Critical Child Care Funding Gaps for American Indian and Alaska Native Children

In a 2022 report, the National Indian Child Care Association (NICCA), in collaboration with the Bipartisan Policy Center (BPC), drew attention to the staggering child care funding disparities facing American Indian and Alaska Native (AI/AN) families. According to the report Righting a Wrong: Advancing Equity in Child Care Funding for American Indian & Alaska Native Families, Tribes serve over 433,000 AI/AN children, yet receive an average of just $500-$600 per child annually from federal Child Care and Development Fund (CCDF) allocations.

This funding is significantly lower than the national average cost of child care and is inadequate to provide quality care and early education services, particularly in communities that face high poverty and unemployment rates. AI/AN children are twice as likely to live in poverty compared to their non-Native peers, yet federal policies continue to underfund their child care needs.

Key Findings:

• Over 433,000 Children Underserved: Tribes reported 433,339 AI/AN children eligible for child care support, but current funding levels fall drastically short of meeting their needs. Despite a legal mandate for a minimum of 2% of CCDF funds to be reserved for Tribes, there is no evidence that this set-aside is sufficient.

• Low Per-Child Funding: The average funding per child for AI/AN children through CCDF is between $500 and $600 annually, a fraction of what is necessary to ensure access to quality child care. This figure is far below the cost of child care across the country, leaving a substantial gap between funding and the actual cost of care.

• Disparities in Data and Support: Tribal child care programs lack the detailed data needed to drive equitable policy decisions. Inadequate data further obscures the true scale of need, preventing Congress from setting funding levels based on accurate data.

Recommendations for Change:

1. Data-Driven Funding Allocation: Congress must develop a funding model based on the actual number of AI/AN children, rather than arbitrary percentages, to ensure that funding meets real needs.

2. Publicly Available Data: The U.S. Department of Health and Human Services (HHS) should make tribal child count data publicly available to ensure transparency and allow policymakers to make informed decisions.

3. Increase Coordination and Cultural Relevance: Tribal and federal agencies must coordinate better to ensure that child care programs are culturally relevant and integrated into early learning systems like Tribal Head Start. More focus is needed on professional development for child care providers to reflect tribal languages and cultural traditions.

This report serves as a wake-up call to policymakers to prioritize equitable child care funding for AI/AN children. The current funding model leaves many vulnerable children underserved, impeding their early development and their parents' ability to seek and maintain employment. NICCA urges federal, state, and tribal leaders to take immediate action to address these disparities and invest in the future of AI/AN communities.

For more detailed findings, please refer to the full report, Righting a Wrong: Advancing Equity in Child Care Funding for American Indian & Alaska Native Families.

Download the Full Report