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FY 2011 Federal Budget Process Begins with Bold Proposal

by Eric Karolak
March/April 2010
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Article Link: http://www.childcareexchange.com/article/fy-2011-federal-budget-process-begins-with-bold-proposal/5019238/

The federal government’s annual budget process was kick-started this year with a bold proposal that has implications for anyone who provides child care. But keeping child care front and center in Washington will take a lot of effort in 2010.

A major investment in child care

On February 1, the Administration released the Budget Proposal for Federal Fiscal Year 2011 (October 1, 2010 to September 30, 2011). It calls for two major new investments in child care. First, the Administration proposed an increase of $1.6 billion for the Child Care and Development Block Grant (CCDBG) which helps working families afford child care. According to the Administration, this increase could help families of as many as 235,000 more children receive help in paying for child care. This historic increase in CCDBG funding could make a big difference to states, programs, and families.

The Proposal also included an expansion of the Child and Dependent Care Tax Credit designed to reach families at higher income levels and to increase the amount that parents can claim and get credited in their taxes. This non-refundable tax credit can help families offset some of the costs of child care and care for other dependents.

These measures are core parts of what the Administration calls its ‘Zero to Five Plan,’ a broad effort to support early childhood development and learning. Together, they are big news for our industry and field, ...

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