ST. LOUIS — There's a crisis unfolding across Missouri that could leave countless families and child care providers in a bind.
For many child care providers in Missouri, hope and perseverance are all that keep their doors open.
“You do everything that you can, but there's nothing you can do in this situation," Samantha Cross told the I-Team in a March interview. She's the district director of Little Precious Angels Childcare, located in the city of St. Louis.
Cross was one of the lucky ones. Since our interview in March, she finally received the state subsidies she was owed, thanks -- she said -- to our reporting.
“It feels great that we get to keep our doors open, that we get to still serve our families, that I don't have to close the doors for our children," Cross said.
However, the I-Team discovered internal systemwide issues are still causing payment backlogs for potentially hundreds of child care providers across Missouri. As of Aug. 22, House Minority Leader Crystal Quade’s office said there were an estimated 958 child care providers still waiting for state subsidy payments.
One of them recently shared a letter on Facebook that notes, “...The financial strain caused by these circumstances has become insurmountable for us…”
Just last week, Missouri’s House Elementary and Secondary Education Committee decided to hold a hearing to investigate the causes and impact of these payment delays.
“This is just another example of where the state of Missouri is currently failing," State Rep. Crystal Quade (D-132nd District) said.
Quade’s office recently sent a letter to the state, pushing the department to make payments now.
“These providers that the state of Missouri has contracted with, we owe them money. These are folks who have been approved for payment in the past. They are essentially vendors," she said.
She said the Missouri Department of Elementary and Secondary Education has $215 million allocated for child care subsidies. Only $24 million have been distributed, mostly because of an IT problem that’s lasted at least 9 months. Quade’s office said the $24 million figure was obtained by the Missouri House of Representatives appropriations committee from DESE.
The state department blames the delays on challenges with a new data system launched last December. In a statement, the department acknowledged the problems and promised transparency in upcoming hearings. It said it was taking steps to address the backlog and process payments more quickly. But for many providers, these promises come too late.
“Do better. Get rid of the broken system. We never had these issues prior to this new system," Cross said.
The Missouri House Education and Secondary Education Committee will hold a hearing on Sept. 10 in Jefferson City. The Budget Committee will follow with another hearing the next day. Both are investigating why child care funds remain unspent.
Quade, the highest-ranking Democrat in the Missouri House of Representatives, is currently running for Missouri governor. The I-Team also reached out to Quade’s opponent, Lt. Governor Mike Kehoe. We’re waiting to hear back.
DESE spokesperson told us in an email:
"The new Child Care Data System (CCDS) allows families and providers to have a web-based, near real-time system to enter and view their information for child care subsidy. DESE’s Office of Childhood launched the CCDS in December 2023.
There have been a number of challenges during the transition to a new data system. DESE recognizes the importance of subsidy payments to the child care industry and the value the program provides to Missouri’s workforce, in particular for families who provide care to children in foster care. DESE and its contractors, World Wide Technology and MTX, are working hard to address these issues and sincerely apologizes to the child care providers and families affected by this transition.
The ongoing challenges with system issues have created a backlog in family applications for subsidy assistance and provider contract applications. DESE and its vendors are committed to fixing these issues and processing all applications as quickly as possible. Here are the solutions we have put in place:
- Family Applications: DESE has contracted with a staffing agency to provide full-time staff to help clear the backlog of family applications. We expect the backlog in family applications to be cleared by mid to late September. Once approved for subsidy, we will ensure there is no gap in the family’s eligibility and authorizations.
- Provider Contracts: DESE has cross-trained additional staff to help the subsidy team to clear the backlog of provider contract applications. We expect the backlog in provider applications to be cleared by early to mid-September. Once applications are processed, we will ensure there is no lapse in the provider’s contract.
Provider Payments: Payments are being processed daily and providers are getting paid, though some are not receiving full payment due to ongoing technical issues. DESE has put the following resources in place to address the outstanding payment issues as soon as possible.
DESE’s current contractors who support the child care data system have doubled the number of staff working on issues preventing or delaying provider payments.
DESE contracted with an agency to clear the backlog of subsidy payment corrections.
DESE hired a team of part-time employees to assist with processing requests for missing payments.
Parents and providers with questions may call 573-415-8605 to speak to a customer service representative during these hours:
Monday through Thursday: 8:00 a.m. to 8:00 p.m.
Friday: 8:00 a.m. to 5:00 p.m.
Saturday: 8:00 a.m. to noon.
Parents and providers experiencing a longer wait time during the day are encouraged to call back during evening or weekend hours."
If you'd like to get in touch with our I-Team, leave a voice message at 314-444-5231 or email Paula Vasan directly at paula@ksdk.com.