LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS FISCAL IMPACT STATEMENT LS 6838 NOTE PREPARED: Jan 9, 2025 BILL NUMBER: HB 1525 BILL AMENDED: SUBJECT: School Age Child Care. FIRST AUTHOR: Rep. DeVon BILL STATUS: As Introduced FIRST SPONSOR: FUNDS AFFECTED:XGENERAL IMPACT: State & Local DEDICATED FEDERAL Summary of Legislation: This bill provides that the Division of Family Resources may waive contribution requirements for certain approved applicants of the school age child care program. The bill requires the division to adopt rules specifying cost and expense standards for transporting a child to a facility where the child does not attend school. It makes an appropriation. Effective Date: July 1, 2025. Explanation of State Expenditures: Provisions in the bill appropriate $4 M over the FY 2026 and FY 2027 biennium to the School Age Child Care (SACC) Program. This will increase annual SACC Program expenditures by approximately $2.4 M. Other provisions in the bill also waive a requirement for certain applicants to provide a 10% match and allow the grant to pay for transportation related costs. These changes will increase the administrative workload for the Family and Social Services Administration to review additional grant applications and administer additional grants. Additional Information - Current statute requires $550,000 to be annually appropriated to the SACC Program, although approximately $812,000 were appropriated for FY 2024 and FY 2025. [These grants were fully allocated in FY 2025.] The bills provisions waving the 10% matching fee for certain applicants and allowing grant funds to pay for transportation costs are also expected to increase grant applications by an unknown amount. Explanation of State Revenues: Explanation of Local Expenditures: School corporations will experience a workload increase if they are selected and approved to participate in the SACC Program. Explanation of Local Revenues: School corporations and certain non-profits are eligible to receive a grant of up to $40,000 from the SACC program. The bill increases the appropriation made to the SACC program and may also expand the number of entities interested in applying to the program. These provisions are expected to increase school corporation revenue. However the impact is ultimately dependent on the number HB 1525 1 of schools who apply and are approved to receive a grant from the SACC program. State Agencies Affected: Family and Social Services Administration. Local Agencies Affected: School corporations. Information Sources: Fiscal Analyst: Kelan Fong, 317-232-9592. HB 1525 2