In an attempt to address the implications that the lack of accessible and affordable childcare is having on the labor market, the new state budget allocated $1.4 billion towards Michigan’s child care system. Child care measures included in the new budget include:
• $700 million in stabilization grants, which will go directly to child care providers to cover costs and help them stay open.
• $36.5 million to contract with providers who care for infants and toddlers. Care for the youngest children is in short supply, in part because it is expensive – an adult can only legally care for 3 or 4 infants at a time. Through contracts, as opposed to a biweekly reimbursement, the state can provide more stable funding.
• $100 million to help open new child care centers in areas where there aren’t enough early childhood classrooms and to expand existing centers.
• $30 million to pay child care workers a $1,000 bonus.
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