Travis County voters have recently approved a tax rate increase to address the rising need for affordable child care in the area. This increase, known as Travis County Proposition A, will add 2.5 cents per $100 valuation to the property tax bill of the average Travis County homeowner, costing about $126 annually. Renters will indirectly bear this cost through their rent payments.
The $75 million generated from this tax rate increase will support various programs aimed at improving access to affordable child care. One of the key areas of focus is to fill the gap in affordable child care slots. Travis County Judge Andy Brown estimates that nearly 3,000 children under the age of 3 currently lack access to child care, leading to a two-year waitlist for affordable options. The tax rate increase is expected to fund approximately 1,900 new slots for infants and toddlers, as well as 3,900 slots for after-school and summer programs.
Furthermore, the funding will also address gaps in the state’s child care subsidy program. According to Cathy McHorse, a coalition manager for Affordable Childcare Now, the current reimbursement rates to child care providers do not cover the actual cost of child care, creating financial challenges for both providers and families.
Another important aspect of the funding is to support child care centers in expanding their operating hours beyond the traditional 9-5 workday. This flexibility is crucial for many working parents, especially in industries with nonstandard working hours.
Moreover, the county aims to incentivize companies to offer child care as an employee benefit by matching employer contributions with county funds. This initiative is designed to assist middle-income families who may struggle with child care costs despite earning above the state median income threshold.
The cost of child care in Austin is among the highest in the state, with an average annual cost of about $13,000. This high cost is attributed to various factors, including labor expenses, food, and space requirements mandated by Texas standards. The $75 million funding is expected to alleviate some of these financial burdens and support child care providers who are at risk of losing federal funding post-2026.
In addition, child care centers face challenges related to retention due to low wages, with the average wage for child care workers in Austin being significantly below the living wage. This discrepancy often leads providers to charge families based on what they can afford rather than the actual cost of care.
Overall, the approved tax rate increase in Travis County aims to address the pressing need for affordable child care and support both families and child care providers in the area. The funding will play a crucial role in improving access to quality child care services and ensuring the sustainability of child care businesses in the community. If you found the information in this article valuable, please consider supporting quality journalism by making a donation to help fund similar reporting in the future.
