North Carolina 2025-2026 Regular Session

North Carolina Senate Bill S677 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1		GENERAL ASSEMBLY OF NORTH CAROLINA
2	2		SESSION 2025
3		-	S 1
4		-	SENATE BILL 677
	3	+	S D
	4	+	SENATE BILL DRS45329-CIa-6
	5	+
5	6
6	7
7	8		Short Title: SOS (State Owned Structures) Childcare Act. (Public)
8	9		Sponsors: Senators Chitlik, Chaudhuri, and Everitt (Primary Sponsors).
9		-	Referred to: ~~Rules and Operations of the Senate~~
10		-	~~March 26, 2025~~
11		-	~~S677 -v-1~~
	10	+	Referred to:
	11	+
	12	+	DRS45329 -CIa-6
12	13		A BILL TO BE ENTITLED 1
13	14		AN ACT TO ALLOW THE USE OF STATE OWNED PROPERTY FOR THE USE OF 2
14	15		CHILDCARE FOR STATE EMPLOYEES, REQUIRE RENOVATIONS OR NEW 3
15	16		BUILDS OF STATE-OWNED PROPERTY TO INCLUDE A CHILDCARE CENTER OR 4
16	17		ADULT CARE CENTER, CREATE A PILOT PROGRAM FOR USE OF STATE-OWNED 5
17	18		PROPERTY FOR CHILDCARE FACILITIES FOR STATE EMPLOYEES, TO CREATE 6
18	19		A PILOT PROGRAM FOR COUNTY GRANTS FOR THIRD -SHIFT CHILDCARE FOR 7
19	20		FIRST RESPONDERS, REQUIRE FEASIBILITY STUDY FOR ONSITE CHILDCARE 8
20	21		AT EACH NORTH CAROLINA COMMUNITY COLLEGE AND COLLEGE IN THE 9
21	22		UNIVERSITY OF NORTH CAROLINA SYSTEM, ESTABLISH WORKGROUP TO 10
22	23		EXAMINE STREAMLINING LICENSURE REQUIREMENTS FOR PHYSICAL 11
23	24		STRUCTURES FOR COMMERCIAL CHILDCARE FACILITIES . 12
24	25		The General Assembly of North Carolina enacts: 13
25	26		14
26	27		PART I. USE OF STATE-OWNED PROPERTY FOR CHILDCARE CENTERS FOR 15
27	28		STATE EMPLOYEES 16
28	29		SECTION 1.(a) The Department of Administration shall report to the Joint 17
29	30		Legislative Oversight Committee on Health and Human Services and the Joint Legislative 18
30	31		Commission on Governmental Operations, no later than March 31, 2026, on the feasibility and 19
31	32		advisability of using obsolete or underutilized state-owned buildings (available buildings) to 20
32	33		house childcare facilities giving childcare priority to State employees. The report shall include 21
33	34		the following: 22
34	35		(1) Location of each available building. 23
35	36		(2) Estimated costs for upfitting each property to meet daycare licensing 24
36	37		standards. 25
37	38		(3) Estimated costs for asbestos and lead remediation. 26
38	39		(4) Barriers to the available buildings' use as a childcare facility. 27
39	40		SECTION 1.(b) Any project undertaken by the State to build or renovate property 28
40	41		having a budget greater than five million dollars ($5,000,000) shall include a child care center or 29
41	42		adult day care center if more than 250 people would work in the building. This requirement 30
42	43		includes current projects which have not broken ground by July 1, 2025, unless one or both of 31
43	44		the following exceptions apply: 32
44	45		(1) Inclusion of either type of center would delay the project by six months or 33
45	46		more. 34
46	47		(2) Inclusion of either type of center would increase the project cost by 10% or 35
47		-	more. 36 General Assembly Of North Carolina Session 2025
48		-	Page 2 Senate Bill 677-First Edition
	48	+	more. 36
	49	+	FILED SENATE
	50	+	Mar 25, 2025
	51	+	S.B. 677
	52	+	PRINCIPAL CLERK General Assembly Of North Carolina Session 2025
	53	+	Page 2 DRS45329-CIa-6
49	54		1
50	55		PART II. CHILDCARE FOR STATE EMPLOYEES 2
51	56		SECTION 2.(a) The Division of Child Development and Early Education shall 3
52	57		establish a pilot program for onsite childcare for State employees as follows: 4
53	58		(1) The Division of Child Development and Early Education shall contract with 5
54	59		a private commercial childcare provider to establish three childcare centers 6
55	60		for State employees use to be established on State-owned property that is 7
56	61		unused or underutilized. 8
57	62		(2) Priority in contracting shall be given to commercial childcare providers who 9
58	63		currently operate five or fewer facilities and provide high quality childcare. 10
59	64		(3) The Division of Child Development and Early Education must include the 11
60	65		following terms in the contract with the commercial childcare providers: 12
61	66		a. The childcare facility must operate an apprenticeship program in 13
62	67		conjunction with a public or private university or community college 14
63	68		who operates an early childcare education program. 15
64	69		b. The childcare center must comply with the requirements established 16
65	70		by the Division of Child Development and Early Education for 17
66	71		apprenticeship program. 18
