Too often, investments made in early childhood development projects in communities are not considered with the same look at return on investment as other business investments. When local leaders plan for a community’s economic future, they often discuss the economic return on investment. When a new company comes to town or an existing business expands, that return on investment includes new jobs, a broader tax base and growth through new home construction, additional students in our schools and business vitality. But there is another human element to be considered in community development—and it focuses on our children.

In South Dakota particularly, early childhood development investment is one of the most important—if not THE most important—community investments we can make. The simple fact is that in South Dakota, more children per capita live with a single parent than in any other state. And, in South Dakota, more children under six are in paid daycare, because we also have the highest percentage of women in the workforce. That means that in South Dakota, we have a responsibility, along with an opportunity, to invest in high quality childcare, to make a difference in the lives of our children everywhere across the state.

Studies find that well-focused investments in early childhood development yield high public as well as private returns. Investment in human capital leads to economic success for those being educated and for the economy. Before 1983, a worker with an undergraduate degree made 40 percent more than someone with a high school education. Today, that difference is closer to 60 percent. Before 1985, a worker with a graduate degree made 60 percent more than a worker with a high school degree. Now, a graduate degree holder earns twice what a high school grad can make.

The quality of life for a child and the contributions the child makes to society as an adult can both be traced back to the first few years of life. From birth until about five years of age, a child undergoes tremendous growth and change. With supportive, personal, quality care, the child is more likely to succeed in school and contribute to society. Without support during these early years, a child is more likely to drop out of school, receive welfare benefits and commit crime.

The Minneapolis Federal Reserve studied benefits and costs in hard currency values. Arthur J. Rolnick, their senior vice president and director of research, speaking at the Aberdeen Development Corporation’s annual meeting recently, said that every dollar invested in early childhood development programs returns $8 in benefits to the funding programs and society as a whole.

First Children’s Finance is a national non-profit program supporting the business side of childcare, assisting providers with needed resources. Loans range from $1,000 to $25,000 for home providers and up to $75,000 for centers. South Dakota Rural Enterprise and the SD Division of Child Care Services are proud partners with First Children’s Finance in making the program available throughout South Dakota.

Because there is no safer investment in our future than investing in early childhood development, local leaders need to do all they can to help provide affordable, high-quality childcare in their communities. For more information on First Children’s Finance or early childhood development resources, contact SD Rural Enterprise at 605-978-2804, check out information on First Children’s Finance online, or email .

2008 SUMMER REPORT
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	Appreciating the value of lifetime learning
	First round of CVAC planning complete
	Parker wins Community Success Stories award
	Wagner to represent SD Rural Enterprise
	Early childhood development sound investment
	Slow down and make things happen
	Don't let your assets become a liability