Tennessee working to make childcare easier to find and more affordable

The Tennessee Department of Human Services (TDHS) is announcing additional steps to help parents navigate the balance of raising a family and holding down a job. Beginning October 1, 2021, TDHS will increase child care payment assistance rates by 10% across all categories of care in the Child Care Certificate Program

Under this program, the state pays a directly to child care providers on behalf of families who are enrolled and meet the income and work or education requirements of the program. This overall rate increase will save many participating families money by reducing the portion they have to pay to cover tuition expenses reimbursement rate

Additionally, this rate increase will provide financial support to child care providers who may be recovering from financial losses during the pandemic. This additional income for child care providers and will help providers stay open and remain available to serve families in their communities that need quality care for their children.

“Many child care providers have continuously and consistently served families throughout the pandemic, enabling parents to work and children to continue their critical early learning,” said TDHS Commissioner Clarence H. Carter. “This rate increase will create incentives to grow the child care industry and remove some of the barriers that make it challenging for parents to enter the workforce and support their families.”

Beginning October 1, 2021, TDHS will also begin providing additional assistance to child care agencies who care for children identified with disabilities or special needs. A 15% rate bonus will be applied to each qualifying child that participates in the Child Care Certificate Program. In addition to the 15% bonus, the Department is partnering with the Child Care Resource and Referral Network to establish a team of Inclusion Quality Coaches to promote inclusive early childhood environments.

These investments are the latest in a series of moves to support and expand child care in Tennessee. In recent years TDHS has offered and grants, established a program to raise salaries, and created a for providers operating in communities that don’t have an adequate supply of child care providers.