ST. LOUIS—Missouri Gov. Mike Parson says the state and its contractors have to do a better job of getting federal subsidies into the hands of daycare providers around the state, amid an online system overhaul that has created backlogs with Missouri’s Department of Elementary and Secondary Education.

In December, DESE launched a new web-based Child Care Data System, where families would apply for the subsidies, which are then paid to providers. 

Advocates say the online-only system overlooks issues some low-income families have in accessing the internet.

But there have also been issues getting that system up and running, as our partners at the Missouri Independent reported in July, and as a result, there’s a months-long backlog of applications waiting to get processed and providers who haven’t been fully paid dating back to last fall.

The backlogs mean providers who are used to having full enrollments may only have a handful of children under their care. Providers report having to use their personal savings to stay afloat, or in some cases, have been forced to close.

“We've got to push these contractors and make sure they're getting the right information in there, we can get it out and get the money out. The money's not the obstacle, having the money, it's just a matter of getting it to those people. So we've got to do a better job of doing that,” Gov. Parson told reporters Thursday in St. Louis at an economic development conference.

DESE has contracted with a staffing agency to clear the application backlog and hopes for it to be done by late September, and has also cross-trained more staff to process applications for providers. That backlog could be cleared by mid-September. The agency hasn’t said when providers could expect full payments would be sent out, but has added more staff to process the partial payments.

The issue will get fresh attention next week, when the Missouri House Committee on Elementary and Secondary Education meets for a hearing Tuesday, and Wednesday when the House Budget Committee gathers in Jefferson City. Both panels are scheduled to discuss the problem.