Urge increased state investments for Child Care Staff Recruitment and Retention Program
May 28, 2026 – Standing at their City Center site with two closed classrooms behind them, Early Connections CEO Stacey Hellmann joined state and local leaders today to spotlight an unrelenting child care staffing crisis that is leaving hundreds of Erie County children without care and parents sidelined from the workforce.
“Let me show you what this crisis looks like on the ground, starting right here at our City Center site. Across our four locations, we currently have eight staff vacancies. Here at City Center alone, two classrooms are closed,” shared Hellman. “Recently, we made the heartbreaking decision to close an entire site at John E. Horan Garden Apartments. If every one of our centers were fully staffed today, we could immediately serve an additional 91 children. That is 91 families scrambling for backup care and 91 futures being put on hold.”
An April 2026 survey conducted by the Start Strong PA Campaign of 1,141 child care providers from across Pennsylvania showed that 87% of child care programs reported challenges in recruiting staff and 78% are struggling with teacher shortages. Those shortages are leaving more than 2,600 unfilled positions statewide. Programs could serve an additional 21,917 children if they could recruit and retain the staff they need, and these numbers represent less than 18% of the total open registered programs in Pennsylvania.
Hellman also shared that 38 programs from Erie County responded as part of that 2026 survey. They reported 74 unfilled positions closing 21 classrooms. Another 41 classrooms in these programs are under-enrolled, meaning they are open but cannot take more children due to lack of staff.
“As a chamber, we hear regularly from employers about the difficulty of hiring and retaining workers. Time and time again, one of the most cited pain points impacting working families’ ability to work is the availability of child care,” said Brandon Mendoza, President and CEO of the Erie Regional Chamber and Growth Partnership. “That is why we have been able to build a coalition of more than 75 local chambers of commerce and economic development organizations advocating for immediate action to stall the exodus of child care teachers.”
As part of the event, Mendoza presented data released by ReadyNation Pennsylvania in a new report noting that these child care issues have a real cost to the economy. The economic analysis shows gaps in Pennsylvania’s child care system now cost the Commonwealth’s economy $6.4 billion annually, including $4.9 billion in costs to working parents and $1.5 billion in costs to Pennsylvania businesses through lost earnings, lost productivity, and extra hiring costs.
“We hear daily from providers and parents across the state. They tell us about classrooms closing because teachers can’t afford to stay. They tell us about parents who are sidelined from the workforce because care is too expensive or simply unavailable,” Kimberly Early, Senior Director of Public Policy and Advocacy at PennAEYC said. “Affordability matters, but without educators, there’s no care to afford.”
As part of the event, Early shared new March 2026 Pennsylvania voter polling numbers:
- 78% support increasing state funding for child care staff salaries
- 81% support increasing state funding for pre-k teachers’ salaries
- 82% support increasing state funding for Head Start
“More than half of Pennsylvania residents live in child care deserts, and less than half of Pennsylvania’s child care is considered high quality,” stated Representative Pat Harkins (D-1). “I was happy to support the creation of the Child Care Staff Recruitment and Retention Program last year but we still have a lot of work to do for early learning programs and a mandate from the voters to do it.”
The Child Care Staff Recruitment and Retention Program launched in January 2026 with an appropriation of $25 million in the 2025-26 Pennsylvania budget. Program launch highlights include:
- 4,358 child care providers applied in the first year of the program (75% of eligible providers in PA).
- 33,688 child care teachers will receive $645 retention bonuses.
- 4,972 newly hired child care teachers will receive $645 recruitment bonuses.
“Before I was a legislator, I was a teacher,” shared Representative Bob Merski (D-2). “For 16 years, I stood in front of young children in Erie’s Catholic schools, in the Corry School District, and most recently in Erie City Schools. I know what it takes to educate a child. And I know what it takes to keep a classroom staffed. Here’s what I learned: You cannot have a strong classroom without strong teachers. And you cannot keep strong teachers without paying them a living wage.”
