Policy Brief

Design a Sustainable Child Care Funding Model

thread supports Alaska designing a funding model that will provide consistent funding to help rebuild the child care market, focusing on innovation, partnerships, and quality.


Families are struggling to find and afford high-quality child care. Low wages and lack of benefits are causing many early childhood educators to leave the field. Child care businesses, already struggling to stay open, can’t afford to pay their staff higher wages. Families, many of whom are already paying as much for child care as they are for housing, can’t afford to be charged more for child care. The child care system is broken.

The impacts of this broken system are widespread. Parents lose out on work opportunities, businesses can’t find workers to hire, children miss out on critical developmental experiences, and communities face poor economic outlooks. The impacts of federal relief money demonstrate that investment in child care does make a difference – for parents, children, businesses, and early educators. Sustainable funding is needed if the child care sector is going to survive.