Area districts scrutinize scope, cost of child care programs

The Republic School District has explored opening a day care to recruit and retain employees with children too young for preschool. Superintendent Matt Pearce said despite demand and the value that benefit would provide, the timing is not right.

“We continue to circle back to the cost piece,” Pearce said. “It’s significant.”

District-operated child care programs are not required by the Missouri Department of Elementary and Secondary Education, making them vulnerable when funding is tight. The number has grown in recent decades, but the cost and scope of services vary greatly by district, along with other factors. The amount parents pay for child care in district-run programs often varies based on the age of the child, parents’ employment status with the district, and the amount of care. 

“It’s definitely an area of need as we’ve seen area child cares and day cares closing down, especially for teachers having babies,” said Elizabeth Dawson, early learning principal at Ozark School District’s Tiger Paw Early Childhood Center. “We have a waiting list.”

The elective programs, typically paid for through a mix of operating funds and tuition, are facing scrutiny going into what is expected to be a tight 2027 fiscal year.

At least one district plans to close its program this year. Others contacted by the Springfield Business Journal said they are looking at options to make programs more sustainable by tweaking services or raising tuition rates.

Final decisions will be made during the budget process, which ends June 30.

A month ago, Dallas County R-1 School District announced its day care program, which operated at a significant financial loss, will close. Superintendent Laura O’Quinn said it was losing an average of $250,000 a year during a four-year period and will shut down in May.

The district launched the program four years ago by taking over an existing day care whose owner was retiring.

Declining to grant an interview with O’Quinn, district officials responded via email to questions from SBJ, saying there appeared to be ample need and the enrollment of children from birth to age 5 was projected to be more than 50. The projections never materialized, the district said in its statement, and enrollment averaged 30 students. The district said revenue was not enough to cover operating costs including the facility lease and staffing.

“One of the primary challenges of operating a school-run child care program is that our employees are enrolled in the PEERS retirement system, which increases staffing costs due to required school retirement contributions,” the district wrote. It is the retirement system for Missouri’s public school employees.

In a statement, the district said closing was a difficult but necessary decision.

“There has been a significant improvement in terms of day care options in the Buffalo area since we started the program,” the district wrote. “There are now several in-town child care options available, including a newly expanded facility with over 90 open slots.”

The child care program offered by the Ozark School District has 24 spots and only accepts the infants and toddlers of employees. Dawson, who has been the principal for five years, used the program earlier in her career.

“I started in the district in 2015, and my own children were part of that program before I worked in this building. I was fortunate to be able to utilize that for them,” Dawson said. “It’s literally just open on teacher workdays, and it does have extended hours. It opens at 6:30 in the morning and closes at 6 p.m. in case there are after school meetings.”

Dawson said the program remains unchanged because it can be difficult to find infant care for teachers who want to return to work.

“It’s a retention and recruitment tool for our staff, for sure,” she said.

The gap in child care access was spotlighted in a Missouri Economic Indicators brief from the University of Missouri Extension. It showed for every 10 children under age 5, there are only 4.6 available child care spots. The brief also noted the average annual cost of full-time child care is $8,100, nearly 14% of a typical Missouri family’s income.

Strafford R-IV School District opened a day care in 1998 and an early childhood program a couple years later.

With limited options in the community, district officials wanted to fill a need for families – especially teachers with young children – and offer a head start to future students.

“We think that’s a great benefit for our staff,” said Strafford Superintendent Mark Hedger. “We’re committed to keeping that as affordable as possible and not having to make any major changes.”

Joyce Jennings, president of the Strafford Area Chamber of Commerce, said the availability of child care is critical in a growing community. She said the district’s program is a benefit and offers peace of mind.

“There are a lot of women who have to work, and for them to offer that is phenomenal. At least the parents know where their children are going, that they will be provided for,” said Jennings, owner of Thee Quaint Market and Boutique. “As a mother, you have to make sure your kids are taken care of so you can be productive.”

Jennings said Strafford is growing, and amenities for families are a plus.

“There are a lot of new people moving to Strafford, a lot of new families are coming. We do have a really good school, and people are looking for that,” she said.

Nixa Public Schools offered a child care program for toddlers but that ended before the pandemic. Zac Rantz, chief communication officer, said space was limited and classrooms were needed to expand early childhood education, which currently serves 315 students.

“We pulled back based on what we could provide to just age 3 and above,” he said.

Rantz said the district offers child care before and after school for students in kindergarten through sixth grade and “wraparound care” for students enrolled in half-day preschool options.

“Our preschools are only half-day, so that allows the parents to have a full day of services for their kids,” he said.

Rantz said the district has not discussed cutting existing programs but may propose rate increases once funding for FY27 comes into focus. “That way we can accurately set our rates rather than try to do it prematurely.”

He said the goal is for offerings to be cost neutral with enough funding coming in to cover expenses.

In Republic, the district offers child care before and after school, and employees can enroll their children at a discount. It starts in preschool and runs through sixth grade. “That will remain in place,” Pearce said.

Wendy Rummel is coordinator of the TigerTales program for Willard Public Schools. It is a tuition-based program offering child care before and after the school day. Currently, 386 students are enrolled.

To cover costs, the program proposed a 5% increase in the tuition – which is offered on a sliding scale – but no decisions have been made by the Board of Education.

“We are meeting with a budgeting team to reevaluate and ensure that it’s the appropriate amount,” Rummel said. “I don’t know if that will increase or decrease.”

She said the program has experienced higher costs, driven in part by a change in the state minimum wage. It now stands at $15 an hour.

“There has been inflation with food costs and supplies, that is something I have noticed, but the biggest aspect is the increase in minimum wage,” she said. “That is where I feel we have been hit the hardest.”