Texas 2025 - 89th Regular

Texas Senate Bill SB3007 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	89R8662 MM-F
2	2	By: Blanco S.B. No. 3007
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7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to establishing a pilot program to increase the supply of
10	10	child-care services and encourage employer partnerships to meet
11	11	strategic workforce needs in certain regions of the state.
12	12	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
13	13	SECTION 1. Subtitle B, Title 4, Labor Code, is amended by
14	14	adding Chapter 320 to read as follows:
15	15	CHAPTER 320. CHILD-CARE INNOVATION PILOT PROGRAM
16	16	Sec. 320.001. DEFINITIONS. In this chapter:
17	17	(1) "Board" means a local workforce development board
18	18	created under Subchapter F, Chapter 2308, Government Code.
19	19	(2) "Program" means the child-care innovation pilot
20	20	program established under this chapter.
21	21	(3) "Provider" means a child-care provider who is
22	22	engaging with the program established under this chapter.
23	23	Sec. 320.002. ESTABLISHMENT. (a) The commission shall
24	24	establish and administer the child-care innovation pilot program to
25	25	address strategic workforce needs of designated pilot regions
26	26	across the state by increasing the supply of quality, affordable
27	27	child care and encouraging child-care partnerships with employers.
28	28	(b) The program shall enable boards designated by the
29	29	commission to partner with local employers and high-quality
30	30	providers to provide grants that will fund innovative child-care
31	31	expansion projects and employer partnerships that directly impact
32	32	strategic local workforce needs.
33	33	Sec. 320.003. ADMINISTRATION. The commission shall by rule
34	34	adopt a process for selecting each pilot region in which the program
35	35	will be administered by the local board, including a competitive
36	36	application process.
37	37	Sec. 320.004. APPLICATION; STRATEGIC PLAN. (a) A board
38	38	applying to participate in the program shall submit:
39	39	(1) a strategic plan proposing:
40	40	(A) measurable performance goals and progress
41	41	measures related to increasing the supply and accessibility of
42	42	quality, affordable child-care services;
43	43	(B) plans for engaging regional stakeholders,
44	44	including local employers, business associations, and
45	45	organizations that provide services to children and families, to
46	46	develop and meet regional performance goals that are based on
47	47	strategic workforce needs;
48	48	(C) the number of providers to whom the board
49	49	plans to award grants;
50	50	(D) staffing structures to support the effective
51	51	implementation of the program, including technical assistance for
52	52	child-care providers; and
53	53	(E) plans to maximize the results of the program
54	54	and support the future sustainability of child-care providers
55	55	participating in the program if state funding is not continued; and
56	56	(2) the total amount of money requested to implement
57	57	the board's strategic plan.
58	58	(b) A board may apply for the program under more than one
59	59	population category described by Section 320.005(a) but may only be
60	60	approved for participation based on one category.
61	61	Sec. 320.005. SELECTION; CRITERIA. (a) The commission
62	62	shall select not more than six boards to participate in the program
63	63	and ensure that the program is implemented in communities that
64	64	represent at least one of each of the following population sizes:
65	65	(1) a region with a population of more than 50,000;
66	66	(2) a region with a population of more than 10,000 and
67	67	less than 50,000; and
68	68	(3) a region with a population of less than 10,000.
69	69	(b) In selecting the boards to participate in the program,
70	70	the commission shall consider:
71	71	(1) the board's ability to demonstrate an unmet, local
72	72	workforce need for:
73	73	(A) child-care services in specific geographic
74	74	regions;
75	75	(B) child-care services for specific
76	76	populations, including infant care, toddler care, nontraditional
77	77	hours care, or care for students with disabilities; or
78	78	(C) child-care services described by Paragraphs
79	79	(A) and (B);
80	80	(2) whether the board has broad regional support from
81	81	diverse stakeholders, including private sector employers,
82	82	child-care providers, local governments, and parents to
83	83	participate in the program;
84	84	(3) the board's ability to leverage local funding or
85	85	partnerships to supplement state resources; and
86	86	(4) the strength of the board's proposed strategic
87	87	plan, as described by Section 320.004.
88	88	Sec. 320.006. AGREEMENTS WITH PARTICIPATING BOARDS. The
89	89	commission shall develop and enter into a performance agreement
90	90	with each board selected to participate in the program. Each board
91	91	shall comply with the terms of the performance agreement during its
92	92	participation in the program. The performance agreement must:
93	93	(1) include measurable performance goals and progress
94	94	measures that are:
95	95	(A) related to increasing the supply and
96	96	accessibility of quality, affordable child-care services in the
97	97	pilot region; and
98	98	(B) aligned to the board's strategic plan; and
99	99	(2) allocate responsibilities for accessing and
100	100	reporting progress and outcome information.
101	101	Sec. 320.007. ALLOCATION OF FUNDS. From the funds
102	102	appropriated to the commission for the program, the commission
103	103	shall award an amount of money to each board participating in the
104	104	program. In determining the allocation of money, the commission
105	105	shall consider:
106	106	(1) the size and population of the pilot region;
107	107	(2) the unmet child-care needs in the region and the
108	108	proposed funding required to address the needs;
109	109	(3) the proposed number of eligible providers in each
110	110	region to whom the board intends to award grants;
111	111	(4) the budget requested in the board's proposed
112	112	strategic plan under Section 320.004(a)(2); and
113	113	(5) other factors determined by the commission.
