Scholarships for child care are drying up. Now families are paying the price

For parents who need to work but can’t afford the steep cost of child care, federally funded scholarships can be a lifeline. Delivered through state child care assistance programs, the scholarships can mean the difference between a parent working full time—or not at all.
But qualified families are increasingly being turned away, thanks to the rising costs of child care and the end of pandemic-era funds, and some families that had scholarships have seen them end. In three states—Arizona, Colorado and Texas—parents who apply face long waitlists. Other states have increased copayments for parents or have said they will serve fewer children.
In March, the Trump administration laid off some employees who helped states implement child care assistance. It’s left advocates worried about the future of federal child care programs.
“What it means is that ultimately child care will become less safe, it’s going to become more expensive, and it’s going to become harder to find,” said Ruth Friedman, who was the director of the Office of Child Care under former President Joe Biden.
In Colorado, a dozen counties stopped accepting new applications for the state’s child care assistance program because they ran out of money, The Colorado Sun reported.
For states trying to maintain child care assistance scholarships, the costs of running the programs have risen. Because many child care providers operate on the margins, the Biden administration increased the amount they receive when they take scholarship students.
It’s all evidence that the problems that vex the child care industry have not necessarily abated with the pandemic, said Karen Schulman, senior director of child care policy at the National Women’s Law Center.
“The crisis was going on long before COVID,” Schulman said, citing the unaffordability of care for many families, along with the low pay of the child care workforce.
Even as providers struggle to make a profit, child care is prohibitively expensive for many families. In a study of 2022 child care prices, the Labor Department found the median cost of care for an infant in a center was more than $15,600 in large counties—higher than the median rent in many places.
Source : https://www.ap.org/news-highlights/spotlights/2025/scholarships-for-child-care-are-drying-up-now-families-are-paying-the-price/
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