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A Niskanen Center report proposes adapting At-Home Infant Care programs, which Minnesota and Montana piloted in the early 2000s, to help parents stay home with newborns. The report’s authors say the programs were popular and saved states money, but those claims and the proposed funding approach need further evaluation; the pilots ended largely because states lacked sustainable funding.
A new report from the Niskanen Center proposes reviving state payments that would let eligible parents stay home with newborns, revisiting programs piloted in Minnesota and Montana in the early 2000s. The proposal comes amid discussion of parental care and paid leave, but it is a policy recommendation, not an enacted program: the report’s authors suggest using unused Temporary Assistance for Needy Families funds and updating eligibility to include some middle-income households.
The programs, called At-Home Infant Care (AHIC), allowed low-income parents who otherwise qualified for state child-care subsidies to receive time-limited payments to care for their newborn at home. The original pilots operated in Minnesota and Montana. The supplied report summary says they ended mainly because states did not find a sustainable funding source; it does not provide detailed participation figures or a complete evaluation of outcomes.
Niskanen Center researchers Josh McCabe and Sanya Bahal argue that AHIC could fill a gap between paid family leave and child-care subsidies. Their report proposes drawing on unused TANF funds and revising the model for current circumstances, including possible access for middle-income households. The source material does not specify proposed payment amounts, the length of support, or exact income limits.
In an interview published by The 74, Bahal said the aim is to give parents who want to care for an infant themselves a way to do so when they cannot afford unpaid time away from work. She described AHIC as a complement to paid leave, not a replacement. The interview notes that paid leave access varies by state and employer, but the figures quoted there do not establish how many families would qualify for a revived AHIC program.
A Possible Bridge Between Leave and Care
The proposal addresses two pressures identified in the report: infant care can be expensive, and licensed care for very young children requires low adult-to-child ratios. For families unable to cover that cost, a temporary payment for care at home could offer another option. For states, the report argues, supporting home care may cost less than subsidizing an infant’s place in a licensed setting, though the provided material does not quantify those savings.
The policy choice also matters because a payment for staying home could be designed either to expand family options or, if poorly coordinated, to compete with investment in paid leave and child-care services. Bahal’s stated position is that AHIC should sit alongside those policies. Whether a new program could do so without diverting resources from other supports depends on its funding rules, eligibility, and how states administer it.
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From Early Pilots to a New Proposal
AHIC is not a new concept. Minnesota and Montana tested versions in the early 2000s, and the source describes the pilots as well received by participating parents. It also reports that the programs saved states money, but the material supplied here does not include the underlying evaluations, definitions of savings, or comparisons used. Those details would be needed to judge how well the results could carry over to a redesigned program.
The idea has previously drawn interest across party lines. The report summary says Republican state legislators took part in the Minnesota and Montana efforts, while Democratic lawmakers Rosa DeLauro and Max Baucus introduced federal bills supporting AHIC in 2004. The current report returns to the model as paid-leave programs and child-care affordability remain subjects of policy debate.
In the interview, Bahal said paid parental leave remains unevenly available and that even well-designed leave programs may not reach every new parent. Her case for AHIC is that a separate, time-limited home-care payment could address some of those gaps. That is the authors’ policy argument; the available source does not provide a current federal or state plan to adopt it.
“All parents should have the flexibility to stay home to care for their infant, if they wish to do so.”
— Sanya Bahal, Niskanen Center
Funding, Eligibility and Evidence Gaps
The proposed use of unused TANF dollars is a recommendation, and the source material does not establish how much funding would be available, whether states could use it for this purpose under applicable rules, or how many families it could support. The report summary also leaves open how a modern program would set payment levels, define eligible income groups, coordinate with paid leave, and prevent disruptions to child-care funding.
The evidence described is not enough to independently assess claims that the pilots were popular or saved states money. No detailed evaluation results, cost comparisons, or longer-term outcomes are included in the supplied material. It is also unclear whether any state or federal lawmakers have committed to drafting or passing legislation based on the report.
Whether Policymakers Take Up AHIC
The immediate next step is consideration of the report’s recommendations by state legislators and Congress, whom the original commentary urged to examine the model. The source identifies no scheduled hearing, bill, or implementation date. Any proposal would need to spell out funding, eligibility, payment duration, and how AHIC would operate alongside paid leave and existing child-care assistance. Until lawmakers take those steps, a revived program remains a policy proposal rather than a benefit families can claim.
Key Questions
What is an At-Home Infant Care program?
AHIC refers to a state payment that lets eligible parents care for a newborn at home for a limited period. The early programs targeted low-income parents who otherwise qualified for child-care subsidies.
Where were AHIC programs tested?
The source says programs were piloted in Minnesota and Montana in the early 2000s. It says they later ended largely because states lacked a sustainable funding source.
Would AHIC replace paid family leave?
The Niskanen Center authors say it should be a complement to paid leave, not a substitute. That is their policy position; how a future program would coordinate with leave benefits is not yet specified.
Has a revived program been approved?
No approval or launch is reported in the supplied source. The Niskanen Center has proposed a model, including possible use of unused TANF funds, but adoption would require further policy action.
Source: the74million.org
