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Indiana Guts Pre-K Voucher Program in Drastic Funding Cut


Indiana Slashes Preschool Voucher Program Amidst State Budget Cuts

In a move that has sparked concerns among low-income families, the state of Indiana has announced significant cuts to its preschool voucher program, On My Way Pre-K. According to a report by WTHR, the program, which helped over 6,000 families afford preschool last school year, will be slashed by more than half, with only 2,500 kids eligible to enroll in the 2025-2026 school year.

The cuts are a direct result of state budget reductions, with the Family and Social Services Administration (FSSA) citing new state laws and budget decisions as the reason for the changes. In a memo, FSSA stated that the changes are meant to "keep the program focused on families who need it most." However, this move has raised concerns among advocates for low-income families, who argue that the program is being cut at a time when it is needed most.

As WTHR reports, the On My Way Pre-K program has been a vital lifeline for low-income families, providing them with access to preschool education. The program’s dashboard shows that over 6,000 students were enrolled in the 2024-2025 school year, making it a crucial resource for families struggling to make ends meet. However, under the new changes, children in the program will also have to have a parent or guardian working, in school, or in job training to qualify. This move has effectively excluded parents looking for work from qualifying for vouchers, raising concerns about the impact on families who are already struggling.

The changes to the On My Way Pre-K program are part of a broader shift in state funding for early childhood education. According to WTHR, the state has withdrawn from the Child Care Development Fund (CCDF) co-funding for the preschool voucher program. While CCDF funding will still be available to help fund non-pre-K child care for eligible families, the move has raised concerns about the long-term sustainability of the On My Way Pre-K program.

In an interview with WTHR, it is clear that the FSSA is facing significant challenges in meeting the needs of low-income families. The federal Office of Child Care had approved Indiana for CCDF funding in December 2024, but it is unclear where the proposed rule changes stand. As WTHR notes, some recent expansions of the On My Way Pre-K program were funded through pandemic-era funding that has not been continued by the federal government.

The impact of these changes will be closely watched by advocates for low-income families, who are concerned about the effects on children who rely on the program. As WTHR reports, 13News reached out to FSSA for comment but had not received a response by the time the story was published. The reduction in funding for the On My Way Pre-K program highlights the ongoing challenges faced by low-income families in accessing quality early childhood education.

The statistics are stark: FSSA is cutting On My Way Pre-K voucher enrollment by about 60%, with kids with parents looking for work no longer qualifying for vouchers. As WTHR notes, the changes reflect new state laws and budget decisions, but it remains to be seen how these changes will affect the most vulnerable members of society.

Sources:
WTHR – Indiana slashing preschool vouchers, increasing requirements on My Way Pre-K, CCDF funding, budget cuts, eligibility, children, poor, poverty.



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