Gov. Reynolds announces $25M Child Care Business Incentive Grant Program

20 May 2022

Gov. Reynolds announced today a new Child Care Business Incentive Grant Program to encourage employers to offer child care as a benefit to their employees.  

The Child Care Business Incentive Grant Program will provide a total of $25 million to support child care projects across the state. $20 million will be utilized to support local infrastructure investments to build or expand child care capacity, and $5 million will be used to support arrangements between employers and child care facilities to expand and reserve child care slots. Potential projects could include the creation and development of an on-site child care center or a partnership with an existing child care center to create new child care slots paid for by a local employer. 

“I’ve heard from both parents and employers that child care is a barrier to work in our state,” said Gov. Reynolds. “One of the top recommendations from my Child Care Task Force was to incentivize employer investment in child care. This program will do just that by encouraging employers to help deliver child care solutions to their employees, thereby bolstering opportunities for recruitment and retention of workers.” 

“Creating flexible options for child care at work not only helps families, but it also makes it easier for employers to recruit and retain the skilled workforce they need,” said Beth Townsend, Director of Iowa Workforce Development. “It is vital to our economic growth that we provide parents with reliable and affordable child care options, especially those who are looking to reenter the workforc

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