Participants shared that the current average wage of a child care teacher in Pennsylvania is $15.23 hour. This wage does not meet the cost of living in any county in Pennsylvania. And it is these low wages that continue driving this staffing crisis.
Event speakers urged that, as part of an enacted 2026-27 budget, the General Assembly must include:
- A $10M increase for the Child Care Staff Recruitment and Retention Program
- A $2M increase for the Head Start Supplemental Assistance Program
- A $7.5M increase for Pre-K Counts
Others participating in the event included: Mike Plazony, Board Advisor, GBU Life; Commissioner, PA Early Learning Investment Commission; Board President, Early Connections and Jody Irwin, Director of Benefits, Erie Insurance; Commissioner, PA Early Learning Investment Commission.
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HARRISBURG, PA (February 3, 2026) – Today, the principal partners of Early Learning Pennsylvania (ELPA), a statewide coalition of advocates focused on supporting young Pennsylvanians from birth to age five, expressed appreciation for the Shapiro Administration’s 2026-27 state budget proposal and its continued focus on children and early education workforce investments, while also highlighting the need for additional support in areas like infant and toddler Early Intervention and home visiting.
ELPA operates issue-based advocacy campaigns, including: Pre-K for PA, Start Strong PA, Childhood Begins at Home, and Thriving PA. The partners of ELPA issued the following statements regarding the Governor’s budget proposal:
Budget prioritizes early learning workforce to address on-going child care staffing crisis
“Start Strong PA applauds Governor Shapiro for continuing to prioritize the child care workforce by building on the $25 million recurring Child Care Recruitment and Retention Program funding with an additional $10 million investment. These funds will support programs as they work to recruit quality applicants and retain experienced educators.
“Child care is an economic development strategy, workforce participation strategy, and education success strategy. These investments will encourage teachers to remain in the field, allowing more parents to work, prepare more Pennsylvania children for school, and build a stronger and more prosperous Commonwealth.
“Start Strong PA looks forward to working with the House and Senate to ensure these urgently needed funds are included in the final budget so we can more fully address the child care staffing crisis and its impact on working families and employers. There is always more we can do to help families find and afford child care and build a robust early learning sector while working to improve system quality and stability.”
Proposed budget boosts Pre-K Counts and Head Start rates to tackle ongoing teacher shortage
“Pre-K for PA commends the Shapiro Administration for taking an additional step to confront the longstanding teacher staffing crisis facing the Pre-K Counts and Head Start Supplemental programs. The proposed Pennsylvania 2026-27 state budget’s inclusion of an additional $7.5 million investment for Pre-K Counts and $2 million for Head Start will help stabilize early learning providers by increasing per-child rates – an essential step toward addressing rising costs and chronic staffing challenges driven by persistently low wages.
“For years, higher-paying opportunities in K-12 education and other sectors have pulled qualified educators away from early learning settings, forcing many providers to reduce enrollment or close classrooms altogether. This new funding represents a critical step toward reversing that trend and ensuring that state-funded pre-kindergarten programs remain strong, sustainable, and accessible to families across the state.
Budget proposal fails to recognize needed investments in infant and toddler Early Intervention
“Early Intervention is a critical and federally required component of the early care and education continuum, as all children from birth through age five with developmental delays, regardless of family income level, must be identified, referred to, and provided necessary services to help them and their families reach their fullest potential. While the increase for preschool Early Intervention in the Department of Education budget is a needed boost, the cut to infant and toddler Early Intervention in the Department of Human Services budget is deeply concerning. The reduction of funding will negatively impact the ability to adequately deliver services to more children in Pennsylvania. It is especially disappointing, as the 2024 Early Intervention Rate Methodology Study released by OCDEL found that infant/toddler rates were underfunded by more than $71 million in 2022-23 – almost 40% – a deficit that has continued to grow in the years since. Failing to address the workforce shortages caused by the ongoing rate deficit in the sector severely limits providers, making it harder for families to access services they are entitled to by federal law. We look forward to working with the legislature and the administration to change course and ensure critical investments are made in infant and toddler Early Intervention in the final budget.”
