Introduced Version SENATE BILL No. 368 _____ DIGEST OF INTRODUCED BILL Citations Affected: IC 12-17.2-8. Synopsis: Early childhood care and education pilot program. Establishes the early childhood care and education pilot program to provide a cost sharing approach to fund quality early childhood care and education. Establishes the early childhood care and education fund, which is nonreverting. Requires community foundations to report to the general assembly by September 15, 2026. Provides that the pilot program expires June 30, 2027. Makes an appropriation. Effective: July 1, 2023. Donato January 17, 2023, read first time and referred to Committee on Family and Children Services. 2023 IN 368—LS 6970/DI 148 Introduced First Regular Session of the 123rd General Assembly (2023) PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2022 Regular Session of the General Assembly. SENATE BILL No. 368 A BILL FOR AN ACT to amend the Indiana Code concerning human services and to make an appropriation. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 12-17.2-8 IS ADDED TO THE INDIANA CODE 2 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE 3 JULY 1, 2023]: 4 Chapter 8. Early Childhood Care And Education Pilot Program 5 Sec. 1. As used in this chapter, "community foundation" refers 6 to a nonprofit organization that: 7 (1) is exempt from federal income taxation under section 8 501(c)(3) of the Internal Revenue Code; and 9 (2) supports a broad range of charitable activities within a 10 participating county. 11 Sec. 2. As used in this chapter, "eligible child" means an 12 individual who: 13 (1) is less than seven (7) years of age; 14 (2) is a resident of Indiana; 15 (3) receives quality early education services from a 16 participating provider; and 17 (4) subject to section 8 of this chapter, has a parent or 2023 IN 368—LS 6970/DI 148 2 1 guardian who is employed by a participating employer. 2 Sec. 3. As used in this chapter, "participating county" refers to 3 the following counties: 4 (1) Adams. 5 (2) Allen. 6 (3) DeKalb. 7 (4) Huntington. 8 (5) Kosciusko. 9 (6) LaGrange. 10 (7) Noble. 11 (8) Steuben. 12 (9) Wabash. 13 (10) Wells. 14 (11) Whitley. 15 Sec. 4. As used in this chapter, "participating employer" refers 16 to an employer in a participating county that has chosen to 17 participate in the pilot program. 18 Sec. 5. As used in this chapter, "participating provider" refers 19 to a: 20 (1) public school, including a charter school; 21 (2) child care center licensed under IC 12-17.2-4; 22 (3) child care home licensed under IC 12-17.2-5; or 23 (4) child care ministry registered under IC 12-17.2-6; 24 that meets the standards of quality recognized by a Level 3 or 25 Level 4 paths to QUALITY program rating and has agreed to 26 participate in the pilot program. 27 Sec. 6. As used in this chapter, "pilot program" refers to the 28 early childhood care and education pilot program established by 29 section 7 of this chapter. 30 Sec. 7. (a) The early childhood care and education pilot program 31 is established to provide a cost sharing approach to fund quality 32 early childhood care and education for an eligible child. 33 (b) The cost for an eligible child to receive care under the pilot 34 program from a participating provider shall be paid as follows: 35 (1) Subject to section 8 of this chapter, the participating 36 employer shall pay one-third (1/3) of the cost. 37 (2) The parent or guardian shall pay one-third (1/3) of the 38 cost. 39 (3) The state shall pay one-third (1/3) of the cost. 40 Sec. 8. A participating employer may: 41 (1) limit the employer's participation to attract new 42 employees or fill vacancies; and 2023 IN 368—LS 6970/DI 148 3 1 (2) make contributions to a community foundation in amounts 2 sufficient to pay one-third (1/3) of the cost for an eligible child 3 to receive care from a participating provider. 4 Sec. 9. (a) The early childhood care and education fund is 5 established to pay one-third (1/3) of the cost for each eligible child 6 who receives care under the pilot program from a participating 7 provider. 8 (b) The office of the secretary of family and social services shall 9 administer the fund. 10 (c) The fund consists of: 11 (1) money appropriated to the fund by the general assembly; 12 and 13 (2) grants or gifts to the fund. 14 (d) The fund does not revert to the state general fund. 15 (e) The expenses of administering the fund shall be paid from 16 money in the fund. 17 (f) Eleven million five hundred thousand dollars ($11,500,000) 18 is appropriated each year from the state general fund to the office 19 of the secretary of family and social services to carry out this 20 chapter. 21 (g) The office of the secretary of family and social services shall 22 distribute money from the fund to a participating provider in 23 which a parent or guardian chooses to enroll an eligible child. 24 Sec. 10. A community foundation shall: 25 (1) distribute participating employer contributions that the 26 community foundation receives to the participating provider 27 in which a parent chooses to enroll an eligible child; and 28 (2) before September 15, 2026, report to the general assembly, 29 in an electronic format under IC 5-14-6, regarding 30 participation costs and the effectiveness of the pilot program. 31 Sec. 11. This chapter expires June 30, 2027. 2023 IN 368—LS 6970/DI 148