North Carolina 2025-2026 Regular Session

North Carolina Senate Bill S678

Introduced
3/25/25  
Refer
3/26/25  

Caption

Onsite Childcare for State Employees Act

Summary

Senate Bill 678, the Onsite Childcare for State Employees Act, would direct state agencies to expand access to childcare by using state-owned property for childcare facilities, with priority for state employees. The bill requires the Department of Administration to study the feasibility of converting obsolete or underused state buildings into childcare sites and to report on locations, renovation costs, remediation needs, and barriers by March 31, 2026. The bill also creates a broader mandate for major state construction and renovation projects. Any state project over $5 million that would house more than 250 workers must include either a childcare center or adult day care center, unless doing so would delay the project by six months or increase costs by 10% or more. This requirement would apply to current projects that have not yet broken ground by July 1, 2025, subject to those exceptions.

Impact

The bill would affect state property management, capital planning, and child care policy by requiring state agencies to consider childcare or adult care facilities in new or renovated state buildings and by authorizing rent-free use of state-owned space for childcare providers. It would also appropriate $5 million from the General Fund to the Department of Health and Human Resources for startup costs, and allow up to $500,000 in reimbursement from the Asbestos and Lead Remediation Fund for related remediation expenses. In addition, it would create a pilot program for three onsite childcare centers on underused state property, operated by private providers selected by the Division of Child Development and Early Education, with apprenticeship partnerships tied to university or community college early childhood programs.

Sentiment

No committee transcripts or recorded votes were provided, so there is no direct evidence of debate or formal support/opposition in the available record. Based on the bill text, the measure appears designed to address childcare access for state employees, workforce retention, and early childhood training, suggesting a policy rationale likely to be viewed positively by supporters of public employee benefits and childcare expansion. At the same time, the bill’s cost, facility requirements, and mandates for large state projects could generate concern among budget and capital planning stakeholders.

Contention

The main points of contention are likely to be cost, feasibility, and project delays. The bill requires state-funded upfits, rent-free space, and a $5 million appropriation, while also allowing reimbursement for remediation, which may raise fiscal concerns. Construction and renovation mandates could be controversial for agencies managing large projects, especially because the childcare/adult care requirement applies unless it would add six months or 10% to project cost. Another possible issue is operational complexity, including selecting private providers, meeting licensing standards, and maintaining apprenticeship partnerships with colleges or universities. Supporters would likely emphasize employee recruitment and retention, childcare access, and workforce development, while critics may focus on implementation burden and added state obligations.

Companion Bills

No companion bills found.

Previously Filed As

NC S677

SOS (State Owned Structures) Childcare Act

NC HB1019

To Create The Affordable Childcare Act Of 2025; To Create An Income Tax Credit For Employers Who Assist Employees With Childcare Costs; And To Replace The Existing Income Tax Credit For Employer-operated Childcare Facilities.

NC H877

Childcare Pilot

NC SB792

Childcare.

NC S1956

To incentivize employer-provided childcare

NC HB2605

Increase the tax credit for employers providing child care for employees.

NC H3265

To establish an employer-provided childcare tax credit pilot program

NC S1837

Establishes child care contribution tax credit to employers subject to CBT or GIT for certain child care expenses for children of employees.

NC SB568

Pupil health: epinephrine delivery systems: schoolsites and childcare programs.

NC S0047

Childcare

Similar Bills

CA AB1914

General plan elements: childcare.

CA AB1746

CalWORKs: childcare request forms.

CA AB2673

Personal Income Tax Law: Corporation Tax Law: credit: childcare.

CA SB1051

Foster care: childcare.

RI H5281

Creates the Rhode Island Childcare Assistance Program that governs both family eligibility for the state’s childcare subsidy program and expands eligibility for the program to meet the federal eligibility benchmark.

RI S0240

Creates the Rhode Island Childcare Assistance Program that governs both family eligibility for the state’s childcare subsidy program and expands eligibility for the program to meet the federal eligibility benchmark.

SC H4632

Childcare Facilities

RI S2667

Expands eligibility for the childcare assistance program to meet the federal eligibility benchmark.