Press Release Early Education and Care Programs to Receive $7.2 Million in Rate Increases in FY20

Boston — The Baker-Polito Administration today announced a Fiscal Year 2020 rate increase for early education programs that provide care for low-income families, worth $7.2 million. This latest increase brings the total rate increases for state-subsidized early education and care providers to more than $107 million during the past four years, enabling higher salaries for educators and staff.  The increase in the Department of Early Education and Care’s daily reimbursement rates for providers in select regions and of certain types of care will go into effect on July 1, 2019. 

The new rate adjustment comes on top of previous increases of 4.58 percent and 8 percent that were implemented in FY 2019 and FY 2018, respectively.   The new rates represent an increase of up to 21% for some center-based preschool programs depending on where they are located.  The rate increase ensures that all providers across the Commonwealth reach a threshold level of state support, based on the market rates in their region.

“We are pleased to make these investments to enhance learning environments and help early education and care programs improve their quality through professional development and retention efforts,” said Governor Charlie Baker. “These additional rate increases will build upon the previous progress we have made with our colleagues in the Legislature and help ensure providers can retain highly-qualified teachers who help our youngest learners grow and be ready for school.”

“We made significant progress over the last few years with historic rate increases worth more than $100 million for state-subsidized early education and care providers. These additional raises will help stabilize the workforce, ensure programs can pay good teachers more, and build programs’ quality,” Education Secretary James Peyser said.

“These targeted raises will give additional funding to providers in communities where most privately-funded programs are paid higher rates for the same type of care,” said Early Education and Care Commissioner Tom Weber.  “The increases are part of the Commonwealth’s focus on supporting the early educator workforce and helping programs attain high levels of quality.”

“Increasing the reimbursement rates for providers based on local market data supports our goal of having children from low-income families access stable, high quality early education and care in their community,” said Board of Early Education and Care Chair Nonie Lesaux.

The Department of Early Education and Care (EEC) subsidizes the enrollment of approximately 55,000 children each day in high-quality early education and care programs across the state. EEC’s subsidies allow families who are low-income or in-need of assistance to access high-quality care at minimal or no cost to them.

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