Figure 1.8: Early Childhood Education Programs

Community College

Early Childhood Education Program at Wilkes Community College

Source: NC Community College Systems Office, Jan 2023

Four-year College/University

Early Childhood Education Credentials Awarded by Appalachian State University

Source: Appalachian State University, Jan 2023

In addition, childcare workers are eligible to participate in the T.E.A.C.H. Early Childhood® Scholarship program, a statewide scholarship that offers a debt-free college education to current members of the early education workforce. However, prospective participants are often prohibited from participating in T.E.A.C.H. if the childcare employer does not agree to the terms of the T.E.A.C.H. contract, which may require the employer of a childcare teacher to pay a percentage of costs for tuition and textbooks, provide paid release time each week, and award the T.E.A.C.H. participant a bonus or an increase to the overall pay by 4% at the end of the contract.25 Though stakeholders acknowledge that T.E.A.C.H. may help address challenges such as inadequate training and low training standards, many Wilkes County providers reported not being able to afford the program's requirements. Of the current 182 childcare staff in Wilkes County licensed family childcare homes and centers, only eight teachers participate in T.E.A.C.H.

The challenges workers face to attain the training needed in the childcare industry are summed up in feedback from stakeholders. While childcare providers say they do the work for the love and benefit of children, others wonder “why go to school to make no money?”

Low wages make attracting and retaining childcare staff challenging

In a survey of Wilkes County childcare providers, low pay was ranked as the most challenging element of childcare work. Childcare wages are primarily determined by fees that parents can afford to pay for the care of their child(ren). Consistent with national and North Carolina averages, as well as surrounding counties within a 45-minute driving radius, Wilkes County childcare center workers earn an average salary ranging from $22,880 for infant and toddler teachers to $25,896 for preschool teachers of children ages 3 to 5 years. (See Figure 1.9.) At an average of $10.91 an hour (for an annual salary of $22,700), a childcare worker in Wilkes County earns half the Wilkes County average wage of $21.10 per hour ($43,887 annual salary) and less than employees in the largest industry sectors. Employees earn an average of $24.95 an hour ($51,890 annual salary) in manufacturing; retail workers earn an average of $15.44 an hour ($32,105 annual salary).

Child Care Services Association. (n.d.) T.E.A.C.H. Early Childhood North Carolina. Retrieved from childcareservices.org/programs/teach-northcarolina

26 Child Care Services Association North Carolina Early Care and Education Data Repository, Infant and Toddler Care in North Carolina Fact Sheet (2022). Retrieved from childcareservices.org/research/ncece-data-repo. Accessed January 2023.

Source: Based on data generated with JobsEQ. Accessed on December 2022

Childcare salaries are also driven by the particular qualifications required in different childcare settings. The Wilkes County average salary of $22,880-25,896 for infants, toddlers, and preschool teachers in childcare centers who are not required to hold four-year college degrees is typically well below salaries for Head Start and Pre-K teachers who are. (NC Pre-K teachers must hold four-year college degrees and Pre-K teachers must also hold a state birth to kindergarten teaching license.) Head Start teachers in North Carolina earn an average of $34,000 annual salary, comparable to the $35,000 starting salary for North Carolina public school teachers who are also required to hold a four-year college degree. Pre-K teachers typically receive a salary on par with the pay scale of the local school system where their program is located. Only childcare administrators have a commensurate average salary of $37,800.27

The Covid-19 pandemic exacerbated childcare staff shortages and precipitated the closure of nearly 16,000 childcare operators between December 2019 and March 2021.28 Federal funds authorized in the American Rescue Plan of 2021 to address the ongoing impacts of Covid-19 included nearly $24 billion in Childcare Stabilization Grants that were allocated to states, territories, and Tribes.29 Many childcare providers used the federal Childcare Stabilization Grants or COVID relief funds to temporarily increase staff salaries in order to retain staff and continue operating to serve working families during the pandemic. At the time of this writing, these relief funds are due to end in December 2023, raising concerns that more childcare workers will leave the profession when the relief funds are no longer available to supplement wages.

Profile of the Average Childcare Worker in Wilkes County

An overwhelming 95% of childcare workers in Wilkes County are women, mirroring the 94.8% nationwide rate.

