December 3, 2011 in City

Centers close as demand for child care plummets

Operators cite unemployment rate, cuts to subsidies for working poor
By The Spokesman-Review
 
Dan Pelle photoBuy this photo

Ashley Dunnell, 25, an assistant at Busy Bodies day care, tries to settle Madison Groh, 4, during nap time on Friday.
(Full-size photo)

By the numbers

575: Child care centers and licensed child care family homes in the Spokane area in 2008.

446: Child care centers and licensed family homes today.

543: Child care jobs lost in Spokane County in the last three years.

Income-level eligibility

Families eligible for Working Connections Child Care subsidies must have countable income no greater than 175 percent of federal poverty guidelines. A family of three with countable monthly income of $995 would have a $15 per month co-pay. If the same household had countable monthly income of $2,200, it would have a co-pay of $103 per month.

The formula for eligibility is posted on the state website, http://www.dshs .wa.gov/onlinecso/ wccc.shtml.

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Goodwill Industries told parents this week that it will shut its child care center on Jan. 13, the latest closure among Spokane-area facilities struggling to fill vacancies due to high unemployment and state cuts in subsidies to working poor families.

“Simply put, the need for child care has dropped significantly because many parents are out of work,” read a Nov. 28 letter from Goodwill CEO Clark Brekke to families with children in the nonprofit organization’s ABC Discovery Child Care Center.

The center, which is licensed to care for 74 children, has seen its enrollment decline during the past three years to a little more than 50 children today, said Michele Harris, director of workforce and family services for Goodwill.

The announced closure of ABC Discovery, which has been in operation since 1993, was another blow to the child care industry in a community where the jobless rate remains stuck above 9 percent.

In 2008, there were 575 child care centers and licensed child care family homes in the Spokane area, according to the Washington Department of Early Learning. Today there are 446.

The Child Care Resource and Referral agency that serves northeastern Washington estimated that Spokane County has lost 3,500 child care slots in the past three years, resulting in the loss of about 543 child care jobs.

Cuts in the state Working Connections Child Care subsidy program for the working poor have contributed greatly to the decline in enrollment at child care facilities.

Since October 2010, when stricter eligibility limits were put into place, more than 3,600 families have lost their subsidies. In March, the enrollment for the subsidies was capped at 35,200 families per month, creating a waiting list for the first time. In July, the cap was lowered to 33,200 families.

The current special session of the Legislature will consider further cuts of as much as $50 million or 12 percent of the Working Connections budget in 2011-’12, which could result in about 4,000 fewer households on the program.

Gov. Chris Gregoire has proposed a half-cent hike in the state sales tax, which would be used to “buy back” several items on her proposed list of cuts, including child care subsidies.

On Oct. 31, the Maple Street Children’s Center in north Spokane closed after the facility, licensed for 100 children, saw its enrollment drop to 12 children in full-time care, said owner-operator Sarah Groh, who attributed the decline to cuts in state subsidies for families.

“They have to pay so much out of pocket that they can’t afford to work,” Groh said of the families. “If they are still working they are having Tom, Dick and Harry watch their kids.”

Groh consolidated her businesses into a smaller center named Busy Bodies on the Mukogawa Fort George Wright campus.

Kathy Thamm, executive director of Community Minded Enterprises, said child care centers that can’t get “private-pay” parents to help fill vacancies risk going out of business. As a result, facilities are moving away from low-income areas of the city.

“It’s scary when you think about it,” said Thamm, who added that working poor parents now have to place their children “in situations that maybe aren’t the safest.”

Spokane Public Schools, which operates the Express Child Care Program before and after school, has seen participation drop dramatically in the last two years.

Six sites have been closed since 2010, said Kuray Oman, an Express supervisor.

“Families, because of the economy, are being really frugal, so they are making cuts where they can, and unfortunately that’s child care,” Oman said.

The cost for six weeks of before- and after-school care is about $400, comparable to YMCA and community center prices. Oman said that enrollment at Sheridan Elementary School, one of Express’ “higher Working Connection sites,” was halved between September 2010 and January 2011. Overall, this year the district has 150 fewer Working Connection families in Express, she said.

“Our main concern is: Parents are making the choice to not send their kids to us after school,” Oman said, “so where are the kids?”

Four comments on this story so far. Add yours!
  • catfuzz on December 03 at 7:12 p.m.

    I suppose that’s one benefit to high unemployment. At least more children will be with their parents instead of in a kid warehouse.

  • Spokane_Reader on December 03 at 7:41 p.m.

    The state only had child care help at 200% of the federal poverty level for a very short period of time. They just returned it to 175%. They were at 150% and should go back to that level. The truth is I see parents at the 175%-200% of the federal poverty level travel, get their nails done, buy lattes regularly, have a new car payment, pay for their Iphone and cable etc. yet the one thing they say they can’t afford is child care. Just something to consider. Who said the tax payer should be the one to help families live a middle class lifestyle? While I agree that child care enrollment has dropped I disagree that this cut had much if anything at all to do with it. The headline should read “People on TANF with a child under 24 months or 2 children under the age of six no longer have any requirements in order to receive welfare” This includes drug/alcohol treatment. It is cheaper to have a parent stay home with the kids and collect welfare than it is to pay for their child care, job training or treatment. Seems like our priorities are moving in the wrong direction.

  • SPOKANE_MOM on December 05 at 1:00 p.m.

    I myself are on transitional TANF because I did get job training and employed from my job training classes.It is required and needed if you want to move up the ladder to be self sufficient, which is exactly what your case workers are pushing you to do. I did what I was suppose to do according to TANF guidelines and still feel like I am being penalized for becoming self efficient. You only have a certain amount of public assitance your lifetime and I dont feel the need to just stay home collecting TANF when I know I can work and provide for my family but may need help with child care expenses just as many any other middle class family in the work force may need. I am thankful for all the employment opportunites that I recieved while on TANF and have seen that us TANF clients are as employable as any other person you just have to want to succeed and work your way to the top just like anyone else.

  • LeonaA on December 14 at 9:51 p.m.

    There are reasons the State does not have money to fund child care. DEL is receiving a $950,000 agency cut - but families are receiving a $50 MILLION cut. That’s crazy. More investigation needs to be done into the top-heavy, bureaucratic DEL agency who continues to gobble up every child-related agency in site at the same time the children and families they are mandated to serve are suffering 50 TIMES what they are. An investigative report into the financial effectiveness of this agency needs to be done.

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