Missoula, MT – As the Montana Legislature reaches its midpoint, lawmakers are turning their attention to the state’s growing child care crisis, looking for innovative ways to improve both access and affordability for families across the state. One of the most prominent solutions currently under discussion is the expansion of the Best Beginnings scholarship program, a state-sponsored initiative aimed at alleviating the rising costs of child care. Lawmakers are also exploring tax credits as another potential avenue of relief for parents, child care workers, and employers.
Two proposals introduced in February by Rep. Jonathan Karlen, D-Missoula, seek to make child care more affordable for a broader range of Montana families. The proposals, House Bill 456 and House Bill 457, aim to reform the state’s income-based assistance program by adjusting eligibility requirements and offering more support to child care workers.
Expanding Access to Child Care Assistance
House Bill 456 would automatically qualify all child care workers at licensed facilities who meet a certain number of work hours for the Best Beginnings scholarship, regardless of income. This measure seeks to address one of the most pressing issues facing the child care industry—retention and recruitment of qualified workers. Rep. Karlen noted that child care workers in Montana are often paid far less than other professions, which leads to high turnover and difficulties in staffing. According to a 2023 report from the state Department of Labor and Industry, the average salary for a child care worker in Montana is approximately $23,000 annually, which Karlen argues is often lower than the pay for retail jobs.
“Realistically, you can earn more working in a retail store than you can as a child care worker,” Karlen told the House Business and Labor Committee on February 21. “One of the biggest problems child care providers face is it’s hard to recruit and keep talented early child care education professionals, and that’s because of low wages.”
Lowering Income Eligibility for Families
House Bill 457, on the other hand, seeks to reduce the income eligibility threshold for families seeking assistance through the Best Beginnings scholarship. Currently, families with incomes up to 185% of the federal poverty level can qualify for assistance. The proposed change would lower that threshold to 85% of the state’s median income, potentially expanding access to a wider range of families in need of financial support for child care.
The two bills come with significant funding requests from the state General Fund—$5.5 million for HB 456 and $17 million for HB 457. If approved, the proposals could have a significant impact on both the affordability of child care for families and the sustainability of child care businesses, many of which struggle with financial instability due to high turnover rates and low wages for workers.
Bipartisan Support and Potential Impact
Both House Bill 456 and House Bill 457 have received bipartisan support as they move through the legislative process. The bills have advanced out of their respective committees and will be debated on the House floor in the coming weeks. Lawmakers are hopeful that these proposals will provide much-needed relief to Montana families, child care workers, and the industry as a whole.
As the Legislature continues to address the child care crisis, tax credits are also being discussed as a possible solution to further assist parents, employers, and workers. However, for now, the focus remains on ensuring that the Best Beginnings scholarship program is accessible to as many families and workers as possible.
With the support of both Democrats and Republicans, these measures represent a significant step toward addressing one of the most pressing issues facing Montanans today: the rising cost of child care. If passed, these bills could provide long-term solutions to ensure that all families in Montana have access to affordable, high-quality child care.
