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    Child Care Stabilization Grants (concluded)

    This program ended in June 2023. This website will remain online through June 2024 for reference purposes.

    The Great Start Compensation Support Payment Program is now available for child care providers. 

    Minnesota child care providers were hard hit by low enrollment and higher costs throughout the COVID-19 pandemic. In response, the Minnesota Department of Human Services (DHS) administered several grant programs to help stabilize the child care industry in Minnesota. 

    These grant programs are described below. The first year summary and final report are under the Reports heading on this page, under this toggle: Child Care and Early Learning Workforce and Development. 

    Resources and Communication

    If you need assistance in a language other than English, please use the resources below.

    Inactive Past Grants

    Child Care Stabilization Base Grants: September 2021 through June 2023
    The department’s Child  Care Stabilization Base Grants were available to all eligible child care providers  for monthly grant awards. To be eligible for a Base Grant, providers were required to be licensed, certified or registered, in good standing with the Minnesota Department of Human Services or their tribe, and be open, operating and serving children during the funding period, in addition to other requirements. At the start of each monthly application period, eligible providers receive an email with a link to a personalized application form. 70% of these funds must be used to increase compensation for staff regularly caring for children. Specific grant amounts, eligibility criteria and application timeline are available on the Base Grants and Base Grant Frequently Asked Questions (FAQs) webpages. 
     
    Financial Hardship Grants: January 2022 through June 2023
    Financial Hardship Grants were available to child care programs experiencing extreme financial hardship. Specific grant amounts, eligibility criteria and application timeline are available on the Financial Hardship Grants and Financial Hardship Grant FAQs webpages.

    Child Care Stabilization Transition Grants: June and July 2021
    Transition Grants were designed to allow time to finalize the specifics of the full Child Care Stabilization Grant Program and still provide support to eligible providers during the June and July monthly funding periods (paid in July and August). These grants have now concluded.
     
    One-Time Supplemental Stabilization Grants: January 2022
    In December 2021, the Minnesota Governor’s Office and the department prioritized $20 million from the COVID-19 Flexible Response Account for Minnesota’s child care providers in response to rising new COVID-19 case totals in Minnesota. These funds, called One-Time Supplemental Stabilization Grants, are part of Minnesota’s share of the American Rescue Plan Act funding. Minnesota child care providers were able to apply for these grants as part of their January 2022 Child Care Stabilization Base Grant application. 
     

    All $20 million of the One-Time Supplemental Stabilization Grant funds was awarded in January 2022. The Child Care Stabilization Base Grant’s requirement to use 70% of funds to increase compensation for staff regularly caring for children did not apply to One-Time Supplemental Stabilization Grants. Legal non-licensed providers were not eligible for One-Time Supplemental Stabilization Grants. Learn more about this grant at One-time Supplemental Stabilization Grants.

    Legislative background

    The American Rescue Plan Act was signed into law in March 2021, and it provided Minnesota with additional funds designed to help stabilize the child care industry as the state continues to recover from the COVID-19 pandemic. These federal funds have specific rules and requirements that must be followed. 

    At the end of June 2021, the Minnesota Legislature created Minnesota’s Child Care Stabilization Grant Program, which began in June 2021 and will last until June 2023.

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