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Monthly Update



September 2024

Childcare providers pack a hearing room in the Missouri House of Representatives as lawmakers address the childcare subsidy payment backlog. PHOTO CREDIT: Linda Rallo

Officials address childcare subsidy backlog

Missouri childcare providers are still grappling with delayed subsidy payments as the state works to resolve a backlog caused by the rocky rollout of a new data system. Two weeks ago, lawmakers held hearings during the Veto Session in Jefferson City to question the Department of Elementary and Secondary Education (DESE) and receive testimony from impacted providers.


Over two days of hearings, DESE officials addressed ongoing issues with the state’s childcare subsidy system, revealed updated figures on payment processing and parent applications, and announced one-time stipends for contracted providers.


Childcare providers also traveled to the State Capitol to share some of the hardships endured due to the months-long payment backlog.

 

Commissioner Karla Eslinger explained that in December 2023, the state transitioned to a new system to streamline subsidy payments. However, she acknowledged that the system had fallen short of expectations. “The new system obviously did not meet our goals. Words cannot express the gut-wrenching sorrow, the heartfelt sympathy that’s felt by all those working in this community every day.”

 

Eslinger committed to a third-party review to investigate the root causes of the system failures. “We must be accountable,” she said. “Bottom line, we must learn from our mistakes and continually improve.”

 

Deputy Commissioner for Finance and Administrative Services Kari Monsees noted that over 22,000 children are receiving childcare subsidy benefits, and more than 2,000 providers are participating in the program. He admitted that a data migration issue and insufficient testing protocols contributed to the backlog, and integration problems with the state’s attendance system further delayed payments.

 

DESE disbursed $19.7 million in payments in August, but the backlog remains. According to DESE’s latest report, payment corrections are 35% complete, with full resolution expected by October 30th. Family application processing is 98% complete, while provider contract renewals are 65% complete.

 

To offset the financial strain on providers, DESE will offer stipends ranging from $5,000 to $55,000 using federal relief funds that expire at the end of September. Due to the ongoing issues, the state is also withholding $3.8 million of the contractor’s fees.

 

Looking ahead, Missouri must shift from an attendance-based to an enrollment-based system by 2026 to comply with federal regulations. This transition could cost an estimated $85 million annually but would provide greater payment certainty to providers.


Note: This week, the Office of Childhood announced new reports available to the public to view quality and financial reports and monthly reports with subsidy information.

About Aligned


Aligned is the only state-wide non-profit, nonpartisan business group working in Kansas and Missouri on educational issues impacting the full development of our children, from supporting high-quality early learning to solid secondary programs that provide rigorous academic programs and real-world learning opportunities.


Our vision is that our public education systems in Kansas and Missouri have the resources and flexibility to prepare students to pursue the future of their choice.


We are currently focused on education policies that will strengthen early childhood education, teacher recruitment and retention, and school finance reform.


Learn more about our work.

Screenshot: St. Louis Public Schools Superintendent Keisha Scarlett speaks at a staff pep rally hosted by the district to kickoff the school year at Enterprise Center on Friday, Aug. 4, 2023. PHOTO CREDIT: Robert Cohen, St. Louis Post-Dispatch

Missouri News

Breaking news: School board fires SLPS superintendent in closed session


Last night, the St. Louis Board of Education voted unanimously to terminate SLPS Superintendent Dr. Keisha Scarlett's contract with cause due to concerns related to the district's financial dealings.


The board's decision, made during a special closed session, comes after they placed Scarlett on temporary leave in July. Deputy Superintendent Dr. Millicent Borishade has been appointed interim superintendent for the remainder of the 2024–25 school year.


Scarlett joined SLPS as superintendent in July 2023, succeeding Dr. Kelvin Adams, who retired after more than 14 years leading the city schools.


During her tenure, the district faced declining enrollment, student transportation challenges, and aging building infrastructure issues. However, she came under fire after amassing a $35 million budget shortfall and controversy over the planned hiring of communications director Phoenix Jackson, who posted on social media her intention to "float" between St. Louis and her home in Houston, Texas.


Additionally, a state audit, initially scheduled for next year, began this past August due to concerns over financial mismanagement under Scarlett's leadership. Missouri Auditor Scott Fitzpatrick announced that the audit will focus on financial and procurement practices within the district.


Eight Missouri schools earn National Blue Ribbon accolades


On September 23, 2024, the U.S. Department of Education recognized Missouri's eight Gold Star Schools as National Blue Ribbon Schools. The Blue Ribbon Schools program honors schools for either outstanding academic achievement, ranking in the top 15 percent based on English, math assessment scores, and graduation rates, or for achieving high academic performance while serving a significant proportion of disadvantaged students.


Commissioner of Education Karla Eslinger praised these schools' exceptional dedication to providing top-tier education. The National Blue Ribbon Schools award ceremony will occur on November 7 and 8 in Washington, D.C.


Missouri's 2024 National Blue Ribbon Schools:

  • Bristol Elementary School, Webster Groves School District
  • Meramec Elementary School, Clayton School District
  • Metro Academic and Classical High School, St. Louis Public School District
  • Oakwood Elementary School, Hannibal 60 School District
  • Ralph M. Captain Elementary School, Clayton School District
  • Richland Elementary School, Richland R-I School District
  • Voy Spears, Jr. Elementary School, Blue Springs R-IV School District
  • William Yates Elementary School, Blue Springs R-IV School District

Governor's staffer to join DESE as Deputy Commissioner


Commissioner of Education Dr. Karla Eslinger and Governor Mike Parson announced the transition of the Governor's Deputy Chief of Staff, Kelli Jones, to Deputy Commissioner of Learning Standards at the Department of Elementary and Secondary Education, beginning November 1.

