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General Assembly Substitute Bill No. 1369
January Session, 2025
AN ACT CONCERNING CHILD CARE SUPPORT FOR
CONNECTICUT'S WORKFORCE.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. (NEW) (Effective July 1, 2025) (a) There is established the 1
Workforce Child Care Program and Portal to assist working families 2
with the cost of child care and to provide financial assistance to early 3
care and education program providers to support operational and 4
workforce needs. The program shall be administered by the Early 5
Childhood Care and Education Fund Advisory Commission, 6
established pursuant to section 10-511a of the general statutes. 7
(b) Eligibility for participation in the program shall be limited to the 8
following: 9
(1) Any family (A) with a child or children under thirteen years of 10
age, (B) with an individual who is employed, and (C) that is not 11
currently receiving a subsidy or other financial assistance from or 12
enrolled in (i) a Head Start or Early Head Start program, (ii) the child 13
care subsidy program, established pursuant to section 17b-749 of the 14
general statutes, (iii) an early care and education program receiving 15
financial assistance under Early Start CT pursuant to section 10-550b of 16
the general statutes, (iv) a preschool program under the Connecticut 17
Smart Start competitive grant program pursuant to section 10-506 of the 18 Substitute Bill No. 1369
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general statutes, (v) the temporary family assistance program pursuant 19
to section 17b-112 of the general statutes, (vi) foster care placements or 20
certified relative foster care placements through the Department of 21
Children and Families, or (vii) any other state or federal program from 22
which the family is receiving a subsidy or financial assistance for child 23
care; and 24
(2) Any licensed provider of an early care and education program in 25
the state providing child care services, as described in section 19a-77 of 26
the general statutes, including, but not limited to, before-school and 27
after-school programs, summer camps and youth camps. 28
(c) As part of the program, the cost of child care charged by a 29
participating early care and education program provider to an eligible 30
family shall not exceed seven per cent of the annual household income 31
of such eligible family. 32
(d) The Early Childhood Care and Education Fund Advisory 33
Commission shall authorize payments from the Early Childhood Care 34
and Education Fund, established pursuant to section 10-511 of the 35
general statutes, as follows: 36
(1) For grants to participating early care and education program 37
providers, in accordance with sliding scale subsidy guidelines 38
developed by the board, to implement the provisions of subsection (c) 39
of this section. 40
(2) To implement the early childhood care and education salary 41
enhancement grant program in accordance with the provisions of 42
sections 4 and 5 of this act. 43
(3) For grants to employees of early care and education programs for 44
(A) professional development, (B) scholarships for associate and 45
bachelor's degrees, certifications and advanced training, and (C) 46
retention incentives, including, but not limited to, performance-based 47
bonuses and retention grants. 48 Substitute Bill No. 1369
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(4) For capital improvements, including renovations, structural 49
upgrades and purchasing equipment and materials, in order for child 50
care facilities to meet health and safety standards, expand capacity and 51
enhance educational resources. 52
(5) To develop and maintain the Workforce Child Care Program 53
enrollment portal, as described in section 3 of this act. 54
(e) On and after July 1, 2027, the Early Childhood Care and Education 55
Fund Advisory Commission may expand the program and portal to 56
authorize payments from the Early Childhood Care and Education 57
Fund for (1) enrollment in before-school and after-school programs, 58
summer camps and youth camps, and (2) emergency access and 59
coverage for three months for parents and guardians who are not 60
employed, provided the fund will maintain solvency in the subsequent 61
fiscal year following such program expansion. 62
(f) Not later than January 1, 2029, and annually thereafter, the Early 63
Childhood Care and Education Fund Advisory Commission shall 64
prepare a report on the implementation of the program and portal. Such 65
report shall include, but need not be limited to, (1) the number of eligible 66
families and participating providers in the program, an analysis of how 67
the program has impacted the child care workforce and child care 68
accessibility and if the program has had an effect on economic growth 69
in the state, and (2) any recommendations for improvements or 70
enhancements to the program. The board shall submit such report to the 71
joint standing committee of the General Assembly having cognizance of 72
matters relating to children in accordance with the provisions of section 73
11-4a of the general statutes. 74
Sec. 2. (NEW) (Effective July 1, 2025) (a) As used in this section: 75
(1) "Employer" means any person, firm, business, educational 76
institution, nonprofit agency, corporation, limited liability company or 77
other entity that employs more than two hundred employees in the state 78
and is required to deduct and withhold taxes from wages pursuant to 79
section 12-705 of the general statutes. "Employer" does not include any 80 Substitute Bill No. 1369
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early care and education program provider; and 81
(2) "Payroll expense" means (A) wages, as defined in Section 3121 of 82
the Internal Revenue Code of 1986, or any subsequent corresponding 83
internal revenue code of the United States, as amended from time to 84
time, without regard to Section 3121(a)(1) of said code, and (B) 85
compensation, as defined in Section 3231 of said code, without regard 86
to Section 3231(e)(2)(A)(i) of said code, that are paid to all covered 87
