Hundreds of Arizona children were moved off of a child care assistance waitlist thanks to nearly $126 million in funding included in the new state budget.
Families that meet certain eligibility requirements can qualify for child care assistance in Arizona, one of several dozen states where annual child care costs can exceed in-state tuition at a public university.
According to the Economic Policy Institute, infant care in Arizona costs $15,625 annually — well above the $14,215 residents pay to attend Arizona State University.
Child care assistance is available to families with children aged 12 or under who have an income at or below 165% of the federal poverty level, according to the Department of Economic Security. That’s about $52,000 for a family of four.
But not every family that qualifies for assistance can actually get it, because the need has outweighed the dollars funding Arizona’s child care assistance program.
The state has not regularly provided general fund dollars to the assistance program since cuts made during the Great Recession, though the Republican-led Legislature approved $12 million in 2024. Federal pandemic-era relief temporarily provided enough money to provide assistance to all qualified families over the past several years, but that funding expired last year.
The waitlist has grown steadily since.
According to the Department of Economic Security, 3,674 families with 6,118 children were on a waiting list as of July 18.
In a January budget proposal, Gov. Katie Hobbs proposed using nearly $200 million dollars in federal and state funds to provide that assistance to more Arizonans and incentivize businesses to provide child care for employees.
“The proposal I laid out for child care, for example, it had the funding to address the waitlist, but we also had the component of the public-private partnership to help reduce costs for families,” Hobbs said after this year’s legislative session.
The Republican-led Legislature ultimately agreed to include nearly $126 million to cut down the waitlist in this year’s budget, including $81 million in federal funds and $45 million from the state general fund.
“When I’ve traveled across the state, I’ve heard from families who are struggling to afford child care and moms who put their careers on hold to care for their kids,” Hobbs said in a statement. “These stories are exactly why I’ve made it a priority to expand pathways to child care and why my Arizona Promise Budget includes the largest investment of general funds for child care since the Great Recession.”
While the new state budget included less funding than Hobbs sought in January, it still provided enough money to provide assistance to an additional 900 children, according to the governor’s office.
“This will empower hundreds of families to further their careers and education, knowing their children are cared for,” DES Director Michael Wisehart said in a statement.
The Department of Economic Security has contacted those families to notify them they have been moved off the waitlist. Once families are notified, they must contact the department by July 25 to confirm their eligibility.