Budget and Revenue Update


Missouri's Budget Director Dan Haug announced the August 2024 state revenue collections, showing a dip of more than 9.3% for the month and 8.3% for the fiscal year to date, which began July 1.

In other news

Kansas News


Four Kansas Elementary Schools Earn 2024 National Blue Ribbon Honors


Four Kansas elementary schools have been named 2024 National Blue Ribbon Schools, U.S. Secretary of Education Dr. Miguel Cardona announced Monday, Sept. 23.


356 schools across the country are part of this year’s National Blue Ribbon cohort, including the following in Kansas, recognized in the Exemplary High Performing Schools category:

  • Garfield Elementary School, Augusta USD 402
  • Herington Elementary School, Herington USD 487
  • Lincoln Elementary School, Geary County USD 475
  • Sunflower Elementary School, Paola USD 368


Campaign targets Kansas's "wayward" sons (and daughters)


The Kansas Department of Commerce has launched a national campaign to encourage individuals with prior connections to the state, referred to as "boomerangs," to return and fill available job vacancies. With around 85,000 job openings across various industries, the campaign emphasizes personal outreach, such as phone calls and letters, to remind these potential returnees of the job opportunities and quality of life in Kansas. The initiative is part of a broader effort to respond to the state’s economic growth, which has created 67,000 new jobs since Governor Laura Kelly took office.


The campaign also seeks to retain college graduates and collaborate with higher education institutions to keep young professionals in Kansas. Although challenges remain in changing perceptions about the state, the feedback on the initiative has been positive, with participants expressing a desire for improved marketing of Kansas as a vibrant place to live and work. The initiative, which targets key markets across the U.S. through digital platforms, highlights Kansas's strengths, including affordability and a growing job market in sectors like aerospace and technology.


Kelly charged about Kansas's future in electric car battery manufacturing


Kansas Governor Laura Kelly is optimistic that the opening of a $4 billion electric car battery manufacturing plant by Panasonic in DeSoto early next year will transform the region's economy, lifestyle, and self-image. Describing the facility, which will be the largest battery manufacturing plant in the world at 4.7 million square feet, as "truly transformational," Kelly believes it will significantly change the landscape of northeastern Kansas.


This development is the culmination of nearly $20 billion in new capital investment during her tenure, resulting from 1,300 economic development successes. With the creation of jobs at the Panasonic plant, Kelly anticipates additional job growth, estimating that around 4,000 more positions will emerge as suppliers establish their operations nearby.


"It already has changed Kansas’s perception of itself—the fact that we were able to attract a business like Panasonic,” Kelly said.

National News

Aligned Case Study


Four decades of onsite childcare at a KC-based medical center


For over four decades, AdventHealth Shawnee Mission (formerly Shawnee Mission Hospital) in Merriam, Kansas, has stood out by offering onsite childcare, a unique benefit that began in 1979 to attract and retain top healthcare talent. Candy Seltman was recruited to launch the childcare center, which started with 100 slots and now operates as part of the B.E. Smith Family Center, serving up to 200 children daily.


The center has become an essential asset for employees, offering flexible hours, reduced rates, and high-quality care, fostering a supportive work environment. This case study highlights the ongoing importance of employer-based childcare in addressing workforce challenges and the critical role it plays in the lives of working parents, demonstrating a successful model that could inspire similar initiatives in other organizations.


Download the full case study.

Pederson keeps it "real" at learning conference

The New Pathways to Real-World Learning Experiences conference, held from September 17-19, 2024, in Kansas City, brought together educators, policymakers, and industry leaders to explore innovative strategies for integrating real-world learning into schools nationwide.


Hosted by the Ewing Marion Kauffman Foundation in collaboration with American Student Assistance, the event focused on how new pathways can serve as an equity and opportunity strategy to ensure every student can succeed in their future endeavors. Attendees engaged in discussions and workshops that highlighted successful models of Career Connected Learning (CCL), emphasizing the importance of immersive, hands-on experiences that align education with career opportunities.


Torree Pederson participated as a panelist in the session on Career Connected Learning, sharing insights on how embedding real-world experiences into educational programs can significantly enhance student readiness for the workforce. “Career-connected learning is essential for students because it bridges the gap between education and the workplace, empowering them to develop the skills and confidence they need to navigate their future careers successfully,” said Pederson. This conference reinforced the importance of collaboration among educators, businesses, and community organizations in creating pathways that not only prepare students for their careers but also foster a sense of equity and opportunity in education.

Productive Veto Session for the Capitol Crew

During a busy veto session in Jefferson City, our team made significant strides in advancing our initiatives. It was incredibly helpful to have Torree join us, along with our new policy director, Jim Malle, who effectively engaged with lawmakers throughout the week. We're excited about the upcoming session and are actively working on several new policy proposals that we'll be sharing in the coming months.


All the best

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Torree Pederson

President

Aligned

Torree@WeAreAligned.org

(913) 484-4202

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Linda Rallo

Vice President

Aligned

Linda@WeAreAligned.org

(314) 330-8442

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