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S03245 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          3245
 
                               2023-2024 Regular Sessions
 
                    IN SENATE
 
                                    January 30, 2023
                                       ___________
 
        Introduced  by  Sens.  BRISPORT,  BAILEY, BROUK, CLEARE, COMRIE, COONEY,
          GOUNARDES, HINCHEY, HOYLMAN-SIGAL, JACKSON,  KAVANAGH,  KENNEDY,  LIU,
          MYRIE,  RAMOS, RIVERA, SALAZAR, SEPULVEDA, SERRANO, SKOUFIS, STAVISKY,
          THOMAS -- read twice and ordered  printed,  and  when  printed  to  be
          committed to the Committee on Finance

        AN  ACT  to  amend  the  social  services  law and the education law, in
          relation to the provision of universal child care;  to  amend  chapter
          493  of  the laws of 2017 amending the social services law relating to
          establishing a child care availability taskforce to evaluate the  need
          for  and  availability of child care throughout the state, in relation
          to the effectiveness thereof; to  amend  the  state  finance  law,  in
          relation  to  establishing certain funds to provide for the establish-
          ment and funding of universal child care; to repeal certain provisions
          of the social services law relating thereto; and making  an  appropri-
          ation therefor
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Short title. This act shall be known and may  be  cited  as
     2  the "universal child care act".
     3    §  2.  Legislative findings. The legislature hereby finds and declares
     4  that New York State's child care sector is facing an economic crisis. In
     5  2018, the legislature created a Child Care Availability Task  Force.  In
     6  2021,  that Task Force issued its final report, finding that the current
     7  crisis "requires a dramatically different approach to  child  care:  one
     8  that  recognizes  that high-quality child care is a public good and that
     9  provides the necessary public investment" to implement a system of high-
    10  quality universal child  care.  This  legislation  will  move  New  York
    11  towards  such  a  dramatically  new system, where child care workers are
    12  treated with dignity and compensated generously as  the  educators  that
    13  they  are,  where  child care is free and available to all just like our
    14  public education system is free and available for all, where  burdensome
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD05105-02-3

        S. 3245                             2
 
     1  and  ineffective  means-testing  requirements are ultimately eliminated,
     2  where public investments are directed towards those most in need  as  we
     3  build out our important child care infrastructure, where families have a
     4  meaningful  ability  to  select  the modalities that work best for their
     5  children, where child care providers are not forced to  compete  against
     6  each other, where high-quality is ensured for all so that we do not have
     7  a  two-tiered child care system where the wealthy have high-quality care
     8  and the working poor have substandard care, where both federal and state
     9  funding is allocated generously, where the burden on localities is mini-
    10  mized, and where our child care system is truly universal.
    11    § 3. Section 390-k of the social services law, as added by chapter 493
    12  of the laws of 2017, subdivisions 2 and 4 as amended by chapter  797  of
    13  the laws of 2021 and subdivision 3 as amended by chapter 133 of the laws
    14  of 2022, is amended to read as follows:
    15    §  390-k.  [Child]  Universal  care [availability] taskforce. 1. There
    16  shall be established [within the office of children and family services]
    17  a universal child care taskforce for the purpose of [evaluating the need
    18  for and availability of child care throughout  the  state]  guiding  New
    19  York towards a system of free and universal child care.
    20    2. The taskforce shall be chaired by a representative of the executive
    21  chamber  and  the  commissioners  of  the  office of children and family
    22  services [and], the department of labor and the department of education,
    23  or their designees. Members of the taskforce shall serve without compen-
    24  sation for three year terms, but may  be  reimbursed  for  actual  costs
    25  incurred   for   participation  on  such  taskforce.  Ensuring  adequate
    26  geographic, racial and ethnic representation, members of  the  taskforce
    27  shall be appointed by the governor and comprised as follows:
    28    (a) four individuals shall be appointed upon the recommendation of the
    29  speaker  of the assembly, at least one of whom shall be a parent who has
    30  utilized subsidized child care and at least  one  of  whom  shall  be  a
    31  parent  who has utilized unsubsidized child care, from different regions
    32  of the state;
    33    (b) four individuals shall be appointed upon the recommendation of the
    34  temporary president of the senate, at least  one  of  whom  shall  be  a
    35  parent  who  has utilized subsidized child care and at least one of whom
    36  shall be a parent who has utilized unsubsidized child care, from differ-
    37  ent regions of the state;
    38    (c) one individual shall be appointed upon the recommendation  of  the
    39  minority leader of the assembly;
    40    (d)  one  individual shall be appointed upon the recommendation of the
    41  minority leader of the senate;
    42    (e) two representatives of a child care resource and referral agency;
    43    (f) a minimum of three and a maximum of four representatives of  home-
    44  based child care providers;
    45    (g)  a  minimum  of  three  and  a  maximum of four representatives of
    46  center-based child care providers;
    47    (h) two representatives from the [business] public education  communi-
    48  ty;
    49    (i)  two representatives from unions that represent child care provid-
    50  ers; and
    51    (j) at least one representative from each of the following entities:
    52    (i) the office of temporary and disability assistance;
    53    (ii) the council on children and families;
    54    (iii) the department of taxation and finance;
    55    (iv) a regional economic development council;

