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Child Care, Essential to Economic Recovery, Received Just $2.3 Billion in PPP Funds

The Paycheck Protection Program provided more than 39,000 child care providers across the country with at least $2.3 billion in funding, and allowed 460,000 child care workers to keep their jobs, according to our analysis of data released by the Small Business Administration on July 6. This represents less than 5% of the total $521.4 billion in lending through the program, a small amount for such an essential industry.

In 2019, the Committee on Economic Development reported child care to have a $47.2 billion per year market, employing 1.5 million workers. When considering the impact of PPP on child care, less than six percent of the over 670,000 child care businesses received a PPP loan. While we do not have data on the number of child care programs that applied for the PPP, it is clear that only a very small number of the potential applicants received much needed support. The loan program, however, did help to retain 31% of the child care workforce. Comparatively, across all 50 states, the SBA estimates that between 72% to 96% of small business payroll was covered by the PPP.

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State PPP Data Overview: Under $150K

StateCARES Funding# PPP LoansTotal PPP AmountAvg. Loan AmountTotal Jobs RetainedAvg. Jobs Retained# Nonprofit
Alabama$64,957,270450$18,438,829$40,9754,56210.568
Alaska$6,489,10360$2,451,660$40,8614177.410
Arizona$88,005,835375$18,963,759$50,5704,51112.716
Arkansas$41,462,912350$13,710,791$39,1743,25910.244
California$350,313,5043,023$102,478,213$33,90017,8916.3242
Colorado$42,457,884405$18,335,111$45,2722,7027.474
Connecticut$23,504,479478$21,124,484$44,1933,8998.558
Delaware$9,757,763126$7,523,711$59,7121,20610.84
District of Columbia$6,000,40075$4,545,524$60,6076218.612
Florida$223,605,1882,322$103,608,435$44,62020,6079.2132
Georgia$144,539,3711,070$52,105,542$48,69711,36711.164
Hawaii$11,990,14768$2,251,898$33,1163075.219
Idaho$20,672,881276$7,989,140$28,9462,2338.313
Illinois$118,420,1191,667$61,363,923$36,81112,1527.5125
Indiana$78,821,955474$16,284,404$34,3553,7858.258
Iowa$31,899,093666$18,813,867$28,2495,0278.1131
Kansas$30,771,514538$11,824,318$21,9782,9755.762
Kentucky$67,741,412333$13,987,437$42,0043,87412.126
Louisiana$67,581,166496$19,996,905$40,3165,11410.535
Maine$10,953,470311$8,124,069$26,1221,7975.920
Maryland$45,821,890671$26,014,660$38,7704,5587.167
Massachusetts$45,698,950967$39,438,210$40,7846,0257.1145
Michigan$100,898,829712$27,788,003$39,0286,6039.961
Minnesota$48,146,1641,224$32,425,798$26,4926,8175.871
Mississippi$47,131,386492$15,005,523$30,4994,3479.270
Missouri$66,542,726909$31,024,701$34,1317,4658.780
Montana$10,113,887237$5,675,125$23,9461,4956.426
Nebraska$20,077,074553$15,633,934$28,2713,6117.541
Nevada$32,926,105131$6,220,758$47,4871,28310.37
New Hampshire$6,999,268175$8,702,753$49,7301,3039.133
New Jersey$63,058,005965$54,567,072$56,5469,26510.3101
New Mexico$29,442,748120$6,295,460$52,4621,29012.231
New York$163,636,2422,183$74,146,873$33,96612,5996173
North Carolina$118,135,976973$44,078,697$45,3028,5649.1108
North Dakota$6,037,905240$6,868,921$28,6211,6717.230
Ohio$117,440,5851,086$50,907,247$46,87612,09212117
Oklahoma$50,006,265634$17,658,068$27,8525,000828
Oregon$38,595,401400$13,165,835$32,9152,1255.941
Pennsylvania$106,397,6241,371$66,009,038$48,14712,37910.4145
Rhode Island$8,165,854154$7,077,637$45,9591,19010.310
South Carolina$63,641,788425$17,976,660$42,2984,37910.739
South Dakota$9,020,707312$5,440,245$17,4371,6005.531
Tennessee$82,385,260552$21,396,316$38,7614,5129.282
Texas$371,663,3742,759$129,604,194$46,97531,71911.8208
Utah$40,414,976271$8,700,028$32,1032,73710.37
Vermont$4,410,066104$4,453,087$42,8187667.737
Virginia$70,799,409805$34,763,104$43,1845,7827.5108
Washington$58,657,107722$27,031,983$37,4924,423674
West Virginia$23,161,653137$5,669,364$41,3821,40610.614
Wisconsin$51,639,992872$33,261,531$38,1447,3348.589
Wyoming$4,166,167167$4,022,752$24,0881,102725
Totals$3,345,178,84934,886$1,364,945,597$39,126283,7483312
9.5

