Cardin says New GAO Report Shows Families Losing Access to Affordable Child Care

WASHINGTON -- The General Accounting Office (GAO) today released a report showing 23 states have reduced child care assistance for working families over the last two years. Additionally, governors in 11 states have proposed new or additional child care cuts for next year, according to the survey.

States have pursued several strategies for reducing child care assistance, including making income eligibility criteria harder to meet, increasing copayment requirements, and stopping the enrollment of any new families who are not on welfare. For example, Maryland recently stopped enrolling new families in their child care program unless they were on welfare within the last two months, New Mexico decreased its income eligibility threshold from 200% to 130% of the poverty level, and Texas increased the amount low-income, working families have to pay out-of-pocket for child care.

Rep. Benjamin L. Cardin (D-MD), who requested the GAO report, responded to the findings by saying, "This report confirms our worst fears that States have increasingly cut back on child care assistance for working families. So far, low and moderate-income families who are not on welfare have been the most hurt by these cuts. They are having the rug pulled out from under them, which may force them to leave work and go on welfare.

"If this trend continues, our nation will take a major step backwards in promoting work and protecting children. Regrettably, rather than address this growing problem, the House of Representatives recently passed welfare legislation that may make it even worse."

Rep. Cardin concluded by declaring, "According to the Congressional Budget Office, the House-passed welfare bill (HR 4) will cost states $8 to $11 billion to implement, and yet the bill provides little hope of new funding. Such an unfunded mandate may force states to cut child care assistance even more for the working poor to offset the cost of the new welfare requirements. We should be helping these parents, not forcing them to either leave their jobs or leave their children in unsafe environments."