Workers in this role are somewhat evenly divided across age groups. The largest segment (22%) are between 45 and 54 years old, similar to the 23% of all Wilkes County workers across all industries who are 45-54 years old. Workers in Wilkes County are skewed slightly toward the older age groups when compared to the national data.

Licensed early childcare costs too much for the average family to afford

Though salaries for childcare workers are comparatively low, the cost of childcare for families is relatively high. Parents, employers, and childcare providers emphasized the impact of the high cost of childcare in taskforce surveys and focus groups. Some participants reported settling for affordable childcare further from desired quality providers located closer to their homes and jobs. One parent commented that their monthly childcare cost was as much as a house payment, “It’s a mortgage!”

Based on data from the North Carolina Division of Child Development and Early Education and the Child Care Services Association, market rates for childcare in Wilkes County range from $576 a month for a three- to five-year-old in a family home setting upwards to $983 for an infant in a 5-Star rated childcare center (see Figure 1.10.) Compared to Surry County and Forsyth County rates, center-based childcare in Wilkes County is significantly higher in reported costs. Infant and toddler care is particularly expensive. Infant childcare is more expensive than preschool due to the required lower child-to-staff ratio.

The cost of childcare has a major impact on a family’s budget, ability to work, and their quality of life. A sample budget prepared by the Child Care Services Association (see Figure 1.11.) shows that a single parent earning $36,625, with one child would spend 27% of their budget to pay for childcare in Wilkes County.30

Note:

Families earning less can gain assistance if funds are available. However, this study found through surveys that Wilkes County parents, employers, and childcare partners seem to disfavor the use of assistance due to frustration with the complicated requirements to qualify for childcare. Some parents are making just enough income not to qualify for public assistance but still not enough to afford care. This “benefits cliff” exists where public assistance ends when income rises leaving expenses that are still unaffordable.

($36,625 Annual Earnings)

Source: Child Care Services Association, November 2022

In the face of reduced licensed childcare capacity, families are turning to non-licensed options. Based on the parent survey, approximately 30% of Wilkes County working parents report their children are cared for by family, friends, or neighbors, and 10% are using babysitters and nannies. Others are using half-day, church-based schools or preschools operating four-hour morning programs for 2-day, 3-day, or 5-day enrollment. These programs are not subject to state regulations or oversight and are not included in a state-run directory for licensed childcare operators or listed through the Wilkes Community Partnership for Children. While serving an essential need for early childhood education, half-day programs do not fulfill a workforce solution for working parents in need of full-day care.

Demand for licensed childcare birth to 5 years

To better understand the current capacity of licensed childcare to meet the demand for childcare for infants, toddlers, and preschool-age children in Wilkes County, the taskforce used data and survey feedback to model childcare situations for 3,942 children from birth to 5 years living with parents in the labor force in Wilkes County (see Figure 1.12). This model targets the need for available spaces in the licensed childcare system based on stated preferences in the parent survey.

The model is based on the following assumptions:

• 3,942 children birth to 5 years living in one- or two-parent households in Wilkes County

• 2,604 children live in a household where all resident parents are in the workforce (66%)

• 909 children birth to 5 years are enrolled in licensed childcare in Wilkes County

• parents may choose to stay home with their children or to keep their children with family or other nonlicensed situations

Based on survey responses from parents in the labor force, 67% of parents with children from birth to 5 years prefer childcare in licensed or classroom settings such as NC Pre-K or Head Start

Based on these assumptions, the model estimates demand for 1,745 childcare seats needed for children birth to 5 years and a gap of 836 seats.

This model shows that an estimated 836 additional seats in licensed childcare are needed to fulfill the current demand for licensed childcare that parents in the labor force with children birth to 5 years living at home are experiencing. Given the preference for childcare settings of working parents surveyed, this model shows that the current infrastructure of licensed childcare facilities and staffing is inadequate to meet the needs of Wilkes County’s children. Although the population has been dropping in the county, data published by the North Carolina State Demographer estimate that the population of children birth to 5 years is actually projected to increase by 7% by 2030.31 Thus, the need for licensed childcare will grow.

Meeting the demand for licensed childcare may also allow more parents to enter the labor force. Data on children ages 5 years and younger (see Figure 1.3) shows that 267 children are living in a household with a single parent who is not in the labor force. Additionally, 1,071 children are in homes with one working parent and one parent presumably at home. These parent groups may be enticed into the workforce if more quality, affordable childcare options are available.

