Resources to Assist Child Care Providers

As the state budget stalemate continues and all of us experience heightened anxieties over the uncertainty of the future budget on our programs and those of the child care providers who partner with us, we need to do everything that we can to help providers develop strategies and resources to continue to serve children and families in your community. Noted below are a few options that you can share with child care providers to assist them in locating resources within your community: (Please note that there are more options available to child care centers than to family child care providers)

Home Equity Line of Credit. For family child care providers who own their own home, the simplest and quickest way to access a loan is through a home equity line of credit. Providers can set up a credit line and then use the funds as they need it. Providers should work with banks and mortgage companies with whom they have an established relationship. Alternately, they can pursue other lenders in their community for lines of credit.

Small Business Association (SBA). For center-based programs and family child care providers who don’t own their own home, the small business administration micro- lenders is one avenue for loans. Micro- lenders can process loans quickly. The small business administration closest to you can be located at their web site: sba.gov/financing/microparticipants.html

Building Child Care. The R&R can contact Prudence Bidler at Building Child Care for other micro- lenders in your area who aren’t affiliated with the SBA and who might be available to provide loans to child care programs. She can also connect you and providers with Small Business Development Centers (SBDC) who can provide technical assistance to small businesses. The Network is an active partner in the Building Child Care Collaborative that was funded through legislation authored by Assemblywoman Hannah Beth Jackson.

County Children & Families Commission. The County CFC’s who have emergency loan funds may be another avenue for possible funding for providers directly or through the R&R. Contact your local commission Executive Director or individual commission members to explore this option locally. Several R&R’s have indicated that they may be pursuing this option.

Keep Parents and Providers Informed. Provide updated information on the status of the state budget and the strategies that you are using within your own organization to maintain program operations and services. Although it may be difficult to share with providers and parents the efforts that you are making to continue services it is an important tool to quell their anxieties. At times like these, rumors are common. It is important to provide accurate information to calm the fears. The more knowledge and information that people have the more comfortable they will be with their future and the more empowered they feel about the options available to them.

Share Information on what other Counties are doing. As you become aware of successes and strategies from other counties or even other social service agencies within your own county, share them locally and with the R&R Network so that we can continue to support each other in our efforts to "bridge the services" absent a state budget. (The information that we gathered at our recent Regional meetings will be compiled and e-mailed out to all of you so you will be able to quickly see what is occurring across the state).

Survey Subsidized Programs in Your Service Area. If you haven’t already done so, survey the subsidized child care programs in your service area to determine the status of their continued operation and lend advice and assistance as appropriate.

Advocacy. Gather information on the impacts on private programs from the budget impasse. Are programs closing? Are they taking out loans and lines of credit? Are they discontinuing care to subsidized families? Share this information with local legislators and with the R&R Network.

Please share your successes and challenges using these ideas and also share any other creative solutions that you have discovered in your community so that others may try them. Email any information to maofrr@maof.org.

Compiled by the California Child Care Resource & Referral Network by Donita Stromgren, Public Policy and Membership Services Manager. For additional information contact 530 750-1127 or donita@davis.com

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