Georgia childcare centers at risk of closing with federal funding set to expire

Federal pandemic relief funds meant to keep the childcare industry afloat are set to expire.
Published: Sep. 25, 2023 at 6:59 PM EDT
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ATLANTA, Ga. (Atlanta News First) - Federal pandemic relief funds meant to keep the childcare industry afloat are set to expire this week.

A new report shows without relief, hundreds of child care programs are projected to close in Georgia.

For many Georgia parents, childcare is not just critical for their kids’ development.

“With my younger ones, it is critical for me to be able to go to work,” said Cindy Foster.

More parents might be scrambling to find care for their kids with federal funds set to expire at the end of September.

Georgia Child Care Association CEO Ellen Reynolds said more than 4,200 childcare centers across the state have relied on that funding over the last three years.

A study found Georgia families spend nearly 20% of their income on child care. It’s a percentage that could go up.

Reynolds said without relief, child care centers might have to raise tuition costs and some might have to close their doors.

“I think you’ll see a lot of sales or people going out of business,” said Reynolds.

Without those federal dollars, a report by The Century Foundation estimates at least 944 childcare programs in Georgia are projected to close, impacting more than 81,000 children.

Some local child care directors say the relief funds are what help keep their centers fully staffed.

“Give more wages, higher wages that match and pair with inflation,” said Robert Hill, KIDazzle Child Care director.

A handful of U.S. House and Senate leaders are backing a new bill that would extend childcare funding.

“We need help now,” said Reynolds.

Reynolds is calling on state leaders to step in.

Without financial relief, Reynolds said it’s not just parents who will feel the impact.

“We’re going to see increased workforce shortages across the board. Not just in child care but in all industries because child care providers can’t afford to pay their teachers,” said Reynolds.