NEED FOR CHILDCARE: SCHOOL-AGE CHILDREN

Among 13,194 children under 18 years of age in Wilkes County, 12,034 children were living with their parents. Of those living with their parents, 8,092 were aged 6 to 17 years old and 57% lived where all parents in the home were in the labor force; 24% lived in households with one parent (out of two at home) were not in the labor force; and 19% lived with a single parent not in the labor force. (See Figure 1.13.) However, the best available data suggest that only 70 children ages 5 to 12 years are enrolled in licensed childcare in Wilkes County. (See Figure 1.6). In response to a parent survey, only 12.4% of parents with children ages 5-12 years reported that their child was in before- or after-school programs and an additional 23% reported their children were in a childcare center or program. Collectively, these responses suggest that the majority of school-aged children in Wilkes County are not participating in organized outof-school childcare.

Wilkes County Childcare Study

19 %

After-school care presents challenges

Parents in Wilkes County report a dire need for out-of-school time childcare for pre-school, elementary and middle school students in Wilkes County. In a parent survey, a clear majority responded that finding before- and after-school and summer childcare was “very difficult.” (See Figure 1.14.) Parents surveyed reported other challenges with after-school care in Wilkes County. Many out-of-school programs are located in the central part of the county including those operated in the elementary schools. Parents with children in after-school care identified having to leave work early to pick up their child as their top challenge. Employers also reported recognizing that workers often have to leave to transport children from school to after-school care. With its large geographic footprint, transporting children between school and after-school care can be time-consuming. Further, parents with children who go home after school also noted that students are waiting at school for an extended period while a short-staffed bus driver pool runs multiple loops from a single school.

Stakeholders highlighted a need for programs for middle-school-aged children, particularly given the concern that the opioid crisis is finding a footing among unoccupied young people. One respondent noted, “The way to break cycles is to fill in those gaps. This is a grand opportunity to make a shift.”

Wilkes County’s after-school care challenges mirror the challenges parents statewide are having finding childcare after school. A statewide study found that parent demand for aftercare has grown from 28% in 2004 to 47% in 2020.32 The study also found that for every child in North Carolina in an after-school program, three others are waiting for a spot.33 (See Figure 1.14.)

Wilkes County’s after-school care challenges mirror the challenges parents statewide are having finding childcare after school.

Source: Wilkes Childcare Study Taskforce Parent Survey, Distributed Fall 2022.

Benefits of After-School Care

Research suggests that how students spend time outside of school is a determining factor for success in school and in life.34 After-school and other out-of-school learning programs are also shown to improve academic performance, particularly in math.35 After-school programs also help boost school attendance, keep kids engaged, and improve behavioral and foundational skills.36 After-school programs—as with childcare for younger children—give parents peace of mind and the ability to engage in the workforce. The North Carolina Center for After-school Programs reports that 75% of North Carolina parents believe these programs reduce the likelihood that kids will engage in risky behaviors and 86% support public funding for after-school programs. 37

Source: North Carolina Center for After-school Programs. (2019). The Power of After-school in North Carolina. Retrieved from drive.google.com/ file/d/1MNRsKG1N-e53wIHjKbAfQfsbMzl30dOe/view

AFTER-SCHOOL PROGRAMS GIVE PARENTS PEACE OF MIND BECAUSE THEY THEIR KIDS ARE SAFE AND ENGAGED IN FUN LEARNING OPPORTUNITIES.

80 % 86 % 75 % 65 % of North Carolina parents say after-school program give them peace of mind and them keep their jobs. of North Carolina parents support public funding for after-school programs. of North Carolina parents believe after-school reduces the likelihood that kids will engage in risky behaviors of North Carolina parents say after-school excites kids about learning

(Data Source: The After-school Alliance

34 Jennifer Mccombs, Anamarie Whitaker, and Paul Yoo. The Value of Out-of-School Time Programs. Rand. 2017

35 North Carolina Center for Afterschool Programs. (2017). Afterschool Alliance fact sheet. Retrieved from afterschoolalliance.org/documents/ What_Does_the_Research_Say_About_Afterschool.pdf

36 Id.

37 North Carolina Center for Afterschool Programs. (2019). The Power of Afterschool in North Carolina. Retrieved from drive.google.com/ file/d/1MNRsKG1N-e53wIHjKbAfQfsbMzl30dOe/view

Wilkes County Childcare Study

Wilkes County after-school care options are exceedingly limited

The taskforce researchers’ efforts to identify after-school programs validated the challenge parents reported having in finding after-school programs in Wilkes County. Outside of licensed care, there are few out-of-school program operators. Before and after-school programs and summer camps, like halfday early childcare programs, are not subject to childcare licensing requirements and currently, no comprehensive central directory or data collection for these programs exists.

