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Board approves release of $42 million to Office of Early Care and Education for emergency grants and loans
Summary
The San Francisco Board of Supervisors voted unanimously to release $42 million in reserves to the Office of Early Care and Education to fund an emergency grant-and-loan program aimed at stabilizing childcare providers and family resource centers amid the pandemic.
The San Francisco Board of Supervisors voted unanimously Tuesday to release $42,000,000 in reserved funds to the Office of Early Care and Education to support an emergency Early Education Economic Recovery Grant and Loan Program.
The move, adopted during a committee-of-the-whole public hearing, directs the monies to grants and 0%-interest loans intended to shore up early childhood care and family resource centers hit by the pandemic. The board’s action also clears funding for operational staffing in the Office of Early Care and Education to implement the five-year spending plan tied to the funding.
The program will prioritize grants for early care and education providers citywide and make 0% interest loans repayable over five years available as a secondary resource when grant funds are not sufficient, Director Mosqueda said in a presentation to the board. "The funding will be able to cover citywide. Of course, prioritization is always to programs that are in higher need, and in neighborhoods that have the most need," Director Mosqueda said.
President Norman Yee framed the vote as a response to continuing emergency conditions in the care sector. "This is really an emergency type of situation we're in," he said during the hearing, adding that the board requested clarity on several line items before releasing the money. Yee moved the main action to release reserves; Supervisor Walton seconded. The roll call vote recorded 11 ayes.
Board members pressed staff on two parts of the package: a $900,000 discretionary rebalance item and a $2.8 million contingency. Director Mosqueda said the discretionary line represented one-time flexibility added during the budget process and that the $2.8 million was a contingency if the recovery program received more applicants than originally estimated.
Public testimony during the hearing was strongly in favor of the release. Multiple speakers from family resource centers and early childhood nonprofits urged the board to act, with one public commenter saying: "Without childcare, San Francisco doesn't work," and urging quick release of funds so centers can continue food distribution and other family supports.
Board members requested a return report after the funds are spent. Director Mosqueda said the office would provide a follow-up accounting and that the department expects to report back to the Board of Supervisors on program spending and outcomes.
What happened: The board voted to release $42,000,000 held in reserve for early care and education. The motion passed by roll call, 11-0.
What’s next: Department staff will roll out the grant-first, loan-second Early Education Economic Recovery Program and return to the board with a report on spending and program results once funds are committed and expended.
