FY 22-23 Budget signed with new & expanded ECE investments


Using a combination of Federal American Rescue Plan Act and State funding investments the General Assembly invested in existing programs, expanded access and created a new Child Care ad Dependent Care Tax Credit.

In summary, the final 2022-23 Pennsylvania state budget includes:

Child Care

  • $25 million in Child Care Services specifically to serve families currently enrolled in Child Care Works up to 300% of poverty or the state median income (whichever is lower). (Not ARPA)
  • Level funding for the state Child Care Assistance line item.
  • $90 million in federal funding to provide one-time child care staff recruitment and retention bonuses(ARPA)
 Preschool
  • $60 million in additional funding for the state’s Pre-K Counts program, which will serve over 2,300 additional young children. (There is a rate increase indicated as a % calculation.)
  • $19 million in additional funding for the Head Start Supplemental Assistance Program.
 Home Visiting
  • $15 million in additional funding for evidence-based home visiting in the Community-Based Family Center line item and $1 million for the Nurse-Family Partnership line item.
Early Intervention
  • $9.3 million for the Early Intervention Part C (infants and toddlers) program through DHS (this figure also appears as $12.2 million when stimulus dollars are not included).
  • $10 million for the Early Intervention Part B (age-three-to-five) program through PDE.
 Tax Credits
  • Creation of a Pennsylvania Dependent and Child Care Enhancement Program equal to 30% of the federal credit to support working families. – (The maximum amount of credit that a taxpayer could receive is $315 for one dependent and $630 for two or more dependents.)
  • Increases EITC-Preschool Scholarships by $8 million to $20.5 million.