COLUMBUS, Ohio—Many Ohio families could see their child care bills drop by two-thirds under soon-to-be-introduced legislation that would have participating employers and the state pick up the rest of the cost.
The Republican-sponsored bills, modeled on similar “tri-share” programs in Michigan and some other states, come as the average annual cost of child care in Ohio has soared to nearly $10,000 per infant, worrying state leaders, advocates, and the business community.
Under draft legislation being drawn up by GOP state Rep. Mark Johnson of Chillicothe, employers that voluntarily enroll in the program (which would include the state of Ohio itself), their employees, and the State of Ohio would each pay one-third of those employees’ child care costs.
The program would be open to families making up to 300% of the federal poverty line, which currently is $77,460 for a family of three and $93,600 per year for a family of four, Johnson said in an interview. The program would be administered statewide through regional hubs, which could include nonprofits such as United Way, he said.
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Right now, Ohio offers publicly funded child care to families making up to 142% of the poverty line, or $42,600 per year for a family of four. That’s close to last among U.S. states when it comes to subsidizing child care. Gov. Mike DeWine announced earlier this month that he’s creating a voucher program that helps cover child care expenses for Ohio households making up to 200% of the poverty line, or $60,000 per year for a four-person family.
Johnson said the legislation he’s drafting would appropriate $10 million to get the tri-share program up and running. Asked how much the state’s one-third share would cost, Johnson offered a rough estimate of $100 million to $200 million per year, which he said lawmakers would have to approve via next year’s state budget plan.
However, Johnson added, the state would likely get some of that money back, as it wouldn’t have to pay as much in SNAP benefits to residents who can’t work because they either can’t find or can’t afford daycare for their kids.
Johnson said he will introduce the bill as soon as the non-partisan Legislative Service Commission finalizes the language. State Sen. Michele Reynolds, a Republican from suburban Columbus, is also working on a twin bill in the Ohio Senate, he said.
Cleveland.com/The Plain Dealer has reached out to Reynolds for comment.
It’s not yet clear whether the bill, when it’s introduced, will pass the legislature before the current session ends in December. Lawmakers are planning to break for the summer in June and won’t reconvene in earnest until after the November general election.
Johnson said he was “hopeful” the bill will pass this year, but he put the odds of passage as basically 50/50 – or, as he put it, “six to five and go pick ‘em.”
Asked whether his fellow Republicans will support the idea or not, Johnson said, “I believe this is a winning issue, no matter what side of the political spectrum you come from.
“It’s (about), ‘let’s get something done instead of nothing,’” he said.
Johnson said the fate of his bill will be driven particularly by how vigorously it’s pushed for by Ohio’s business community. Business groups like the Ohio Chamber of Commerce have increasingly pressured state officials to make child care more available and affordable in Ohio, arguing that workers need it to fill jobs being created around the state.
“I need the employers to drive the bus and say, ‘this is something that’s going to work and a way to provide child care,’” Johnson said about his bill.
In 2021, Michigan was the first state to set up a tri-share cost-sharing program – first as a pilot project, then expanding it to 59 of the state’s 83 counties as of last December, according to EdSurge. Since then, other states – including New York, North Carolina and Kentucky – have implemented their own versions of the program.
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In a statement, Ohio Chamber of Commerce President and CEO Steve Stivers said that while his organization – the state’s largest business advocacy group – hasn’t yet seen the text of Johnson’s draft bill, “we are optimistic that legislation like this will lead us in the right direction toward child care access and affordability.”
In turn, Stivers continued, that will help Ohio businesses and the state’s economic outlook.
“The State of Michigan’s Tri-Share program has greatly increased employee retention, which would prove very beneficial for Ohio’s workforce if a similar initiative is implemented here,” he said.
Cleveland City Council member Charles Slife expressed doubt that the city could afford to enroll in the program for its 6,500 or so employees if the bill passes.
Slife told Cleveland.com/The Plain Dealer during the chamber’s child care summit this week that it would be “daunting” for the city of Cleveland to add additional costs, “especially when we are required by state law to balance our budget and (are) struggling to keep up with inflation.” Rather, the state legislature should appropriate more money to directly help Ohioans access and pay for child care, he said.
“I do think employers need to be a little more hospitable and understanding. And we’re moving in that direction across the board, and that’s good,” Slife said. “But when it comes to dollars and cents, not everybody has the dollars and cents to invest what we all know is a sensible investment.”
In our Rethinking Child care series, cleveland.com and the Plain Dealer are examining the expense and difficulty of finding quality child care and proposing solutions to share families’ burdens -- and help our economy.
Jeremy Pelzer covers state politics and policy for Cleveland.com and The Plain Dealer.