1200 Fund launches $200,000 Tiny Steps Child Care Grant to tackle Duluth’s growing childcare crunch

4th District Duluth City Councilor Swenson is a mom and highly-respected community leader, and knows firsthand how essential it is for families to have safe, reliable childcare options. She understands that this is a small but important step in addressing a much larger challenge.

1200 Fund launches $200,000 Tiny Steps Child Care Grant to tackle Duluth’s growing childcare crunch
4th District Duluth City Councilor Tara Swenson. Submitted

By HOWIE HANSON
Editor & Publisher

DULUTH, Minn. — The Duluth 1200 Fund is stepping into the city’s deepening childcare crisis with a $200,000 initiative aimed at helping local providers start or expand operations — a move city leaders hope will ease the burden on working families and strengthen Duluth’s economic foundation.

The new Tiny Steps Child Care Grant program is offering one-time funding of $5,000 for licensed family-based and special family child care programs, and $10,000 for licensed center-based operations. Applications are open through Aug. 25, with funds targeted to support both newcomers hoping to open their doors and existing providers trying to keep critical slots available.

Fourth District City Councilor Tara Swenson, who also serves on the 1200 Fund board, was a driving force behind the program. Swenson has championed family-focused policies throughout her time on the council, often spotlighting how access to affordable, quality childcare underpins Duluth’s workforce and economic vitality.

Swenson is a mom, city councilor and community leader, and knows firsthand how essential it is for families to have safe, reliable childcare options. She understands that this is a small but important step in addressing a much larger challenge. But, she said, the Duluth 1200 Fund needed to step in and support the providers and families who truly keep Duluth moving forward.

Local data backs up Swenson’s concerns. According to recent studies, Duluth faces a significant shortage of licensed childcare slots — leaving many parents scrambling or unable to return to work full-time. The issue ripples through the broader economy, with businesses struggling to hire and retain employees who lack dependable childcare.

The Tiny Steps program is designed to deliver immediate relief. Funds could help cover licensing costs, facility upgrades, staffing needs or new equipment — all expenses that can make or break small childcare operations.

Swenson, who has built a reputation on the council for championing neighborhood investments and family-centric initiatives, called the grant program one of the 1200 Fund’s proudest recent undertakings.

The Duluth 1200 Fund, Inc. is a private nonprofit 501(c)(3) organization that traditionally focuses on local economic development. Officials say this targeted childcare investment aligns with that mission by supporting a crucial piece of Duluth’s economic infrastructure.

Information on eligibility, program guidelines and application forms can be found at 1200fund.com.