Back to Top
News Intro Text
By Jennifer Larino, NOLA.com | The Times-Picayune [January 05, 2017]
Date
News Item Content
<p>By Jennifer Larino, NOLA.com | The Times-Picayune [January 05, 2017]</p>
<p>Working parents nationwide are spending a sizeable chunk of their paychecks each year to provide child care for their kids. Louisiana, however, may be the only state where child care is actually considered affordable.</p>
<p>That&#39;s according to a new report from Child Care Aware of America, an Arlington, Va.-based group that conducts research on and advocates for policies to improve child care.</p>
<p>The report is likely to raise eyebrows among working parents in New Orleans, and child care experts here in Louisiana say there are reasons to be skeptical of the findings.</p>
<p>The report found the average cost of placing an infant in a child care center ranges wildly depending on where you live -- from as high as $17,062 a year in Massachusetts to $4,822 in Mississippi. For some parents, including those with multiple children in care, dropping a child off at daycare can cost as much as putting them through college.</p>
<p>The U.S. Department of Health and Human Services says child care can be considered &quot;affordable&quot; if it costs below 7 percent of the median income in an area. In 2015, the cost of infant center-based care exceeded that threshold and was considered unaffordable for married couples in 49 states and the District of Columbia, according to the report.</p>
<p>Only one state bucked the trend: Louisiana.</p>
<p>It cost about $5,754 a year on average to put an infant in center-based care in Louisiana. That accounts for 6.7 percent of earnings for married parents in Louisiana, who had a median annual income of $85,357 in 2015, according to Census Bureau data.</p>
<p>Local experts have been quick to punch holes in the report&#39;s conclusion. They say child care affordability and quality remain big problems in Louisiana and the report shows only a slice of reality.</p>
<p>&quot;It really is not reflective of what is going on with families here in the state,&quot; said Melanie Bronfin, executive director of the Louisiana Policy Institute for Children.</p>
<p><strong>Why do child care costs appear lower in Louisiana?&nbsp;</strong></p>
<p>The report points to the state&#39;s School Readiness Tax Credits as one factor. Lawmakers approved the package of five tax credits in 2010 with the goal of improving the quality of child care statewide.</p>
<p>That includes a child care expense credit for families with income under $25,000 a year who place their child in a high-quality child care program.</p>
<p>Parents can qualify for credits for up to 200 percent of the cost of child care if they enroll their young child in a five-star program (the state&#39;s Quality Start program rates child care programs in Louisiana on a five-star scale). The value of the credit decreases for parents who use lower-rated child care programs.</p>
<p>Credits are also available for early childhood educators who complete additional training and certifications as well as businesses that invest in child care for employees.</p>
<p><span class="gold">Jeanie Donovan, economic policy specialist at Loyola University&#39;s Jesuit Social Research Institute</span>, said the child care expense credit is a boost for low-income parents, providing an incentive to seek out child care programs rather than leaving the baby with family or relying on other informal care.</p>
<p>&quot;The higher the quality of child care and the lower the income of the parent, the more they get back from the credit,&quot; Donovan said.</p>
<p>But she said the credit does not drag down the cost of care for everyone. It also doesn&#39;t help parents who cannot afford to pay for child care upfront and wait for a credit.</p>
<p>&quot;For everyone else, there&#39;s really not a lot of help available to access quality child care,&quot; Donovan said.</p>