The Missouri Senate has reserved funding for innovative childcare models designed to give parents the support they need to get back to work.
A U.S. Chamber Foundation and Missouri Chamber study found that the cost of current childcare is undermining economic opportunity to the tune of a whopping $1.35 billion.
“It’s a huge victory,” said Kara Corches, vice president of governmental affairs with the Missouri Chamber of Commerce and Industry. “The next step is the House and Senate have to go to conference committee on all of the different budget bills then hopefully pass the budget.”
HB 3002, approved by the Missouri Senate on April 28, earmarks $20 million to help private employers form partnerships with childcare providers or establish new dedicated childcare centers to serve employees.
Lawmakers, however, are challenged by a looming deadline. The last day of the legislative session is May 13 but they are required to approve it by May 8.
“This is really important for small businesses to be able to hopefully address their workforce shortage,” Corches told the St. Louis Record. "We are in the midst of a childcare crisis in that lack of childcare is a key reason why many people have not reentered the workforce."
Nearly one in 10 working parents in Missouri report quitting a job due to childcare issues, and nearly one in three parents have changed jobs due to childcare in the last year, according to the study.
The $20 million would fund partnerships between the state, private employers, and childcare providers or even establish dedicated childcare centers while small businesses would be encouraged to band together and offer these benefits.
If the budget item is approved, $10 million of the $20 million will be reserved for small businesses to expand childcare capacity in their communities.
“This $10 million would go for grants up to $250,000,” Corches added.
The budget the Senate approved last week also includes $15 million to support efforts to onshore targeted high-tech manufacturing industries, such as semiconductor and pharmaceutical ingredient manufacturing.
As these industry functions look to expand in the United States, we think Missouri — a leading state for tech manufacturing growth — stands to benefit,” said Daniel P. Mehan, president and CEO of the Missouri Chamber. “If we succeed in attracting this industry expansion, the effects would ripple across our economy for decades to come. We greatly appreciate the Missouri Senate for using available resources to support this vitally important effort.”
(Editor's note: The St. Louis Record is owned by the U.S. Chamber Institute for Legal Reform).