STATE OF CHILD CARE

How Ohio Child Care Works

Recent online misinformation has fueled fear and confusion about how child care works in Ohio. Ohio can fight fraud and still support stable child care. These goals are not in conflict and should not be caught in the middle. 

Ohio’s publicly funded child  care system is designed to help working families access safe, licensed care while maintaining strong accountability and oversight. 

100,000+ children rely on subsidized care

5,200 licensed centers statewide

30%+ workforce loss since 2017

What Ohio’s Oversight System Actually Does

Ohio already has robust fraud prevention and detection systems, including: 

  • Thousands of unannounced inspections

  • Cross-department data analytics to flag irregularities

  • Randomized PIN audits and anti-PIN-sharing controls

  • Photo and PIN attendance verification

  • Enforcement actions, including program closures and hearings

When fraud occurs, Ohio’s system is designed to find it, and it does. 

facts

vs. Fear

What Misinformation Gets Wrong

Viral videos from other states do not reflect Ohio’s rules or systems

  • Isolated cases do not indicate system failure

  • Targeting entire communities based on race or immigration status undermines trust and safety

A Shared Principle

Providers, parents, and advocates all agree: fraud harms everyone.

It wastes resources, threatens funding stability, and erodes public confidence.

Accountability matters, but fear-based narratives do not improve accountability. They destabilize care.

Enrollment vs. Attendance

Enrollment-Based Payment (What Works)

Enrollment-based payment means providers are paid for a child’s reserved space, regardless of daily attendance. 

This allows programs to: 

  • Staff classrooms consistently

  • Plan budgets responsibly

  • Maintain quality and safety

  • Operate like private-pay child care

Many states using enrollment-based payment experience greater stability, lower turnover, and fewer closures. 

Attendance-Based Payment (What Changed)

Under attendance-based payment, providers are only paid when a child attends. 
This means: 

  • No payment when a child is sick

  • No payment during family emergencies

  • No payment during weather closures

Yet providers cannot “turn off” their costs.

Costs Providers Still Pay

Even on days a child is absent, programs must:

  • Meet required staffing ratios

  • Keep buildings open and safe

  • Pay rent or mortgage

  • Cover utilities, insurance, and supplies

  • Pay payroll taxes and workers’ compensation

Attendance-based payment makes revenue unpredictable while costs remain constant.

Impact on Families and Workers

Increased risk of program closures

  • Reduced hours or fewer available slots

  • Parents forced to cut work hours or leave jobs

  • Lower continuity of care for children

Ohio can fight fraud without destabilizing child care.