Democrats are urging President Joe Biden to prioritize addressing the impending expiration of pandemic relief funds for the child care industry. They are calling for these funds to be included in an emergency spending package, which Congress is expected to consider next month.
In an op-ed published by CNN on Wednesday, Sens. Elizabeth Warren (D-Mass.) and Tina Smith (D-Minn.) stressed the urgency of the situation, stating that federal child care funding is about to expire at the end of September and Republicans are opposed to investing in early education funding.
The child care industry has been severely impacted by the COVID-19 pandemic, resulting in widespread layoffs and closures. To address this, Democrats passed the American Rescue Plan Act in 2021, which provided $24 billion in grants for child care stabilization and about $15 billion to assist families in affording care.
However, these funds are now set to expire at the end of September. It is unlikely that a stand-alone extension will be approved, given opposition in the Republican-controlled House of Representatives and the spending limits agreed upon earlier this year to lift the debt limit.
A recent report from The Century Foundation, a progressive think tank, highlights that over 70,000 child care programs may close when the funding runs out, leaving 3.2 million children without care.
Democrats are pushing for $16 billion in child care funding to be included in the emergency spending bill that will be considered by Congress after its August recess. Typically, supplemental appropriations are passed in response to urgent needs, such as natural disasters and military operations. The Democrats argue that the expiration of child care grants is also an urgent problem.
However, including child care funding in the emergency supplemental bill may jeopardize the passage of other items with bipartisan support, such as aid for Ukraine and funding for natural disaster relief.
The fate of Biden’s emergency funding request in the House is uncertain, as Speaker Kevin McCarthy (R-Calif.) has expressed opposition to exceeding the agreed-upon defense spending and many Republicans are skeptical of Ukraine aid. The passage of appropriations bills with lower spending levels than the budget deal agreed to with Biden increases the likelihood of a government shutdown fight.
Despite the limitations on federal government action, the Biden administration has been encouraging employers to take action on their own to address the child care crisis. Biden signed an executive order in April directing federal agencies to expand access to long-term care and child care. Last month, the administration announced proposals to assist low-income working households in paying for care.
Biden emphasized the significance of the care economy and the challenges faced by working and middle-class families in providing care for their loved ones. He stated that care workers deserve fair wages and expressed his commitment to that cause.