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Michigan forms $130M relief fund for child care providers

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LANSING, Mich. — Michigan Gov. Gretchen Whitmer announced today a $130-million fund to give grants to child care providers.

The Michigan Child Care Relief Fund is intended to make child care "more affordable and accessible" for families during the COVID-19 pandemic, according to Whitmer's office today.

To qualify for a grant, child care providers must meet several criteria: commit to reducing their weekly rate by at least 10%; provide care for children of essential workers; and not charge a fee to hold a child’s spot while receiving grant funds.

Grants start at $1,500 for home-based providers and $3,000 for centers.

The state said additional funds will be awarded based on a provider's size, whether they're open and serving essential workers and their quality rating.

A range of child care providers are all eligible for the grants: licensed child care centers; family group homes; tribal child care providers; provisional disaster relief child care centers; and subsidized license exempt providers.

“Child care providers have been critical partners in helping our state respond to COVID-19, and we are extremely grateful for their service,” Whitmer said.

“Every child care provider and early educator is important in giving parents some peace of mind. while they are delivering essential services to our state at this challenging time.”

The state said the funds will help ensure the following:

  • Child care providers serving essential workers remain open and costs associated with providing care during the COVID-19 pandemic are not passed on to essential workers
  • Child care providers can stay afloat during the “Stay Home, Stay Safe” state of emergency
  • Child care is more affordable to families right now and as the economy begins to re-open
  • Child care providers have the resources needed to re-open for Michigan’s workforce when the recovery process begins and more families are in need of child care

Michigan’s Child Care Relief Fund is made up of $100 million in federal CARES Act funding and $30 million from the state’s child care fund, which are both dedicated child care services.

Child care providers can fill out an online grant application at michigan.gov/childcare.