Pre-K for PA and Start Strong PA have issued statements that the state budget fails to address the crisis in the early childhood sector.

The two advocacy campaigns – which are part of Early Learning Pennsylvania (ELPA), a statewide coalition of advocates focused on supporting young Pennsylvanians from birth to age five – have released reaction statements to Senate Bill 1001, which has been signed by Gov. Josh Shapiro and will be enacted in the 2024-25 Pennsylvania state budget.

Below are statements from the advocacy campaigns and a breakdown of budget investments.

Child Care

• $26.2 million in additional funding to maintain the status quo of payments in the subsidized child care system and the number of children.
• Additional federal child care funding to meet the federally recommended child care subsidy reimbursement rate. 

In a press release, Start Strong PA said, “With a child care sector that is collapsing with classrooms and programs closing across the commonwealth due to the historic child care teacher shortage, the Start Strong PA Campaign is deeply disappointed by the lack of direct investment to help child care providers recruit and retain their workforce as part of the state budget bill.”

The Start Strong PA campaign noted that staffing shortages within the child-care sector are driven by low wages. According to the Independent Fiscal Office (IFO), the average child-care teacher in Pennsylvania only earns $15.15 per hour. This wage includes the impact of one-time federal child care stimulus funds. With the lack of direct state involvement, it is unclear whether these wages can be sustained, the campaign said.

“Child care teachers are the workforce behind the workforce,” the statement said. “When families can’t get child care, their children suffer, their income drops, and the state’s economy is shortchanged. In a time of severe labor shortages and billions in state budget surplus, the commonwealth’s failure to help child care providers recruit and retain these teachers is a tragic outcome.”

Recent estimates show that gaps in the child care sector cost the state’s economy $6.65 billion annually in lost wages, productivity, and tax receipts. Start Strong PA pointed out that more than 50 state chambers of commerce have called for investments that directly help child care providers attract and keep teachers. 

The budget deal includes a tax credit for businesses that help pay employees pay for child care. The credit is a demand-side solution that helps families afford care, but the state must invest in the supply side by stopping the exodus of teachers.

“While we appreciate the continued support of existing programs in the state budget, the lack of investment in recruitment and retention initiatives will only continue the trend of short staffing in our programs and teachers leaving the field for higher-paying jobs,” said Karian Wise, the head of school for early learning at the Carlow University Early Learning Center and a Provider Advisory Board member.

Pre-K

• $15 million in additional funding for the state’s Pre-K Counts program to increase rates from $10,000 per child for a full-day slot to $10,500.
• $2.7 million in additional funding for the Head Start Supplemental Assistance Program.

In a statement, Pre-K for PA said, “The Pre-K Campaign is relieved to see modest growth in the state’s publicly funded pre-k programs – PA Pre-K Counts and the Head Start Supplemental Assistance Program.”

Pre-K for PA noted that increases for both programs will make rate increases possible to pre-kindergarten providers to combat inflationary pressures and staffing shortages.

However, the campaign noted, “We are disappointed that the increase to PA Pre-K Counts is half of what Gov. Shapiro proposed, and state support for Head Start continues to grow at a slower rate than Pre-K Counts.”

Currently, more than 78,000 three- and four-year-olds in Pennsylvania are eligible but do not have access to publicly-funded pre-k programs. Pre-k access has been a top issue for state voters, of whom 95% believe that early education is important and nearly 70% support increasing state funding for pre-k access.

“Once again, Pennsylvania has failed to adequately invest in young children and their families,” said Abigail Enz-Doerschner, assistant director of the Once Upon a Time Early Learning Center in Washington and a Provider Advisory Board member. “While the state has offered a $500 per slot increase in PA Pre-K Counts funding, this 5% increase does not keep pace with the rising costs of operating a program. Insurance, utilities, teacher compensation – all of our costs have risen sharply.”

Early Intervention

• $9.1 million increase for the Early Intervention Part C (infant and toddler) through DHS. 
• $32.9 million increase for the Part B Early Intervention program (age three to five) through PDE.

The statement noted that while the increase for the Early Intervention Part C reflects the administration’s updated budget request, it does not address broader issues within the program, including worker shortages and a long-needed rate adjustment for providers.

Read the full statement by Pre-K for PA and Start Strong PA.