child care in cook county - Illinois Action for Children

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B.TRENDS IN CHILDCARE RATESLike most expenses, child care coststend to rise every year. But the costof center care has risen more rapidlythan consumer prices nationally.Table I-3 presents the aggregaterate increases of centers and familychild care homes for Chicago andsuburban Cook County. The dollarcolumns show the most recent ratesfor each age group. Next to eachrate is a column that presents thepercent increase over the nine 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 increasednear or below this average inflationrate, center rates for almost all agegroups far exceeded it.It appears, then, that Cook Countyparents—or those parents who canafford to pay for care—have a demandfor center care growing faster thantheir demand for home care, especiallyin the ages above toddler.Two important exceptions wherehome rates have outpaced those ofcenters are infant and toddler carein Chicago and before- and afterschoolcare in both Chicago andsuburban Cook County.While suburban child care costs moreon average than care in Chicago,Chicago has experienced more rapidrate increases over the last nineyears than has suburban CookCounty. This is the case for both centerand home care for all age groupsexcept infant and toddler center care.Across age groups, the slowest risingcenter costs were that of infant andtoddler care, particularly in Chicagocenters where the average cost ofinfant and toddler care increased 20percent and 21 percent respectivelyover the last nine years. Still, infantand toddler care remains the mostexpensive of all age groups.The fastest-rising costs were those ofbefore- and after-school care, risingmore quickly in Chicago than in thesuburbs. The average cost of beforeandafter-school care rose by 65percent in Chicago licensed homesand 61 percent in Chicago centers.C.WHAT PERCENT OFINCOME IS REASONABLETO SPEND ON CHILD CARE?The numbers are clear; child careis an increasingly burdensomefinancial responsibility for families.According to the U.S. Census, thetypical (median) income for familieswith children under 18 in CookCounty was $61,306 before taxesin 2008, and even lower for Chicagofamilies at $46,069. 2 Care for oneinfant in a Chicago child care 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 income.At $10,000 per year, toddler caretakes up 22 percent. Licensed homecare for an infant or toddler is moreaffordable at $6,800 to $6,950 peryear, but even this is 15 percent ofa Chicago family’s income.Table I-3. 2009 Average Weekly Market Rates, and Rate Increases Since 2000Source: Illinois Action for Children Resource and Referral Program. Rounded to the nearest dollar or percent.Percent Percent Percent PercentGrowth Growth Suburban Growth Suburban GrowthChicago Since Chicago Since Cook Since Cook SinceAge 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%Before & After School $105 61% $100 65% $116 45% $100 46%School-Age Summer $131 51% $120 39% $160 34% $125 26%Percent growth in consumer prices nationwide since 2000: 25%7
The 2010 Report of Child Care in Cook CountyWHICH FAMILIES ARE ELIGIBLE TO RECEIVECHILD CARE ASSISTANCE?GABRIELLE AND SHAWN HARRIS:WORKING PARENTS WITH ANINFANT AND A TODDLER.INCOME IS $89,400 A YEAR.The maximum income a family of fourcan earn to be eligible for CCAP is$42,408 per year. Gabrielle andShawn earn double this amount andare not eligible. Nevertheless , theyfeel they cannot afford to pay forquality child care.CANDACE THOMAS: WORKINGMOTHER WITH THREE CHILDREN.INCOME IS $44,800 A YEAR.Candace’s income exceeds theCCAP limit of $42,408 for a familyof four. She is not eligible for theassistance unless she lowers herincome by $200 a month.The median rent in Chicago in2008 was $10,356, according tothe same U.S. Census report. Bythis measure, infant and toddlercare in Chicago centers is justas expensive as rent for the typicalChicago family. Similarly, child careis more expensive than averagefees and tuition at State collegesand universities in Illinois. At$9,452, these average fees andtuition cover 90 percent of the costof infant care in Chicago centersand only 79 percent of the costof infant care in suburban Cookcenters. 3Is 15 percent or 23 percent of afamily’s income too much to pay foran infant’s child care? Is 30 percenttoo much to pay for an infant and aALBERTA REYES: WORKINGMOTHER WITH A PRESCHOOLER.INCOME IS $16,138 A YEAR.Alberta is eligible for CCAP. Thisopens more options to her, includingthe more costly care in child carecenters or licensed family child carehomes. Alberta will need to pay aco-payment of $25 per week. If shechooses a child care provider whocharges more than what CCAP pays,she may have to make additionalpayments. If she finds that her copaymentis too high, she may look fora provider, perhaps a relative orfriend, willing to waive part of her copaymentor to be more flexible withwhen she has to make her copayments.toddler? What is the proper proportionbetween child care expensesand income? There is no generallyaccepted level that everyone agreesis the “proper” percentage to pay.Most national studies since the1990s have found that averagetwo-parent middle-income familiespaid between 6 percent and 10percent of their income for childcare. 4 If we pick the higher 10 percentlevel as a rule of thumb foraffordability, a family in 2009 wouldhave to earn $105,000 for infantcare in a Chicago child care centerto be affordable. This family wouldneed to earn $181,800 to placean infant and a four-year-old in aChicago center and keep their childcare costs within 10 percent oftheir income. To meet the 10 percentrule of thumb in suburbanCook County centers, a familypaying for infant care would requirean income of $119,600, while centercare for both an infant and afour-year-old would require anincome of $207,700. 5D.HELPING PARENTSMEET THE COSTOF CHILD CARESeveral government-fundedresources exist to help familiespay for their child care costs, andchild care providers themselvesoften have tuition policies to assistfamilies who struggle to pay.The main source of financial assistanceto help Illinois parents withchild care costs is the Illinois ChildCare Assistance Program (CCAP).A family eligible for this programchooses a child care provider andthe State reimburses this providerfor his or her services. Parentspay a portion of the cost of care,a co-payment, which depends onthe family’s size and income. CCAPis available to families that earn ator below 200 percent of the federalpoverty level, or $42,408 for afamily of four in 2009. 6 Parentsmust work or participate in anapproved school or training programto be eligible. CCAP is primarilya voucher system administered inCook County by Illinois Action forChildren under contract with theIllinois Department of HumanServices (IDHS). Some child carecenters, however, have directcontracts with IDHS to serve familieseligible for CCAP.8
Page 1 and 2: child care in cook county:elements
Page 4: ContentsExecutive Summary . . . . .
Page 8 and 9: I N T R O D U C T I O NFamilies and
Page 10 and 11: IntroductionGABRIELLE AND SHAWN HAR
Page 14 and 15: I. Family Dilemma: Child Care Affor
Page 20 and 21: In 2009, there were 1,456 full-time
Page 22 and 23: II. Family Dilemma: Access to Avail
Page 24 and 25: II. Family Dilemma: Access to Avail
Page 26 and 27: III. Family Dilemma: Finding Child
Page 28 and 29: IV. Family Dilemma:Finding the Righ
Page 30 and 31: V. Public Dilemma: Who Needs ChildC
Page 32 and 33: V. Public Dilemma: Who Needs Child
Page 34 and 35: VI. Child Care Choices ofCook Count
Page 36: ConclusionFinding the right child c
Page 40 and 41: A P P E N D I X 1The Six Cook Count
Page 42 and 43: A P P E N D I X 2The Demand for and
Page 44 and 45: A P P E N D I X 3Sources for Data o
Page 46: 4753 north broadway, chicago, illin

child care in cook county - Illinois Action for Children

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