State review finds access gaps for CERDEP 4Ks; university study says public 4Ks cost roughly $14,000 per pupil

Columbia, S.C. — State education officials on March 17 reviewed the annual evaluation of CERDEP, the state-funded full‑day 4‑year‑old program, and a university cost study that found the state reimbursement rate falls far short of estimated per‑pupil costs.

The evaluation, presented to the Education Oversight Committee, looked at access, quality and outcomes for CERDEP and First Steps 4Ks and examined local wait lists, attendance measures and funding. Dr. May, who presented the report to the committee, said the evaluation was conducted under “Proviso 1.47.”

The report and accompanying presentations matter because the committee found that many eligible four‑year‑olds in poverty still lack access to a state‑funded full‑day 4K, and because the Darla Moore School of Business cost analysis shows a substantial gap between what providers report it costs to run the programs and what the state reimburses.

Key findings and figures from the presentations:

- Enrollment and eligibility: Dr. May reported that in the 2024–25 school year there were “over 56,000 students enrolled in kindergarten” and “over 36,000, or 65%,” were categorized as pupils in poverty — the group that primarily qualifies for CERDEP funding. The committee’s report counted roughly 18,000 four‑year‑olds who were served by state‑funded 4K programs in the 2023–24 school year, and it estimated the number of potentially unserved four‑year‑olds in poverty at “over 18,000.”

- Attendance and full dose: The evaluation showed more than 10,000 children were enrolled on both the 45th and 130th day of instruction in their 4K year for 2023–24; more than 3,000 children were enrolled for at least 120 days, which the report called a “full dose” of 4K.

- Wait lists and seats: The report said about 402 children were on district wait lists for CERDEP programs at the time of reporting and that there were “over 2,000 available seats” in First Steps 4Ks. Presenters cautioned that wait‑list reporting is a point‑in‑time snapshot that can vary by local reporting practice.

- Funding: The committee was told the state invested “over $114,000,000” in 4K in fiscal year 2023–24, the largest investment to date. The presenters said projected carryforward funds are declining, which they interpreted as increased program use and administrative spending.

University cost study

Dr. Jessica Brown of the Darla Moore School of Business presented a cost estimate comparing provider types and the state reimbursement rate. Brown said the study used two approaches — a model based on South Carolina salary and market data and a survey of providers that served children in 2023–24.

Brown summarized the study’s principal cost estimates: “we estimate that it costs about $14,000 per year to provide the CERDEP 4Ks program in the public schools.” She told the committee that typical private providers, paid at childcare wages, cost a little over $9,000 per pupil; the state reimbursement rate for CERDEP classrooms in the study year was reported to be a little under $6,000 per pupil.

Those figures imply a funding gap of roughly $8,000 per pupil for public‑school CERDEP classrooms and about $3,000 per pupil for typical private providers, according to Brown’s presentation.

Brown identified the largest cost drivers as staffing (40–60% of costs), teacher qualifications and compensation, class size and facility ownership (rent or mortgage costs accounted for roughly 8–12% of total costs). She said geographic differences in cost of living and vacancies also change per‑pupil figures; about 60% of surveyed providers reported vacancies that affect per‑pupil costs if classrooms are not full.

Committee questions and clarifications

Committee members asked whether employer‑run child development centers or company childcare centers were included. Dr. May said, “They are if they participate with First Steps 4Ks. If they do not, they are not included in the findings on this report because this one is focused just on CERDEP programs.”

Members also raised the overlap among Head Start, First Steps and CERDEP, pointing out differing poverty thresholds and eligibility rules for the programs. Dr. May and committee members said they will convene First Steps and SCDE staff and other stakeholders to discuss alignment and recruitment strategies.

Recommendations and next steps

Presenters recommended improving enrollment efficiency and family navigation, piloting “4Ks navigators” to help families on wait lists find available seats, clarifying guidance on when children who do not meet the poverty threshold may enroll, incentivizing private childcare participation in First Steps 4Ks, expanding marketing/recruitment and working toward meeting near benchmarks of quality (including universal screening for hearing, vision and developmental checks and clearer staff credential expectations).

Dr. May told the committee an online dashboard of 4K data will be ready over the summer and said a more detailed wait‑list report would be released in the coming month. Committee members and staff agreed to convene a stakeholder group that includes First Steps to pursue short‑term enrollment‑matching improvements and longer‑term policy questions about reimbursement and quality.

Why this matters

Committee members emphasized that state‑funded full‑day 4Ks are targeted at children in poverty and that the program’s purpose is to reduce readiness gaps for kindergarten. The report presented empirical enrollment, attendance and outcome measures that the committee said will inform both short‑term outreach and longer‑term funding and quality policy decisions.

Source material: Presentation to the Education Oversight Committee; Darla Moore School of Business cost study (appendix E); comments and questions recorded during the committee meeting.