Reynolds awards $26.6 million in childcare business incentive grants

Governor’s office
for immediate posting
Date: September 13, 2022
Contact: Alex Murphy, (515) 802-0986, Alex.Murphy@Governor.Iowa.Gov

Printable version (PDF)

Reynolds awards $26.6 million in childcare business incentive grants

Des Moines, Iowa – Governor Kim Reynolds today awarded $26.6 million in grants to fund 23 projects aimed at helping businesses unlock new childcare opportunities and making it easier to find employer-based childcare options for Iowans.

The Childcare Business Incentive grant awards 19 projects worth $25.9 million to address infrastructure projects, while four projects will receive $603,433 to support agreements between businesses and local centers that create new childcare opportunities. In total, today’s funding from Iowa Workforce Development (IWD) and the Iowa Department of Health and Human Services (HHS) will include 67 employers and approximately 1,786 childcare places are expected to be created.

View the list of winners today over here. Winners Map Available over here.

“Iowa companies recognize that access to quality child care is a key factor in employees’ ability to work,” Governor Reynolds said. “These awards will support and catalyze employer investment in on-site childcare resources or through community partnerships and advance our efforts to provide quality childcare throughout Iowa.”

The Childcare Business Incentive Scholarship was created this year to enable companies and employer associations to build on-site childcare centers or partner with local childcare providers to increase new childcare opportunities for employees. This grant program provides one of the Child Care Task Force’s most important recommendations – to stimulate business involvement in child care.

“Today’s awards not only help employers establish or expand childcare for existing workers, but also enhance their ability to successfully attract and retain new employees,” said Beth Townsend, director of Workforce Development for Iowa. “Our focus moving forward must remain on addressing these specific types of barriers to provide choices for families and create an environment in which the local workforce can thrive.”

“These grants support Iowa’s investment in high-quality childcare options and strengthen parents’ ability to provide for their families while gaining the benefits of early learning for their children,” said Kelly Garcia, director of the Iowa Department of Health and Human Services. “As a working mother who still has a child in care, I see firsthand the advantage of children who participate in early learning and deeply understand the need for additional access in our state. These grants take the next step forward to ensure Iowa’s commitment to achieving better access for all.”

Today’s awards continue the state’s commitment to fund meaningful childcare projects across the state. To build on these successes, IWD and HHS are announcing a second round of funding for the Child Care Business Incentive Khans Grant. This new opportunity seeks to provide additional flexibility in the ways in which employers can partner with local child care providers to meet the needs of their employees. Grants will support projects that increase childcare licensed or operational slots, add slots to meet new staff time/day requirements, or fill in slots that are currently licensed (but vacant) for staff.

  • Applications are now accepted at Applications are due by 11:59 AM on October 17, 2022.
  • Click here for notice of funding and application information: end to end

Including today’s announcement, Iowa has awarded 191 projects with approximately $75.6 million in grant funding to help create more than 10,700 new childcare places.


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