        S. 3245                             3
 
     1    (v) the state university of New York or the  city  university  of  New
     2  York;
     3    (vi) the state education department;
     4    (vii) the early childhood advisory council;
     5    (viii) a social [service] services district or county government or an
     6  entity  that  advocates  on  behalf of social services or county govern-
     7  ments; [and]
     8    (ix) a non-profit child care advocacy organization; and
     9    (x) an academic research institution, with expertise regarding differ-
    10  ent international child care systems.
    11    3. The taskforce shall:
    12    (a) examine the negative impact of the COVID-19 pandemic on child care
    13  in New York state, as well as the  negative  impacts  presented  by  the
    14  multiplicity  of different agencies administering the child care system,
    15  and the difficulties posed by means-testing requirements, work  require-
    16  ments, activities tests, and immigration status requirements;
    17    (b) advise the state in developing an implementation framework leading
    18  to a four-year phased-in rollout of universal child care [using existing
    19  state  and federal resources], which is free at the point of service for
    20  all families, which delivers high-quality child care to all New Yorkers,
    21  and which offers salaries to educators comparable  to  those  of  public
    22  school teachers;
    23    (c)  recommend [potential] solutions[, partnerships, or other ways] to
    24  address chronic child care workforce issues, the availability  of  child
    25  care  for  non-traditioinal work hours, and other concerns identified in
    26  the course of the examination required by this subdivision;
    27    (d) [assess the implementation of  policies  supported  by]  recommend
    28  federal   legislative  changes  necessary  to  access  federally  funded
    29  programs [through various stimulus packages], as well as  state  funding
    30  appropriations  needed  to  completely  eliminate means-testing require-
    31  ments, work  requirements,  activities  tests,  and  immigration  status
    32  requirements; [and]
    33    (e)  how  best to phase in the establishment of a dedicated department
    34  of early education, which shall possess the duties required to  maintain
    35  and  administer  the  free  and high-quality universal child care system
    36  pursuant to the recommendations of the taskforce; and
    37    [(e)] (f) anything else the taskforce deems necessary.
    38    4. [(a)] The taskforce shall report [its interim findings  and  recom-
    39  mendations  in  accordance with subdivision three of this section to the
    40  governor, the speaker of the assembly and the temporary president of the
    41  senate no later than November first, two  thousand  twenty-two  and  its
    42  final  findings and recommendations no later than December thirty-first,
    43  two thousand twenty-three.
    44    (b) The taskforce shall also  report  on  the  implementation  of  any
    45  recommendations  that  resulted  from  the initial report required to be
    46  produced by the task force pursuant to subdivision four of chapter  four
    47  hundred  ninety-three  of the laws of two thousand seventeen. Such addi-
    48  tional report shall be provided annually, beginning July first two thou-
    49  sand twenty-two] a four-year plan for a  phased  roll-out  of  universal
    50  child  care  in  the state, and make annual recommendations, starting in
    51  November first, two thousand twenty-three  through  November  thirtieth,
    52  two  thousand  twenty-four, for specific appropriations for budget allo-
    53  cations that would allow for a  truly  free  and  universal  child  care
    54  system, including, but not limited to: (a) wage increases for child care
    55  workers  that allow them to achieve pay parity with public school teach-
    56  ers; (b) capital expenditures to allow for the expansion of  child  care

        S. 3245                             4

     1  infrastructure  into  communities most in need; and (c) startup funds to
     2  allow for the creation of new child care programs in child care deserts.
     3  Such recommendations  shall  include  recommendations  to  identify  all
     4  reasonable  means of maximizing the allocation of federal funds, as well
     5  as supplemental funding from the state that would allow for a truly free
     6  and universal child care system. The taskforce report shall further make
     7  recommendations for the integration of child care programs into existing
     8  public programs, such as public schools, public universities, and public
     9  housing, to deliver high-quality child care to  all  New  Yorkers.  Such
    10  recommendations  shall  be based on what is needed to actually achieve a
    11  high-quality universal child care system in the state,  and  what  addi-
    12  tional  funding  would  be  needed  from the state to achieve that goal.
    13  Each year, following the annual state budget, the taskforce  shall  also
    14  provide  a score card stating how close New York has come to achieving a
    15  high-quality universal child care system, provided, however,  that  task
    16  force  members  who are employees of the governor's office and the state
    17  legislature shall recuse themselves from such rating process. The  task-
    18  force shall report its findings annually.
    19    § 4. Subdivision 8 of section 390 of the social services law, as added
    20  by chapter 750 of the laws of 1990, is amended to read as follows:
    21    8.  The  [department]  office  of  children  and family services shall
    22  establish and maintain a list of all  current  registered  and  licensed
    23  child  day  care  programs  and  a list of all programs whose license or
    24  registration has been revoked, rejected, terminated, or suspended. [Such
    25  information shall be available to the  public,  pursuant  to  procedures
    26  developed  by the department] The office of children and family services
    27  shall work with service providers and child care resource  and  referral
    28  agencies  throughout the state to gather information to create and main-
    29  tain a publicly-searchable, user-friendly, and language-accessible data-
    30  base of available child care facilities on the office's website and on a
    31  companion phone application.   Such database shall be  updated  in  real
    32  time and shall provide and be searchable by the following information:
    33    (a) the name and address of the facility;
    34    (b) the capacity of the facility;
    35    (c)  whether the facility is fully enrolled or has current availabili-
    36  ty, with the available capacity specified by age group;
    37    (d) whether the facility has a waiting list for  which  a  family  can
    38  apply;
    39    (e) the age range allowable for the facility;
    40    (f) the modality for the facility;
    41    (g) the operating hours for the facility;
    42    (h) the language or languages spoken at the facility; and
    43    (i)  whether  the facility has been cited for any violations, with any
    44  such violations separated into "dangerous" and  "non-dangerous"  catego-
    45  ries,  and prominent notices indicating whether any such violations have
    46  been cured or addressed.
    47    The office of children and family services shall  provide  information
    48  on  its website in English, French, Polish, and the ten most common non-
    49  English languages spoken by individuals with limited English proficiency
    50  in the state, based on United States census data.
    51    § 5. Subdivision 1 of section 410 of the social services law, as added
    52  by chapter 395 of the laws of 1965, is amended to read as follows:
    53    1. A public welfare official of a county, city or town is [authorized]
    54  obligated, provided funds have been made available therefor, to  provide
    55  day care at public expense for children residing in his or her territory
    56  [who  are  eligible therefor pursuant to provisions of this title.  Such

