Missouri legislative leaders are pressing state education officials for explanations regarding a significant delay in the child care subsidy program.
Next month, the House budget and education committees will hold hearings to address the issue. Senate Majority Leader Cindy O’Laughlin, a Republican from Shelbina, has also called for her chamber to conduct a similar investigation.
In a Facebook post on Tuesday, O’Laughlin criticized the Office of Childhood, which oversees the subsidy program within the Department of Elementary and Secondary Education. She described the office’s management as a “massive disaster,” claiming it is causing more problems than it solves for child care providers.
Providers are facing difficulties, with some forced to close, due to technical problems with the department’s distribution of federal funds. The office attributes these issues to a contracted vendor responsible for the system’s operation. The subsidy program, which shifted from the Department of Social Services to the Department of Elementary and Secondary Education in December, supports day care centers serving low-income and foster children.
O’Laughlin has asked Missouri Senate President Pro Tem Caleb Rowden to form an interim committee to investigate. The committee would hear from the technology vendor, Office of Childhood leadership, parents, and child care providers.
The technology vendor, World Wide Technology, is based in St. Louis and was contracted to implement the new subsidy system.
In addition to O’Laughlin, House Minority Leader Crystal Quade, a Springfield Democrat and gubernatorial candidate, has urged House leadership to create an interim committee. Quade expressed concern over the subsidy problems, stating that families are losing access to care and some facilities have had to close due to delayed payments. She criticized the education department for its lack of transparency and responsiveness.
House Speaker Dean Plocher announced that the House Elementary and Secondary Education Committee will hold a hearing on September 10 to examine the causes and impacts of payment delays. A separate hearing by the House Budget Committee is scheduled for September 11.
Department spokesperson Mallory McGowin assured that DESE will be transparent about the challenges and efforts to resolve them. She acknowledged backlogs in family and provider applications, as well as payment issues. McGowin stated that payments are being processed daily, though some providers are not receiving full payments due to ongoing technical problems.
To address the backlogs, the department has contracted additional staffing and cross-trained staff to clear application delays. An agency has been hired to resolve payment issues, and part-time workers have been brought on to handle requests for missing payments. McGowin did not specify a timeline for resolving these issues but emphasized DESE’s commitment to supporting the child care industry.
Parents and providers with questions are encouraged to call the subsidy hotline at 573-415-8605. McGowin concluded by apologizing for the disruptions and reaffirming DESE’s dedication to resolving the problems.