State PPP Data Overview: Over $150K

State# PPP LoansMin Amt.Max. Amt.# Jobs# NonProfit
Alabama20$5,450,000 $13,600,000 1,3783
Alaska9 $ 2,600,000 $6,100,000 4993
Arizona50 $ 17,750,000 $ 40,000,000 2,7777
Arkansas38 $ 10,650,000 $ 26,050,000 2,43114
California378 $ 105,300,000 $ 257,050,000 18,48495
Colorado106 $ 21,050,000 $ 50,250,000 3,39320
Connecticut67 $ 14,700,000 $ 37,200,000 2,37318
Delaware12 $ 2,000,000 $ 4,850,000 4904
District of Columbia37 $ 6,550,000 $ 16,200,000 1,06817
Florida209 $ 43,600,000 $ 106,900,000 8,57626
Georgia152 $ 27,500,000 $ 66,000,000 1,21217
Hawaii13 $ 5,850,000 $ 14,750,000 1,1505
Idaho8 $ 14,000,000 $ 3,450,000 4351
Illinois201 $ 40,650,000 $ 97,500,000 8,44937
Indiana40 $ 10,300,000 $ 25,500,000 2,1909
Iowa33 $ 7,200,000 $ 17,750,000 1,9618
Kansas32 $ 5,200,000 $ 12,500,000 1,5827
Kentucky35 $ 6,650,000 $ 16,800,000 1,8186
Louisiana27 $ 5,050,000 $ 12,700,000 1,2627
Maine25 $ 5,000,000 $ 11,700,000 9796
Maryland122 $ 31,600,000 $ 75,550,000 6,31416
Massachusetts186 $ 52,200,000 $ 126,700,000 7,84256
Michigan86 $ 16,200,000 $ 38,600,000 3,92117
Minnesota111 $ 21,950,000 $ 53,850,000 5,35825
Mississippi10 $ 1,500,000 $ 3,500,000 3763
Missouri62 $ 12,750,000 $ 31,800,000 3,28316
Montana3 $ 450,000 $ 1,050,000 931
Nebraska31 $ 6,900,000 $ 17,050,000 1,3435
Nevada21 $ 5,400,000 $ 13,300,000 6540
New Hampshire27 $ 5,050,000 $ 12,700,000 1,0559
New Jersey178 $ 41,500,000 $ 101,750,000 7,42335
New Mexico21 $ 5,000,000 $ 12,250,000 1,2686
New York365 $ 103,100,000 $ 252,550,000 17,70996
North Carolina145 $ 26,850,000 $ 65,100,000 4,61719
North Dakota13 $ 2,550,000 $ 6,500,000 8514
Ohio132 $ 29,950,000 $ 71,400,000 6,38719
Oklahoma32 $ 6,000,000 $ 15,100,000 1,59611
Oregon36 $ 7,050,000 $ 16,850,000 1,4729
Pennsylvania207 $ 46,050,000 $ 111,800,000 8,23044
Rhode Island17 $ 4,000,000 $ 9,550,000 4470
South Carolina35 $ 7,100,000 $ 17,150,000 1,7327
South Dakota15 $ 3,700,000 $ 8,850,000 1,0646
Tennessee39 $ 9,500,000 $ 24,150,000 2,20110
Texas358 $ 62,300,000 $ 148,800,000 15,20133
Utah15 $ 265,000 $ 6,550,000 7915
Vermont15 $ 2,450,000 $ 5,900,000 45010
Virginia115 $ 22,100,000 $ 54,900,000 3,75630
Washington130 $ 30,650,000 $ 73,700,000 4,98435
West Virginia12 $ 7,050,000 $ 15,150,000 6065
Wisconsin89 $ 18,000,000 $ 44,900,000 3,81420
Wyoming8 $ 2,200,000 $ 6,050,000 4738
Totals4,128$948,415,000 $2,279,900,000 177,818870