Parents and other stakeholders most often and consistently referenced the YMCA of Northwest North Carolina as an out-of-school time childcare provider. During the school year, the YMCA operates an After School Academy program at four elementary schools and one middle school in Wilkes County with 40 seats per site for a total of 200 seats. La Escuelita, also operated by the YMCA, provides after-school homework assistance for up to 24 elementary students from Moravian Falls who live in Country Square neighborhood. It is important to note that before-school hours of operation ended recently when the Wilkes County School System implemented an extended school day schedule, having an earlier start to the school day, which created limited available space for the program as well as decreased enrollment. In addition to the YMCA programs and licensed childcare, only three churches were identified as currently offering after-school care.

Figure 1.15: Known After-School Program Providers

C.C.

Calvary

Central

KinderCare

Kountry

Millers

Millers

Mountain View Elementary Hays

Nanny's Day Care

North Wilkesboro Elementary

Wilkesboro

Wilkesboro

Wilkesboro Elementary Wilkesboro

Program

School-Based YMCA Program

School-Based YMCA Program

School-Based YMCA Program

Sources: YMCA of Northwest North Carolina; NC Department of Health and Human Services: Division of Child Development and Early Education. (n.d.) Child Care Analysis Report, November 2022

Note: Researchers also conducted internet searches of local elementary schools and church websites.

Summer programs

Parents also reported that summer program options for school-age children are challenging to find. The most reported options include YMCA-operated summer camp programs at four locations, including the Wilkesboro YMCA branch, C.C. Wright Elementary, and North Wilkesboro Elementary with 40 seats at each, and La Escuelita with 24 seats. During the summer of 2022, the YMCA served 198 children.

Parents also reported that summer program options for school-age children are challenging to find.

Other organizations, including churches, clubs, arts, or STEM-based programs, provide summer childcare targeting primarily elementary and middle school-aged children. Summer options advertised for 2023 or offered in the recent past include Camp Invention: Wonder at Wilkesboro Elementary; Hope for His Children Day Camp in Ferguson; Wilkes Art Gallery; and 4-H club camps. Some of these programs operate for less than a full day or are short-term (such as one week). Several licensed childcare centers, such as Millers Christian School, offer expanded summer camp programs, while other licensed operations shift from after-school to full-day programs for school-age children in their care. Nonetheless, the programs offered are sparse and do not provide a consistent or accessible option for full-time working parents to send their children.

Demand for licensed childcare for school-aged children

To better understand the demand for out-of-school time care for older children, the taskforce used a model based on school enrollment data for students in kindergarten through high school. Overall, more than 10,000 kindergarten through 12th grade students are enrolled in Wilkes County K-12 public schools (83%),38 private schools (2%),39 and home schools (15%)40 for the 2021-2022 school year. Excluding home-schooled children, more than 3,900 children are enrolled in a public or private elementary school and approximately 2,100 children are enrolled in a public or private middle school. (See Figure 1.16.)

Sources: NC Department of Public Instruction (2022). North Carolina Public Schools Statistical Profile. Retrieved from apps.schools.nc.gov/; NC Department of Administration. State of North Carolina Private Grade K-12 School Statistics (2021). Retrieved from ncadmin.nc.gov/public/private-school-information/statenorth-carolina-private-grade-k-12-school-statistics; NC Department of Administration. State of North Carolina Home School Statistics. Retrieved from ncadmin. nc.gov/public/home-school-information/home-school-statistics

The model for out-of-school childcare demand is based on the following assumptions:

• 6,038 children attended elementary and middle schools at a public or private school in Wilkes County

• Approximately 57% of Wilkes County children ages 6-17 live in a household where all resident parents are in the labor force

