Hartford, CT — Gov. Ned Lamont is pushing forward with a $1 billion Universal Preschool Endowment, a plan expanding free and low-cost preschool access for Connecticut families.
The budget proposal would launch the endowment with $300 million from the fiscal year 2025 surplus, with additional surplus contributions planned in future years.
“There’s no dispute about how important early childhood education is for these kids,” Lamont said during a press conference on Tuesday, Feb. 11.
The plan would provide free preschool for families earning up to $100,000 and limit costs for those earning up to $150,000.
The state would also allocate 10% of the endowment annually to sustain funding.
Budget controversy over spending cap
Lamont’s proposal includes a modification of Connecticut’s fiscal guardrails, particularly the volatility cap, expected to restrict spending from unpredictable revenue sources.
The plan reclassifies $300 million in revenue as “stable” that allows it to be used for the endowment.
Senate Minority Leader Stephen Harding criticized the move.
“He found a legal mechanism in which he can blow by the intent of the spending cap,” he stated.
Harding suggested the state find $30 million within its existing $27 billion budget instead of modifying budget rules.
Meanwhile, the Connecticut Business and Industry Association (CBIA) also voiced concerns. CBIA President and CEO Chris DiPentima acknowledged childcare as a workforce issue but opposed adjusting fiscal limits.
“While going to childcare is certainly a key investment to be made, using the guardrails as an investment to do that is not the way to,” he said.
Parents struggle with costs, childcare shortage
For parents, high childcare costs and limited availability poses urgent concerns.
Marinda Monfinston, a mother from Cromwell, said her family spent half its income on childcare for her oldest child and fears rising costs for her six-month-old son.
“We were navigating four different towns and four different school systems, and she was also on a waitlist for two years,” Monfinston said about the difficulty of securing a childcare spot.
The Office of Early Childhood is working to attract more childcare workers by easing licensing requirements and allowing individuals to work in childcare centers while earning their credentials.
However, low wages is still a major hurdle, according to Commissioner Beth Bye.
“It’s hard to get people in the pipeline if you have the lowest-paying professions, so I think that’s the big game changer,” Bye said.
Lamont defends long-term investment
Amid controversy, Lamont stands by his claim that the endowment is a fiscally responsible solution that reinforces childcare funding.
“I wanted something that’s not going to be subject to the ups and downs, recessions, the ins and outs,” Lamont said.
As budget negotiations heat up, the proposal is expected to be a flashpoint in Connecticut’s legislative session.