Stagnant funding reduces home visiting services for pregnant women and families with young children
“Home visiting is a vital component of the early childhood landscape, offering pregnant women and families with young children an option for support during the earliest and most critical years of life. For the fourth consecutive year, the proposed state budget level funds evidence-based home visiting programs. Without increased investments to address the rising costs of providing these life-changing services designed to strengthen and support families, local programs will struggle to serve families in their communities without reductions or be able to address longstanding workforce shortages, including factors that affect retention and recruitment. The Childhood Begins at Home campaign views the lack of an increase in the proposed 2026–27 budget as a missed opportunity, particularly as families and communities across Pennsylvania continue to face rising costs for basic needs such as food and housing. Investments in these vital services also help lower human services costs in the long run, and are critically important at a time when costs continue to grow. We will continue working with policymakers in the legislature and the administration to underscore the importance of evidence-based home visiting services for families who face disproportionate barriers to health and well-being, including families living in poverty, and to lay the groundwork for increased investment in the next competitive contract period beginning in July 2027.”
2026-27 PA State Budget Proposal Includes:
- $10 million in additional funding for the Child Care Recruitment and Retention line.
- $7.5 million in additional funding for the Pre-K Counts program.
- $2 million in additional funding for the Head Start Supplemental Assistance Program.
- $2.2 million in additional funding for the Child Care Services and $1.6 million for the Child Care Assistance line items.
- A reduction in funding of $5.2 million for the infant and toddler Early Intervention program in the Department of Human Services budget, and an increase of $51.2 million for preschool Early Intervention in the Department of Education budget.
- Level funding for the Community Based Family Centers line and Nurse Family Partnership line.
About Pre-K for PA
Pre-K for PA launched in 2014 with the vision that every 3- and 4-year-old in Pennsylvania will have access to high-quality pre-k. Learn more at www.prekforpa.org.
About Start Strong PA
Start Strong PA launched in 2019 to support healthy child development, working families, and the economy by increasing access to and affordability of high-quality child care programs for young children. Learn more at www.startstrongpa.org.
About Thriving PA
Thriving PA is a perinatal and child health campaign launched in 2021 that works to ensure each birthing person, infant, and toddler in Pennsylvania has access to affordable, quality health care. Learn more at www.thrivingpa.org.
About Childhood Begins At Home
Childhood Begins At Home is a statewide campaign launched in 2017 to help policymakers and the public understand the value of evidence-based home visiting and support public investments in the programs. Learn more at www.childhoodbeginsathome.org.
(Harrisburg, PA) January 14, 2026 – In response to the federal administration’s decision to freeze Child Care and Development Fund (CCDF) payments in five states, the Start Strong PA and Pre-K for PA campaigns issue the following statement:
The recent decision to freeze access to Child Care and Development Fund, Temporary Assistance for Needy Families, and Social Services Block Grant funds for California, Colorado, Illinois, Minnesota and New York is a disproportionate and harmful reaction to alleged fraud confined to specific providers in Minnesota. Let us be clear: fraud within public systems is unacceptable and must be addressed with precision. However, we must also be clear that states have regular audits of these funds, many systems like Pennsylvania’s have robust program integrity measures, and federal oversight mechanisms are already in place to ensure accountability.
This reaction represents a failure of targeted governance. It punishes thousands of responsible providers, jeopardizes the livelihoods of early educators, and destabilizes care for children and families who rely on it. The potential consequences: program closures, workforce dropout, and disruption to children’s routines and their parents’ employment are severe and preventable.
The federal government possesses standard legal and financial controls to investigate fraud and recoup misspent funds without resorting to a freeze that jeopardizes the entire sector of care and education. We call on our federal partners to immediately restore funding flow and employ the precise tools of accountability meant for such situations, rather than imposing collective punishment on states, providers, and working families.