        S. 3245                             5

     1  care may be provided only in cases where it is determined, under  crite-
     2  ria established by the department, that there is a need therefor because
     3  of  inability  of  the  parents  to  provide  care and supervision for a
     4  substantial  part  of the day and that such care is in the best interest
     5  of the child and parent.  Where the family is able to pay part or all of
     6  the costs of such care, payment of such fees as may be reasonable in the
     7  light of such ability shall be required] with the aim of providing  free
     8  and universal child care for all families within such territory.
     9    §  6.  Subdivision  2  of section 410-b of the social services law, as
    10  added by chapter 395 of the laws of 1965 and such section as  renumbered
    11  by  chapter  640 of the laws of 1971, is amended and a new subdivision 5
    12  is added to read as follows:
    13    2. The [department of social welfare] office of  children  and  family
    14  services  is  hereby designated and empowered to act as the agent of the
    15  state in carrying out the  provisions  of  any  such  federal  law  with
    16  respect  to  such  day care facilities in this state. In exercising this
    17  duty as agent of the state, the office of children and  family  services
    18  shall  seek  to  obtain any waivers or permissions from federal agencies
    19  necessary and proper to allow the state and its various subdivisions  to
    20  implement a child care system that is universal and free at the point of
    21  service,  notwithstanding that the state's child care system may be more
    22  expansive than what is being reimbursed with federal funds.
    23    5. To the extent that federal funds are offered for child care and are
    24  contingent on matching funds from the state, the state  shall  make  all
    25  reasonable efforts to maximize the allocation of federal funds by making
    26  sufficient state-level appropriations.
    27    §  7.  Subdivisions  5,  6,  7  and  8  of section 410-x of the social
    28  services law are renumbered subdivisions 6, 7, 8 and 9 and a new  subdi-
    29  vision 5 is added to read as follows:
    30    5.  (a)  For  each  group  for which the office of children and family
    31  services determines a separate payment rate pursuant to subdivision four
    32  of this section, and at the same frequency, such office shall utilize  a
    33  cost  estimation model to determine the actual cost providers incur when
    34  providing high-quality child care. The cost estimation model shall iden-
    35  tify and take into account cost drivers including  but  not  limited  to
    36  employee  salary  and  benefits,  enrollment  levels, facility costs and
    37  compliance with statutory and regulatory requirements. Where  a  quality
    38  rating  system  or  any  quality indicators are being utilized, the cost
    39  estimation model shall also take into  account  the  cost  of  providing
    40  services at each level of quality.
    41    (b)  In  developing  such  model  the  office  of  children and family
    42  services shall consult with stakeholders including, but not limited  to,
    43  representatives of child care resource and referral agencies, child care
    44  providers,  labor  leaders  for any labor unions representing child care
    45  workers in the state, and any state advisory council established  pursu-
    46  ant  to  42  U.S.C.S.  §  9831 et. seq., as amended. The cost estimation
    47  model shall be statistically valid, using complete and current data  and
    48  rigorous  collection  methods.  The  cost estimation model shall further
    49  account for biases in reported data that tend to underestimate the  cost
    50  of care, and shall make appropriate adjustments.
    51    §  8. Section 410-z of the social services law, as added by section 52
    52  of part B of chapter 436 of the laws of 1997,  is  amended  to  read  as
    53  follows:
    54    §  410-z.  Reporting  requirements.  1.  Each social services district
    55  shall collect and submit to the  [department]  office  of  children  and
    56  family  services,  in  such  form and at such times as  specified by the

        S. 3245                             6
 
     1  [department] office of children  and  family  services,  such  data  and
     2  information  regarding  child   care assistance provided under the block
     3  grant as the [department] office of children  and  family  services  may
     4  need to comply with federal reporting requirements.
     5    2.  The  office of children and family services shall prepare a report
     6  detailing the actual cost providers incur when providing child  care  in
     7  each  setting, as determined by the cost estimation model established in
     8  paragraph (a) of subdivision five of section four hundred ten-x of  this
     9  title.  The  report  shall detail cost data for each setting, age group,
    10  care provided to children with special needs, and any other grouping for
    11  which a separate cost estimation is conducted. Such data shall include:
    12    (a) the level of quality care as determined by a quality rating system
    13  or any quality indicators utilized by the state;
    14    (b) a description of the major cost drivers for providing care; and
    15    (c) a comparison of the costs of child care for each grouping  to  the
    16  market  rate  determined  by  the office of children and family services
    17  pursuant to subdivision four of  section  four  hundred  ten-x  of  this
    18  title.
    19    The  report  shall  be  submitted  to the governor, the speaker of the
    20  assembly and the temporary president of the senate by  June  first,  two
    21  thousand  twenty-five and June first of every other year thereafter. The
    22  office of children  and  family  services  shall  post  the  information
    23  contained in the report on its website.
    24    § 9. Subdivision 1 and paragraph (b) of subdivision 5 of section 410-c
    25  of  the  social  services law, subdivision 1 as added by chapter 1014 of
    26  the laws of 1969, paragraph (a) of subdivision 1 as amended  by  chapter
    27  110  of  the laws of 1971, and paragraph (b) of subdivision 5 as amended
    28  by chapter 277 of the laws of 1990, and such section  as  renumbered  by
    29  chapter 640 of the laws of 1971, are amended to read as follows:
    30    1.  (a)  Expenditures made by counties, cities, and towns for day care
    31  and its administration, and day care center projects,  pursuant  to  the
    32  provisions  of  this  title,  shall,  if  approved by the department, be
    33  subject to reimbursement by the state,  in  accordance  with  the  regu-
    34  lations of the department, as follows: There shall be paid to each coun-
    35  ty,  city  or  town  (1)  the  amount of federal funds, if any, properly
    36  received or to be received on account of such expenditures; (2)  [fifty]
    37  ninety  per  centum  of  its  expenditures for day care and its adminis-
    38  tration and day care center projects, after  first  deducting  therefrom
    39  any federal funds received or to be received on account thereof, and any
    40  expenditures  defrayed  by  fees  paid  by  parents  or by other private
    41  contributions.
    42    (b) For the purpose of this title, expenditures for administration  of
    43  day  care  shall  include  expenditures for compensation of employees in
    44  connection with the furnishing of day care, including but not limited to
    45  costs incurred for pensions, federal old age and survivors insurance and
    46  health insurance for such employees; training  programs  for  personnel,
    47  operation,  maintenance  and  service costs; and such other expenditures
    48  such as equipment costs, depreciation and charges and rental  values  as
    49  may  be  approved by the department. It [shall not] may include expendi-
    50  tures for capital costs in appropriate cases at the  discretion  of  the
    51  department,  provided  that  capital costs are prioritized in areas that
    52  are categorized as child care deserts. In the case of day care purchased
    53  from a non-profit corporation constituting an eligible borrower pursuant
    54  to title five-a of this article, expenditures shall include an allocable
    55  proportion of all operating costs of such facility as may be approved by
    56  the department including but not limited to the expenditures  enumerated

