On April 15, the Biden Administration announced the release of $39 billion authorized under the American Rescue Plan Act funds to states, territories, and tribes to address the child care crisis caused by COVID-19. Given the important county role in supporting high-quality child care and the critical importance of child care to successful COVID-19 response and reopening, county governments support new and robust federal resources to help stabilize the industry and meet the unique needs of our communities.
Of the new funds, $15 billion will support the Child Care Development Block Grant (CCDBG), which provides subsidies for low-income families to access child care and is administered at the county level in eight states: Colorado, Minnesota, North Carolina, North Dakota, New York, Ohio, Virginia and Wisconsin. The remaining $24 billion will go to states to provide competitive grants to child care providers to reopen or stay open, provide safe and healthy learning environments, keep workers on payroll support and provide mental health supports for educators and children. State-by-state allocations for both pots of money can be found here. Prior to the enactment of the American Rescue Plan Act, Congress authorized a total of $13 billion in emergency CCDBG funding to help stabilize the child care industry.
County governments have developed innovative strategies to address the impacts of COVID-19 on access to child care at the local level while meeting state and local health and safety requirements. Along with administering emergency CCDBG funds in county-administered states, county governments have drawn on other federal, state and local dollars and partnered with businesses and non-profit stakeholders to shore up child care supply during the pandemic.
In the coming weeks, the administration will release additional guidance for these funds while also providing technical assistance like webinars and peer-to-peer learning opportunities. NACo will continue to monitor the implementation of the American Rescue Plan Act and implications for county governments.
- Tracking COVID-19 Relief for Human Services and Education Programs
- American Rescue Plan Act funding breakdown
- Legislative Proposals to Address the Child Care Crisis