ALLEN COUNTY, Ind. (WANE) - Families and daycares across Indiana are beginning to experience the struggles of potential childcare voucher cuts due to a new budget proposed by state leaders. Last December, the FSSA initiated a waitlist for childcare vouchers. According to officials with the Northe ast Indiana Early Childhood Coalition (NEIECC), 7,600 kids are now on the waitlist. Previously, there was no waitlist. Indiana Gov. Mike Braun's initial budget for childcare vouchers was $362 million over two years. The new proposed budget from the House of Representatives is $155 million over two years. "Without the vouchers, we know that parents are going to lose care," said NEIECC Executive Director Allie Sutherland. "Childcare providers lose families, and then we can't build the capacity we need in our communities." Madi McCloskey, director at Kiddie Prep School on Mayhew Road, said they have lost 18 families because they no longer have a voucher. "Watching them go through that hardship where they had a voucher and then they come and say well now I have to pay $300 for childcare, I can't afford that," said McCloskey. More than 100 kids are on the waitlist for Kiddie Prep School. "Kids need quality childcare," McCloskey said. "When we talk to kindergarten teachers or elementary school teachers, they know what they need is care before they get into school, so they are not retaining them in kindergarten." Federal funding freeze hits close to home for Allen County farmers At Kendallville Day Care Center, low-income families are being denied. "We used to tell our families if you make $30,000 a year or less you should try to get a voucher," said Tina Lee, director of Kendallville Day Care Center. "Now, we've got families who are making under $20,000 getting turned away with multiple children." Lee added this is the first time in her six years of working at the daycare they have had an opening, and she believes it is because of the voucher dilemma. "We have a lot of people on the waitlist," Lee said. "I hold the spot for 'X' amount of days as a courtesy because I know they are trying, but we can't hold them forever." Not only could families suffer, but programs would as well. Dani Svantner is the executive director of Westminster Preschools., which has locations in Allen, Wabash, Marion and Rush counties. Some of the facilities the programs utilize are relatively new. "I think that is where a lot of the frustration lies is we put all this money to building these facilities," Svantner said. "That was state dollars and federal dollars put into those facilities, and if we can't serve children, then we would have to eventually close." Further information on the proposed budget can be found here, and an explanation of how the waitlist works can be found here. "I think early childhood is a pillar of every community," Svanter said. "If you want to see people return to work and you want to see families thrive, we need early childhood education." ...read more read less