Because of recent changes to the federal federal Child Care & Development Block Grant (CCDBG) funding formula, our state lost $44.5 million — making Tennessee one of the losers in a federal zero-sum system. Other states gained, but Tennessee families, providers, and businesses are paying the price.
To absorb the cut, TDHS had to make significant program reductions including cutting reimbursement rates to child care providers (an already fragile industry) and instituting a wait list for Smart Steps child care scholarships for low-income working families. At the same time, tens of thousands of middle-income working families who don’t qualify for Smart Steps assistance are also drowning in child care costs, with no relief in sight.
TDHS has published FAQs about the funding changes, but many parents, providers and advocates still have questions. Your voice matters. We're collecting additional questions and concerns so we can make sure they are heard by DHS, legislators, and Tennessee leaders.
💬 Some examples of questions providers and families are already asking:
-How long will families have to wait on the Smart Steps waitlist?
-Will families already on the waitlist ever move up, or is it “frozen” until new funds are available?
-How will providers in child care deserts or distressed counties survive without differentials?
-Why were co-pays added back for low-income families who were previously exempt?
-How will siblings be impacted?
-What resources or supports will replace partnerships that are being discontinued?
-How will these cuts affect the child care workforce, already stretched so thin?
-What can families and providers do to advocate for solutions?
-Will families already on the waitlist ever move up, or is it “frozen” until new funds are available?
-How will providers in child care deserts or distressed counties survive without differentials?
-Why were co-pays added back for low-income families who were previously exempt?
-How will siblings be impacted?
-What resources or supports will replace partnerships that are being discontinued?
-How will these cuts affect the child care workforce, already stretched so thin?
-What can families and providers do to advocate for solutions?
👉 Now we want to hear from YOU.
Are you a parent who’s been placed on the waitlist?
A provider struggling to keep your classrooms open?
Or an advocate with policy questions?