What to know about St. Paul's plan to fund child care at the ballot box
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A child care center in February 2022. Photo: Kathryn Gamble/Bloomberg via Getty Images
St. Paul voters will decide in November whether to raise property taxes to create a city-funded child care program for low-income families.
Why it matters: The ballot measure will force St. Paul to decide whether its city government should be responsible for a limited, local solution to a nationwide calamity: the free market's failure to provide adequate, affordable child care.
The big picture: Minnesota has aid programs to help low-income families pay for child care, but they don't cover all costs.
- This year and next, the state has increased those programs' funding by $250 million — but much of the spending is temporary, former Federal Reserve economist Rob Grunewald told Axios.
Friction point: In St. Paul alone, fully funding care for all low-income kids up to age 5 would require an additional $39 million in subsidies, Grunewald estimated.
How it works: If voters approve the ballot measure, St. Paul would slowly ramp up property taxes over 10 years — by $2 million each year — to create a $20 million program to help cover low-income households' child care costs.
- According to supporters, the fully funded program would serve around 4,000 St. Paul kids.
- It would be a "last dollar" program, meaning families would first apply for state subsidies, and city funds would fill any gaps.
What they're saying: City Council Member Rebecca Noecker told Axios the program is an attempt to "put our money where our mouth is when it comes to supporting our families and children."
- "We truly believe that St. Paul can model this for the rest of the state," the measure's campaign spokesperson, Gordie Loewen, told Axios. He likened the push to all-day kindergarten, which Minnesota funded only after local districts began instituting it themselves.
By the numbers: In Ramsey County, child care can swallow up to one-fifth of the median household's income, and as much as 38% of a single mother's budget.
The other side: City Council President Mitra Jalali told Axios that St. Paul's proposed program — which would ultimately serve a maximum of two-fifths of its target population — is being dramatically oversold based on a "half-baked" plan.
- Among Jalali's concerns: It's not clear that creating a city program would guarantee more available child care slots. Many St. Paul neighborhoods are already considered "child care deserts."
Plus: Providing child care isn't the city's job, Jalali argued, saying it distracts from bread-and-butter issues like housing, policing or street repairs.
Yes, but: Supporters counter that other cities, like New Orleans, have taken on child care funding.
State of play: Other opponents include Mayor Melvin Carter and St. Paul's K-12 teachers union.
- Meanwhile, Minnesota Wild owner Craig Leipold gave $20,000 to support the measure, accounting for almost one-third of the "Yes" campaign's haul as of Sept. 10.
Editor's note: This article has been corrected to say the fully funded child care initiative would serve as many as 4,000 children (not around 2,000).