67	72		c. The childcare center must maintain the operation of the apprenticeship 19
68	73		program for so long as the childcare center is housed in state-owned 20
69	74		property and the university or community college is willing to 21
70	75		continue the partnership. 22
71	76		d. The State will provide the upfit cost of the space to meet the licensure 23
72	77		requirements at reasonable levels that are customary at the operators' 24
73	78		other facilities and those similarly situated and provide use of the space 25
74	79		rent free, notwithstanding the provisions of G.S. 146-29.1. 26
75	80		e. The lease terms for state-owned property must be approved as required 27
76	81		by G.S. 146-27. 28
77	82		SECTION 2.(b) The Division of Child Development and Early Education shall 29
78	83		create the requirements for the apprenticeship program and pair the childcare centers with a 30
79	84		university or community college early education program utilizing parameters similar to the 31
80	85		Durham Childcare Apprenticeship Program. 32
81	86		SECTION 2.(c) There is appropriated from the General Fund to the Department of 33
82	87		Health and Human Resources the sum of five million dollars ($5,000,000) for the 2025-2026 34
83	88		fiscal year for the Division of Child Development and Early Education's use in establishing the 35
84	89		childcare centers as required by Section 2(a) of this act. 36
85	90		SECTION 2.(d) If any expenses are incurred by the State for asbestos or lead 37
86	91		remediation in establishing the childcare centers required by Section 2(a) of this act, the State 38
87	92		shall be eligible for reimbursement from the Asbestos and Lead Remediation Fund subject to the 39
88	93		rules of the fund for up to five hundred thousand dollars ($500,000). 40
89	94		SECTION 2.(e) By April 1, 2027, the Division of Child Development and Early 41
90	95		Education shall report on and make recommendations to the Joint Legislative Oversight 42
91	96		Committee on Health and Human Services, the Joint Legislative Oversight Committee on 43
92	97		General Government, and the Fiscal Research Division the status of the implementation of the 44
93	98		pilot program including successes, concerns, problems encountered, enrollment, and 45
94	99		expenditures. 46
95	100		SECTION 2.(f) Sections 2(c) and 2(d) of this act are effective July 1, 2025. 47
96	101		48
97	102		PART III. ONSITE CHILDCARE FOR THIRD-SHIFT FIRST RESPONDERS 49
98	103		SECTION 3.(a) There is appropriated from the General Fund to the Department of 50
99	104		Health and Human Services the sum of six million dollars ($6,000,000) for the 2025-2026 fiscal 51 General Assembly Of North Carolina Session 2025
100		-	~~Senate Bill 677-First Edition~~ Page 3
	105	+	DRS45329-CIa-6 Page 3
101	106		year for a pilot program to provide counties grants to establish third-shift childcare for first 1
102	107		responders, with priority to be given to third shift facilities operated in unused or underutilized 2
103	108		county-owned buildings. By April 1, 2027, the Department of Health and Human Services shall 3
104	109		report on and make recommendations to the Joint Legislative Oversight Committee on Health 4
105	110		and Human Services, the Joint Legislative Oversight Committee on General Government, and 5
106	111		the Fiscal Research Division regarding the implementation of the pilot program including 6
107	112		successes, concerns, problems encountered, enrollment, and expenditures. 7
108	113		SECTION 3.(b) Section 3(a) of this act is effective July 1, 2025. 8
109	114		9
110	115		PART IV. ONSITE CHILDCARE AT EACH NORTH CAROLINA COMMUNITY 10
111	116		COLLEGE AND COLLEGE IN THE UNIVERSITY OF NORTH CAROLINA SYSTEM 11
112	117		SECTION 4.1.(a) Report. – The State Board of Community Colleges shall study 12
113	118		and report to the Joint Legislative Education Oversight Committee, the Joint Legislative 13
114	119		Oversight Committee on Health and Human Services, and the Fiscal Research Division of the 14
115	120		General Assembly, no later than March 31, 2026, on the feasibility and advisability of 15
116	121		implementing a publicly available child care program on every community college campus that 16
117	122		offers priority enrollment to the children of community college employees and students. The 17
118	123		report shall include the following: 18
119	124		(1) Recommendations for implementing the childcare program. 19
120	125		(2) Estimated costs for implementation and maintenance of the childcare 20
