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child care in cook county - Illinois Action for Children

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B.TRENDS IN CHILDCARE RATESLike most expenses, <strong>child</strong> <strong>care</strong> coststend to rise every year. But the costof center <strong>care</strong> has risen more rapidlythan consumer prices nationally.Table I-3 presents the aggregaterate <strong>in</strong>creases of centers and family<strong>child</strong> <strong>care</strong> homes <strong>for</strong> Chicago andsuburban Cook County. The dollarcolumns show the most recent rates<strong>for</strong> each age group. Next to eachrate is a column that presents thepercent <strong>in</strong>crease over the n<strong>in</strong>e yearsfrom June 2000 to June 2009.Increases ranged from 13 percent to65 percent. Over the same periodof time, all consumer prices roseabout 25 percent nationally. 1 Whilemost licensed home rates <strong>in</strong>creasednear or below this average <strong>in</strong>flationrate, center rates <strong>for</strong> almost all agegroups far exceeded it.It appears, then, that Cook Countyparents—or those parents who canaf<strong>for</strong>d to pay <strong>for</strong> <strong>care</strong>—have a demand<strong>for</strong> center <strong>care</strong> grow<strong>in</strong>g faster thantheir demand <strong>for</strong> home <strong>care</strong>, especially<strong>in</strong> the ages above toddler.Two important exceptions wherehome rates have outpaced those ofcenters are <strong>in</strong>fant and toddler <strong>care</strong><strong>in</strong> Chicago and be<strong>for</strong>e- and afterschool<strong>care</strong> <strong>in</strong> both Chicago andsuburban Cook County.While suburban <strong>child</strong> <strong>care</strong> costs moreon average than <strong>care</strong> <strong>in</strong> Chicago,Chicago has experienced more rapidrate <strong>in</strong>creases over the last n<strong>in</strong>eyears than has suburban CookCounty. This is the case <strong>for</strong> both centerand home <strong>care</strong> <strong>for</strong> all age groupsexcept <strong>in</strong>fant and toddler center <strong>care</strong>.Across age groups, the slowest ris<strong>in</strong>gcenter costs were that of <strong>in</strong>fant andtoddler <strong>care</strong>, particularly <strong>in</strong> Chicagocenters where the average cost of<strong>in</strong>fant and toddler <strong>care</strong> <strong>in</strong>creased 20percent and 21 percent respectivelyover the last n<strong>in</strong>e years. Still, <strong>in</strong>fantand toddler <strong>care</strong> rema<strong>in</strong>s the mostexpensive of all age groups.The fastest-ris<strong>in</strong>g costs were those ofbe<strong>for</strong>e- and after-school <strong>care</strong>, ris<strong>in</strong>gmore quickly <strong>in</strong> Chicago than <strong>in</strong> thesuburbs. The average cost of be<strong>for</strong>eandafter-school <strong>care</strong> rose by 65percent <strong>in</strong> Chicago licensed homesand 61 percent <strong>in</strong> Chicago centers.C.WHAT PERCENT OFINCOME IS REASONABLETO SPEND ON CHILD CARE?The numbers are clear; <strong>child</strong> <strong>care</strong>is an <strong>in</strong>creas<strong>in</strong>gly burdensomef<strong>in</strong>ancial responsibility <strong>for</strong> families.Accord<strong>in</strong>g to the U.S. Census, thetypical (median) <strong>in</strong>come <strong>for</strong> familieswith <strong>child</strong>ren under 18 <strong>in</strong> CookCounty was $61,306 be<strong>for</strong>e taxes<strong>in</strong> 2008, and even lower <strong>for</strong> Chicagofamilies at $46,069. 2 Care <strong>for</strong> one<strong>in</strong>fant <strong>in</strong> a Chicago <strong>child</strong> <strong>care</strong> center,at an average cost of $210 perweek, or $10,500 over a fifty-weekyear, costs 23 percent of a typicalChicago family’s pre-tax <strong>in</strong>come.At $10,000 per year, toddler <strong>care</strong>takes up 22 percent. Licensed home<strong>care</strong> <strong>for</strong> an <strong>in</strong>fant or toddler is moreaf<strong>for</strong>dable at $6,800 to $6,950 peryear, but even this is 15 percent ofa Chicago family’s <strong>in</strong>come.Table I-3. 2009 Average Weekly Market Rates, and Rate Increases S<strong>in</strong>ce 2000Source: Ill<strong>in</strong>ois <strong>Action</strong> <strong>for</strong> <strong>Children</strong> Resource and Referral Program. Rounded to the nearest dollar or percent.Percent Percent Percent PercentGrowth Growth Suburban Growth Suburban GrowthChicago S<strong>in</strong>ce Chicago S<strong>in</strong>ce Cook S<strong>in</strong>ce Cook S<strong>in</strong>ceAge Centers 2000 Homes 2000 Centers 2000 Homes 2000Infant $210 20% $139 26% $239 32% $154 17%Toddler $200 21% $136 28% $220 34% $150 18%2-year-old $173 52% $132 27% $196 41% $146 17%3- to 4-year-old $153 44% $127 27% $176 39% $142 16%5-year-old $150 42% $123 26% $171 36% $136 13%Be<strong>for</strong>e & After School $105 61% $100 65% $116 45% $100 46%School-Age Summer $131 51% $120 39% $160 34% $125 26%Percent growth <strong>in</strong> consumer prices nationwide s<strong>in</strong>ce 2000: 25%7

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