Spending on child care would grow Indiana’s economy

Indiana lawmakers face difficult choices as they iron out the final details of the next biennial spending plan. With revenue growth forecasted to be minimal, the General Assembly is balancing myriad pressures – leading to debates about property taxes, universal school choice, public health funding and Medicaid.

But in all these debates about numbers, our leaders must not lose sight of the thousands of Hoosier kids and families who are waiting for access to child care through the Child Care and Development Fund (CCDF). By investing in these families – as Gov. Mike Braun has advocated in his budget – we’ll generate a massive economic return for our state and the working families who reside here.

Indiana loses billions each year by failing to provide comprehensive early childhood education investments. A U.S. Chamber of Commerce Foundation report showed that insufficient child care capacity costs Indiana over $4.2 billion annually in lost business productivity and foregone income tax revenue from household employment interruptions. Early childhood education is one of the best investments a state can make, as national reports show between a $4 and $9 return on every dollar invested in such programs.