employees. 88
(b) On and after January 1, 2026, each employer shall pay a tax on 89
such employer's payroll expense at the following rate: For the taxable 90
year commencing January 1, 2026, one and one-half per cent of such 91
employer's payroll expense during the year. 92
(c) All amounts collected under this section shall be deposited in the 93
Early Childhood Care and Education Fund, established pursuant to 94
section 10-511 of the general statutes. 95
Sec. 3. (NEW) (Effective July 1, 2025) (a) The Early Childhood Care and 96
Education Fund Advisory Commission, in collaboration with the Office 97
of Early Childhood, shall develop a centralized online enrollment portal 98
for families to apply for (1) participation in the Workforce Child Care 99
Program and Portal, established pursuant to section 1 of this act, and (2) 100
a subsidy or other state or federal financial assistance for child care 101
under (A) a Head Start or Early Head Start program, (B) the child care 102
subsidy program, established pursuant to section 17b-749 of the general 103
statutes, (C) an early care and education program receiving financial 104
assistance under Early Start CT pursuant to section 10-550b of the 105
general statutes, (D) a preschool program under the Connecticut Smart 106
Start competitive grant program pursuant to section 10-506 of the 107
general statutes, (E) temporary family assistance program pursuant to 108
section 17b-112 of the general statutes, (F) foster care placements or 109
certified relative foster care placements through the Department of 110
Children and Families, or (G) any other state or federal program for 111
child care assistance. 112 Substitute Bill No. 1369
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(b) For applicants seeking participation in the Workforce Child Care 113
Program and Portal, the enrollment portal shall (1) enable families 114
seeking to participate in the program and portal to determine eligibility 115
and apply for a subsidy, (2) allow early care and education program 116
providers to participate in the program and portal, (3) facilitate the 117
connection of participating providers and eligible families by providing 118
opportunities for eligible families to enroll in participating provider 119
programs, (4) ensure secure data management to protect applicant 120
information and privacy and system integrity, and (5) include 121
provisions for special enrollment periods for life events, including job 122
loss, income changes and new parenthood. 123
(c) Any child who is enrolled in an early care and education program 124
through the enrollment portal shall be assigned a state-assigned student 125
identifier. 126
Sec. 4. (NEW) (Effective July 1, 2025) (a) As used in this section and 127
section 5 of this act: 128
(1) "Compensation schedule" means the early childhood educator 129
compensation schedule developed by the Office of Early Childhood 130
pursuant to section 10-531 of the general statutes, as amended by this 131
act; 132
(2) "Early childhood care and education program" means any child 133
care center, group child care home or family child care home, as such 134
terms are described in section 19a-77 of the general statutes, or youth 135
camp licensed by the Office of Early Childhood; 136
(3) "Employee" means a person who is employed by an early 137
childhood care and education program and meets the eligibility criteria 138
described in the compensation schedule and policy developed by the 139
Office of Early Childhood pursuant to subsection (e) of this section; 140
(4) "Base salary" means the annual salary that an employee was paid 141
for a position on December 31, 2024, or, if the position was vacant on 142
December 31, 2024, the starting annual salary for such position on said 143 Substitute Bill No. 1369
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date; 144
(5) "Benefits amount" means seven thousand five hundred dollars; 145
(6) "Individual employee salary enhancement amount" means, for 146
any fiscal year, the sum of (A) the difference between (i) the salary 147
prescribed in the compensation schedule for an employee, and (ii) the 148
amount of such employee's base salary, and (B) the benefits amount; and 149
(7) "Salary enhancement amount" means the sum of the total 150
individual employee salary enhancement amounts for all employees of 151
an early childhood care and education program for the fiscal year. 152
(b) For the fiscal year ending June 30, 2026, and each fiscal year 153
thereafter, the Office of Early Childhood, in collaboration with the Early 154
Childhood Care and Education Fund Advisory Commission , 155
established pursuant to section 10-511a of the general statutes, shall 156
administer the early childhood care and education salary enhancement 157
grant program. The office shall annually pay to each early childhood 158
care and education program a salary enhancement grant in the amount 159
of such program's salary enhancement amount. Such program shall 160
distribute such grant funds to its employees in accordance with the 161
policy developed by the Commissioner of Early Childhood pursuant to 162
subsection (e) of this section. 163
(c) For the fiscal year ending June 30, 2026, and each fiscal year 164
thereafter, the office shall annually pay to each family child care home 165
a salary enhancement grant as follows: (1) Twenty thousand dollars for 166
each licensee of a family child care home, (2) six thousand dollars for 167
each full-time assistant or substitute staff member approved by the 168
Commissioner of Early Childhood pursuant to section 19a-87b of the 169
general statutes, and (3) three thousand dollars for each part-time 170
assistant or substitute staff member approved by the commissioner 171
pursuant to section 19a-87b of the general statutes, and employed by the 172
family child care home. The licensee shall distribute such grant funds in 173
accordance with the policy developed by the commissioner pursuant to 174
subsection (e) of this section. 175 Substitute Bill No. 1369
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(d) Each early childhood care and education program shall register, 176
