NASHVILLE, Tenn. (WKRN) — As Tennessee continues to address an ongoing childcare crisis, one bill filed for introduction last week aims to cut costs for childcare businesses and encourage more options across the state.
A Dec. 2024 report found that children spend, on average, between six months to one year waiting to get into a daycare or childcare facility. Additionally, Tennesseans struggle to afford childcare. The 2024 State of the Child report found that infant childcare cost more than 2024 in-state tuition in all but one of Tennessee’s four-year public universities.
“I hear from parents every day about their concerns about child care costs,” Senator Heidi Campbell (D-Nashville) said. “It’s a big part of people’s decision about whether or not to expand their family, and a big part of people’s decision about whether or not to move here.”
While costs for parents are high, many facilities have struggled to keep their doors open. Campbell’s bill calls to exempt child care services from paying business taxes.
“Childcare workers are making $13 an hour, so a lot of them are leaving to work at places like Walmart and McDonald’s,” Campbell said. “It’s a real problem.”
Campbell said the measure came at the suggestion of the Tennessee Advisory Commission on Intergovernmental Relations, which has studied childcare issues in-depth.
“They certainly aren’t making a lot of money,” Campbell added. “This would be an opportunity that would enable them to, perhaps, reduce their cost per family or perhaps expand their capacity.”
If passed, the bill would also reimburse childcare facilities that paid business taxes in 2023 and 2024.
“It’s one of the biggest expenses to families and it’s also one of the biggest investments we can make in our future,” Campbell said.
