Early Childhood – $4.1 Billion
The Department of Health and Human Services has the responsibility for disbursing early childhood stimulus funds. $2 billion has been designated for child care subsidies to extend child care solutions to low-income families so parents can further their education or gain employment. To see how much your state will receive, click here. It is estimated that an additional 300,000 children will be served nationwide as a result of this funding. In addition, $2.1 billion has been designated for Head Start programs to make services available to both more children and younger children.
When will the money be available?
Funds will be distributed at the discretion of the Secretary of Health and Human Services but will be subject to the same formula for distributions to the states as the current discretionary funding. The discretionary funding stream does not require a state match. In the case of childcares, the funding represents a 100% increase over 1 year. Funds must be obligated within two years and spent within three years. The Head Start funding is a 16% increase annually over 2 years.
Who will decide what to purchase?
Child care centers will receive funding indirectly. Funding will go to qualifying parents through state-administered programs. Parents can then choose approved childcare (voucher) programs to enroll their children in. Depending on the state, child care centers will receive from 17% to 80% of the funding. A state-by-state strategy is required to effectively reach child care centers. The most desirable targets are larger child centers and low-income geographic areas. In all cases, the director is the person to target.
Head Start funding will be distributed in accordance with current funding formulas. The funds are to be allocated in FY 2009 and used by grantees through FY2010.
Marketers should include individual Head Start locations and the Main Office. The Head Start Director is the person to target at all locations.
MCH can help you target these decision makers with high-quality marketing data. Request more information by using this form or call us now at 1-800-776-6373.
What will they be buying?
The Child Care Center and Head Start Directors will be purchasing a broad variety of products and supplies including accounting forms, alarms, application & registration forms, artwork, bulletin boards, children’s books, children’s furniture, clean work areas, cleaning and sanitary supplies, cribs for infants, curriculum materials for all ages, diapers, diaper-changing areas, first aid materials, floor coverings, graphics & visuals relating to children, identification materials for children and staff, non-toxic play materials, nutritional food and snacks, office equipment, receipt books, safe indoor and outdoor play equipment, safety & security equipment, signs and posters, sleeping mats, staff development materials, storage and lockers, toys, uniforms and smocks.
What does this mean for your business?
The Early Childhood funds represent a 100% increase in many cases. If you’ve been marketing successfully to Head Starts and child care centers, redouble your efforts. If you haven’t marketed yet to Head Starts and child care centers, call MCH today for an evaluation or use this form to request more information.
MCH is America’s leading compiler of business-to-institution marketing data. We have more than 80 years of experience helping companies sell to schools, school districts, and other educational institutions. Contact us today to find out how you can effectively target the $4.1 billion in Early Childhood funding.