114	114	Sec. 320.008. GRANTS. (a) From funds awarded to a board
115	115	participating in the program, the board, after conducting a
116	116	competitive selection process, shall award grants to eligible
117	117	providers that enter into a grant contract with the board to expand
118	118	quality, affordable child-care services in accordance with the
119	119	region's strategic workforce needs and the board's approved
120	120	strategic plan.
121	121	(b) In awarding a grant under the program, a board shall
122	122	give preference to an eligible provider that demonstrates capacity
123	123	to:
124	124	(1) provide high-demand child-care services
125	125	identified by the board; and
126	126	(2) partner with one or more local employers.
127	127	Sec. 320.009. PROVIDER ELIGIBILITY. (a) To be eligible to
128	128	receive a grant under the program, a child-care provider must:
129	129	(1) be a Texas Rising Star Program provider with a
130	130	three-star rating or higher;
131	131	(2) be accredited by the National Association for the
132	132	Education of Young Children;
133	133	(3) have an accreditation from a Montessori
134	134	accreditation organization; or
135	135	(4) meet an alternative quality criterion or waiver
136	136	prescribed by the commission.
137	137	(b) In consultation with local employers and other regional
138	138	stakeholders, the board shall develop a competitive application and
139	139	scoring process for eligible providers to apply for a grant under
140	140	the program to meet the goals in the board's approved strategic plan
141	141	under Section 320.004.
142	142	(c) A board shall develop and enter into a grant contract
143	143	with each eligible provider awarded a grant under the program. Each
144	144	eligible provider awarded a grant shall comply with the terms of the
145	145	grant contract. At a minimum, grant contracts must require eligible
146	146	providers to:
147	147	(1) maintain the ability to enroll the required number
148	148	of children within each designated service area outlined in the
149	149	board's grant contract;
150	150	(2) ensure all educators employed by the provider earn
151	151	a minimum wage that is equal to or above the self-sufficient wage
152	152	required by Section 2308A.012, Government Code, in the county in
153	153	which the provider is located;
154	154	(3) maintain participation in the child-care services
155	155	program administered by the commission and accept participating
156	156	students as openings become available;
157	157	(4) maintain tuition rates at the provider's posted
158	158	rate or at a rate lower than the posted rate for families who do not
159	159	receive subsidized child-care services;
160	160	(5) maintain all eligibility requirements of the
161	161	program;
162	162	(6) provide regular reports demonstrating compliance
163	163	with the board's grant contract; and
164	164	(7) provide any additional data requested by the
165	165	board.
166	166	Sec. 320.010. SUBCONTRACTING. (a) In accordance with
167	167	Section 2308.264(e), Government Code, a board may subcontract with
168	168	a coordinating entity to administer the program.
169	169	(b) The commission may adopt rules establishing
170	170	requirements for a coordinating entity with which a board
171	171	subcontracts under this section.
172	172	Sec. 320.011. USE OF FUNDS. (a) From money appropriated by
173	173	the legislature to implement the program, the commission may use
174	174	not more than:
175	175	(1) 15 percent of the total amount appropriated to pay
176	176	costs related to administering the program, including technical
177	177	assistance provided to providers under the program; and
178	178	(2) 2 percent of the total amount appropriated to pay
179	179	costs related to research and evaluation of the program.
180	180	(b) The commission shall use at least 83 percent of the
181	181	total amount appropriated for grants administered under the
182	182	program.
183	183	(c) The commission shall adopt rules relating to the award
184	184	of grants under the program that are designed to maximize the impact
185	185	of the program and ensure the funding is sufficient to execute on
186	186	the terms of the grant contract.
187	187	(d) In awarding a grant under the program, the commission or
188	188	boards may adjust reimbursement rates as necessary to account for
189	189	the costs of providing care to specialized populations, including
190	190	students with disabilities, infants, toddlers, and students
191	191	needing after-hours care.
192	192	(e) Each board participating in the program shall ensure
193	193	that all grant money has been allocated not later than December 31,
194	194	2028.
195	195	(f) In addition to funds appropriated by the legislature, to
196	196	administer and expand the impact of the program, the commission or
197	197	boards may:
198	198	(1) seek and apply for any available federal or local
199	199	funds; and
200	200	(2) solicit and accept gifts, grants, and donations
201	201	from any other public or private source.
202	202	Sec. 320.012. QUARTERLY REPORT TO THE COMMISSION. (a) Each
203	203	board participating in the program shall submit a quarterly report
204	204	to the commission, detailing the use of grant money received under
205	205	the program and related outcomes, including:
206	206	(1) a list of providers receiving grant money and the
207	207	provider's monthly grant awards;
208	208	(2) each provider's compliance with performance goals
209	209	outlined in the provider's grant contract with the board; and
210	210	(3) the board's progress toward outcomes identified in
211	211	the approved strategic plan under Section 320.004.
212	212	(b) A board shall submit the first report required by this
213	213	section not later than the 120th day after the date the board awards
214	214	its first grant under the program and submit subsequent reports
215	215	every 120 days thereafter.
216	216	Sec. 320.013. REPORT. Not later than December 1, 2028, the
217	217	commission shall review the effectiveness of the program and submit
218	218	to the governor, the lieutenant governor, the speaker of the house
219	219	of representatives, and the members of each legislative standing
220	220	committee with primary jurisdiction over economic development a
221	221	written report regarding the outcomes, challenges, and
222	222	opportunities of the program.
223	223	Sec. 320.014. RULES. The commission shall adopt rules
224	224	necessary to implement this chapter.
225	225	Sec. 320.015. EXPIRATION. This chapter expires September
226	226	1, 2029.
227	227	SECTION 2. This Act takes effect September 1, 2025.