        S. 3245                             7
 
     1  in  this paragraph [(b)] and expenditures for amortization, interest and
     2  other financing costs of any  mortgage  loan  made  to  such  non-profit
     3  corporation.
     4    (b)  The  commissioner  shall,  within  appropriations  made available
     5  therefor, select proposed school age child day care programs which shall
     6  be eligible to receive an award [of no more  than  twenty-five  thousand
     7  dollars]  for  start  up or expansion costs, including planning, rental,
     8  operational and equipment costs,  or  minor  renovations  identified  as
     9  being necessary in order for the program to comply with applicable state
    10  or  local  building,  fire safety or licensing standards, based on plans
    11  submitted to him. The commissioner shall give preference to those  areas
    12  of  the state which are significantly underserved by existing school age
    13  child day care programs and to those programs which involve  parents  in
    14  the  development  and implementation of programs. The commissioner shall
    15  publicize this availability of funds to be used  for  purposes  of  this
    16  subdivision  in  awarding grants. Plans may be submitted by private not-
    17  for-profit corporations, organizations or governmental subdivisions.
    18    § 10. Subdivision 8 of section 410-w of the social  services  law,  as
    19  amended  by  section  1  of part Z of chapter 56 of the laws of 2021, is
    20  amended to read as follows:
    21    8. Notwithstanding any other provision of law, rule or regulations  to
    22  the  contrary,  a social services district that implements a plan amend-
    23  ment to the child care portion of its child and  family  services  plan,
    24  either  as  part  of  an  annual plan update, or through a separate plan
    25  amendment process, where such  amendment  reduces  eligibility  for,  or
    26  increases  the family share percentage of, families receiving child care
    27  services, or that implements the process for closing child care cases as
    28  set forth in the district's approved child and family services plan, due
    29  to the district determining that it cannot maintain its current caseload
    30  because all of the available funds are projected to be needed  for  open
    31  cases,  shall  provide  all  families  whose  eligibility for child care
    32  assistance or family share percentage will be impacted  by  such  action
    33  with  at least thirty days prior written notice of the action. Provided,
    34  however, that a family receiving assistance pursuant to this title shall
    35  not be required to contribute more than what is required by federal  law
    36  or  ten  percent  of  their  income exceeding the federal poverty level,
    37  whichever is lower, and that such cost shall be covered entirely by  the
    38  state.
    39    §  11.  Subdivision  6 of section 410-x of the social services law, as
    40  amended by section 2 of part Z of chapter 56 of the  laws  of  2021,  is
    41  amended to read as follows:
    42    6.  Pursuant to department regulations, child care assistance shall be
    43  provided on a sliding fee basis based upon the family's ability to  pay;
    44  provided,  however,  that a family receiving assistance pursuant to this
    45  title shall not be required to contribute more than what is required  by
    46  federal law or ten percent of their income exceeding the federal poverty
    47  level,  whichever is lower, and that such cost shall be covered entirely
    48  by the state.
    49    § 12. Section 410-x of the social services law is amended by adding  a
    50  new subdivision 9 to read as follows:
    51    9.  A  social  services  district shall establish differential payment
    52  rates for child  care  services  provided  by  licensed,  registered  or
    53  enrolled child care providers as required by this subdivision.
    54    (a)  Local  social  services  districts shall establish a differential
    55  payment rate for child care services provided by licensed or  registered
    56  child  care providers who provide care to a child or children experienc-

