In Yamhill County, $700,000 was awarded to Head Start of Yamhill County for child care services in the Dundee Commons project. (Submitted by Norm Daviess/ Newberg Area Habitat for Humanity, NFUMC congregation)

Oregon Housing and Community Services paired up with BuildUp Oregon to pass along $7.4 million in grants and loans to day cares attached to affordable housing complexes, including in Yamhill County.

For child care services within the Dundee Commons project, $700,000 was awarded to Head Start of Yamhill County. Head Start is partnering with Newberg Area Habitat for Humanity and Newberg First United Methodist Church to create a three-story building in downtown Dundee. The development will include two Head Start classrooms on the ground floor, catering to infants, toddlers and preschoolers, according to Oregon Housing and Community Services.

While the church is supplying the land, Newberg Area Habitat for Humanity will do what it does best — “bring their proven ability to work with qualified low-income families to build and own safe, affordable housing,” according to a release announcing the partnership. Head Start’s charge is to provide comprehensive early learning programs to low-income children and their families.

Construction may begin as early as late summer 2025 and could open in 2027.

The statewide grant and loan fund was established by the Oregon Legislature and is the first of its kind to dedicate funding to early education in affordable housing developments.

“As the state housing agency, we have a role in building a better and more affordable life for Oregon families,” said OHCS Executive Director Andrea Bell. “Available and affordable housing and childcare are constrained by supply — these are things we can do something about through locally driven approaches. Through this partnership we are taking action to boost incomes and improve family outcomes.”

The grantee sites were selected to help curb the state’s urgent need for child care. Between the nine projects, 542 child care seats will be created or preserved.

The child care sector was hit hard during the pandemic recession, with the majority of Oregon counties considered “child care deserts.” A 2024 study determined that Yamhill County had only one open child care slot for every 10 children ages infant to 2 years old, and only two slots for every 10 children ages 3 to 5.

Oregon Housing and Community Services awards were also issued to child care programs in Washington, Multnomah, Marion, Deschutes, Lane and Jackson counties.