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County hears childcare needs assessment and warns of federal funding cliff

Summit County Council · June 28, 2023
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Summary

Early Childhood Alliance and county staff presented a childcare needs assessment showing large gaps in infant and early‑care capacity, rising childcare inflation, and the end of federal stabilization grants that risks provider closures; council discussed a working group and possible local funding options.

Kristen (Early Childhood Alliance) and Jeff Jones (Summit County) presented the findings of a childcare needs assessment showing a persistent gap between local demand for regulated childcare and available licensed slots. The presentation cited national research and a US Treasury clip that framed childcare as a market that fails to pay for its social returns.

Key findings presented to the council included a county‑wide infant care gap (554 spots for 2022) and a projected fiscal cliff when federal ARPA stabilization grants taper in September 2023. Kristen said federal stabilization grants temporarily raised provider wages and offered $400 per child per month in some cases; those payments largely end this year and Utah will partially taper funds, leaving many providers fiscally vulnerable.

The presenters described options the county could consider: short‑term stabilization grants, in‑kind facility uses, developer/ community benefit agreements, targeted subsidies by income (sliding scale), tax‑increment or PILOT mechanisms, and regulatory changes to remove barriers to new facility openings. Park City Municipal has proposed a $1 million allocation for early care and education in FY24; the Early Childhood Alliance proposed a larger $2 million program to address supply and affordability but emphasized that no single local commitment will fully close the gap.

Council members asked for a plan with timing, potential funding sources and equity safeguards. Several members urged the county to convene a working group with cities, employers, philanthropy and providers to pursue sustainable, multi‑party solutions rather than a one‑time handout. Staff and presenters agreed to continue working with Park City’s program and to return with options for the council to consider during the budget process.