        S. 3245                             8
 
     1  ing homelessness. Such differential payment rate shall be twenty percent
     2  higher than the actual cost of care  or  the  applicable  market-related
     3  payment  rate  established by the office of children and family services
     4  in regulations, whichever is less.
     5    (b)  Local  social  services  districts shall establish a differential
     6  payment rate for child care services provided by  licensed,  registered,
     7  or  enrolled  child  care  providers  who provide care to a child during
     8  nontraditional hours. "Nontraditional hours" shall mean care provided in
     9  the evening, night, or on the weekend. Such  differential  payment  rate
    10  shall  be  twenty  percent  higher  than  the actual cost of care or the
    11  applicable market-related payment rate  established  by  the  office  of
    12  children and family services in regulations, whichever is less.
    13    (c)  The cost of the differential payment rates established under this
    14  subdivision shall be covered by the state.
    15    § 13. Subdivision 1 of section 410 of  the  social  services  law,  as
    16  amended  by  chapter  694  of  the  laws  of 2022, is amended to read as
    17  follows:
    18    1. A public welfare official of a county, city or town [is authorized]
    19  shall, provided funds have been made available therefor, [to]  and  with
    20  the  state  making  all reasonable efforts to obtain federal funding and
    21  supplementing those amounts with additional state funding,  provide  day
    22  care at public expense for children residing in his or her territory who
    23  are  eligible  therefor  pursuant to provisions of this title. Such care
    24  [may] shall be provided [only in cases where it  is  determined,]  under
    25  criteria established by the office of children and family services, that
    26  there  is a need and that such care is in the best interest of the child
    27  and parent; provided however that the public welfare official shall  not
    28  [be  required to] limit authorized child care services strictly based on
    29  the work, training, or educational schedule of the parents or the number
    30  of hours the parents spend in work, training, or educational activities,
    31  nor shall the  public  welfare  official  limit  authorized  child  care
    32  services based on proof of immigration status. Where the family [is able
    33  to  pay  part  or all of the costs of such care] income is more than one
    34  thousand percent of the poverty line, payment of such  fees  as  may  be
    35  reasonable  in  the light of such ability [shall] may be required to the
    36  extent necessary as the state transitions to a system that is  free  and
    37  universal.  To  the  extent  there are insufficient funds to immediately
    38  serve all families, the state  shall  make  all  reasonable  efforts  to
    39  incrementally  expand  to  universal access over a period of four years,
    40  pursuant to the phase-in priorities and principles  recommended  by  the
    41  taskforce under section three hundred ninety-k of this article.
    42    §  14.  Paragraph  (b)  of  subdivision 3 of section 410 of the social
    43  services law is REPEALED and paragraphs (c) and (d) are relettered para-
    44  graphs (b) and (c).
    45    § 15. Subdivisions 1 and 2 of section 410-bb of  the  social  services
    46  law, subdivision 1 as added by chapter 503 of the laws of 1988, subdivi-
    47  sion  2  as  amended  by chapter 659 of the laws of 1988, are amended to
    48  read as follows:
    49    1. The legislature finds and declares that  a  crisis  exists  in  the
    50  availability  and  quality  of child day care in New York state and that
    51  this crisis poses a danger both to the welfare and safety of  the  chil-
    52  dren  and to the productivity of this state's workforce; that inadequate
    53  salaries and in many cases nonexistent benefit  packages  have  substan-
    54  tially contributed to the existing crisis by precluding day care centers
    55  from  recruiting and retaining necessary teaching and supervisory staff;
    56  that an extremely high turnover rate has interfered  in  many  instances

        S. 3245                             9
 
     1  with  the ability of day care centers to comply with regulatory require-
     2  ments and to properly serve the children in their care; and that because
     3  of these extraordinary circumstances New York state must  intervene  and
     4  provide  assistance for recruitment and retention of child care workers,
     5  with the goal of creating a free and universal child care system that is
     6  available to all, in the same manner as the public school system,  with-
     7  out  the  burdens  of  means-testing.  The legislature recognizes that a
     8  long-term solution to this crisis will require cooperative efforts among
     9  [the business community, local and state governments and  families]  all
    10  New Yorkers.
    11    2.  Within  amounts  appropriated  specifically  therefor,  and  after
    12  deducting funds as specified in subdivision three of this  section,  the
    13  commissioner shall allocate funds to local social services districts for
    14  grants  to [eligible not-for-profit day care centers] child care provid-
    15  ers for retention and recruitment of teaching and supervisory staff, [as
    16  follows:
    17    (a) a city social services district with a population in excess of one
    18  million shall be allocated a portion of such funds  based  on  an  equal
    19  weighting of:
    20    (i)  its  proportion of the state population of children aged five and
    21  under, and
    22    (ii) its proportion of total claims for reimbursement received by  the
    23  department  by  May  thirty-first, nineteen hundred eighty-eight for the
    24  low income, transitional and teen parent day care programs authorized by
    25  chapter fifty-three of the laws of nineteen hundred eighty-seven.
    26    (b) all other eligible local social services districts shall be  allo-
    27  cated  the  remaining  portion of funds based on each district's propor-
    28  tionate share of licensed not-for-profit day care capacity  relative  to
    29  the total capacity of all such other eligible districts] with the aim of
    30  providing  staff with salary and benefits that is at parity with that of
    31  local public school teachers in the relevant area.
    32    § 16. Subdivisions 1 and 2 of section 410-v  of  the  social  services
    33  law,  subdivision  1  as added by section 52 of part B of chapter 436 of
    34  the laws of 1997, subdivision 2 as amended by chapter 214 of the laws of
    35  1998, are amended to read as follows:
    36    1. The part of the block grant that is determined to be  available  to
    37  social services districts for child care assistance shall be apportioned
    38  among  the  social  services districts by the department according to an
    39  allocation plan developed by the department and approved by the director
    40  of the budget. The allocation plan shall [be based, at least in part, on
    41  historical costs and on the availability and cost of, and the need  for,
    42  child  care  assistance in each social services district] aim to provide
    43  universal and free child care on a statewide basis.  Annual  allocations
    44  shall   be made on a federal fiscal year basis and shall incorporate the
    45  annual recommendations of the child  care  taskforce  established  under
    46  section three hundred ninety-k of this article.
    47    2.  Reimbursement  under the block grant to a social services district
    48  for its expenditures for child care assistance shall  be  available  for
    49  [seventy-five]  ninety  percent of the district's expenditures for child
    50  care assistance provided to those families in receipt of public  assist-
    51  ance  which  are eligible for child care assistance under this title and
    52  for one hundred percent of the social services  district's  expenditures
    53  for other eligible families[; provided, however, that such reimbursement
    54  shall  be  limited  to the social services district's annual state block
    55  grant allocation]. To the extent that  families  are  not  eligible  for
    56  funding  pursuant to this provision, the state shall make all reasonable

