The Local Source for News and Information Since 1980

Navigating a Childcare Crisis: Economic Impacts in Caroline County

Posted

Like many of Maryland’s rural communities, Caroline County is grappling with a childcare crisis that threatens to disrupt its economy and workforce. The challenges stem from fewer licensed childcare providers and new state regulations.  

The Blueprint for Maryland’s Future is an aspirational 10-year, $38 billion education reform plan aimed to transform Maryland's public education system to better prepare students for success in college, careers, and life. The plan includes expanding early childhood education with universal access to pre-kindergarten for 3- and 4-year-olds while prioritizing low-income families. 

On January 2, 2025, Governor Wes Moore paused the Blueprint’s spending plan as the state works to balance $2.7 billion in budget deficits. The program will be a prioritized agenda item for Maryland’s legislative sessions this year.  

Blueprint for Maryland’s Future 

The state’s Blueprint for Maryland’s Future aims to expand public pre-kindergarten access, increase teacher pay, and boost educational outcomes.  

While well-intentioned, the initiative presents challenges for rural communities like Caroline County. The Blueprint’s focus on public programs risks overshadowing private providers, who are critical in areas with limited public infrastructure. 

To be considered as a private pre-K provider affiliated with the Blueprint plan, individuals must meet the plan’s rigorous standards, including obtaining Maryland EXCELS Level 5 endorsement. The funding model under the Blueprint may also be financially unsustainable for private centers, as the per-child funding can often be less than affordable tuition rates. 

Many local leaders, childcare providers, and families are working to address these issues and to create a sustainable system. 

Broader Implications 

The childcare crisis in Caroline County highlights the broader need for tailored solutions in rural areas. Limited transportation, long commutes, and resource constraints amplify challenges. Expanding public-private partnerships and increasing support for providers could help bridge gaps.  

As licensed at-home care providers move to an early childhood education platform, many providers attain degrees in early childhood education and move to a childcare center or public school system. While this helps fill the needs for 3- and 4-year old care in Caroline and neighboring counties, it creates a gap for childcare, especially for toddler and infant care. 

Shrinking Childcare Resources 

In recent years, Caroline County’s childcare options have dwindled to 55 licensed providers, according to the Maryland Department of Education Check Child Care Maryland website. For perspective, Heather Harding, coordinator of the Federalsburg Judy Center Early Learning Hub, says Caroline County had 126 licensed providers before the COVID pandemic.  

Caroline County is not alone in its need for childcare providers. Maryland has seen a 15.5% decline in the number of licensed child care providers from 2020 to 2024, according to the Comptroller of Maryland’s State of the Economy Series: Child Care and the Economy, published in December 2024. The report also states a 5.5% decline in the number of licensed slots for children. 

“The shift from traditional childcare to a preschool model has introduced layers of regulations and certifications that are overwhelming for small providers,” says Bob Zimberoff, director of Caroline County Economic Development & Tourism. “The financial and time investment required to meet these standards is a major factor.” 

Providers are also losing staff to public schools, where higher pay, benefits, and pensions are more appealing. This has created a challenging business model for many childcare centers, forcing them to close their doors or reduce services. 

Economic and Workforce Challenges 

The childcare shortage has broad economic implications. With fewer providers, families earning modest incomes face limited options. Many parents are forced to reduce work hours or leave the workforce altogether, impacting household incomes and slowing economic growth. 

“In Caroline County, many families earn $60,000 a year or less and can barely afford daycare,” Zimberoff said. “Parents here often drive 40 minutes or more to work, and they need childcare close to home. Limited options make it a logistical nightmare.” 

Solutions and Innovation 

Zimberoff advocates for practical solutions, including scaling back regulations, offering grants for startup costs, and expanding Judy Centers to every school in the county. He also encourages businesses to create early learning center hubs, when possible, or for existing centers to expand. 

“The childcare crisis isn’t just a family issue—it’s a workforce and economic development issue,” Zimberoff said. “Collaboration between government, businesses, and the community is essential.” 

Judy Center’s Role 

Heather Harding has witnessed the crisis’s impact firsthand. Starting her career as a family childcare provider in 2004, she understands the challenges families face. 

“When I couldn’t find childcare for my child in Federalsburg, I commuted to Easton and paid a premium,” Harding said. “That opened my eyes to the critical need for local options.” 

The Judy Center supports families and children from birth to age five with resources, education, and engagement programs. However, the pandemic has worsened childcare shortages, leaving fewer than 100 infant care spots countywide. 

“Infant care is especially scarce because state regulations limit home providers to two children under two years of age per caregiver, or three per caregiver for childcare centers,” Harding said. “That creates a significant gap for working families.” 

Supporting Providers and Families 

The Judy Center addresses challenges by offering professional development, training, and resources for local providers. Programs like “Go FCC,” offered by the Eastern Shore Child Care Resource Center, encourage new providers to open home-based childcare businesses. 

“The Caroline County Judy Centers are working to reduce barriers for partner providers,” Harding says. “By hosting local training and offering related instructional resources, we help maintain high-quality care while providers are navigating the demands of their profession.” 

Harding says the Caroline Early Learning Advisory Council meets in conjunction with the Judy Center Steering Committee offering even more opportunities that are available to all Caroline County licensed providers. The Judy Center also facilitates community conversations around childcare issues, through a partnership with Caroline Better Together, with upcoming program announcements at carolinebettertogether.org.   

The Judy Center also explores creative solutions when working with parents, such as referring families to utilize the income-based Maryland Child Care Scholarship program. The scholarship program can help pay for childcare, including compensation for family caregivers. 

Challenges for Rural Areas 

Deenie Todd-Reyes, owner of Lollipop Lane Learning Center in nearby Dorchester County, echoes similar concerns. Since purchasing the center in 2023, she has struggled to meet growing demand while balancing staffing and regulations.  

Lollipop Lane serves 65 families during the school year and up to 100 in the summer. The center has a waitlist of 25 children born between 2023 and 2025. 

“Infant care is at a crisis point,” Todd-Reyes said. “The costs to meet required ratios and regulations make it challenging to offer this service affordably.” 

Public school Pre-K programs for 3- and 4-year-olds have also impacted enrollment at private childcare centers like Lollipop Lane, forcing them to focus on younger age groups. 

“Transitioning to serve infants and toddlers requires new equipment, more staff, and even playground adjustments,” Todd-Reyes explained. “It’s costly, but necessary to adapt.” 

Hope for Change 

Despite the challenges of resource constraints, local leaders remain optimistic. Harding sees potential in the Judy Center helping to coordinate services with more children, their families, and their childcare providers.  

“Blueprint provides a roadmap for growth utilizing a mixed delivery system,” Harding said. “It’s about ensuring every child has access to quality education and families have the support they need to thrive.” 

For Todd-Reyes, adapting her business in 2025 to expand toddler services is a step forward. “If we want enough childcare options for working families, we need systemic support to make childcare sustainable,” she said. 

For Zimberoff, he hopes more individuals will explore working in childcare to help meet the needs of Caroline County’s workforce, and that state regulations will be in favor of eliminating any barriers to entry in the profession.  

Caroline County’s childcare crisis underscores the need for collaboration, innovation, and systemic change. Addressing these issues is essential to sustaining and building a resilient workforce and economy while providing every child and working family with access to the resources needed. To find a childcare center near you, visit www.checkccmd.org