PUHI — Investment in early childhood education makes good sense, said Gregg Yamanaka, the Good Beginnings Alliance board treasurer.

“Investment in early childhood education benefits the Department of Education in reducing the number of Special Education students (through early intervention), grade retention and remediation,” he said. “Other areas that benefit are in higher tax revenues from living wage earners, reduced health and welfare spending and lower crime and incarceration spending.”

Yamanaka was invited to present some of the arguments of investing in early education after Kaua‘i Chamber of Commerce President Randall Francisco attended the Hawai‘i Economic Summit on Early Childhood Investment, Oct. 14, on O‘ahu.

With the help of Kaua‘i GBA coordinator Anna Peters, Yamanaka addressed more than 70 chamber members and guests at the After Hours event, Thursday evening at Kaua‘i Community College.

At the core of Yamanaka’s presentation were figures released in March in “The Economic Benefits of Investments in Early Education for Hawai‘i,” a report commissioned by the GBA and funded in part by the Harold K.L. Foundation.

Dr. Clive Belfield of The City University of New York, one of the contributors to the report, demonstrates that expanding investments in high-quality early learning programs would make very good sense for Hawai‘i, according to an executive summary of the report.

“Quality early education is foundational for success in school and in life,” Congresswoman Mazie Hirono said in a news release on the passage of the Student Aid and Fiscal Responsibility Act of 2009 in September.

A key part of the Student Aid and Fiscal Responsibility Act is the creation of the Early Learning Challenge Fund, a competitive grant program to support states’ efforts to improve the quality of their early education programs, the release says.

The GBA report says Hawai‘i is one of 12 states that does not have a state-funded early education program.

The Student Aid and Fiscal Responsibility Act is the single largest investment in student financial aid in history, without adding to the taxpayers’ burden, states the Hirono release. By reforming the federal student loan system, this bill will save $87 billion in taxpayer money, $10 billion of these savings will be redirected back to the Treasury to reduce entitlement spending.

Citing figures from the report based on the policy recommendations of the Early Learning Educational Task Force which includes a 10-year plan to offer high-quality early learning opportunities to all 4-year-old children in the state at a cost of $145 million, or $11,605 per child, annually, Yamanaka pointed out a projected cost savings of $4.20 for every $1 spent.

The combined fiscal federal and state benefits total $17,743 per child, or 1.5 times the per-child cost.

The total fiscal benefits for the state would be $11,510 per child, or about equal to the annual program costs. A breakdown of the benefits include education savings of $4,419 per at-risk child and $1,178 for other child; criminal justice savings of $7,806 per at-risk child and $4,290 per other child; child health and welfare savings of $1,530 per at-risk child and $612 per other child; and increased tax revenues of $4,731 per at-risk child and $1,994 per other child.

The total projected social benefits for Hawai‘i, such as lower crime and a more productive economy, are $48,410 per child, or 4.2 times the cost of the program.

A summary of the study’s social benefits include reduced crime, less abuse, social health and reduced disparities, increased work productivity and increased economic competitiveness.

Yamanaka said the study of social benefits is significant because studies have found the human brain develops from its first year, and by age 4, you can tell if an individual will land in welfare.

“Although education and the acquisition of skills is a lifelong process, starting early in life is crucial,” said Ben Bernanke, Federal Reserve Board chairman, in testimony cited by Yamanaka. “Recent research has documented the high returns that early childhood programs can pay in terms of subsequent educational attainment and in lower rates of social problems, such as teenage pregnancy and welfare dependency.”

Hirono, in a Thursday release applauding U.S. Department of Education Secretary Arne Duncan and retired military leaders’ commitment to quality education, said there are 100,000 young adults in Hawai‘i who wouldn’t qualify to enlist in the U.S. military.

She alluded to a Mission: Readiness report that details the fact that 75 percent of young Americans are unable to serve their country because they have either failed to graduate high school, engaged in criminal activity, or are physically or mentally unfit.

“This report highlights one more reason why quality early education is critical to the success of our nation,” Hirono said. “Today, these retired military generals and admirals are telling us that quality early education and an educated populace are a matter of national security.”

Yamanaka pointed out some of the key facets of the Oct. 14 summit, including early childhood programs are very effective economic development initiatives resulting in the best, most skilled employees who can create new products, solve complex problems and motivate teams to excel.

Other benefits include employees who can focus on their jobs and not be distracted because their children are in poor quality care, and economically, communities that attract skilled employees, produce good customers and spend less tax money on expensive remedial programs.

“The impact is significant,” Yamanaka said. “Investment in early childhood education has a direct correlation to the economic success of the community.”

Peters said on Kaua‘i, there are currently 54 licensed family child care providers that have the capacity to care for about 300 children.

There are six family child interactive learning centers that have the capacity of about 350 children, and finally, there are 36 preschools, including the DOE, that have the capacity to care for 1,014, or 60 percent, of the island’s children. This compares to the state that has a capacity to handle about 62 percent of pre-school aged children.

For more information, visit www.goodbeginnings.org.