With Missouri's new state budget now in effect, the Missouri Champion of Children Coalition is applauding the implementation of child care provider reimbursement increases announced earlier this month by the Department of Elementary of Secondary Education. The coalition of child care advocates, health care, military, law enforcement and business leaders praised Gov. Mike Parson’s Administration for the historic announcement which will serve as an important step in tackling Missouri’s child care crisis. The rate change will be effective immediately.
About one-third of child care providers closed their doors during the COVID-19 pandemic and many did not reopen. A 2021 report from the Missouri Chamber of Commerce found that child care gaps cost Missouri’s economy $1.35 billion each year.
“Missouri’s ongoing child care crisis has had an incredibly harmful impact on children, families, businesses and our economy. The leadership of Governor Parson and his Administration, with the support of countless members of the Missouri General Assembly, made this historic rate increase possible,” Kids Win Missouri Executive Director Brian Schmidt said. “We are encouraged by these bold initiatives to support Missouri children and will continue to work with lawmakers, child care providers and families to ensure Missouri kids get the resources they need to succeed.”
According to state budget documents released in January, the new rates will result in an average increase of 44% for care provided to infants and toddlers, 51% for care provided to children in pre-school, and 69% for care provided to school aged children from the rates in effect just one year ago. Most child care programs will see an increase in their reimbursement rates and no child programs will see a rate decrease.
“This necessary investment will make an indelible impact on my program and my ability to continue to provide access to high quality care to the children and families we serve. The additional funds will allow me to duly compensate my staff and make investments in my program that will contribute to the academic and developmental success of our students,” said Cortaiga Collins, owner of Good Shepherd Infant and Toddler Center in North St. Louis and Good Shepherd West in Warrenton. “I feel empowered to make quality improvements to my program that were previously out of reach. Although there is still great work to do, this effort is a monumental step in the right direction, and children and families will reap the benefits for years to come.”
This rate increase was funded by the initiatives proposed by Governor Parson, and supported by the Missouri General Assembly during the 2023 legislative session, including
•$78 million to support low-income, working families in accessing child care
•$56 million for grants to public schools to provide high-quality pre-K education
•$26 million for grants to child care facilities to provide high-quality pre-K education
