You don't have to quit if you don't want to. If you got a forced upgrade on <9 hrs per week you can still train enough to have fun as a Cat 2. You need to make sure every minute of your training time is focused, and you will want to be on a team where you can have fun helping others get results rather than just getting results for yourself.
Is track racing an option for you?
Congrats on the baby, btw.