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HARRISBURG, PA (November 12, 2025) – Today, the principal partners of Early Learning Pennsylvania (ELPA), a statewide coalition of advocates focused on supporting young Pennsylvanians from birth to age five, applauded the 2025-26 state budget’s focus on children and early education workforce investments, vital commitments finalized after prolonged negotiations.
Investments that will stabilize and reverse the exodus of early educators will directly benefit tens of thousands of teachers and other professional staff and help provider businesses remain open. Additionally, these investments will help reverse the billions of dollars in lost productivity and earnings suffered by working families and employers when families don’t have the care they need.
The partners of ELPA issued the following statements regarding the 2025-26 state budget. ELPA operates issue-based advocacy campaigns including: Pre-K for PA, Start Strong PA, and Thriving PA.
Budget establishes new initiative to address PA’s child care teacher crisis
“Start Strong PA celebrates the Shapiro Administration and General Assembly for the establishment of a new child care teacher recruitment and retention program that will help keep teachers in the classroom so that working families have access to the care they need.
“The $25 million recurring investment will benefit the teachers and other para-professionals that are directly responsible for the care of children in licensed child care programs throughout the commonwealth participating in the child care subsidy program.
“With this investment, Pennsylvania is joining 18 other states that are directly investing in teacher recruitment and retention efforts to keep child care classrooms open for the benefit of working parents and the economy at large.
“Recent estimates show that gaps in Pennsylvania’s child care system cost working families, employers, and taxpayers a staggering $6.65 billion annually — in lost earnings, productivity, and tax revenue.
“A September 2024 survey of 1,140 child care providers, representing 17 percent of providers, from across Pennsylvania, showed that 92% of child care programs reported challenges in recruiting staff with 85% struggling with teacher shortages leaving more than 3,000 unfilled positions statewide, thereby – eliminating child care for more than 25,000 Pennsylvania children.
“With a net loss of 590 licensed child care programs over the past five years, Start Strong PA looks forward to working with Pennsylvania lawmakers to ensure the Commonwealth focuses on building on this investment so we can more fully address the child care staffing crisis and its impact on working families and employers.”
State budget boosts Pre-K Counts rates to tackle ongoing teacher shortage; further support needed for Head Start
“Pre-K for PA commends the Shapiro Administration and General Assembly for taking meaningful action to address the historic teacher staffing shortage in the Pre-K Counts program. The 2025-26 state budget provides $9.5 million in new state funding to help stabilize early learning providers by increasing per child rates– an important measure to counter rising costs and staffing challenges driven by low wages.
“In recent years, opportunities for higher salaries in K–12 education and other sectors have made it increasingly difficult for Pre-K Counts providers to retain qualified teachers, forcing some programs to reduce enrollment or close classrooms. This new investment represents a critical step forward in ensuring that state-funded pre-kindergarten programs remain strong, sustainable, and accessible for Pennsylvania’s youngest learners.
“However, we are disappointed that the final budget fails to offer support for the commonwealth’s Head Start Supplemental programs that are facing similar staffing challenges. While the passage of a state budget will send delayed payments to Pennsylvania’s Head Start programs, we should be investing additional dollars to expand this lifeline for children and families.
“Mitigating teacher shortages in Pennsylvania’s publicly funded pre-k programs is a necessary first step in ensuring that all children have access to this once-in-a-lifetime opportunity. Currently, 78,000 three- and four-year-olds in the commonwealth are eligible but do not have access to high-quality pre-k programs.”
Enacted budget also recognizes significant workforce challenges in Early Intervention
“We are also pleased that the final budget includes a total increase of $41.7 million for Early Intervention services. Specifically, $13.2 million of the increase is allocated for the Part C (Infants and Toddlers) program in the Department of Human Services budget, with $10 million of these funds directed to increase provider rates to address key challenges in the sector including workforce shortages. The remainder of the combined increase provides an additional $28.5 million for the Part B (age three to five) program in the Department of Education budget. Early Intervention is a critical component of the early care and education system, as all children from birth through age five with developmental delays, regardless of family income level, must be identified, referred to, and provided necessary services to help them and their families reach their fullest potential. These programs show significant increases in the number of children needing these critical services each year.
