A state audit in Washington found $37 million in questionable childcare subsidy payments, yet no official investigation has been launched. The audit examined a random sample of 59 of hundreds of thousands of monthly child care payments and revealed a lack of prepayment controls but no confirmed evidence of fraud.
Daycares with No Children
The Center Square visited approximately three dozen daycares over the past six months that received hundreds of thousands of dollars in state and federal subsidies to provide daycare for lower-income residents. However, only a few of these daycares appeared to have children present. One daycare in West Seattle received more than $229,000 over nine months, but residents at the home repeatedly told the Center Square that there was no daycare at the home, nor had there been.
Another home-based daycare in Federal Way received a significant amount of subsidies, but when reporters visited the home, the homeowner immediately called police. Reporters videotaped her as she refused to respond to questions posed by the Center Square and independent journalist Jonathan Cho. Three Federal Way police officers arrived, and an officer entered the home, indicating there were three children inside but did not verify if those children were daycare attendants.
Lack of Investigation
When asked about investigating these payments, government officials charged with approving or overseeing the funds did not take action. State Auditor Pat McCarthy said it was not her office’s job to conduct enforcement of individual facilities. Instead, her office provides information to the people who can do the enforcement, such as the DSHS Fraud Investigative Unit or the AG’s Office Fraud Investigative Unit.
Representative Travis Couture, a Republican from Allen, offered amendments to a bill to add rules that would prevent potential fraud in daycare subsidy payouts. However, these amendments were stripped out by Senator Claire Wilson, a Democrat from Federal Way. Couture said common-sense reforms were removed from his bill, including a provision that would prevent daycare providers who commit fraud from receiving a license.
Original reporting: Clark County Today (Vancouver WA) — read the source article.