“This paper explains that: – Federal and state child care assistance to low-income working families grew substantially between 1996 and 2001 as a result of welfare reform. – Increased child care assistance – both for welfare recipients and for other low-income working families – was an essential part of states’ strategies to help promote work and reduce the need for welfare. During these years, employment of low-income and single mothers increased significantly. – Child care assistance has played a key role in increasing employment among mothers and helping families leave welfare for work. – Even during this period of progress toward providing child care assistance to a larger share of families who need help, the great majority of eligible children remained unserved as demand outstripped supply. – The growth of child care funding essentially stopped in FY 2001 with Temporary Assistance for Needy Families (TANF) and state dollars becoming rapidly depleted as funding sources. – Limited resources have forced states across the country to cut child care assistance, creating hardship for already struggling low-income families.”- Publisher’s description