An already short supply of child care operations could soon grow worse in Richmond and across the country, experts say. But the good news is City Hall has a solution, even though it could take three years to fully come to fruition.

Amid projections that thousands of struggling day care providers nationwide could close after federal subsidies disappear at the end of September, Mayor Levar M. Stoney is pointing to the proposed $562 million Richmond casino-resort as a potential lifeline for child care operations.

Joined by two members of City Council and child care leaders, Mayor Stoney announced a major share of the $30 million a year in new projected tax revenue the proposed casino is to generate yearly would be devoted to addressing the child care crisis. The plan that he and the council are backing calls for peeling off $19 million a year to go into a new Child Care and Education Trust Fund to be used to subsidize the cost of child care, beef up after school programming and support child care operations. The aim: To provide a purposeful use for the tax revenue that would push city voters who are on the fence into becoming supporters to win majority support in the Nov. 7 election. In 2021, city voters narrowly rejected the gambling operation.

The key question is whether this proposal will be enough, which voters will answer when they cast their ballots.

The trust fund plan was announced after the partnership seeking voter approval announced a new name for the project: Richmond Grand Resort and Casino. The proposed development, to be built on a 100-acre site at Walmsley Boulevard and Commerce Road, sits in front of Bells Road interchange of Interstate 95.

Already, there has been pushback from independents and casino foes who see the child care issue as too important to be tied to a gambling operation. Some consider this a cynical effort to put off needed public investment in child care that is needed to help people work.

Among them is 5th District School Board member Stephanie Rizzi, a casino opponent.

She shares the mayor’s stated view that a strong preschool program helps children learn and achieve throughout life, given that 90% of brain development occurs between birth and five years of age.

Ms. Rizzi said the school system’s Head Start and Virginia Preschool Initiative programs have plenty of empty spaces and would prefer to see a city-school campaign to get more children enrolled.

“We shouldn’t have to wait for speculative dollars that may never materialize,” Ms. Rizzi said. “The city has the money, and if this is a priority, the city needs to invest now, not wait.”

In a resolution that was introduced after the press conference and may well be voted on at the next meeting, council requests that the city create the new trust fund and ensure that it receives at least $19 million annually to support a robust child care system, regarded as crucial to enable people to work.

To be managed by the nonprofit Thrive From Birth to Five, the fund would enable the city to boost subsidies so that lower-income families could get some financial help.

In addition, if voters approved the casino, the trust fund would gain initial contribution from a one-time $26.5 million the city is to receive if the referendum is approved.

The immediate contribution is to come from the developer, RVA Entertainment Holdings LLC, a joint venture involving Kentucky-based horse-racing giant Churchill Downs and Maryland-based Urban One, the Black-owned radio and media company.

The trust fund would get $4.5 million. Another $14 million would be used to add new, 100-slot day care spaces in the new buildings planned for T.B. Smith and Southside Community Centers that are to be built over the next two years.

The remaining $8 million would go to pay for improvements to parks and recreation facilities, ranging from Humphrey Calder

and the Hotchkiss Community Center to James River Park. The developers and city leaders hope that once voters review the impact the casino is projected to have on the economy, tourism, entertainment and green space that more will support.

As outlined, the casino would create 1,300 permanent jobs, use part of its property to provide a public park, include a 3,000-seat concert venue, offer a variety of restaurants, add a professional soundstage for production of movies, TV shows and commercials and attract an estimated 250,000 people to the city.

“There will be something for everyone,” said Alfred C. Liggins III, president and chief executive officer of Urban One.