2025-2026 PA State Budget Includes:
- $25 million in additional funding for child care ($25 million in the new Child Care Recruitment and Retention line with level funding in the Child Care Services and Child Care Assistance line items).
- $9.5 million in additional funding for the state’s Pre-K Counts program.
- Level funding for the Head Start Supplemental Assistance Program.
- $13.2 million increase for the Early Intervention Part C (infant and toddler) program through DHS, with $10 million of these funds allocated for a rate increase for providers.
- $28.5 million increase for the Early Intervention Part B (age three to five) program through PDE.
- Level funding for evidence-based home visiting in the Community-Based Family Center line item and a small reduction in the Nurse-Family Partnership line due to a change in federal matching rates.
Bipartisan Lawmakers Join Providers to Highlight Devastating Impact of State Budget Impasse and Federal Shutdown on Children and Families
HARRISBURG, PA (October 29, 2025) Today, the Pennsylvania Head Start Association, alongside bipartisan legislative leaders and providers from across the state, celebrated the 60th anniversary of the national Head Start program while issuing an urgent warning about the devastating impact of the ongoing state budget impasse and federal government shutdown on early childhood education.
The event featured a proclamation recognizing Head Start Awareness Month and powerful testimonials from providers detailing classroom closures, staff layoffs, and the dire financial maneuvers required to stay afloat.
“The future of Pennsylvania’s child care and pre-k system is on the line,” said Kara McFalls, Executive Director of the Pennsylvania Head Start Association. “We have celebrated 60 years of Head Start’s legacy. Now, we must fight for its future. Every day without a budget, we jeopardize our children’s education, working families’ stability, and our overall economic success.”
Legislators from both parties emphasized the program’s proven track record and bipartisan support. “Before I ever ran for office, my career was dedicated to advocating for children and families,” said Representative Justin Fleming (D-105). “Here in Pennsylvania, Head Start serves over 35,000 children, including over 1,000 in foster care and over 2,500 experiencing homelessness. We have the data. We have the bipartisan support. What we need now is the political will to fund it.”
The PA budget impasse has left some communities without access to the comprehensive education and health services that Head Start programs offer the children and families they serve.
Holly Strait, Senior Vice President of PathStone Corporation, reported 12 closed classrooms, 145 children unserved, and 48 staff laid off. “On this 60th anniversary, we should be talking about how to expand this proven program, not how to save it from collapse.”
Pam Johnson, Executive Director of Jefferson-Clarion Head Start described a heavy heart on a day that should be filled with celebration. “As we speak, 323 children in our two counties are without the services they depend on,” said Johnson. “Their classrooms are silent. Their little chairs are empty. We have been forced to lay off over 50 dedicated, passionate staff members—the very people who are the lifeblood of this program.”
The providers underscored that the budget delay forces programs into an impossible choice: take on high-interest debt to pay teachers or close classrooms and lose irreplaceable staff to other industries, further crippling a sector already struggling with poverty-level wages.
“To date, we have stretched every dollar. We have used every resource. We have done this because we believe in the children,” shared Deidra Vachier, CEO of Community Services for Children, revealing her program has spent $2.6 million in reserves and will now need to access a line of credit, costing an additional $10,000 per month in interest. “We will keep doing our part as long as we can, but our state and federal lawmakers must also do theirs. Pass a state budget. End the federal shutdown.”
Participants called for an immediate resolution to the budget impasse and as part of the 2025-26 final state budget, Pennsylvania policymakers should include:
- $17 million in additional funding for Pre-K Counts
- $9.5 million in additional funding for Head Start Supplemental Assistance Program and
- $55 million for child care teacher recruitment and retention funding.
About Pennsylvania Head Start Association:
The Pennsylvania Head Start Association (PA HSA) is a private, not-for-profit membership organization that represents the 61 Head Start grantees in Pennsylvania. For over 20 years, PA HSA has been committed to ensuring that every vulnerable child and family in Pennsylvania has the opportunity to succeed through access to high-quality early childhood education and comprehensive support services.
