"Both in terms of parents and families in the workforce, and the need for child care to be able for parents to work," King outlined. "We know in the report, just over 70% of families with children currently have both parents or caregivers in the workforce."

In his latest budget proposal, Gov. Josh Shapiro addresses some of the workforce challenges with a $17.7 million boost to early childhood education. $15 million is proposed for Pre-K Counts and $2.7 million for Head Start Supplemental Assistance, investments he said are crucial for working parents' economic stability.

King pointed out Pennsylvania child care workers earn just over $15 an hour, or less than many retail jobs, and half of pre-K programs are delivered through child care centers. But some centers struggle to attract and keep qualified staff.

King observed the wage gap leaves some centers with not enough revenue to pay competitive salaries and keep care affordable.

"That's where we've seen there's been quite an impact since the pandemic, with quite a few programs that have actually closed their doors," King noted. "Over 600 child care providers have been lost since right before the pandemic. So, I think you're seeing a lot of those businesses again in that untenable situation."

The report pointed out pre-K teachers in Pennsylvania earn annual salaries about half those of kindergarten teachers. One recommendation is to provide pay for pre-K teachers on a par with elementary school educators.

Finding appropriate placements for youths entering Ohio's child welfare system has become increasingly difficult.

Rachel Reedy, outreach and member engagement manager for the County Commissioners Association of Ohio, said the complex needs of children in the system, ranging from behavioral and mental health care to justice involvement, require specialized placements, which can drive up costs.

"Across the state, we have just heard more and more about the challenges in finding affordable, accessible and appropriate placements for our youths coming into our child welfare system," Reedy reported.

The challenges are compounded by rising costs, even as fewer children are entering care. County commissioners play a critical role in funding child welfare through a combination of federal, state and local dollars, including property tax levies in some areas.

A lack of trained professionals is another significant obstacle. Reedy elaborated on the capacity challenges within the system.

"We need workforce supports as well," Reedy urged. "When you do not have enough workforce in the system and facilities available, that leads to these capacity challenges, which, in a sense, drives up the cost."

She highlighted initiatives at the state level, such as efforts to encourage students to pursue careers in social work and human services. However, the solutions take time, underscoring the urgency for collaboration at all levels. Reedy added addressing the challenges requires a united effort from local communities, state leaders and lawmakers to ensure every child receives the care they need.


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In his 1963 "I Have a Dream" speech, Dr. Martin Luther King Jr. condemned the poverty hindering Black Americans' rights and decades later, a new report found children of color still bear the weight of poverty.

The analysis by the Economic Policy Institute showed in 2023, Black, Hispanic, American Indian and Alaska Native children were three times more likely than their white peers to live in poverty. In Missouri, there's a nearly 17% child poverty rate, just above the national average revealing risks to children's overall well-being.

Ismael Cid-Martinez, economist at the Economic Policy Institute and the report's co-author, said a major cause centers around employment disparities.

"Black workers are more likely than their non-Hispanic white peers to be unemployed," Cid-Martinez reported. "Then when they do obtain some form of employment in the labor market, they're likely to earn less than their peers."

The report also revealed Asian children are twice as likely as their white peers to live in poverty. Cid-Martinez stressed a key solution is implementing policies to ensure the social safety net effectively addresses the material needs of families.

According to the report, the expanded Child Tax Credit cut poverty for children of color by half from 2019 to 2021, lifting more than 700,000 Black children and 1 million Hispanic children out of poverty. However, the gains largely vanished when lawmakers did not extend the tax credit.

Cid-Martinez emphasized stronger unions in the labor market would help.

"Unions help ensure that working parents have jobs where they have the necessary benefits and the flexibility of hours that they need to provide care for children," Cid-Martinez noted.

Recent data showed Black Missourians face a 13.1% unemployment rate, nearly five times higher than white residents. Cid-Martinez added poverty figures reflect economic progress, highlighting King's dream of economic equality remains unfulfilled.


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New York legislation could help working families in the state cope with rising prices.

The Working Families Tax Credit would combine a patchwork of tax credits, the current Empire State Child Credit, the Earned Income Tax Credit and several others. The bill would also raise the maximum tax credit to $1,600 with a $100r minimum credit per child, regardless of family income.

Sen. Andrew Gounardes, D-Sunset Park, the bill's sponsor, said financing the credit will not cost much in the state's budget.

"There are a number of loopholes that exist in the state tax code we can look to close to pay for this," Gounardes pointed out. "But there's no reason why New York should continue to have three of the 'top 10 worst states for child poverty,' given the vast amounts of money we spend in our state every single year clearly are not achieving the results we need it to achieve."

He noted feedback on the bill has been positive from lawmakers and New Yorkers but it is the third time this proposal has been introduced. Gounardes explained competing budget priorities are the primary challenge to getting it passed and stressed he is confident.

The attempt to pass the measure comes as Gov. Kathy Hochul announced plans to expand the state's Child Tax Credit. Hers would raise the credit to $1,000 annually per child under age 4 and $500-dollars for children ages 4-16.

Gounardes supports Hochul's plan and said a Working Families Tax Credit would put even more money in families' pockets.

"Kids, even though it might be more expensive when they're younger, they don't stop needing things," Gounardes pointed out. "They don't stop needing school clothes, school supplies; they don't stop eating, they don't stop needing heat and a roof over their head. So, I think the governor's proposal is a great start to a conversation about what will it take to support families who are struggling the most."

A 2023 University of Washington report found almost two of five households in New York cannot afford basic needs and more than 2 million New York households struggle to get by solely on their earnings.


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