Healey boosts funding for childcare providers – Lawrence Eagle-Tribune
By Christian M. Wade
Hundreds of state-funded childcare providers will be getting a boost in funding with the state moving to increase reimbursement rates as part of a broader effort to expand options for parents.
The state Board of Early Education and Care on Wednesday approved Gov. Maura Healey’s proposed changes to how the state reimburses early education and care providers who accept child care financial assistance from the state.
Under the changes, child care providers will get a 5.5% increase in daily per child reimbursement rates beginning in February — an increase of over $2,000 a year on average per child. They will also get a one-time retroactive payment to account for the increased rates back to July 1, 2023, under the changes.
The Healey administration boasted that the changes will make Massachusetts the first state in the nation to use the actual cost of childcare to set reimbursement rates. The increases will be funded with $65 million from the fiscal year 2024 state budget.
Childcare providers will also begin to receive higher reimbursements for infant and toddler care to better cover the true cost of providing care to these age groups, according to the Healey administration.