        S. 3245                            10
 
     1  efforts to ensure that families not eligible for federally-funded  child
     2  care have access, phased-in over a period of four years, pursuant to the
     3  phase-in  priorities  and  principles recommended by the taskforce under
     4  section three hundred ninety-k of this article.
     5    §  17.  Subdivisions  1  and 2 of section 410-w of the social services
     6  law, subdivision 1 as amended by section 2 of part L of  chapter  56  of
     7  the laws of 2022 and subdivision 2 as amended by chapter 569 of the laws
     8  of 2001, are amended to read as follows:
     9    1.  A  social services district may use the funds allocated to it from
    10  the block grant to provide child care assistance to[:
    11    (a) families receiving public assistance when such child care  assist-
    12  ance is necessary: to enable a parent or caretaker relative to engage in
    13  work,  participate  in  work  activities  or perform a community service
    14  pursuant to title nine-B of article five of this chapter;  to  enable  a
    15  teenage  parent  to  attend  high  school  or  other equivalent training
    16  program; because the parent  or  caretaker  relative  is  physically  or
    17  mentally incapacitated; or because family duties away from home necessi-
    18  tate the parent or caretaker relative's absence; child day care shall be
    19  provided  during  breaks in activities, for a period of up to two weeks.
    20  Such child day care may be authorized for a period of up to one month if
    21  child care arrangements shall be lost if not continued, and the  program
    22  or employment is scheduled to begin within such period;
    23    (b)  families  with  incomes  up  to  two hundred percent of the state
    24  income standard, or three hundred percent of the state  income  standard
    25  effective  August  first,  two  thousand  twenty-two  who are attempting
    26  through work activities to transition off of public assistance when such
    27  child care is necessary in order to enable a parent or  caretaker  rela-
    28  tive  to  engage  in  work provided such families' public assistance has
    29  been terminated as a result of increased hours of or income from employ-
    30  ment or increased income from  child  support  payments  or  the  family
    31  voluntarily  ended  assistance; provided that the family received public
    32  assistance at least three of the six months preceding the month in which
    33  eligibility for such assistance terminated or  ended  or  provided  that
    34  such family has received child care assistance under subdivision four of
    35  this  section;  and  provided, the family income does not exceed eighty-
    36  five percent of the state median income;
    37    (c) families with incomes up to  two  hundred  percent  of  the  state
    38  income  standard,  or three hundred percent of the state income standard
    39  effective August first, two thousand twenty-two, which are determined in
    40  accordance with the regulations of the  department  to  be  at  risk  of
    41  becoming  dependent  on  family  assistance; provided, the family income
    42  does not exceed eighty-five percent of the state median income;
    43    (d) families with incomes up to  two  hundred  percent  of  the  state
    44  income  standard,  or three hundred percent of the state income standard
    45  effective August first, two thousand twenty-two,  who  are  attending  a
    46  post secondary educational program; provided, the family income does not
    47  exceed eighty-five percent of the state median income; and
    48    (e) other families with incomes up to two hundred percent of the state
    49  income  standard,  or three hundred percent of the state income standard
    50  effective August  first,  two  thousand  twenty-two,  which  the  social
    51  services district designates in its consolidated services plan as eligi-
    52  ble for child care assistance in accordance with criteria established by
    53  the  department; provided, the family income does not exceed eighty-five
    54  percent of the state median income] families who need child care or  who
    55  are having trouble affording child care, to the maximum extent permissi-
    56  ble  under federal laws and regulations. To the extent that families are

        S. 3245                            11
 
     1  not eligible for funding pursuant to this  provision,  the  state  shall
     2  make  all  reasonable  efforts  to ensure that families not eligible for
     3  federally-funded child care have access, phased-in over a period of four
     4  years, pursuant to the phase-in priorities and principles recommended by
     5  the taskforce under section three hundred ninety-k of this article.
     6    2.  [For  the purposes of this title, the term "state income standard"
     7  means the most recent federal income official poverty line  (as  defined
     8  and  annually  revised  by  the federal office of management and budget)
     9  updated by the department for a family size of four and adjusted by  the
    10  department  for family size] Each social services district shall conduct
    11  extensive and language-accessible outreach to families  who  need  child
    12  care  or who are having trouble affording child care. To the extent that
    13  social services districts or the office of children and family  services
    14  are  required  to  examine families' incomes pursuant to federal laws or
    15  regulations, they shall use the least  restrictive  and  most  efficient
    16  means  available to avoid placing undue burdens on families applying for
    17  assistance. To the extent that  families  applying  for  assistance  are
    18  required  to  provide  proof  of eligibility, each local social services
    19  district and the office of children and family services shall  make  all
    20  reasonable  efforts  to  provide  assistance in completing all necessary
    21  documents expeditiously.
    22    § 18. Subdivision 2 of section 410-u of the social  services  law,  as
    23  added  by  section  1  of  part  L of chapter 56 of the laws of 2022, is
    24  amended to read as follows:
    25    2. The state block grant for child care  shall  be  divided  into  two
    26  parts pursuant to a plan developed by the department and approved by the
    27  director  of  the  budget.  One  part  shall be retained by the state to
    28  provide child care on a statewide basis to special groups and for activ-
    29  ities  to  increase  the  availability  and/or  quality  of  child  care
    30  programs,  including,  but  not  limited  to, the start-up of child care
    31  programs, the increase of child care worker salaries, the  operation  of
    32  child  care  resource  and  referral  programs, training activities, the
    33  regulation and monitoring of child care  programs,  the  development  of
    34  computerized  data  systems,  and  consumer education, provided however,
    35  that child care resource and referral programs funded under title five-B
    36  of article six of this chapter shall meet additional performance  stand-
    37  ards  developed  by  the department of social services including but not
    38  limited to: increasing the number  of  child  care  placements  for  all
    39  persons, with priority given to persons who are at or below [two hundred
    40  percent  of  the  state income standard, or three hundred percent of the
    41  state income standard effective August first, two  thousand  twenty-two,
    42  provided  such  persons are at or below eighty-five percent of the state
    43  median income,] one thousand percent of the federal poverty  line;  with
    44  emphasis  on  placements supporting local efforts in meeting federal and
    45  state work participation requirements, increasing  technical  assistance
    46  to  all modalities of legal child care to persons, with a priority given
    47  to persons who are at or below [two hundred percent of the state  income
    48  standard,  or  three hundred percent of the state income standard effec-
    49  tive August first, two thousand twenty-two, provided such persons are at
    50  or below eighty-five percent of the state median income,]  one  thousand
    51  percent of the federal poverty line; including the provision of training
    52  to  assist  providers  in  meeting  child  care  standards or regulatory
    53  requirements[,]; and creating new child care opportunities, and  assist-
    54  ing  social services districts in assessing and responding to child care
    55  needs for all persons, with priority given to persons at or  below  [two
    56  hundred  percent  of the state income standard, or three hundred percent

