Written by Jessica Simonsen and Trevor Storrs
Updated: 6 hours ago, Published: 6 hours ago
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In April 2023, Anchorage voters passed Proposition 14, which permanently sets aside the city's marijuana tax revenue to fund child care and early education programs. The new fund, known as the Anchorage Child Care and Early Education (ACCEE) Fund, will be the most comprehensive and reliable investment in child care and early education in Anchorage to date.
That passage came quickly. Since 2019, the number of licensed child care programs in Alaska has decreased by 20%, and the number of licensed programs in Anchorage has fallen below 200 for the first time in 20 years. As families, employers, and businesses know all too well, the lack of affordable care options has a negative impact on families, the workforce, and the economy. In fact, more than half of Alaska families are unable to fully participate in the workforce due to the cost, availability, or quality of child care options.
The ACCEE Fund generates approximately $5 million annually, with disbursements starting in 2025. Although this fund is not sufficient to meet all the needs of a chronically underfunded system, it will enable municipalities to make innovative and valuable investments in this area. , supporting families and finances in the process.
The ACCEE Fund Implementation Team – a team of experts, elected officials, donors, business and military representatives, parents and others – has been exploring the most strategic and effective uses for the funds. In addition to evaluating national trends, particularly effective Alaska programs, and opportunities to leverage the limited funding available, the implementation team has actively sought feedback from the public on how funds are used. I did. Over the past several months, the implementation team has hosted more than a dozen community conversations for parents, health care providers, and others across the city, including Eagle River and Girtwood. The implementation team also conducted a survey and received over 400 responses.
What we've heard loud and clear from the public, in our research, in many community conversations, and as a top response from others we've engaged in this work with, is that in order to stabilize This means we need to improve pay and benefits for providers. Sector. The average child care worker in Alaska makes less than her $30,000 a year, and her family is more than twice as likely to live in poverty. The truth is that while child care and early childhood education providers love their jobs and love the children, many of them simply cannot afford to continue doing what they love.
The implementation team considered a number of initial funding ideas, including wage and benefit subsidies. Provide free child care to the children of health care providers to support the existing workforce and hire additional, much-needed child care workers. Partner with businesses and other employers to provide upfront costs and technical assistance for new child care and early education programs. Financing capital investment. There are several other concepts, many of which have been successful in other parts of the state and country.
In the coming months, the implementation team will evaluate these possible funding options. The team will present a proposed funding package that reflects best practices and public priorities to the ACCEE Fund Explanation Committee. The board created by Proposition 14 will likely be seated starting this summer. The board will decide on annual budget proposals for the ACCEE Fund, starting with the 2025 budget, which will be submitted to the Mayor and Anchorage Council this fall. In addition to putting together a draft funding package, the implementation team is also working on an ordinance to be submitted to the Anchorage Council that describes the responsibilities, composition, and operations of the ACCEE Fund Accountability Committee.
The implementation team has been hard at work, and a big part of that work has been listening to feedback from Anchorage residents. We look forward to working with families, parents, health care providers and businesses to identify the most strategic uses for funds and improve this important sector.
Jessica Simonsen is a parent member and co-chair of the ACCEE Fund Implementation Team.
Trevor Storrs serves as Co-Chair of the ACCEE Fund Implementation Team and President and CEO of Alaska Children's Trust.
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