at such time and in such manner as prescribed by the commissioner, 177
with the Office of Early Childhood to receive a grant under the program. 178
Upon registration, such program shall provide any information 179
required by the office, in accordance with the policy developed by the 180
commissioner pursuant to subsection (e) of this section. 181
(e) Not later than October 1, 2025, the commissioner shall develop a 182
policy for the administration of the early childhood care and education 183
salary enhancement grant program. The policy shall include, but need 184
not be limited to, eligibility criteria for the program, the registration 185
process for the program, the distribution requirements of the grant and 186
any other requirements the commissioner deems necessary. 187
Sec. 5. (NEW) (Effective July 1, 2025) Upon receipt of a salary 188
enhancement grant, each employee of an early childhood care and 189
education program shall be paid an annual salary as prescribed in the 190
compensation schedule, developed pursuant to section 10-531 of the 191
general statutes, as amended by this act, except if the amount of an 192
employee's salary is greater than the amount prescribed in such 193
compensation schedule, such employee shall be paid such greater 194
amount. 195
Sec. 6. Section 10-531 of the general statutes is repealed and the 196
following is substituted in lieu thereof (Effective July 1, 2025): 197
(a) As used in this section: 198
(1) "Early childhood education program" means any child care or 199
school readiness program that accepts state funds for infant, toddler and 200
preschool spaces associated with such program; 201
(2) "Employee" means any person who is employed by an early 202
childhood [education program and meets the applicable staff 203
qualifications requirement, as defined in section 10-16p] care and 204
education program and meets the eligibility criteria described in the 205
compensation schedule and policy developed by the Office of Early 206 Substitute Bill No. 1369
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Childhood pursuant to subsection (e) of section 4 of this act; 207
(3) "Compensation" means the salary, wages, benefits and other 208
forms of valuable consideration earned by and provided to an employee 209
in remuneration for services rendered; [and] 210
(4) "Compensation schedule" means a list or lists specifying a series 211
of compensation steps and ranges; and 212
(5) "Early childhood care and education program" means any child 213
care center, group child care home or family child care home, as such 214
terms are described in section 19a-77, or youth camp licensed by the 215
Office of Early Childhood. 216
(b) The Office of Early Childhood shall establish, after notice and 217
opportunity for public comment, a proposed early childhood educator 218
compensation schedule for employees of early childhood education 219
programs. 220
(c) (1) The office shall consider the following factors in developing the 221
proposed early childhood educator compensation schedule: (A) Level 222
of education, (B) training in early childhood education or child 223
development, (C) relevant employment experience, including the 224
number of years an individual has been employed in an early childhood 225
education program, (D) compensation levels for certified teachers 226
employed in a preschool program operated by a local or regional board 227
of education or regional educational service center, and (E) cost of living 228
in the state. 229
(2) In developing the proposed early childhood educator 230
compensation schedule, the office may (A) consider the findings and 231
recommendations provided in "A Plan to Assist Early Education State 232
Funded Providers to Degree Attainment and Increased Compensation" 233
created by the office, pursuant to section 4 of public act 15-134, to create 234
a standardized salary scale and incentive package for early childhood 235
educators, (B) utilize state and federal funding, and (C) examine existing 236
programs that address early childhood educator compensation and staff 237 Substitute Bill No. 1369
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retention through financial incentives, such as bonuses for degree or 238
course completion. 239
(3) The office shall establish a recommended minimum salary for 240
employees as part of the proposed early childhood educator 241
compensation schedule. 242
(d) Not later than January 1, 2021, the office shall submit the proposed 243
early childhood educator compensation schedule and a report to the 244
joint standing committees of the General Assembly having cognizance 245
of matters relating to education and appropriations and the budgets of 246
state agencies, in accordance with the provisions of section 11-4a. Such 247
report shall include: (1) Any recommendations for legislation relating to 248
state-wide implementation of the proposed early childhood educator 249
compensation schedule, (2) an estimate of the cost of implementing the 250
proposed early childhood educator compensation schedule state-wide, 251
(3) an analysis of the effect of the state-wide implementation of the 252
proposed early childhood educator compensation schedule on the 253
number of available preschool seats, and (4) an explanation of how the 254
proposed early childhood educator compensation schedule will be 255
included in any quality rating and improvement system developed by 256
the office, pursuant to subdivision (15) of subsection (b) of section 10-257
500. 258
(e) Not later than January 1, 2026, the office shall amend the 259
compensation schedule to include employees of early childhood care 260
and education programs. 261
This act shall take effect as follows and shall amend the following
sections:
Section 1 July 1, 2025 New section
Sec. 2 July 1, 2025 New section
Sec. 3 July 1, 2025 New section
Sec. 4 July 1, 2025 New section
Sec. 5 July 1, 2025 New section
Sec. 6 July 1, 2025 10-531
Substitute Bill No. 1369
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KID Joint Favorable Subst. C/R FIN