Wilkes County Childcare Study

• Applying a rate of 57% of parents in the labor force to the number of students at elementary and middle school outside the home, an estimated 3,442 children are attending school while living in a household where all resident parents are in the labor force

• Based on survey responses from parents in the labor force, 82% of parents with school-age children prefer childcare in licensed programs or classroom settings such as the YMCA, or faith-based programs

• Based on data on the number of children ages 5-12 in licensed childcare or enrolled in aftercare programs, approximately 342 children in elementary and middle schools in Wilkes County have an out-ofschool time seat.41

Based on these assumptions, this model estimates a demand of 2,822 out-of-school childcare seats needed for elementary and middle school children in Wilkes County and a gap of 2,480 seats.

Wilkes County’s afterschool care challenges mirror the challenges parents statewide are having finding childcare after school.

Why Wilkes County Must Improve Its Childcare Ecosystem

Lack of available, affordable, quality childcare has broad negative impacts on the workforce. Insufficient childcare options can hinder labor force participation rate. In addition, children who attend early childcare programs with dependable, knowledgeable teachers have better chances of academic success and strong lifelong outcomes. Early childcare that helps children prepare for school success contributes to a stronger future workforce.

38 NC Department of Public Instruction (2022). North Carolina Public Schools Statistical Profile. Retrieved from apps.schools.nc.gov/

39 NC Department of Administration. State of North Carolina Private Grade K-12 School Statistics, 2021. Retrieved from ncadmin.nc.gov/public/private-school-information/state-north-carolina-private-grade-k-12-school-statistics

40 NC Department of Administration. State of North Carolina Home School Statistics. Retrieved from ncadmin.nc.gov/public/home-school-information/home-school-statistics

Wilkes County Childcare Study 25

41 Estimated number of children in afterschool programs is calculated by adding licensed childcare enrollment, quotes from the YMCA afterschool programs, and direct research of Wilkes Childcare Taskforce members for known afterschool programs as of March 2023.

Economic Development

Based on the North Carolina Department of Commerce’s annual ranking for economic well-being, Wilkes County is one of North Carolina’s 40 most economically distressed counties.42 Wilkes County’s future depends on creating conditions that support economic development. By supporting entrepreneurial growth, retention, and expansion of existing businesses, and recruiting new industries, Wilkes County will increase the wealth and upward mobility of its residents.

First and foremost, Wilkes County needs to build a highly educated and skilled workforce that helps attract and retain businesses and other employers. But that won’t happen unless families have affordable and accessible quality childcare where they can leave their children while they are working or in school. Families will struggle to attain financial stability as long as they are scrambling to make childcare arrangements. Employers competing for a limited labor force will close or move where laborers are more plentiful.

The Covid-19 pandemic immediately demonstrated the impact that a lack of childcare has on the economy. Many working parents could not work when childcare programs and schools closed disrupting workflow and production for Wilkes County businesses and employers. Many parents opted out of the workforce when the pandemic permanently closed some childcare providers exacerbating Wilkes County employers’ need for labor. As of early 2023, Wilkes County had just under 1,000 online job postings across all industries for companies and staffing agencies looking for workers in the region.43

Better Outcomes for Families and Children

Underestimating the importance of early childhood development and not investing enough in early childhood care and education is perhaps the biggest mismeasure a community can make in building a strong workforce and community. Research shows that investments in early childcare deliver a significant return on investment for educational and health outcomes that impact long-term economic well-being.

Insufficient childcare hinders wealth

In 2021, Wilkes County's median household income was $43,933, putting it in the bottom third of all North Carolina counties on that economic well-being measure.44 About one in five residents (19.5% of the county’s population) is considered to be in poverty,45 a measure that does not consider costs such as childcare and health care that are determining factors in one’s ability to sustain a household while working.46 Even more concerning, nearly 30% of Wilkes County children (27.4%) live in poverty.47 Public assistance programs such as the federal Supplemental Nutrition Assistance Program (SNAP) provide income to 21% of households in Wilkes County. While Wilkes County's average annual wage per hour per worker employed in the county, regardless of where they live, is $21.10 per hour (or $43,887 annually),48 the cost of living (or living wage) ranges from $11.90 in a two adult/no children wage earning household to $52.19 for a single adult household with three children.49 At an average cost of $762.5050 for childcare in Wilkes County, working families will struggle to gain financial security putting upward mobility farther from reach.

