1. Early Education – Return on Investment
Making Young Children the Top Economic Priority in Alabama

2. Early Education – Return on Investment
In Alabama, 63% of children from birth to age five have all their parents
in the work force.
So access to child care, preschool, Head Start, or PreK is a necessary support for working families.
Making Young Children the Top Economic Priority in Alabama

3. Early Education – Return on Investment
And, if the program is HIGH QUALITY, it is the best investment in
better schools,
improved outcomes,
and more productive
future employees.
Making Young Children the Top Economic Priority in Alabama

4. Early Education – Return on Investment
Over one-half the gap in school achievement is present
at school entry.
If a child is not reading on grade level in first grade, there is a 90% chance he will not read on grade level
by grade 4.
Making Young Children the Top Economic Priority in Alabama

5. Early Education – Return on Investment
Children who attend
high quality child care
have higher achievement
in math and reading
through adolescence
as well as higher earnings
in adulthood.
Making Young Children the Top Economic Priority in Alabama

6. Early Education – Return on Investment
What does
this mean
for the
business
community?
Making Young Children the Top Economic Priority in Alabama

7. Early Education – Return on Investment
The highly touted annual real rate of return on the stock market that prevailed between 1871 and 1998 was
6.3%
By comparison, a study by the Federal Reserve Bank of Minneapolis determined that annual real rates of return on public investments in the Perry Preschool Project (high quality preschool) were
16%
Making Young Children the Top Economic Priority in Alabama

8. Early Education – Return on Investment
Making Young Children the Top Economic Priority in Alabama

9. Early Education – Return on Investment
While 85% of a child’s brain development occurs by age three, less than 1% of public investments in children have occurred by that time in Alabama (Early Learning Left Out).
Making Young Children the Top Economic Priority in Alabama

10. Early Education – Return on Investment
Alabama’s First Class Pre-K program for 4-year olds
is one of (2) programs in the country to score a
perfect 10 in quality --
but, it is only funded at a level that allows us to serve 6.5%
of our state’s 4-year olds.
Making Young Children the Top Economic Priority in Alabama

11. Early Education – Return on Investment
For every $1 of state funding spent on eligible expenditures, Department of Human Resources (DHR) draws down $2.10 in matching CCDF federal funds to support child care for working families.    
In 2009 DHR is missing out on approximately $12M for the program; due to current economic conditions, the state cannot provide the
$5M in matching funds.
Making Young Children the Top Economic Priority in Alabama

12. Early Education – Return on Investment
Making Young Children the Top Economic Priority in Alabama

13. Early Education – Return on Investment
The Employers’ Child Care Alliance is a community initiative led by major
businesses and employers.
“I realized that the people I’m trying to hire today, the young people we’re giving literacy tests to. . .they were in child care when I started in this business 15 years ago”.
-- Human Resources Director from Uniroyal/Michelin
Making Young Children the Top Economic Priority in Alabama

14. Early Education – Return on Investment
Ask Alabama Poll Results, September 2009:
On the list of
“changes or improvements in jobs and employment”
90% of women and
80% of men
reported that child care was important to them.
Making Young Children the Top Economic Priority in Alabama