Child Care: Narrow Subsidy Programs Create Problems for Mothers Trying to
Work (Testimony, 01/31/95, GAO/T-HEHS-95-69).

The categorical nature of child care subsidy programs creates service
gaps that diminish the likelihood that low-income mothers will work. The
fragmented nature of the child care funding, with entitlements to some
client categories, time limits on others, and activity limits on still
others, produces unintended gaps in services, which limit the ability of
low-income families to become self-sufficient. Moreover, as states
deplete funds for welfare recipients, they turn to funds originally
targeted for the child care needs of the working poor, putting them at
greater risk of welfare dependency. In considering consolidation of
these programs as a remedy for the service gaps that trouble mothers,
child care providers, and program administrators alike, some important
issues need to be considered. For example, trade-offs must be weighed
between state flexibility to determine whom to serve with subsidies and
congressional interest in accountability for how federal money is spent
and for positive program outcomes.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  T-HEHS-95-69
     TITLE:  Child Care: Narrow Subsidy Programs Create Problems for 
             Mothers Trying to Work
      DATE:  01/31/95
   SUBJECT:  Child care programs
             Disadvantaged persons
             Welfare benefits
             Aid to families with dependent children
             State-administered programs
             Block grants
             Eligibility criteria
             Women
             Employment or training programs
             Subsidies
IDENTIFIER:  AFDC
             California
             Illinois
             Massachusetts
             Michigan
             New York
             Texas
             Job Opportunities and Basic Skills Training Program
             JOBS Program
             AFDC Transitional Child Care Program
             HHS At-Risk Child Care Program
             Child Care and Development Block Grant
             
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