42 North Carolina Department of Commerce. (2023). County Distress Rankings (Tiers). Retrieved from commerce.nc.gov/grants-incentives/countydistress-rankings-tiers. County Tiers are calculated using four factors: average unemployment rate; median household income; percentage growth in population; adjusted property tax base per capita.

43 Based on data generated from JobsEQ. Accessed February 2023.

44 U.S. Census Bureau American Community Survey, 2021. Retrieved from data.census.gov. The highest concentration of household incomes (17%) falls between $50,000 to $74,999.

45 U.S. Census Bureau American Community Survey, 2021. Retrieved from data.census.gov.

Research illuminates the adverse economic impact that families experience without adequate childcare and the implications for businesses and taxpayers. A 2022 study reported a combined $122 billion loss in annual earnings and revenue for U.S. parents, businesses, and taxpayers.51 This study itemized annual costs of inadequate childcare as follows:

• Working parents lose an average of $3,350 in lost earnings, reduced productivity at work, and more time looking for work, or $37 billion in aggregate.52

• Businesses lose an average of $1,150 per working parent in reduced revenue and in extra recruitment costs, or $13 billion in aggregate.

• Taxpayers lose an average of $630 per working parent in lower income tax and sales tax, or $7 billion in aggregate.

Investing in the future

Research also shows that investing in high-quality, early education programs generates significant returns on investment. James Heckman, a Nobel Laureate economist, has found that every dollar spent on high-quality, birth-to-five programs for disadvantaged children can deliver a 13% per annum return on investment from better education, health, and employment for parents, greater economic productivity, and reduced spending on healthcare and crime.53 Researchers at the University of Nebraska-Lincoln found that lack of access to childcare hindered the state of Nebraska’s economic viability through workforce participation and loss of production.54 A study conducted by economists at the Federal Reserve Bank in Minneapolis found that investments in early childhood resulted in more effective public schools, improved health, less crime, and more educated skilled workers that provided up to a 16% per year return on investment.55

Moreover, healthy development in the early years, birth to three-year olds (Figure 1.18) is a critical determinant of economic prosperity, educational achievement, and lifelong health, and is the foundation for strong communities, responsible citizenship, and successful parenting of the next generation. Within the past 20 years, research on brain development has also provided compelling evidence that early experiences affect the development of the brain, which is directly connected to a young child’s rapid physical, cognitive, language, and social-emotional growth:

“The brain is a highly interrelated organ, and its multiple functions operate in a richly coordinated fashion. Emotional well-being and social competence provide a strong foundation for emerging cognitive abilities, and together they are the bricks and mortar that comprise the foundation of human development. The emotional and physical health, social skills, and cognitive-linguistic capacities that emerge in the early years are all important prerequisites for success in school and later in the workplace and community.”56

46 U.S. Census Bureau American Community Survey, 2021. Retrieved from data.census.gov.

47 U.S. Census Bureau American Community Survey, 2021. Retrieved from data.census.gov.

48 Data from JobsEQ. Accessed December 2022.

49 Based on the Living Wage Calculator, developed by the Massachusetts Institute of Technology, which considers wages in relation to a geographically specific cost of living for basic necessities including food, housing, childcare, health insurance, and transportation. Living Wage Calculator. (n.d.). Retrieved from https://livingwage.mit.edu/

50 Average of all market rates for childcare reported in Figure 1.10.

51 Council for a Strong America. (2 February 2023). “$122 Billion: The Growing, Annual Cost of the Infant-Toddler Child Care Crisis.” Retrieved from strongnation.org/articles/2038-122-billion-the-growing-annual-cost-of-the-infant-toddler-child-care-crisis

52 Based on a count of 11 million parents nationally.

53 The Heckman Equation. (n.d.) “Quantifying the Life Cycle Benefits of a Prototypical Early Childhood Program.” Available at heckmanequation.org/ resource/lifecycle-benefits-influential-early-childhood-program/

For example, research shows that vocabulary gaps begin at birth and that children with higher socioeconomic status (SES) are exposed to a wider and more complex vocabulary in their first four years of life than their peers of lower SES (See Figure 1.19).57 Other research shows that vocabulary is directly correlated to a child’s reading achievement.58 Through correspondence during the 2022-23 school year, Wilkes County Schools reported to the taskforce that 52.3% of children in grades 3-8 in the 2020-21 school year were not proficient in reading. Though most of the elementary schools demonstrated student growth, the percentage of students who scored at or above proficient levels in reading decreased from 53.9% of grade 3-8 students in 2018-2019 before the Covid- 19 pandemic to 47.7% of students two years later. The research suggests that strong early childcare could help reverse that trend.

