West Virginia Faces Urgent Child Care Funding Crisis

West Virginia's child care system is on the brink of a financial crisis, with thousands of families at risk of losing access to state-subsidized care. Lawmakers and advocates warn that a looming funding cliff could force providers to shut their doors and leave parents struggling to find affordable options. As the state government grapples with this challenge, the future of child care in the Mountain State hangs in the balance.

A Critical Juncture for West Virginia Families

The Funding Cliff

West Virginia's child care providers have been relying on pandemic-era funding that allowed them to be paid based on enrollment rather than daily attendance. This stabilized their income during the uncertainty of the COVID-19 crisis. However, the federal government has now mandated a return to the traditional attendance-based reimbursement model. This change threatens to create a massive funding shortfall, with state lawmakers estimating the Department of Human Services (DoHS) will need an additional million by the end of August to fully fund child care.

Looming Consequences

Without a swift financial intervention, the consequences could be dire. Advocates warn that as many as 2,000 children could lose eligibility for state child care assistance, putting their parents' jobs in jeopardy. Providers like Tammy Cole, director of the now-closed Owlet Childcare Center in Fairmont, have already been forced to shutter their doors due to the unsustainable reimbursement model.

A Desperate Plea for Help

Child care center directors like Jamie Remp of King's Daughters Child Care Center in Wheeling are sounding the alarm, describing themselves as "disheartened" and overwhelmed by the financial challenges. Remp's center has a waitlist of 170 children under the age of two, yet she is losing ,000 per month as she struggles to cover staff salaries, supplies, and other operational costs.

Workforce Impact

The child care crisis is also taking a toll on West Virginia's workforce. The West Virginia Chamber of Commerce has linked the shortage of child care options to the state's low workforce participation rate, the second-lowest in the country. Employers are finding it difficult to attract and retain workers due to the lack of affordable, accessible child care.

Legislative Inaction and Uncertainty

Despite the urgency of the situation, the state government has yet to provide a clear plan to address the funding cliff. Governor Jim Justice has not offered concrete details on how the DoHS will resolve the issue, and lawmakers are doubtful that it will be addressed in an August special session. The governor's proposed child care tax credit, while helpful for some families, does not directly address the core problem of stabilizing the industry and creating new child care spots.

A Call for Comprehensive Solutions

Advocates and industry leaders are calling for a multi-faceted approach to solving West Virginia's child care crisis. Proposals include expanding tax credits for employers who provide on-site or off-site child care, as well as increasing the reimbursement rate for providers. However, the clock is ticking, and without immediate action, the consequences for thousands of West Virginia families could be devastating.