We are excited to share the release of Child Care and the Economy in Louisiana, a report that we developed in partnership with the Kathleen Blanco Public Policy Center at the University of Louisiana Lafayette. In 2017, LPIC researched the impact that the lack of access to early care and education had on our state's economy. This newly released report evaluates updated and additional information on this critical issue and found that child care breakdowns cost Louisiana businesses $762 million a year from missed work, turnovers, and other related costs. This loss translates to a $1.3 billion annual loss to the Louisiana economy.

Stephen Barnes, Ph.D., director at the Kathleen Blanco Public Policy Center emphasized in a press release, “When parents must miss work to care for their children, the resulting productivity and income losses, decreased purchasing power, job turnover and other factors create a profound ripple effect. The economic impact extends far beyond one family or one employer.” 

At the federal level, the White House recently proposed the “American Families Plan” which has several provisions that impact children aged birth to four. These provisions include universal pre-k for three -and four-year-olds, increased funding for child care to ensure that no family pays more than 7% of their annual income on child care tuition, an extension of the expanded child tax credit, and paid family leave. We believe these concepts, which have bipartisan public support, would have a huge impact on Louisiana’s families.

The Louisiana state legislature is currently wrapping up week three of the 2021 fiscal session. Last week, we joined other early care and education advocates to testify at the hearing for HB 1, the state budget bill, and are hopeful that future amendments will include funding for early care and education. We are closely watching SB 142 (Sen. Ward) in hopes that this will be amended to support early care and education. We are pleased about HB 601, which would create a specialty license plate for the New Orleans Pelicans and dedicate half of the funds to the Early Childhood Education Fund (Fund). HB 601 passed the House and was sent to the Senate for its consideration. While the revenues from this bill are not projected to be large, it's exciting to add sources of revenue to the fund, which offers local entities dollar-for-dollar matches on investments in early care and education.

We encourage you to reach out to your legislators regarding sports betting and urge them to commit sports betting revenue to the Louisiana Early Childhood Education Fund.  (View talking points for discussions with your legislator & sports betting advocacy one-pager). Also, we invite you to take part in the third annual Early Ed Day at the Capitol on Tuesday, May 18! This toolkit contains resources about how to engage your stakeholders during Early Ed Day 2021. 

Best,

The Louisiana Policy Institute for Children in partnership with The Kathleen Babineaux Blanco Public Policy Center, released Child Care and the Economy in Louisiana, a policy brief which evaluates the impact of parental absences due to child care breakdowns on Louisiana’s workforce and employers. Read the press release here.

LPIC has just 5 more days to raise $30,000 by Tuesday, May 4th through GiveNOLA Day! The first $15,000 we raise will be matched dollar for dollar by a generous donor.

Recently, the Biden-Haris administration proposed the “American Families Plan” which has several provisions that impact children aged birth to four. Here is a fact sheet about the American Families Plan. We are supportive of bipartisan proposals that would have a huge impact on Louisiana’s families, such as universal pre-k for three -and four-year-olds, ensuring that no family pays more than 7% of their annual income on child care tuition, extending the expanded child tax credit, and paid family leave. Read the fact sheet here.

"Seventy-six percent support increasing state spending on child care for infants and toddlers from low-income families, and 75% support doing so for 3- and 4-year-olds from low-income families. Similarly, 69% support increasing state spending on child care for infants and toddlers from all families, and 67% support doing so for 3- and 4-year-olds from all families."

- Business Report

"Louisiana’s child care industry was a house on fire. While federal funds have successfully extinguished that fire, we must rebuild the house. Simply put, early child care providers are still hanging on by a thread.”

- Forbes

For more information, contact Libbie Sonnier, Ph.D. at lsonnier@policyinstitutela.org.