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North Carolina Governor Josh Stein Reveals Task Force Plan to Revamp Child Care and Boost State's Economy

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Published on July 01, 2025
North Carolina Governor Josh Stein Reveals Task Force Plan to Revamp Child Care and Boost State's EconomySource: NC Office of Governor

North Carolina Governor Josh Stein today unveiled a pivotal report from the state's Task Force on Child Care and Early Education, aiming to tackle the rising crisis in child care accessibility and affordability. Co-chairs Lieutenant Governor Rachel Hunt and Senator Jim Burgin marshaled an interim report that delivers six recommendations to transform the state's child care landscape. "Investing in child care benefits everyone," Governor Stein expressed in a statement obtained by the Governor's Office, "We must come together to make child care more accessible and affordable so that we can secure a brighter future for North Carolina’s children."

With child care costs outstripping the affordability of college tuition, North Carolina families are increasingly left with little choice but to exit the workforce, a dilemma that according to the Governor's Office, has cost the state over $5.65 billion in additional economic output in 2023. The imperative to address this issue has never been clearer. "Child care is a business issue, a talent issue, and a health issue that must be addressed to maintain our competitiveness and to increase statewide prosperity,” stated Commerce Secretary Lee Lilley.

The task force's recommendations focus on implementing a statewide child care subsidy reimbursement rate floor and developing non-salary benefits for child care professionals to ease the retention crisis plaguing the industry. Subsidies or even free child care for child care teachers and linking compensation programs are also central to their approach. The aim is to build a more robust and supportive network for early childhood educators, ensuring that those nurturing the next generation are themselves supported. As noted by Senator Burgin, "This task force has looked at all aspects of child care and early education and explored many possible solutions," as reported by the Governor's Office.

Among the more innovative proposals is the creation of a child care endowment, which would function as an investment fund to support the state's child care needs continuously. Additionally, the task force is exploring options like leveraging relationships with public institutions such as the UNC system and community colleges, to expand child care access. "Public-private solutions, like Commerce’s Child Care Business Liaison position," highlighted in the Governor's Office report.

The Task Force, made up of leaders from different sectors, is working together to support long-term change. They plan to release a full set of recommendations by December 2025. The group's members, including political leaders and industry experts, recognize that North Carolina's future workforce and economy depend on how young children are supported and educated today.