        S. 3245                            12

     1  of the state income standard effective August first, two thousand  twen-
     2  ty-two, provided such persons are at or below eighty-five percent of the
     3  state  median  income] one thousand percent of the federal poverty line.
     4  The  department  shall  have  the authority to withhold funds from those
     5  agencies which do not meet performance standards. Agencies  whose  funds
     6  are  withheld  may have funds restored upon achieving performance stand-
     7  ards. The other part shall be allocated to social services districts  to
     8  provide  child  care  assistance to families receiving family assistance
     9  and to other low income families. To the extent that  families  are  not
    10  eligible  for funding pursuant to this subdivision, the state shall make
    11  all reasonable efforts to ensure that families not eligible for federal-
    12  ly-funded child care have access, phased-in over a period of four years,
    13  pursuant to the phase-in priorities and principles  recommended  by  the
    14  taskforce under section three hundred ninety-k of this article.
    15    § 19. Section 410-cc of the social services law, as amended by chapter
    16  882 of the laws of 1990, is amended to read as follows:
    17    §  410-cc.  Start up grants for child day care. The commissioner shall
    18  provide funds to start up  grants  to  not-for-profit  organizations  or
    19  corporations  for  the  development of new or expanded all day child day
    20  care programs including costs related to planning, renting,  renovating,
    21  operating,  and  purchasing  equipment. The commissioner shall establish
    22  guidelines including, but not limited to, allowable costs, and  criteria
    23  for  eligibility  for  grants  giving preference to those child day care
    24  providers who [will, to the maximum extent feasible, target services  to
    25  households  having  incomes  up  to  two  hundred percent of the federal
    26  poverty standard] serve  areas  that  currently  constitute  child  care
    27  deserts,  and  with the aim of developing New York's statewide universal
    28  child care infrastructure.  The commissioner shall widely publicize  the
    29  availability  of  funds and conduct extensive outreach in a language-ac-
    30  cessible manner to develop the state's universal child care  infrastruc-
    31  ture.  [No  awards  shall  be  granted  which exceed twenty-five hundred
    32  dollars for a new family day care provider or new group family day  care
    33  provider,  and  one  hundred  thousand  dollars for a new child day care
    34  center.] Child care resource and referral agencies [may]  shall  receive
    35  family day care start up grants [not to exceed two thousand five hundred
    36  dollars  per new provider] if the agency trains such new family provider
    37  and thereby expands the supply of family day care programs in the commu-
    38  nity. The commissioner shall give preference to those communities  which
    39  are significantly underserved by existing programs and to those programs
    40  which and those providers who will serve infants under two years of age.
    41    § 20. Section 101 of the education law is amended to read as follows:
    42    § 101. Education  department;  regents of the university.  There shall
    43  continue to be in the state government an  education  department.    The
    44  department is charged with the general management and supervision of all
    45  public  schools  and all of the educational work of the state, including
    46  the operations of The University of the State of New York and the  exer-
    47  cise of all the functions of the education department, of The University
    48  of  the  State  of New York, of the regents of the university and of the
    49  commissioner of education and the performance of all  their  powers  and
    50  duties,  which  were transferred to the education department [by section
    51  three hundred twelve of the state departments law] or  shall  have  been
    52  prescribed by law before March sixteenth, nineteen hundred twenty-seven,
    53  whether  in terms vested in such department or university or in any sub-
    54  department, division or bureau thereof or in such commissioner, board or
    55  officer, and such functions, powers and  duties  shall  continue  to  be
    56  vested  in  the education department continued by this chapter and shall

        S. 3245                            13
 
     1  continue to be exercised and performed therein by or through the  appro-
     2  priate  officer,  sub-department,  division  or bureau thereof, together
     3  with such functions, powers and duties as hereafter may be conferred  or
     4  imposed upon such department by law. The education department shall also
     5  establish an office of early education, which shall be tasked with coor-
     6  dinating  with the office of children and family services to ensure that
     7  the implementation of funding  for  universal  pre-K  and  3-K  for  all
     8  programs  are  phased in in a manner that complements and supports child
     9  care providers within the state and provides equitable wages,  benefits,
    10  and  working conditions for child care workers, pursuant to the guidance
    11  established by the taskforce under section three hundred ninety-k of the
    12  social services law. All the provisions of this chapter, in  so  far  as
    13  they  are not inconsistent with the provisions of this chapter as hereby
    14  amended or may be made applicable, shall apply to the education  depart-
    15  ment  continued  by this chapter as hereby amended and to The University
    16  of the State of New York, the board of regents of  the  university,  the
    17  commissioner  [of  education] and to the divisions, bureaus and officers
    18  in such department.  The head of the department shall continue to be the
    19  regents of The University of the State of New York, who  shall  appoint,
    20  and  at  pleasure  may  remove,  the  commissioner [of education].   The
    21  commissioner shall continue to be the chief  administrative  officer  of
    22  the department.  The regents also may appoint and, at pleasure, remove a
    23  deputy commissioner [of education], who shall perform such duties as the
    24  regents  may assign to him by rule and who, in the absence or disability
    25  of the commissioner or when a vacancy exists in the  office  of  commis-
    26  sioner,  shall  exercise  and  perform  the functions, powers and duties
    27  conferred or imposed on the commissioner by this chapter.   The  regents
    28  of  The University of the State of New York shall continue to constitute
    29  a board and The University of the State of New York, which was continued
    30  under such name by section two of article eleven  of  the  constitution,
    31  shall  continue  to be governed and all its corporate powers to be exer-
    32  cised by such board.
    33    § 21. Section 2 of chapter 493 of the laws of 2017 amending the social
    34  services law relating to establishing a child  care  availability  task-
    35  force to evaluate the need for and availability of child care throughout
    36  the  state, as amended by chapter 797 of the laws of 2021, is amended to
    37  read as follows:
    38    § 2. This act shall take effect immediately and shall expire  December
    39  31,  [2024] 2027 when upon such date the provisions of this act shall be
    40  deemed repealed.
    41    § 22. The state finance law is amended by adding  three  new  sections
    42  99-qq, 99-rr, and 99-ss to read as follows:
    43    §  99-qq. Child care workforce stabilization fund.  1. There is hereby
    44  established in the custody of the state comptroller and the commissioner
    45  of taxation and finance a fund to be known as the child  care  workforce
    46  stabilization fund.
    47    2. Such fund shall consist of all moneys collected therefor or credit-
    48  ed  or  transferred thereto from any other fund, account or source.  Any
    49  interest received by the comptroller on moneys on deposit in  the  child
    50  care workforce stabilization fund shall be retained in and become a part
    51  of such fund.
    52    3.  Moneys  in  the child care workforce stabilization fund, following
    53  appropriation by the legislature, shall be utilized  to  directly  raise
    54  wages among participating programs as New York adjusts its reimbursement
    55  rates  to  cover  the  true  cost of child care, and to allow child care
    56  providers to pay staff adequate wages and benefits at parity with public

