Texas child care centers struggle as state payment delays threaten closures

HOUSTON, Texas (KTRK) -- Another Houston child care center says it has not received state payments in weeks and now they fear closure, forcing dozens of families to find alternative care.

ABC13 reporter Jessica Willey first exposed this growing problem last week.

For Marissa Baltrip, Eli's Learning Academy is more than just a daycare-it's like a second home.

"They're literally grandmothers, aunts," she said.

Baltrip, a single mother with a full-time job, has trusted the center with her two daughters since they were just six months old. She depends on their care to get through the workweek. News that the academy is running out of money has her alarmed.

"I need them to stay open," she pleaded.

Eli's Learning Academy, located on Houston's northeast side, is among Texas child care centers that have not received state funds in weeks, according to Director Nikki Keyser.

"Since December 4, 2024, and now we're in February," she noted.

The unpaid amount? More than $15,000, she said.

Last week, Jamaica Thomas, Director of Brilliant Minds Academy in southeast Houston, reported a similar issue, saying she's dealing with more than $4,000 in delayed payments from the state.

"She's a small center, we're a mid-sized center. Just imagine, there are bigger centers than us," Keyser pointed out.

Many parents rely on state subsidies for child care, which are paid directly to providers through the Texas Workforce Commission (TWC). The providers then use the funds to pay for things like staff salaries, utility bills and food.

However, an email from TWC last week attributed the payment delays to conversion issues with a new case management system called Texas Child Care Connection (TX3C), which launched last month.

That explanation is little comfort to Keyser.

"I would have gradually made this a transitional change, but I would have been very transparent," she said. "We know there are going to be hiccups, but not this type of hiccup."

TWC has not responded to repeated requests for comment.

Keyser said Eli's Learning Academy is surviving day to day. But without swift action, she warns they may have to cut services or turn families away.

"Give us our funding so we can take care of our business," she urged. "Because I promise you, Jessica, if we were not doing the right thing, we would be on the other side of this. We need some help."

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