SB191 creates the Kentucky Kindergarten Readiness Performance-Based Child Care Incentive Pilot Program, to be established and operated by the University of Kentucky by August 1, 2026. The pilot would run from January 1, 2027, through July 31, 2029, and is designed to test whether performance-based payments can increase the number of children entering kindergarten ready. The program would target a mix of participants, including licensed child-care centers, cabinet-regulated early childhood education providers, certified and registered child-care homes, and eligible low-income parents who receive child-care subsidy assistance.
The bill directs the university to develop a written plan, create assessment processes for kindergarten readiness, convene a working group, ensure geographic diversity among participants, and evaluate the pilot using a rigorous causal framework. It also requires the program to identify and make available parent resources that support kindergarten preparation. The incentive structure includes one-time payments of $2,000 per kindergarten-ready child in certain cases, with full or partial payments depending on whether the child received full-time care, half-day care, or care in the home, and special provisions for children with disabilities who cannot be properly assessed.
The bill would add a new section to KRS Chapter 199 and would interact with existing child-care subsidy rules under KRS 199.8994, as well as cabinet licensing and regulation of child-care providers. It would create a new state pilot administered through the University of Kentucky, with reporting obligations to the Cabinet for Health and Family Services and the Legislative Research Commission. If successful, the report must include recommendations for scaling the program statewide and identifying barriers to implementation.
The general sentiment reflected in the bill text is strongly supportive of early childhood education, school readiness, and incentive-based policy. The findings section frames the proposal as a way to expand child-care services, encourage parent engagement, and improve long-term educational outcomes. The Senate vote was overwhelmingly favorable, passing 34-1, which suggests broad support for the concept.
The main points of contention are likely to involve the use of performance-based public payments, how kindergarten readiness will be measured, whether the incentive model fairly accounts for children with disabilities or mixed care arrangements, and the administrative complexity of distributing funds and evaluating outcomes. The bill’s referral back to Appropriations and Revenue also suggests fiscal and implementation questions, including the cost of the pilot and whether the program could be expanded if results are positive.
SB191 would create a new pilot program within KRS Chapter 199 and place the University of Kentucky in charge of designing, operating, and evaluating it. It would affect child-care centers, early childhood education providers, certified and registered child-care homes, and eligible parents receiving child-care subsidies by making them potential recipients of performance-based payments tied to kindergarten readiness outcomes. The bill also requires new assessment and reporting processes and would generate data for public review, while leaving broader statewide adoption dependent on the pilot’s results and future legislative action.
The bill appears to have generally favorable support, especially around its goals of improving kindergarten readiness and rewarding early childhood providers and parents. The bill’s findings and structure reflect a policy preference for incentives, data-driven evaluation, and expanded support for families. The Senate vote of 34-1 indicates strong bipartisan or near-unanimous approval at that stage, although the later recommittal to Appropriations and Revenue suggests continued scrutiny of fiscal and implementation details.
Likely areas of contention include whether performance-based incentives are the best way to improve school readiness, how readiness should be measured fairly across children with different needs, and whether the program could disadvantage providers serving children with disabilities or complex family arrangements. There may also be debate over the administrative burden on providers and the university, the fairness of tying payments to a single readiness assessment, and the cost of the $2,000 per-child incentive structure. Fiscal concerns are also implied by the bill’s referral back to Appropriations and Revenue.