        S. 3245                            14

     1  school teachers as New York state restructures its  economy  to  reflect
     2  the  true  value  of this important work. Such moneys shall be allocated
     3  through agencies including, but not limited to, the office  of  children
     4  and family services.
     5    §  99-rr.   Child care transitional reimbursement rate fund.  1. There
     6  is hereby established in the custody of the state  comptroller  and  the
     7  commissioner  of  taxation  and  finance a fund to be known as the child
     8  care transitional reimbursement rate fund.
     9    2. Such fund shall consist of all moneys collected therefor or credit-
    10  ed or transferred thereto from any other fund, account or source.    Any
    11  interest  received  by the comptroller on moneys on deposit in the child
    12  care transitional reimbursement rate  fund  shall  be  retained  in  and
    13  become a part of such fund.
    14    3.  Moneys  in  the  child  care transitional reimbursement rate fund,
    15  following appropriation by the  legislature,  shall  be  utilized  in  a
    16  manner  that  reflects a transitional reimbursement rate structure based
    17  on the results of the forthcoming child care market rate survey  or  the
    18  existing  survey, whichever results in higher rates. Reimbursement rates
    19  shall be set at the ninetieth percentile of market rates in each  region
    20  to ensure that per child amounts are sufficient to not disrupt the child
    21  care  sector  during this transition from a market rate-based model to a
    22  model based on the true cost of quality care. During the phase-in  peri-
    23  od,  entry  level  staff shall be paid at least a living wage, with more
    24  experienced staff compensated at a proportionately higher rate and  with
    25  compensation  progressively increasing over the course of the transition
    26  period. Such moneys shall be allocated through agencies  including,  but
    27  not limited to, the office of children and family services.
    28    §  99-ss.  Child  care  infrastructure development fund.   1. There is
    29  hereby established in the custody  of  the  state  comptroller  and  the
    30  commissioner  of  taxation  and  finance a fund to be known as the child
    31  care infrastructure development fund.
    32    2. Such fund shall consist of all moneys collected therefor or credit-
    33  ed or transferred thereto from any other fund, account or source.    Any
    34  interest  received  by the comptroller on moneys on deposit in the child
    35  care infrastructure development fund shall be retained in and  become  a
    36  part of such fund.
    37    3. Moneys in the child care infrastructure development fund, following
    38  appropriation  by  the  legislature,  shall be used to build and develop
    39  child care infrastructure in  connection  with  existing  public  insti-
    40  tutions such as public universities, public schools, and public housing.
    41    §  23.  The  sum  of  five  billion dollars ($5,000,000,000) is hereby
    42  appropriated out of any moneys in the state treasury in the general fund
    43  to the credit of the state purposes account, not otherwise appropriated,
    44  and made immediately available as set forth herein. Such funds shall  be
    45  allocated as follows:
    46    (a) Three billion dollars ($3,000,000,000) shall be allocated to guar-
    47  antee  access  to  child  care  subsidies to high-quality and culturally
    48  responsive child care that meets the needs of  all  children,  including
    49  children  with  disabilities,  those  experiencing  trauma, multilingual
    50  learners, families who work non-traditional hours, and families  experi-
    51  encing  homelessness  or  in  transitional housing. Such moneys shall be
    52  allocated through agencies including, but not limited to, the office  of
    53  children and family services.
    54    (b)  One  billion  dollars  ($1,000,000,000) shall be allocated to the
    55  child care workforce stabilization fund established pursuant to  section
    56  99-qq of the state finance law.

        S. 3245                            15
 
     1    (c)  Six  hundred million dollars ($600,000,000) shall be allocated to
     2  the child care transitional reimbursement rate fund pursuant to  section
     3  99-rr of the state finance law.
     4    (d)  Four hundred million dollars ($400,000,000) shall be allocated to
     5  the child care infrastructure development fund pursuant to section 99-ss
     6  of the state finance law.
     7    § 24. This act shall take effect immediately; provided, however,  that
     8  the  amendments  to  section  390-k  of  the social services law made by
     9  section three of this act shall not affect the repeal  of  such  section
    10  and  shall  be  deemed  repealed  therewith; provided, however, that the
    11  amendments to subdivision 8 of section 410-w of the social services  law
    12  made  by  section ten of this act and the amendments to subdivision 6 of
    13  section 410-x of the social services law made by section eleven of  this
    14  act  shall  not  affect the expiration of such subdivisions and shall be
    15  deemed to expire therewith; and provided, further, that  the  amendments
    16  made  to subdivision 1 of section 410 of the social services law made by
    17  section thirteen of this act shall take effect on the same date  and  in
    18  the same manner as chapter 694 of the laws of 2022, takes effect.
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