CORTLAND, N.Y. (WSYR-TV) — Senate Majority Leader Charles Schumer was in Cortland on Monday, where he announced that more than $1.8 billion from the American Rescue Plan will be going to child care providers and employers. He said that COVID-19 increased demands for child care, and the funding will help many local families.
In detailing the funds on the way to New York, Schumer explained they will be delivered to the state in two parts: 1) the Childcare Stabilization Fund, $1.1B, and 2) the Child Care and Development Block Grant (CCDBG), $705M.
Under the Childcare Stabilization Fund, New York will award subgrants to licensed and regulated child care providers that are either open or have been temporarily closed due to the pandemic. Qualified child care providers receive subgrants based on their current operating expenses, including costs associated with providing such services during the pandemic. Child care providers can use those funds to cover personnel costs, rent and mortgage payments, PPE, sanitation, training and professional development related to health and safety, mental health services for children and staff, and other operational expenses.
As a condition of the funds, child care providers receiving these funds must keep their payrolls intact (provide full compensation to its employees) and to the extent possible, provide copayment and tuition relief to families they serve.
Under the CCDBG, New York has a lot of flexibility. The State can award child care providers based on enrollment of children, rather than attendance. New York can also use the funds to provide child care subsidies to families, including essential workers (health care employees, emergency responders, sanitation workers, and other workers deemed essential), regardless of their income. This fund is projected to expand child care subsidies to an estimated 875,000 children nationwide.