SLAYTON – Childcare shortages are a concern across the nation, something the Murray County Economic Development Authority considers an economic issue for all employers and employees.
The MC EDA has a new fund dedicated toward helping new providers become licensed and assisting with expansion for current family childcare providers who are not at capacity. The program is called the Murray County Childcare Development Forgivable Loan Program.
A forgivable loan can be obtained to assist with licensing, equipment, construction and supplies. Home childcare providers are eligible for loans of up to $5,000, and childcare centers are eligible for up to $10,000.
Loan repayments will be deferred for 5 years, with a portion of the loan forgiven for each year in operation after funds are received. Failure to remain an active provider will result in required repayment of funds that have not yet been forgiven.
Applications will be approved on a case-by-case basis by the EDA Board, with 50% of project cost paid out on approval, 50% paid out upon submittal of receipts.
“We know that many of the current providers are at capacity and cannot expand using this loan,” said MC Coordinator Justine Wettschreck. “But in conversations with current providers, they explained that coming up with the funds when they were just starting out was difficult. Some mentioned needing to do construction for egress windows or firewalls.”
The MC EDA, she said, thought this forgivable loan program would be a good first step toward helping to alleviate the childcare shortage.
“We’re still looking at ways we can assist current providers who are at capacity but need equipment or construction,” Wettschreck stated. “I have referred a few of them to the Southwest Initiative Foundation, who has a Bright Beginnings Childcare Loan at a low interest rate.”
Wettschreck said there are several programs, grants and loans for childcare providers that are being proposed by the state and federal government, and she is keeping an eye on them as they come to fruition.
For more information about the Murray County Childcare Development Forgivable Loan Program, the SWIF Bright Beginnings Loan or becoming a childcare provider, contact Wettschreck at 507-836-6023 or email jwettschreck@co.murray. mn.us. Additional information and the loan application can be found on the Murray County website at www.murraycountymn.com.
