HB 1216

Abstract

Employee Child Care Assistance Pilot Program. Establishes the Employee Child Care Assistance Pilot Program (the Program) to provide matching funds to employers in order to incentivize employers to contribute to the child care costs of their employees. The Program shall be administered by the Virginia Early Childhood Foundation (the Foundation). To participate in the Program, an employer shall agree to make child care contributions to the eligible mixed-delivery provider on behalf of the employee and shall provide any other information deemed necessary by the Foundation. To the extent funds are available, the Foundation shall issue a state match directly to such eligible mixed-delivery provider or to a third-party administrator. Program funds shall be awarded on a first-come, first-served basis; however, the Foundation is encouraged to prioritize awards to small businesses.

Employee Child Care Assistance Program and Fund; established. Establishes the Employee Child Care Assistance Programand Fund to provide matching funds to in order to incentivize employersto contribute to the child care costs of their employees. To participatein the program, an employer is required to enter into an agreementwith its employee and an eligible mixed-delivery provider, definedin the bill, to make child care contributions to the eligible mixed-deliveryprovider on behalf of the employee, and the Department of Educationwill issue a state match directly to such eligible mixed-deliveryprovider or to a third-party administrator. The bill provides thatthe state match shall not exceed 100 percent of the employer contributionmade by an employer on behalf of an employee whose annual gross wagesare equal to or less than the local median household income, definedin the bill, and shall not exceed 80 percent of the employer contributionmade by an employer on behalf of an employee whose annual gross wagesare greater than the local median household income. The bill requiresthat 25 percent of the Fund be used to provide state matching fundsfor employees of small businesses.