Government Regulation of Child Care: Should it be Increased in New York to Include Informal Care?

The government has placed increasing regulations on child care over the last few decades. Until recently, informal care providers, those who care for only a few children in their home or the children's home, have been exempt from these regulations. Concerns over quality have led many states to consider increased regulation of this part of the child care market when government subsidized funding is being used. Studies on the effectiveness of current regulation of child care centers and group homes show, however, that regulation is a risky means of improving quality. It may not be effective and can negatively affect availability, cost, parental employment, and parental responsibility and self sufficiency. New York is currently considering a proposal for regulation of informal care that includes extensive background checks, fraud detection practices, and on-site visits. There are many concerns with the current proposal, even amongst those who believe that some regulations are necessary for informal providers. Recommended improvements include increased funding, simplification of the background checks and enhanced market rate scale, greater time frames for enactment, and further research. These improvements would increase the likelihood that the regulations would lead to better quality care and help limit any negative effects they might have on aspects of the child care market. However, our findings suggest that parental education/training and strengthening of families may be more successful at improving quality and have fewer negative consequences than regulation. I. Introduction The appropriate level of involvement of federal government in social services has always been debated. How much funding should the government provide toward the needs of low-income families? How much control should it have over the actions and conditions of the organizations that receive the funding? How much should be left to each state or district to determine? All of these questions enter any discussion on child care in the United States. Currently the federal government offers support for child care through subsidies issued to low income-families. These subsidies can be used toward all types of child care, including informal care, where a provider cares for a small number of children in their home or the children's home, and licensed care, which includes child care centers and group homes. Until recently, only licensed providers had to meet strict government regulations in order to be eligible to receive subsidized funds. The main goal of these regulations was to insure that all children who receive government funding …