Child Care Subsidies

Arizona’s child care assistance programs are administered by the Department of Economic Security’s Child Care Administration. Assistance in paying for all or part of child care costs are guaranteed to those enrolled in Temporary Assistance for Needy Families (TANF), employed and transitioning off of TANF, or within the Child Protective Services (CPS) system. When funding is available, assistance is offered to qualified families with incomes below 165% of the federal poverty level, which for a family of three is $30,216. Child care assistance is limited to five years per child and six children per household. Children must be cared for by contracted providers.

Governor Jan Brewer signed into law the FY 2012 budget that eliminates General Fund appropriation for Department of Economic Security’s Child Care Administration, possibly meaning low-income families presently receiving state assistance to pay for child care will receive none beginning July 1, 2011. As a result of the elimination of state funding for child care assistance programs, millions of matching federal dollars may be at risk. However, some are counting on First Things First’s Quality First Child Care Scholarships to fulfill Arizona’s match to maximize federal sources for child care subsidies. So far, there has been no guarantee that will happen.

Prior to the elimination of all funding for child care subsidies, Arizona’s General Fund obligation to programs that make child care more affordable for low-income families had dropped nearly 72% in three years, from a high of $84.5 million in FY 2008 to a current fiscal year low of $23.8 million. Until June 30, 2011, total funding for these programs is at pre-2005 levels.

More information on the child care subsidies can be found at www.azdes.gov/az_child_care/