Hawaii Senate Bill SB2973

Hawaii 2024 Regular Session

• Introduced: 1/24/24
• Refer: 1/26/24

Caption

Relating To Economic Development.

Impact

By creating the child care and caregiving pilot grant program, SB2973 intends to facilitate access to necessary child care support, ultimately supporting economic growth. Employers can apply to receive grants that will help them offer these vital resources to their workforce. The Department of Labor and Industrial Relations will oversee this initiative and is tasked with establishing criteria for employer participation and monitoring the program’s effectiveness over its duration. Additionally, the legislation includes a provision for a total appropriation of $500,000 for its implementation during the fiscal year 2024-2025.

Summary

Senate Bill 2973 aims to strengthen economic development in Hawaii by establishing a three-year child care and caregiving pilot grant program. This program is designed to assist employers in providing child care or caregiving support to their employees, addressing the significant workforce shortages that the state is facing. With the average cost of child care in Hawaii representing a substantial portion of workers' salaries, particularly impacting women who are often primary caregivers, the bill seeks to alleviate some of these burdens for working families, thereby improving workforce retention and productivity.

Contention

Despite its noble intentions, SB2973 may face scrutiny related to its financial implications on the state budget. The appropriations are expected to exceed the general fund expenditure ceiling, which could raise concerns among legislators regarding fiscal responsibility. The program is also designed to include regular assessments and reports to evaluate its performance and impact, which will be crucial in determining its future sustainability and potential expansion beyond the initial three-year period.