New Jersey Senate Bill S1078

New Jersey 2022-2023 Regular Session

• Introduced: 1/31/22
• Refer: 1/31/22

Caption

Requires DHS to develop incentives to encourage private investment in child care deserts.

Impact

The bill's implementation is poised to deliver concrete benefits to communities with limited child care options. By focusing on the creation of financial incentives such as tax credits, exemptions, and loan guarantees, the legislation seeks to stimulate the establishment of new child care facilities. This is particularly critical for low-to-moderate income families, who are most affected by the absence of affordable quality child care. It is estimated that around 40 percent of New Jersey municipalities fall into the category of child care deserts, predominantly affecting urban and rural areas where demand is highest.

Summary

Senate Bill S1078 is aimed at addressing the significant issue of 'child care deserts' in New Jersey, which are defined as geographic areas where the demand for quality child care services exceeds the available supply. The bill mandates the Commissioner of Human Services to establish a program of financial incentives designed to attract private investment in child care facilities within these identified deserts. This initiative is a response to the growing recognition that many communities in New Jersey lack adequate child care resources, which has been exacerbated by the challenges posed during the COVID-19 pandemic.

Contention

While the intention behind S1078 is commendable, discussions surrounding the bill may highlight concerns regarding resource allocation and the effectiveness of proposed incentives. Stakeholders might question whether financial incentives alone will be sufficient to overcome existing barriers to establishing or enhancing child care services in these communities. Additionally, there could be debates about the adequacy of oversight on how the funds are utilized and the potential for any unintended consequences that may arise from these regulatory changes.