Res 2023-024/approving a funding contract with Workforce Solutions Rural Capital Area providing general funds of $100,000.00 for childcare programs

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2022 Workforce Solutions Rural Capital Area supports families, providers, and local communities by assisting parents who are striving to become self-sufficient with scholarships to pay for child care. We continuously provide child care technical assistance and training to child care providers through the Texas Workforce Commission Workforce Solutions and Child Care Services (CCS) in our nine-county area. Workforce Solutions Rural Capital Area contracts with BakerRipley Community Developers for all child care services. Workforce Solutions will serve families whose income is greater than 85% of State Medium Income and less than the City of San Marcos Income limits. These families will benefit from these funds as a temporary bridge to prepare for the on-going full cost of early care and education for their children. ISEEMMEM 111110011M Pre-pandemic analysis of early care and education in San Marcos shows: • A year of tuition for infant care at a licensed child care center in San Marcos costs$9,364; while a year of tuition at Texas State University costs$10,280. • The living wage in Hays County for an adult with two children is $42.14 an hour, $87,651.20 per year.While the Median household income is$68,787 in Hays County. (Source: https:Hlivingwage.mit.edu/counties/48209& https:Hdatausa.io/profile/geo/hays-county-tx) • 15.2% of families are living in poverty(10,885/71,267) and an additional 19.4% (13,840/ 71,267) could not afford basic needs such as housing, child care, food transportation, health care or technology (Source: United Way,ALICE report—Asset Limited, Income Constrained, Employed—households that earn more than the Federal Poverty Level but less than the cost of living in Hays county) Post-pandemic analysis of early care and education in San Marcos shows: • Between 2021 and 2022, the average child care tuition in Texas saw an increase of 8%. (Source: mybrightwheel.com) • 50% of parents who have not yet returned to work, cite child care as a reason for not having returned. (Source USChamberFoundation.com) • In July 2020, of the child care programs that reported being open, 94%were serving fewer children than prior to the pandemic. While overall,the average enrollment is down 57% (Source: (childcarerelief.org). • According to careeronestop.com, the average childcare worker in Central Texas is$11.34 and while that is not sustainable, the national average is$13.22. Additionally, access to child care affects both men and women: • In Central Texas, there is a 32-point gap in labor force participation between women and men with children under 6(64% of women v 96% of men). • After the birth of the first child, the gap in pay (due to labor force participation) between men and women doubles, and women may never be able to close that gap. (Source: Child Care—An Essential Work Support for Women; Women's Fund at the Austin Community Foundation). Finally, the early care and education industry is understaffed and under-income: • The average starting wage for a teacher is: $23,000 per year, about$30,000 less than a public pre-k teacher at a school district; and 92% of these child care teachers are women, with 45% people of color. (Source: Child Care—An Essential Work Support for Women; Women's Fund at the Austin Community Foundation). 31 Page