Some folks have recently advocated raising property taxes to subsidize professional child care. Let’s look at some alternate solutions.
The price of child care can be reduced by increasing the supply. One way to increase the supply of child care is to reduce onerous licensing and regulatory requirements. Utah has mandatory ratio requirements for how many children per caregiver. A 2015 Mercatus study found that increasing one child per caregiver can reduce childcare costs up to 20%.
Our neighboring states, Idaho and Arizona, do not require a license to operate a child care center. Utah could similarly remove this requirement to reduce barriers to entry for both new and existing market participants.
Some letters to The Park Record cite concern for low-income families. The facts are not consistent with their concerns. 57% of surveyed parents prefer child care from a family member. Among those with low income, 67% prefer family care. High-income families may end up being the disproportionate beneficiaries of subsidized professional childcare.
These stats take us to another facet of the policy discussion: it might be better for a family to raise children than outsourcing to strangers. Having the government get involved in the business of professional child care tips the scales in favor of parents spending more time at work and less time at home with family.
Some letters have suggested that folks against raising taxes have beliefs about who should or shouldn’t live in Park City. No person should be making decisions for another person about their career, lifestyle, and city. These are private decisions best made by individuals according to their preferences.
Some folks will sacrifice space to live closer to the mountain. Some folks will sacrifice being close to the mountain to invest in the private education of their children. Some folks will seem to have it all but are paying the price in levels of cortisol exposure no sane person would sign up for (e.g. the executive who commits suicide after laying off hundreds).
Brendan Weinstein
Prospector
Do you have an opinion about local child care you’d like to share? Email it to [email protected], include your name and neighborhood/address, and we’ll get it published asap.