National researchers tell Multnomah County commissioners universal preschool yields economic returns for families, employers and taxpayers

A panel of national and regional experts told Multnomah County commissioners on Monday that investing in high-quality, universal preschool produces measurable economic benefits for families, employers and taxpayers, and can narrow long-term disparities in education and earnings.

Taryn Morrissey, an early childhood policy researcher at American University, summarized evidence that extended-day, high-enrollment preschool programs boost parental labor force participation, increase parents’ earnings and can generate short‑term fiscal gains through higher tax revenue. “Access to affordable, high quality, reliable early care and education can support parents’ employment, increase economic growth, and promote children’s development to narrow socioeconomic inequalities,” Morrissey said.

Clive Belfield, an economist who studies the return on investment for education programs, presented a county-specific cost–benefit model. Belfield said a conservative analysis using Multnomah County’s Preschool for All assumptions produces a benefit–cost ratio of about 3-to-1: modeled lifetime benefits to children, higher parental earnings, taxpayer savings from reduced special education and criminal justice costs, and economic multiplier effects in the local economy outweigh program costs in the model.

Gina Papito of Prenatal to 5 Fiscal Strategies and Christina McFarland of SRI International described marketplace constraints that limit supply: low wages and poor pay equity in the early childhood workforce, licensing and permitting barriers for providers, and a high share of family-funded slots in Oregon. McFarland summarized a statewide talent assessment for Oregon that found child care is one of the state’s largest labor shortages and that 6 in 10 Oregon families live in a “child care desert,” though Multnomah County currently sits just above that cutoff.

Why it matters: Commissioners asked the panel whether extended-day programming and higher educator compensation increase the likelihood that the county will achieve the educational and economic returns described by researchers. Panelists said evidence from city and statewide programs shows stronger parental-employment effects when programs are extended day and near-universal in reach and when educator compensation and program intensity are higher.

Panel takeaways

- Parental employment: Morrissey and Belfield cited multiple studies showing that expanded preschool increases parental employment, especially for mothers, and that higher parental earnings sometimes persist beyond the preschool years.

- Local economic impact: Papito and Belfield said preschool spending flows into local economies, supports jobs in the child care sector and creates multiplier effects in other industries.

- Returns to taxpayers: Belfield’s county model estimated substantial taxpayer benefits—through higher tax revenues and reduced public spending on special education, corrections and related areas—that offset a large share of program costs in conservative scenarios.

- Workforce and supply constraints: McFarland emphasized Oregon’s child care workforce shortage, low average wages for child care workers (reported as roughly $35,000 annually) and the disproportionate share of child care workers who are women and women of color.

Board reaction and follow-up

Commissioners thanked the panel, asked for state- and county-specific data to inform the board’s budgeting and tax discussions, and reiterated requests that staff produce more granular cost modeling tying program improvements (inclusion services, facilities navigation, adjusted seat types) to revenue options. Commissioner Moyer said the briefing aimed to clarify trade-offs between program scope, service intensity and tax decisions.

Ending

Panelists said the evidence supports investments in extended-day, high-quality preschool as a strategy that can both support family employment now and produce long-term benefits for children and the local economy. Commissioners asked staff for follow-up materials and noted the results will inform continuing deliberations about program funding.