Wisconsin Assembly Bill AB1017

Wisconsin 2025-2026 Regular Session

• Introduced: 2/6/26
• Refer: 2/6/26
• Failed: 3/23/26

Caption

An Act to amend 49.155 (1m) (intro.), 49.155 (1m) (a) 6., 49.155 (1m) (c) 1. (intro.) and 49.155 (1m) (cr) (intro.); to create 20.437 (2) (cp), 49.155 (1m) (a) 5m., 49.155 (1m) (c) 4., 49.155 (1m) (cm) 4. and 49.155 (2s) of the statutes; Relating to: child care subsidies for custodial parents who are child care employees and making an appropriation. (FE)

Summary

AB1017 would expand Wisconsin Shares child care subsidy eligibility to custodial parents who work for a child care provider. Under current law, child care subsidies are generally limited to low-income custodial parents who meet income, work, training, or other authorized-activity requirements. This bill adds employment by a child care provider as a qualifying activity and creates a separate eligibility pathway for these workers even if they exceed the usual income and asset limits, so long as they satisfy the other core program requirements. The bill also creates a new state appropriation for these subsidies and increases the Department of Children and Families’ administrative appropriation by $1.2 million in fiscal year 2025-26 to implement the change. In practical terms, it would modify Wisconsin Statutes section 49.155 to carve out a special category for child care employees and direct state funds to cover their child care costs through Wisconsin Shares.

Impact

AB1017 would amend Wisconsin’s child care subsidy statute to add a new eligibility class for custodial parents employed by child care providers, overriding the normal income, asset, and related eligibility limits for that group. It would also create a sum-sufficient General Purpose Revenue appropriation for subsidy payments and increase administrative funding for the Department of Children and Families. The bill would therefore expand the pool of people eligible for publicly funded child care assistance and increase state spending and program administration obligations.

Sentiment

The available record shows no committee transcript or vote history, so there is no documented floor or committee debate to gauge detailed sentiment. Based on the bill’s introduction by a large bipartisan group of Assembly and Senate cosponsors, the measure appears to have had at least some cross-party support and was framed as a workforce-support and child care access proposal. However, the bill ultimately failed to pass pursuant to Senate Joint Resolution 1, indicating it did not secure final legislative approval.

Contention

The main policy issue is the bill’s departure from standard Wisconsin Shares income and asset limits for a specific occupation: child care employees who are custodial parents. Supporters would likely view this as a targeted way to help retain child care workers and reduce the cost burden on families working in the child care sector, while critics could object to creating a special exemption and adding state costs for a narrowly defined group. The fiscal note is also a likely point of contention because the bill creates a new appropriation and increases administrative funding, which may raise concerns about budget impact and precedent for occupation-based subsidy exceptions.