State leaders are working to ensure more families benefit from preschool subsidies, addressing recent issues with unused funds. To increase participation, the state is offering higher subsidies and expanding application opportunities.
The Preschool Open Doors (POD) program provides financial assistance to families for preschool tuition for 3- and 4-year-olds. Earlier this year, the state expanded eligibility, raising the income cap and increasing the monthly subsidy from $900 to $1,500.
A new law will now allow families to apply for POD subsidies year-round. Previously, the Department of Human Services (DHS) only accepted applications for limited periods, which discouraged some families and hindered awareness efforts, according to Lt. Gov. Sylvia Luke.
“Parents often think about preschool only as the start date approaches,” Luke said.
Historically, DHS spent only half of POD’s $12 million annual budget. With the new changes, Luke hopes the program will utilize all available funds. Last year, lawmakers increased the budget to $50 million to serve more families.
This year, over 1,300 children have received subsidies, and DHS has allocated $25 million of the POD funds. Luke estimates that the program could support about 2,800 children under the expanded criteria.
Families can apply for subsidies for the 2024-25 school year until late January, or until the funds are exhausted. A new round of applications will open for the 2025-26 school year.
Deborah Zysman, executive director of the Hawaii Children’s Action Network, is optimistic about the changes but notes a significant challenge. Hawaii faces a severe shortage of preschool providers, which may limit the availability of programs for families to use their subsidies.
The Ready Keiki initiative estimates that Hawaii needs over 400 additional classrooms to achieve universal preschool access for all 3- and 4-year-olds by 2032.
Zysman suggests that further expanding POD eligibility could help more families. She also points out that many parents need child care for infants and toddlers, and some families just above the income threshold may still struggle with early education costs.
“These are state funds, so it’s up to the state to set the rules,” Zysman said.
Civil Beat’s education reporting is funded by a grant from Chamberlin Family Philanthropy.