Applications for the Workforce Retention Grant scheme to benefit 150,000 caregivers will open on July 13.
Governor Kathy Hochul has announced a $500 million investment in the FY 2024 Budget to support New York’s child care workforce through the Workforce Retention Grant Program. Funding from the program, which will support 150,000 child care workers, can be used to provide bonuses ranging from $2,300 to $3,000 to employees in care roles, as well as new hires, signing and referral bonuses, and more. Applications will open on July 13th. Governor Hochul made the announcement in Brooklyn during a visit to Vivvi, a child care facility in New York City. The Governor also highlighted additional investments in the budget to make child care more affordable and expand access to New York families.
“As the first mother to serve as Governor of New York State, I have experienced first-hand the impact the lack of affordable child care has on families,” Governor Hochul said“Child care is truly fundamental to New York’s success, which is why making New York more affordable and livable is at the heart of what we do. I’m proud of the investments we’ve made in this budget to make child care more accessible to families care, grow our workforce, and make a down payment on our state’s future.”
The FY 2024 Budget creates the Workforce Retention Grant Program, which will provide $500 million in underutilized federal funding for eligible child care programs. Funds can be used to provide bonuses ranging from $2,300 to $3,000 to employees in nursing roles, as well as new hires, signing and referral bonuses, and more. Applications for the Workforce Retention Grant Program will open on July 13.
As part of historic investments in families and child care, the FY 2024 Budget also includes a $4.8 million investment in a new employer-sponsored child care pilot program. Participating employers, state governments and employees will share in child care costs. Household income must be between 85% and 100% of the state median income to be eligible. The pilot will take place in three different regions across the state.
The FY 2024 Budget establishes a new employer child care tax credit for businesses that create new child care seats (and expand existing options) for workers.$25 million in annual credit will be provided through New York State Department of Taxation and Finance (DTF) and New York State Office of Children and Family Services (OCFS).
Additionally, the budget allocates $1 million to create a statewide business navigation plan in each of the 10 Regional Economic Development Council areas to help interested businesses identify options to support their employees’ child care needs and will develop Statewide Child Care Guidelines for Employers.
The FY 2024 Budget also invests in New York families by expanding the Empire State Child Credit (ESCC) to include children up to age four. With the addition of nearly 630,000 children, the expansion will provide a total of $179 million in support to more than 525,000 low- and moderate-income taxpayers. ESCC, which has excluded children under the age of four since its inception in 2006, will now provide an additional average benefit of $340 per affected taxpayer and $284 per newly included child.
Office of Children and Family Services Acting Commissioner Suzanne Miles-Gustave said, “From day one, Governor Hochul has understood that the only way to make child care more accessible, affordable and equitable in New York is through bold action. These targeted investments and reforms will help dedicated to growing and supporting our child care workforce, encouraging employers to work with families to secure child care services, and providing historic funding for more New Yorkers to receive more child care assistance than ever before. OCFS is proud to oversee and manage these transformational initiatives.”
Senator Kirsten Gillibrand said, “These important investments in strengthening New York’s child care workforce will help ensure families have access to reliable child care while providing fairer pay for our early childhood educators. This will ensure that more families can get what they need Quality Child Care. I am proud to support Governor Hochul’s commitment to bring affordable and accessible child care to more families in New York State.”
Charles Bonello, co-founder and CEO of Vivvi said, “We are proud to support Governor Hochul’s efforts to serve more parents, more children and more dedicated early childhood educators in New York State. Vivvi’s entire mission is to make exceptional child care accessible and affordable for working families And learning. Solving the child care crisis will take more than rhetoric – it will require real partnership between the public and private sectors.”
The FY 2024 budget investment builds on Governor Hochul’s long-standing record of making child care fairer, more accessible and affordable in New York State. As governor, she continued to work to overhaul the child care system. In addition to the above, child care investments include:
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A four-year, $7.6 billion commitment to improve child care assistance programs by raising income limits as high as federal law allows, making more than 100,000 additional New York families eligible. Families participating in the child care assistance program will also see child care expenses limited to 1 percent of gross household income above the poverty line. New York State increased the number of allowed annual absences from 24 to 80 in an effort to standardize eligibility for child care assistance in local areas. -
Create a statewide electronic application for child care assistance. -
Streamline the application process for the Supplemental Nutrition Assistance Program, Home Energy Assistance Program, Medicaid, and special supplemental nutrition programs for women, infants, and children. -
Incentivize construction of supply by supporting claims for low-income housing tax credits that include childcare facility space.