Healthy Brain Development

Most brain development occurs between birth to three years of age than at any other time in life, with more than 1 million new neural connections being formed every second. At birth, a baby’s brain is about a quarter of the size of the adult brain but by the time the child is ready for kindergarten, it is 90% of an adult’s brain. The quality of relationships and experiences children are exposed to in these early years is crucial for making positive brain connections, development, and lifelong outcomes.

Cumulative Language Experiences

Source: C.A. Nelson (2000). Credit: Center on the Developing Child

Source: Hart and Risley (1995). Credit: Soundenglish.org

54 University of Nebraska-Lincoln College of Business. (2020). The Bottom Line: Economic Impacts of Inadequate Child Care Access in Nebraska. Retrieved from firstfivenebraska.org/wp-content/uploads/2021/07/Bottom_Line_Report-FINAL.pdf

55 Rolnick, A. and Grunewald, R. (1 March 2023). “Early Childhood Development: Economic Development with a High Public Return.” Retrieved from minneapolisfed.org/article/2003/early-childhood-development-economic-development-with-a-high-public-return

56 Harvard University: Center on the Developing Child. (n.d.) Brain Architecture. Retrieved from developingchild.harvard.edu/science/key-concepts/ brain-architecture/

57 Hart, B. and Risley, T. (1995). Meaningful Differences in the Everyday Experience of Young American Children as referenced in SoundEnglish. (29 June 2020). “30 million words.” Retrieved from soundenglish.org/30-million-words

58 C.A. Nelson (2000) as credited to Center on the Developing Child cited in Center on the Developing Child, Harvard University. (n.d.) InBrief: The Science of Early Childhood Development. Retrieved from developingchild.harvard.edu/resources/inbrief-science-of-ecd/

Wilkes County Childcare Study

What if?

This report presents research that makes a case for building a solid childcare infrastructure. Inadequate childcare can drag down available workforce, leading to businesses deciding to relocate. Another way to understand what is at stake for businesses and residents of Wilkes County is to consider the impact of a business stopping operations in the county. What happens if a company cannot find the right labor force in Wilkes County? The company can close operations in Wilkes County and move to another geography outside of the area or lay off workers.

This model presents an example of hypotheses of the economic impact on people, occupations, payroll, sales, and value of output if 100 jobs are lost for two different types of businesses.

Example 1: A Headquarters Operation is laying off 100 workers at its Wilkes County location. This type of business has a 1.36 multiplier and will affect not only those 100 people but suppliers and other businesses in the area.

100 HQ Jobs lost =

• $6.5 million annual payroll lost – total of $8.3 million in compensation in the community

• $14.2 million annual sales lost – total of $20.5 million in annual sales in the community

• $21,980 lost revenue in a childcare service company

Example 2: A Manufacturing Operation is laying off 100 workers at its Wilkes County location. This type of business has a 1.75 multiplier and will affect not only those 100 people, but suppliers and other businesses in the area.

100 Manufacturing Jobs lost =

• $4.3 million annual payroll lost – total of $7.3 million in compensation in the community

• $37.2 million annual sales lost – total of $50.5 million in annual sales in the community

• $25,557 lost revenue in a childcare service company

If a headquarters operation in Wilkes County closes or lays off workers, ripple effects in the local economy ensue. If this event represents 100 jobs, 36 additional jobs are affected resulting in additional lost payroll. For a manufacturing firm, a loss of 100 jobs would affect 75 additional jobs in the community. Adverse impact on company and vendor sales would result in fewer earnings in the community for spending which would in turn impact local businesses resulting in more loss reflected in reduced sales, staff reductions, etc. Childcare services would also suffer losses in jobs and income when newly unemployed workers no longer need childcare.