Those that hope to open daycare centers in Rapid City have two new resources to help pay for building, expanding or furnishing daycares.
Elevate Rapid City announced Thursday that the agency started two funding assistance programs, the Down Payment Assistance Program and In-Home Daycare Grant.
Elevate Rapid City President/CEO Tom Johnson said the programs were one of the organization’s new goals in August. At the time Johnson said it is hard for child care workers to get good hourly wages and for families to find child care. He said these programs would assist with the challenging and complex issue.
The Down Payment Assistance Program funds can be used to expand, build or buy a daycare center or building. The In-Home Daycare grant will provide funds to purchase furniture or equipment for an in-home daycare start-up or expansion.
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According to program information, the Down Payment Assistance Program requires the applicant to have a minimum financial participation of 10%. The guidelines for the program also include that Elevate Rapid City’s participation should not exceed 10% of the eligible project cost up to $100,000, there would be a 0% interest and no payments for five years, the loan would be forgiven after five years of operation, if the property is sold or the childcare business is closed prior to five years of operation the loan is due in full and the building must be 60% owner-occupied.
Those hoping to apply must submit an application which will be reviewed by staff. Applicants will then go through an on-site interview and invited to present to the board for final approval.
The In-Home Daycare grant could be up to $10,000. If the childcare business is closed before two years of operation, the grant would be due in full.
“The goal is to create more quality childcare openings for our kids,” said Larissa Hespen, business retention and expansion manager, in a news release. “With this program, we can reduce some of the barriers to expanding and starting childcare businesses. This is just one small step to help with the childcare and workforce struggle our community is facing.”
For more information on requirements, other guidelines and preferences, and the application, those interested can visit elevaterapidcity.com/childcare/.