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Surveys Find Devastating Impacts of State Budget Impasse on Pennsylvania’s Early Learning Providers
Documented to date: $20 Million in Loans; 4,000 Children Shut Out
Harrisburg, PA (October 17, 2025) – Recent surveys conducted by the Pre-K for PA and Start Strong PA campaigns as well as the Pennsylvania Office of Childhood Development and Early Learning (OCDEL) of both Pre-K Counts and Head Start Supplemental Assistance Program (HSSAP) providers found widespread, devastating impacts resulting from the state budget impasse.
In response to a short survey concluded on October 10th, Pre-K for PA / Start Strong PA documented that 95 Pre-K Counts and HSSAP providers across 32 counties have collectively taken on nearly $20 million in loans in order to continue to serve working families while state funding has been frozen. Many of these loans have been business lines of credit taken out at an average interest rate of 7.5 percent, while others have been personal loans with higher interest rates. Many providers have indicated that loans will only sustain operations for a short period of time and the accumulated interest liability may have severe consequences for future operations.
“This survey represents just a small portion of early learning providers, but it is clear that the continued state budget impasse is further destabilizing a sector that was already in the midst of a crisis with financial and staffing challenges,” said Kara McFalls, Executive Director of the Pennsylvania Head Start Association. “Early learning providers can not withstand additional insecurity.”
While dozens of providers have taken on debt to keep their classrooms open, many others have been forced to take even more drastic measures, including laying off staff and closing classrooms completely.
Through targeted outreach across 21 grantees operating Pre-K Counts and/or HSSAP programs across 16 PA Counties, OCDEL documented closures, planned closures, or delayed openings of classrooms that affect more than 4,000 slots across the Commonwealth. This represents more than 4,000 children being denied the opportunity of a foundational early learning experience due to the inability to pass a timely PA state budget. It also represents working families across the state that are struggling to arrange and pay for alternate care for their children during working hours. Both Pre-K Counts and HSSAP are free programs for qualifying families.
“We know that gaps in care already cost this Commonwealth over $6.5 Billion in lost economic opportunity each year. This impasse and its effects on working families and early learning providers is adding to this figure,” said Robert S. Carl, Jr., President and CEO of the Schuylkill Chamber of Commerce. “Additionally, shutting our youngest learners out of classrooms will certainly have negative impacts on school readiness for this cohort of three- and four-year-olds in years to come. It’s time to compromise and pass a budget that invests in the early learning workforce!”
Previous surveys have documented thousands of unfilled early learning teaching positions due to low pay. Providers fear that closures and layoffs resulting from the current state budget impasse will significantly exacerbate these staffing challenges and further destabilize programs for the foreseeable future.
Recent polling from March 2025 shows that Pennsylvania voters overwhelmingly support increasing state funding for early learning programs:
- 83% support allocating state funding to increase childcare worker wages.
- 73% support increasing state funding to serve more eligible children in pre-K programs.
- 73% support increasing state funding to help more low-income families afford high-quality childcare.
- 72% favor allocating state funding to increase compensation for pre-K teachers.
Pre-K for PA and Start Strong PA urge Pennsylvania policymakers to take this voter sentiment to heart and pass a final budget which includes:
- A $55 million investment in a new and recurring Child Care Recruitment and Retention line item to grant licensed child care providers participating in the child care subsidy program with $1,000 per educator;
- $17 million in additional funding for Pre-K Counts;
- $9.5 million for the Head Start Supplemental Assistance Program and
- $16.2 million increase for infant/toddler Early Intervention and $38.1 million increase for preschool Early Intervention.
“These urgently needed investments will stabilize and reverse the exodus of early educators and help keep early learning programs open so parents can go to work,” said Jen DeBell, Executive Director of the Pennsylvania Association for the Education of Young Children. “It’s imperative that lawmakers return to Harrisburg and negotiate and pass a final budget that includes these pro-working family investments.”
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