LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6537 NOTE PREPARED: Jan 25, 2024
BILL NUMBER: HB 1102 BILL AMENDED: Jan 25, 2024
SUBJECT: Deregulation of Child Care.
FIRST AUTHOR: Rep. Heine BILL STATUS: CR Adopted - 1
st
House
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
DEDICATED
FEDERAL
Summary of Legislation: (Amended) This bill revises the definition of "child care home". It provides that
certain child care programs are exempt from licensure. It amends certain licensing requirements for a class
II child care home and a child care center.
It provides that certain child care providers are eligible for voucher payments.
It also allows certain child care programs at schools to provide services to business employees' children when
the business enters into a contract with the school.
Effective Date: July 1, 2024.
Explanation of State Expenditures: (Revised) Class II Child Care: If fewer Class II child care homes
register with the Family and Social Services Administration (FSSA), the bill could reduce the administrative
workload of the FSSA.
(Revised) School-based Programs: The FSSA may have additional workload when inspecting school-based
programs when more than one exemption applies. Any workload increase is expected to be minimal and
within the existing appropriations, assuming near customary agency staffing and resource levels.
(Revised) Eligible for Voucher Payments: This provision should have no fiscal impact on the FSSA.
Currently, FSSA requires all unlicensed providers who accept CCDF to meet basic health and safety
standards. This bill does not change that requirement.
HB 1102 1 Explanation of State Revenues:
Explanation of Local Expenditures: (Revised) The bill will have an indeterminate workload impact for the
county Office of Family and Children, but it could potentially reduce the number of Class II child care homes
that are subject to inspection. Any change in the number of inspections that must be performed would be
reduced by a Class II child care home opting not to register with the FSSA.
Child care homes are subject to annual, unannounced inspections during normal business hours to verify
checklist items.
(Revised) Zoning Ordinance: To the extent that certain residential structures were not explicitly excluded
from zoning prohibitions, the bill could potentially impact the workload of local units. The impact is
expected to be minimal.
Explanation of Local Revenues:
State Agencies Affected: FSSA, Division of Family and Children.
Local Agencies Affected: County Office of Family and Children.
Information Sources: FSSA, Child Care Home Rules, https://www.in.gov/fssa/carefinder/.
Fiscal Analyst: Corrin Harvey, 317-234-9438; Karen Rossen, 317-234-2106.
HB 1102 2