State PPP Data Overview: State Totals

Stateunder 150KMin Amt.Max. Amt.Total (with min)Total (with max)# PPP Loans(under 150K)# PPP Loans (over 150K)Total number
California$102,478,213 $ 105,300,000 $ 257,050,000 $207,778,213$359,528,2133,0233783,401
New York$74,146,873 $ 103,100,000 $ 252,550,000 $177,246,873$326,696,8732,1833652,548
Texas$129,604,194 $ 62,300,000 $ 148,800,000 $191,904,194$278,404,1942,7593583,117
Florida$103,608,435 $ 43,600,000 $ 106,900,000 $147,208,435$210,508,4352,3222092,531
Pennsylvania$66,009,038 $ 46,050,000 $ 111,800,000 $112,059,038$177,809,0381,3712071,578
Massachusetts$39,438,210 $ 52,200,000 $ 126,700,000 $91,638,210$166,138,2109671861,153
Illinois$61,363,923 $ 40,650,000 $ 97,500,000 $102,013,923$158,863,9231,6672011,868
New Jersey$54,567,072 $ 41,500,000 $ 101,750,000 $96,067,072$156,317,0729651781,143
Ohio$50,907,247 $ 29,950,000 $ 71,400,000 $80,857,247$122,307,2471,0861321,218
Georgia$52,105,542 $ 27,500,000 $ 66,000,000 $79,605,542$118,105,5421,0701521,222
North Carolina$44,078,697 $ 26,850,000 $ 65,100,000 $70,928,697$109,178,6979731451,118
Maryland$26,014,660 $ 31,600,000 $ 75,550,000 $57,614,660$101,564,660671122793
Washington$27,031,983 $ 30,650,000 $ 73,700,000 $57,681,983$100,731,983722130852
Virginia$34,763,104 $ 22,100,000 $ 54,900,000 $56,863,104$89,663,104805115920
Minnesota$32,425,798 $ 21,950,000 $ 53,850,000 $54,375,798$86,275,7981,2241111,335
Wisconsin$33,261,531 $ 18,000,000 $ 44,900,000 $51,261,531$78,161,53187289961
Colorado$18,335,111 $ 21,050,000 $ 50,250,000 $39,385,111$68,585,111405106511
Michigan$27,788,003 $ 16,200,000 $ 38,600,000 $43,988,003$66,388,00371286798
Missouri$31,024,701 $ 12,750,000 $ 31,800,000 $43,774,701$62,824,70190962971
Arizona$18,963,759 $ 17,750,000 $ 40,000,000 $36,713,759$58,963,75937550425
Connecticut$21,124,484 $ 14,700,000 $ 37,200,000 $35,824,484$58,324,48447867545
Tennessee$21,396,316 $ 9,500,000 $ 24,150,000 $30,896,316$45,546,31655239591
Indiana$16,284,404 $ 10,300,000 $ 25,500,000 $26,584,404$41,784,40447440514
Arkansas$13,710,791 $ 10,650,000 $ 26,050,000 $24,360,791$39,760,79135038388
Iowa$18,813,867 $ 7,200,000 $ 17,750,000 $26,013,867$36,563,86766633699
South Carolina$17,976,660 $ 7,100,000 $ 17,150,000 $25,076,660$35,126,66042535460
Oklahoma$17,658,068 $ 6,000,000 $ 15,100,000 $23,658,068$32,758,06863432666
Louisiana$19,996,905 $ 5,050,000 $ 12,700,000 $25,046,905$32,696,90549627523
Nebraska$15,633,934 $ 6,900,000 $ 17,050,000 $22,533,934$32,683,93455331584
Alabama$18,438,829$5,450,000 $13,600,000 $23,888,829$32,038,82945020470
Kentucky$13,987,437 $ 6,650,000 $ 16,800,000 $20,637,437$30,787,43733335368
Oregon$13,165,835 $ 7,050,000 $ 16,850,000 $20,215,835$30,015,83540036436
Kansas$11,824,318 $ 5,200,000 $ 12,500,000 $17,024,318$24,324,31853832570
New Hampshire$8,702,753 $ 5,050,000 $ 12,700,000 $13,752,753$21,402,75317527202
West Virginia$5,669,364 $ 7,050,000 $ 15,150,000 $12,719,364$20,819,36413712149
District of Columbia$4,545,524 $ 6,550,000 $ 16,200,000 $11,095,524$20,745,5247537112
Maine$8,124,069 $ 5,000,000 $ 11,700,000 $13,124,069$19,824,06931125336
Nevada$6,220,758 $ 5,400,000 $ 13,300,000 $11,620,758$19,520,75813121152
New Mexico$6,295,460 $ 5,000,000 $ 12,250,000 $11,295,460$18,545,46012021141
Mississippi$15,005,523 $ 1,500,000 $ 3,500,000 $16,505,523$18,505,52349210502
Hawaii$2,251,898 $ 5,850,000 $ 14,750,000 $8,101,898$17,001,898681381
Rhode Island$7,077,637 $ 4,000,000 $ 9,550,000 $11,077,637$16,627,63715417171
Utah$8,700,028 $ 265,000 $ 6,550,000 $8,965,028$15,250,02827115286
South Dakota$5,440,245 $ 3,700,000 $ 8,850,000 $9,140,245$14,290,24531215327
North Dakota$6,868,921 $ 2,550,000 $ 6,500,000 $9,418,921$13,368,92124013253
Delaware$7,523,711 $ 2,000,000 $ 4,850,000 $9,523,711$12,373,71112612138
Idaho$7,989,140 $ 14,000,000 $ 3,450,000 $21,989,140$11,439,1402768284
Vermont$4,453,087 $ 2,450,000 $ 5,900,000 $6,903,087$10,353,08710415119
Wyoming$4,022,752 $ 2,200,000 $ 6,050,000 $6,222,752$10,072,7521678175
Alaska$2,451,660 $ 2,600,000 $6,100,000 $5,051,660$8,551,66060969
Montana$5,675,125 $ 450,000 $ 1,050,000 $6,125,125$6,725,1252373240
Totals$1,364,945,597$2,313,360,59739,014
Averages$34,986