121	126		program. 21
122	127		(3) Return on investment of the childcare program. 22
123	128		(4) Issues related to historical and ongoing utilization of grants or other funding. 23
124	129		(5) Barriers to implementation of the childcare program. 24
125	130		SECTION 4.1.(b) There is appropriated from the General Fund to the Community 25
126	131		College System Office the sum of one hundred thousand dollars ($100,000) for the study required 26
127	132		by Section 4.1(a) of this act. 27
128	133		SECTION 4.1.(c) Section 4.1(b) of this act is effective July 1, 2025. 28
129	134		SECTION 4.2.(a) The Board of Governors of the University of North Carolina shall 29
130	135		study and report to the Joint Legislative Education Oversight Committee, the Joint Legislative 30
131	136		Oversight Committee on Health and Human Services, and the Fiscal Research Division of the 31
132	137		General Assembly, no later than March 31, 2026, on the feasibility and advisability of 32
133	138		implementing a publicly available childcare program at each constituent institution campus that 33
134	139		offers priority enrollment to the children of university employees and students. The report shall 34
135	140		include: 35
136	141		(1) Recommendations for implementing the childcare program. 36
137	142		(2) Estimated costs for implementation and maintenance of the childcare 37
138	143		program. 38
139	144		(3) Return on investment of the childcare program. 39
140	145		(4) Issues related to historical and ongoing utilization of grants or other funding. 40
141	146		(5) Barriers to implementation of the childcare program. 41
142	147		SECTION 4.2.(b) There is appropriated from the General Fund to the Board of 42
143	148		Governors the sum of one hundred thousand dollars ($100,000) for the study required by Section 43
144	149		4.2(a) of this act. 44
145	150		SECTION 4.2.(c) Section 4.2(b) of this act is effective July 1, 2025. 45
146	151		46
147	152		PART V. ESTABLISH WORKGROUP TO EXAMINE STREAMLINING LICENSURE 47
148	153		REQUIREMENTS FOR PHYSICAL STRUCTURE OF COMMERCIAL CHILDCARE 48
149	154		FACILITIES 49
150	155		SECTION 5.(a) The Division of Child Development and Early Education shall 50
151	156		establish the Commercial Childcare Licensure Workgroup to examine streamlining requirements 51 General Assembly Of North Carolina Session 2025
152		-	Page 4 ~~Senate Bill 677-First Edition~~
	157	+	Page 4 DRS45329-CIa-6
153	158		related to the physical structure of commercial childcare centers. The workgroup shall consist of 1
154	159		one representative from each of the following to be chosen by the North Carolina Child Care 2
155	160		Commission: 3
156	161		(1) The Division of Child Development and Early Education. 4
157	162		(2) The Office of the State Fire Marshal. 5
158	163		(3) The Department of Insurance. 6
159	164		(4) The North Carolina Building Code Council. 7
160	165		(5) The Division of Public Health. 8
161	166		(6) The League of Municipalities. 9
162	167		(7) The North Carolina Association of County Commissioners. 10
163	168		The North Carolina Child Care Commission shall also appoint two commissioners to 11
164	169		the workgroup who shall also serve as co-chairs of the workgroup. 12
165	170		SECTION 5.(b) The workgroup shall develop findings and recommendations related 13
166	171		to at least the following: 14
167	172		(1) Streamlining the licensing requirements related to the physical facilities 15
168	173		related to commercial childcare facilities, including building codes, fire codes, 16
169	174		and sanitation codes. 17
170	175		(2) Developing statewide, uniform application of the commercial childcare 18
171	176		licensing requirements related to the physical facility including building 19
172	177		codes, fire codes, and sanitation codes and statewide, uniform inspections 20
173	178		related to those codes. 21
174	179		(3) Resolving conflicts between various code requirements for commercial 22
175	180		childcare licensing. 23
176	181		SECTION 5.(c) By January 1, 2026, the Division of Child Development and Early 24
177	182		Education shall report the findings and recommendations of the work group to the Joint 25
178	183		Legislative Oversight Committee on Health and Human Services, the Joint Legislative Oversight 26
179	184		Committee on General Government, and the Fiscal Research Division. 27
180	185		28
181	186		PART VI. EFFECTIVE DATE 29
182	187		SECTION 6. Except as otherwise provided, this act is effective when it becomes 30
183	188		law. 31