GRAND RAPIDS, Mich. — Childcare providers in Michigan are pushing back on the state's proposed budget changes, arguing they could have a dangerous impact on an already struggling industry.
Addressing childcare issues has been a priority of Gov. Gretchen Whitmer's administration.
Michigan has a Great Start Readiness Program — or GSRP — that provides free pre-K to eligible 4-year-olds.
Whitmer wants 30% of those funds to go directly to private and community-based providers.
However, the House budget proposal would remove that requirement and instead redirect that money to those working in public schools.
The Senate budget, meanwhile, said childcare facilities need to pay providers a salary comparable to K–12 teachers.
"There is not a level playing field between a public school system that has certain advantages, local taxes and other things that they have, that community-based organizations and childcare providers don't have," said Matt Gillard, Michigan’s Children president and CEO.
Marcus Keech, Grand Rapids Chamber director of Government Affairs, added, "While we do all encourage the idea of increasing salaries, it's, How do we get there? How do we get there without causing providers to have to increase their tuition rates substantially for individual families who are already on the verge of not being able to afford childcare? We can't just set the standard — this blanket — for all providers, regardless of their revenue streams, to ultimately to pay their workers that amount of salary.”
The Michigan Chamber of Commerce sent a letter to legislators voicing their concerns. You can read that letter here.
The Early Childhood Investment Corporation also outlined the expected impact in a document. You can read that here.
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