Giggling babies at First Steps Child Care Academy go down for an afternoon nap, unaware of the strain their parents might face.

Sherri Clark says the center is licensed for 18 children but right now only 14 are enrolled.

Clark, "We've had some that's been here over a year and leave because they can't afford it anymore."

Clark says many families in this Rossville neighborhood have lost their jobs and cant keep up with the rising cost of living.

Clark, "It's not just layoffs it gas prices, food prices, everything is going up it's hard to afford but you've got to have childcare."

Phil Acord of Children's Home says many parents face tough choices as the economy weakens.

Acord, "I had a parent come in yesterday and said I lost my job and I got anther job, now my wife lost her job. They either can't pay their fees or parents who have school age children are not using the after school care they're letting their children go home I guess, or stay with friends. "

Enrollment for both day care and afterschool programs is down and the waiting list is shrinking.

At a time when more people need help, funds are harder to come by.

Acord, "We we get United Way money so we subsidize already the fee. We manage five other agencies and we're starting to see the impact of the economy."

Many children here come from low-income, single parent families.

Acord is concerned they'll fall behind if they're unable to attend early childhood education programs.

Acord, "Certainly not in the best interest of the child, they need that instruction, socialization, preparing them for school and not be sitting at home somewhere in front of the TV."

He keeps hearing things will get worse before they get better, but he hopes that's not the case.