Additional Child Care Funding
Needed in Maine
A critical component of Maine’s TANF program is the guarantee of access to child care for both TANF
families and those families transitioning from TANF to work. Without this support, which helps
low-income families to purchase child care, TANF families would be unable to participate in job
training, education or work. Families transitioning into work would be unable to maintain employment.
Maine also provides child care subsidies to low-income non-TANF families who cannot afford to purchase
child care on their own. This helps them to stay in their jobs.
Child Care Costs Increase
Over the last decade, the need for child care subsidies and the overall cost of child care has
increased. With more people leaving TANF for employment and with general economic pressures forcing
more people into the labor market, demand for child care has increased. In addition, child care costs
have increased because of increased labor costs, increased demand for more expensive weekend and night
care due to changes in the labor market, and increases in the quality of care.
No Increase in Federal Funds Since 1996
Unfortunately, at the same time, the federal block grants that pay for these services have NOT
increased for several years. In fact, the TANF block grant that also pays for child care services
has not been increased since 1996. The TANF reauthorization legislation that was recently passed in
Congress only provided a very small increase of funding for child care. This is not nearly enough money
to cover the shortfall that exists because of the increased costs of child care in Maine.
More State Funds Needed to Fill the Gap
This all means that just to continue to provide the same amount of child care, additional state funding
is needed to fill the gap left by the federal government. This legislative session, MAIN and MEJP will
be advocating for additional state funding for child care. Our goal is to protect both the guarantee of
child care for TANF families and those transitioning off welfare into employment, along with the current
subsidies for non-TANF families.
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