Iowa 2025-2026 Regular Session

Iowa Senate Bill SF353

Introduced
2/18/25  

Caption

A bill for an act relating to state child care assistance income eligibility requirements, and child care provider reimbursement rates.

Impact

The proposed adjustments to the income eligibility will directly affect the number of families that qualify for child care assistance in the state. By increasing these limits, more households will be able to receive aid, which is expected to relieve some financial burdens, thus potentially encouraging more parents to enter or remain in the workforce. Furthermore, by linking provider reimbursement rates to the latest statewide surveys of private pay rates, the bill aims to ensure that child care providers are compensated fairly, maintaining provider participation and quality of care within the system.

Summary

Senate File 353 aims to reform the state child care assistance program by adjusting the income eligibility requirements and the reimbursement rates for child care providers. The bill proposes to gradually increase the income threshold for families applying for assistance, with specific increments outlined for fiscal years 2025 to 2028. For children needing basic care, the eligibility limit will increase from 160% to 200% of the federal poverty level (FPL) over the designated years. Similarly, for children with special needs, the limit will rise from 200% to 240% of the FPL within the same timeframe. This change is intended to make the program more accessible to families who find it challenging to meet current income requirements.

Contention

Debate surrounding SF353 may arise from the implications of increased income thresholds and their impact on budget allocations for child care assistance programs. Some lawmakers may express concerns about the sustainability of funding these increases, especially in light of potential economic fluctuations. Additionally, while proponents argue that the bill enhances support for working families, critics may question whether the increased eligibility might lead to inflated costs for the state, hence demanding a thorough examination of fiscal impacts.

Companion Bills

No companion bills found.

Previously Filed As

IA HF707

A bill for an act relating to state child care assistance eligibility requirements and child care provider reimbursement rates. (Formerly HSB 233.) Effective date: 07/01/2023.

IA SF62

A bill for an act relating to the state child care assistance eligibility requirements and provider reimbursement rates.

IA HSB233

A bill for an act relating to state child care assistance eligibility requirements and child care provider reimbursement rates.(See HF 707.)

IA HSB729

A bill for an act relating to state child care assistance program reimbursement rates and eligibility for the children of certain child care providers.(See HF 2658.)

IA HF2658

A bill for an act relating to state child care assistance program reimbursement rates and eligibility for the children of certain child care providers. (Formerly HSB 729.) Effective date: 07/01/2024.

IA HF695

A bill for an act relating to economic development including child care, grants and tax credits relating to child care, and state child care assistance, and including applicability provisions.

IA HF218

A bill for an act relating to state child care assistance family income eligibility requirements.

IA HF2338

A bill for an act relating to state child care assistance for children of certain child care personnel.

IA HSB50

A bill for an act relating to state child care assistance eligibility for children of full-time child care providers.(See HF 343.)

IA HF343

A bill for an act relating to state child care assistance eligibility for children of full-time child care providers.(Formerly HSB 50.)

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