Creates emergency closure prevention fund for child care programs at risk of closure; appropriates $10 million.
Summary
Assembly Bill 4847 creates a new emergency closure prevention fund within the Department of the Treasury to help child care programs that are at risk of shutting down because of sharp enrollment declines. The fund would be financed by a $10 million General Fund appropriation and may also receive available federal child care funding, including Child Care and Development Block Grant dollars. The State Treasurer would hold and disburse the money, while the Commissioner of Human Services would administer the program and develop the application process.
To qualify for assistance, a licensed child care program or registered family day care provider must show that it is at risk of closure and that enrollment has dropped by at least 30 percent from the prior calendar year. Grants would be awarded on a rolling basis until the fund is exhausted, and no entity could receive more than $60,000 in a calendar year. The bill also allows the commissioner to add requirements when federal funds are used, to ensure compliance with state and federal rules. The act would take effect immediately, but it would remain inoperative until money is deposited into the fund.
Impact
The bill would supplement Title 30 of the Revised Statutes by creating a new state-administered funding mechanism for child care stabilization. It would not change licensing standards for child care providers, but it would add a grant program and a dedicated revolving fund in the Treasury for providers facing closure due to enrollment losses. The Department of Human Services would gain administrative responsibility for determining eligibility and requesting disbursements, while the State Treasurer would serve as custodian of the fund. The $10 million appropriation would directly affect the General Fund and could be supplemented by federal child care dollars.
Sentiment
The bill appears generally supportive of child care providers and is framed as a stabilization measure for an industry vulnerable to enrollment fluctuations. Because there are no committee transcripts or recorded votes provided, there is no documented debate or formal vote history to indicate opposition or amendments. Based on the bill text alone, the measure is presented as a targeted relief effort intended to prevent program closures and preserve child care access.
Contention
The main policy questions likely concern eligibility and funding limits. The bill sets a relatively high threshold for aid by requiring a 30 percent enrollment decline, which may exclude some struggling providers, while also capping grants at $60,000 per entity per year. Another possible point of contention is the use of state appropriations and any federal funds for a revolving emergency fund, including the administrative discretion given to the Commissioner of Human Services to impose additional requirements for federal compliance. No specific objections, supporters, or negotiated compromises are reflected in the provided legislative history.