United States Senator Herb Kohl : Wisconsin

Contact Senator Kohl


  CHILD CARE


Child care is of paramount importance to working parents. In many families, both parents must work just to make ends meet. As such, I have always made child care one of my top priorities.

Unfortunately, the supply of affordable, quality child care in our country is not keeping up with the demand. Many working families simply cannot find care for their young children in communities with few or no licensed child care facilities. This shortage is not just inconvenient, it is a missed opportunity. We know that good early childhood programs can improve children's chances of long-term success in school, higher earnings as adults, and decreased involvement with the criminal justice system. And employers who offer child care attract more highly qualified applicants, greater loyalty and less absenteeism.

We need a partnership between government, communities and private businesses to create a network of child care facilities that are safe and stimulating for children, while being affordable and convenient for parents. That's why I sponsored legislation to provide a tax credit to businesses that help increase the supply of quality child care for working families. I'm pleased that this child care tax credit was made law on June 7, 2001.

The child care tax credit is a simple, common sense start. My legislation provides a 25 percent tax credit to businesses for expenses related to the acquisition, expansion, or repair of an on- or near-site day care center, after-hours care facility, or sick-child facility. This credit would also be available for a consortium of businesses that join together to create a child care center, and for company expenditures on training and continuing education for child care workers. The credit is capped at $150,000 per year.

I have visited business-sponsored child care facilities across Wisconsin and have seen how much satisfaction the situation can bring employers and employees alike. This law makes us all partners in ensuring we have enough quality child care for working families and productive employees.

Additionally, I am a strong supporter of programs that help families find affordable child care. For example, the Child Care and Development Block Grant (CCDBG) program provides money to states to subsidize child care expenses for children under the age of 13. States must use at least 4% of their total funds to improve the quality and availability of child care, and must target 70% of entitlement funds on welfare recipients working toward self-sufficiency or families at risk of welfare dependency.

There is a tremendous need for child care in our country, and as a member of the Senate Appropriations Committee, I will continue to work with my colleagues to make child care a top priority and look for ways to increase funding.