CHARLESTON, W.Va. — Senate Minority Leader Mike Woelfel (D-Cabell) is expected to bring forth a bill in the 2024 legislative session that proposes giving a childcare tax credit for working families.
With his proposal, Woelfel is hoping to address two things that are plaguing the state: reducing child poverty and improving availability of child care.
“25% of our children live in poverty and that’s actually trending upward,” Woelfel said last week as a guest on MetroNews “Talkline”. “Often, it is cheaper for one parent to stay home to care for their children instead of re-entering the work force.
The bill would allow tiered tax credits which would allow low-income families to receive up to 50% of their childcare expenses back as credit on their tax returns.
“My proposal is for them to get money back through a credit. This is not a handout,” he said.
“These tax credits will reduce child poverty, bolster labor force participation, and grow West Virginia’s economy,” Woelfel added.
According to Sen. Woelfel, West Virginia ranks 4th in the nation in residents living in child care deserts. 29% of children under six are eligible for a childcare expense subsidy, however, 81% of these kids are unserved due to insufficient slots in licensed childcare centers.
“Creating these tax credits will improve economic security for those who are in an apprenticeship, improving their education, or deterred from working by the high cost of childcare. A collateral benefit will be enhanced economic viability for quality childcare centers.”
Woelfel said he doesn’t have a fiscal note on what this would cost. He calls it an investment in working families and believes this is a non-partisan issue.
“Our revenue estimates for the last four years have exceeded expectations,” Woelfel said. “The money is always there so I don’t know how you can not do this.”