New $ 300 million child care subsidy program means less money for some home care providers

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Minnesota Gov. Tim Walz announced that applications are now open for child care providers to apply for a new round of grants. This time the money comes from the federal government’s US bailout.

“There are concerns about how this funding is being distributed fairly,” Harrington said.

This new funding is focused on employee compensation, which is great for daycares that have multiple employees. Home child care, however, does not have the same experience.

“The daycares are doing very well. They get great funding and we’re happy for them, but home child care is offered a third of what we’ve seen in the past, ”said Harrington.

Jayk Seifert runs a home child care program called Jayk’s Jungle. He said he used to receive about $ 1,200 a month from grant programs.

“I couldn’t have done what I’m doing now without the support of the state, the government and my families, of course. They were the best,” Seifert said.

However, with this new grant program, the Minnesota Department of Social Services says it can expect to receive around $ 430 per month.

“These new funds are really designed to help increase wages and benefits specifically designed for child care workers,” said Tikki Brown, assistant commissioner of child and family services at the Department of Social Services.

The ministry says they are following state guidelines that focus on increasing wages for full-time employees.

“The benefits are based on FTEs and therefore each month the number of FTEs who request these funds will receive $ 430,” said Brown.

While Walz’s new grant program delivers more money to providers than previous grant rounds, home child care has reduced grant funding. Home providers say they depended on this funding.

“These funds allowed me to give financial grace to the families. I was able to keep those families and tie them up,” Harrington said.

The Minnesota Department of Social Services said it is currently working to secure money so that small child care providers can access it for emergency purposes. The state says it will have more information on this in the coming months.


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