From our analysis, states receiving the most PPP funds for child care were, not surprisingly, California, Texas, and New York, where programs received amounts totaling more than $150 million. Similar trends are apparent in overall PPP loan data. In contrast, states receiving the least include Alaska, Montana, Wyoming, and Vermont, where programs received loans totaling under $10 million.

The vast majority of loans to child care providers were under $150,000, with only 11% of loans above this threshold. For these loans under $150,000, child care programs in the District of Columbia, Delaware, New Jersey, and New Mexico, received the highest individual average loan amounts, all around $50,000. Conversely, in South Dakota, Kansas, Montana, and Wyoming, programs received the smallest individual loan amounts on average, around $25,000.

Child care providers accessing the PPP were mostly for-profit businesses but were more likely to be for-profit than the overall industry. About 89% of loan recipients had a for-profit status compared to the overall industry makeup, of which about 77% are for-profit businesses.

Overall, the child care child care industry has received similar PPP amounts as sectors such as public administration, management, and utilities companies, but have received more total loans than these industries, indicating recipients applied for smaller amounts on average. At the same time, the size of the child care industry is disproportionately large compared to these sectors, suggesting inequitable access to PPP funds for child care programs. This data also supports our previous concerns about the program, and responses from previous surveys of providers documenting challenges in accessing and benefiting from the PPP.

As of June 30, there is more than $130 billion in remaining PPP funds that have yet to be accessed. As Congress considers how to target these remaining funds, it must recognize how PPP has fallen short in supporting child care, the backbone to our nation’s economic recovery.

The Bipartisan Policy Center analyzed publicly available data released by the Small Business Administration on July 6, 2020 on recipients of the Paycheck Protection Program. Recipients identified under the NAICS code 624410, “Child Day Care Services” were included in our analysis. The “Child Day Care Services” industry includes establishments primarily engaged in providing day care of infants or children, including for older children when they are not in school and may also offer pre-kindergarten and/or kindergarten educational programs. Illustrative examples include child day care babysitting services, nursery schools, child or infant day care centers, and preschool centers.

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